# El Salvador and Neighbors

> El Salvador's borders, trade, and migration with Central America.
- Title: El Salvador and Neighbors · The Rio Times | Shortify
- Summary: El Salvador's borders, trade, and migration with Central America. El Salvador, with 6.3 million people and a $36.7 billion economy, trades with Guatemala…
- Keywords: el salvador, central america, guatemala, honduras, nicaragua, trade, remittances, borders, gulf of fonseca, international court of justice, news, world
- Source: The Rio Times — https://riotimesonline.com/el-salvador-in-central-america-explained-2026
- Author: Contributing Reporter
- Published: 2026-10-19T09:23:38+00:00
- Read time: 2 min
- Topics: el salvador, central america, guatemala, honduras, nicaragua, trade, remittances, borders, gulf of fonseca, international court of justice, news, world
## El Salvador's Size
El Salvador covers 21,040 square kilometres, the smallest area of any mainland country in Central America.
## Population and Economy
It had 6,365,503 people in 2025, against 18,687,881 in Guatemala, 11,005,850 in Honduras and 7,007,502 in Nicaragua. Its economy was worth US$36.7 billion that year.
## Dollar Economy
El Salvador has used the US dollar as legal tender since 1 January 2001, the central bank says.
## Guatemala Border
Guatemala is El Salvador's biggest neighbor, meeting at La Hachadura where the Paz River separates them.
## New Bridge
President Nayib Bukele inaugurated the General Manuel José Arce bridge over the Paz River on Wednesday 14 October 2026.
## Honduras Border
Honduras and El Salvador have a history of open dispute, including a short war from 14 July to 18 July 1969.
## Gulf of Fonseca
El Salvador has no land border with Nicaragua, but shares the Gulf of Fonseca with Honduras and Nicaragua.
## Trade with Neighbors
Guatemala bought US$1.26 billion of Salvadoran goods in 2025, up 2.5% on 2024, and Honduras US$1.08 billion.
## Remittances
Family remittances reached US$9.99 billion in 2025, up about 18% on 2024, the highest since 1991.
## International Court of Justice
On 11 September 1992 a chamber of the court gave the islands of Meanguera and Meanguerita to El Salvador and El Tigre to Honduras.
## Trifinio Region
Three governments manage a shared region called Plan Trifinio, covering 8 Salvadoran districts, 15 Guatemalan municipalities and 22 Honduran municipalities.
## Migration Trends
From January to September 2026, 699,002 Hondurans visited El Salvador, up 26.6% on the 552,325 of the same months of 2025.
## State Department Advisory
The State Department rated El Salvador at Level 1, exercise normal precautions, on 25 June 2026.
## Regional Security
Costa Rica opened a 5,100-place high-security prison, the CACCO, in Alajuela on Wednesday 14 October 2026.
## Trade and Remittances
El Salvador exported US$6.43 billion of goods in 2025, up 1.9% on 2024, with the United States buying US$2.09 billion.
## What It Means for US Readers
Investors should read El Salvador as a dollar economy tied to US demand and US remittances.
## Key takeaway

El Salvador, with 6.3 million people and a $36.7 billion economy, trades with Guatemala, Honduras, and Nicaragua while sending $9.99 billion in remittances.