El Salvador 2027 budget and security policy review

The El Salvador Legislative Assembly’s Finance Commission has begun reviewing the 2027 state budget proposal. Finance Minister Jerson Posada presented a total budget of $12,421.1 million, an increase of $1,865 million over the 2026 budget. A significant portion of the funds, approximately 27.5%, is earmarked for education. To address an anticipated $515 million financing gap, the government is considering issuing securities or seeking complementary loans.

Security Minister Gustavo Villatoro has submitted the 2027 security budget, which includes a transition toward green mobility involving over 700 electric vehicles for the national police. This budget follows reports from Attorney General Rodolfo Delgado, who informed the Legislative Assembly that more than 10,500 individuals linked to gangs such as MS-13 and Barrio 18 have been convicted since the state of exception began in March 2022. While the administration highlights a reduction in violent crime, officials noted that nearly 90% of the approximately 93,000 to 96,000 detainees remain in custody without a final trial or sentence.

President Nayib Bukele has proposed a plan to grant prison benefits to approximately 50% of those identified as occasional collaborators rather than active gang members. Human rights organizations and victim advocacy groups have raised alarms regarding this policy, warning it could pressure innocent people to falsely confess and noting that the judicial bottleneck leaves many in legal limbo. The administration maintains its strategy is a “global benchmark for crime reduction,” despite international debate regarding the suspension of constitutional guarantees and reports of over 500 deaths in state custody.