WASHINGTON — The Inter-American Development Bank (IDB) Board of Executive Directors has approved a $195 million loan to finance the modernization of El Salvador International Airport (AIES).
This operation, approved under the Specific Investment Loan (ESP) modality, will boost the country’s economic development, tourism, and air connectivity for passengers using the San Óscar Arnulfo Romero y Galdámez International Airport.
The plan aims to improve the quality of airport services and strengthen institutional capacity for planning, operating, and managing air transport.
This IDB-supported program is part of its América en el Centro initiative and contributes to implementing the productivity and economic integration pillar through the development of sustainable regional infrastructure. It will directly benefit 7.7 million passengers expected to use the new airport infrastructure annually by 2030 and generate benefits for more than 518,000 people directly or indirectly linked to tourism, as well as for over 1.8 million people indirectly.
Currently, El Salvador has opportunities to improve its air connectivity, which, if strengthened, would enhance competitiveness and boost tourism growth. A modern, efficient, and well-connected airport system would open new possibilities to fully leverage the economic and social benefits offered by this sector.
The country’s air connectivity is concentrated almost entirely at AIES, which currently handles 99.8% of operations and all international flights. This scenario represents a valuable opportunity to strengthen the quality of airport services and enhance the planning, management, and operational capacities of the Autonomous Port Executive Commission (CEPA), thus driving more dynamic and sustainable development of air transport in the country.
The program includes the construction of the second phase of the passenger terminal expansion, as well as the expansion of the aircraft apron at AIES. It will also include the construction of a Foxtrot taxiway, a vehicle parking building, and a Rescue and Firefighting Service (RFFS) building.
The $195 million loan has a repayment term of 23 years, a grace period of 7.5 years, and an interest rate based on SOFR.
About the IDB
The Inter-American Development Bank (IDB), a member of the IDB Group, is devoted to improving lives across Latin America and the Caribbean. Founded in 1959, the Bank works with the region’s public sector to design and enable impactful, innovative solutions for sustainable and inclusive development. Leveraging financing, technical expertise, and knowledge, it promotes grow and well-being in 26 countries. Visit our website: https://www.iadb.org/en.
Simon, Luis Alejandro
Project Information
El Salvador and The IDB