El Salvador - Fiscal Sustainability and Resilience DPF with CAT DDO

active

The development objectives of Fiscal Sustainability and Resilience DPF with CAT DDO Program for El Salvador are : (i) To strengthen fiscal sustainability through improved fiscal management tools and spending efficiency; and (ii) To enhance resilience to natural disasters and climate change. The operation is closely aligned with the government’s strategy for inclusive and sustainable growth. El Salvador’s National Integrated Development Strategy 2023 (ENDI) aims to facilitate the effective implementation of economic and social development policies that accelerate progress toward achieving the Sustainable Development Goals by 2030. This strategy focuses on promoting an inclusive and integrated development model through 25 policy action areas organized into four pillars: (i) strengthening human capital; (ii) transforming and diversifying the production matrix; (iii) ensuring food and water security while protecting the biosphere; and (iv) fostering innovation, clean energy, and resilience. The operation is aligned with the priorities identified under the current FY23-27 CPF and the 2022 Systematic Country Diagnostic (SCD) update. This DPF reform program is consistent with the Maximizing Finance for Development (MFD) principles and is private capital enabling (PCE).