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Business Infrastructure

Seaport

Seaports

The Port of Acajutla

Acajutla, located 85 kilometers west from San Salvador, is El Salvador’s only operational port. Salvadoran importers also use Guatemalan and Honduran ports. The Autonomous Executive Port Commission (Comision Ejecutiva Portuaria Autonoma) or CEPA, is the government agency that operates the ports. Vessels transporting solid bulk, general cargo, flour, steel, fertilizers and fuels use Acajutla. The port has 3 piers, 7 landfalls, 4 warehouses and approximately 177 hectares of land.

The Port of Cutuco

Cutuco, closed since 1996, is located at the eastern end of El Salvador on the Gulf of Fonseca, is being rebuilt with financing from the Japanese International Cooperation Agency (JICA) and the Central American Bank for Economic Integration. Cutuco will consist of three different terminals: one for containers, one multipurpose, and one for passengers. The port will offer customs, banks, and immigration services.

Airport

The International Airport of El Salvador is in Comalapa about 42 kilometers from San Salvador. The airport, also administered by CEPA, is the hub of Central American air transportation. The passenger terminal includes 17 parking positions, waiting rooms, commercial establishments, baggage claim area and counters, and airlines offices. The number of passengers in 2006 was approximately 1,993,219. A smaller airport in Ilopango, on the eastern edge of San Salvador, is currently reserved for military aviation and private use, but is being considered for development as a regional cargo-handling center.

Railways

The National Railways of El Salvador (FENADESAL) is also administered by CEPA. Rail service, however, was suspended in October 2002.

Telecommunications

Following a successful privatization of the sector, El Salvador has over 1,080,083 fixed phone lines.  El Salvador is one of the largest cell phone markets in Central America with over 6,137,381 lines as 2007.  Direct dialing, fax and telex facilities to most countries in the world are available.  Eleven different companies offer Internet connectivity. The mail system is inadequate, but there are many private courier services, such as DHL, Federal Express and UPS. 

Electricity

Power distribution is entirely privatized. The wholesale generation market remains dominated by CEL, the Salvadoran state-owned electricity company, that supplies more than half of the electricity demand (from hydroelectric and geothermal plants). The remaining capacity is thermal, generally diesel or bunker-fired. There is a limited capacity electric power link to Guatemala that allows for imports of power, but grid incompatibilities currently restrict this trade. A link to the Honduras grid funded by the IDB under the auspices of the new Central American Integration System began operation in May 2002.

Roads/Highways

The Pan-American Highway crosses the country from Guatemala to the eastern Honduran border, connecting the main Salvadoran cities. About 60% of El Salvador’s 3,300 kilometers in roads are paved. About 3,166 kilometers of roads are being repaired and refurbished by the Fondo de Conservacion Vial (FOVIAL), a fund created in 2001 and financed by a gasoline surcharge to maintain the road network.  From the period of 1999 to mid-2003 the Ministry of Public Works (MOP) has invested $930 million in public infrastructure, reconstruction of bridges, and rehabilitation of main roads. Over the next 10 years, the Government of El Salvador plans to construct a highway around San Salvador in four phases.