FX.co ★ El Salvador Inflation Rate Declines for 3rd Month

In July 2025, consumer prices in El Salvador experienced a year-over-year decline of 0.14%, a slight improvement from the 0.17% reduction seen in June, marking the third month in a row of deflation. The most significant decrease was observed in the food and alcoholic beverages sector, which plummeted for the tenth consecutive month, recording a 1.85% drop compared to June's 1.44% decline. Other sectors with minor reductions included transport, decreasing by 2.12% as opposed to 3.60% previously, clothing and footwear down by 0.86% from a prior 3.60% drop, household goods falling by 0.77% compared to 0.97%, and communication down by 0.44% relative to 0.78% before. Conversely, price increases were noted in the categories of restaurants and hotels, which saw a rise of 2.79%, slightly down from June's 3.29%, healthcare rising by 2.15% from 2.06%, and housing and utilities increasing by 2.38% from 2.09%. On a month-to-month basis, consumer prices rose by 0.33% in July, marginally above the 0.32% increase observed in June.