United States Resumes Targeted U.S. Foreign Assistance for El Salvador, Guatemala, and Honduras
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U.S. Relationship
U.S.-El Salvador Relations
The United States established diplomatic relations with El Salvador in 1863 following its independence from Spain and the later dissolution of a federation of Central American states. Post-independence, the country saw a mix of revolutions, democracy, and a 1980-1992 civil war. After the signing of peace accords in 1992, the Salvadorans have consolidated their democracy through an uninterrupted chain of elected governments. The United States and El Salvador share a strong commitment to democracy, rule of law, and inclusive economic development. Ties are further enriched by more than 2 million Salvadorans who call the United States home.
U.S. Assistance to El Salvador
The U.S. Strategy for Central America (Strategy) guides U.S. diplomatic efforts and foreign assistance in the region. The Strategy is a bipartisan, multi-year U.S. government plan covering all seven Central American countries (Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and Panama). The Strategy aims to secure U.S. borders and protect American citizens by addressing the security, governance, and economic drivers of illegal immigration and transnational crime, while increasing opportunities for U.S. and other businesses. The Strategy focuses on three overarching lines of action: 1) promoting prosperity, 2) enhancing security, and 3) improving governance.
Bilateral Economic Relations
The United States and El Salvador are parties to the U.S.-Central America-Dominican Republic Free Trade Agreement (CAFTA-DR), which aims to facilitate trade and investment and enhance regional integration by eliminating tariffs, opening markets, reducing barriers to services, and promoting transparency. CAFTA-DR contains a chapter on investment with commitments similar to those found in investment treaties the United States typically negotiates on a bilateral basis. More than 300 U.S. companies have established either a permanent commercial presence in El Salvador or work through representative offices in the country.
