In a world prone to red candles, ELSL is in green. And even government officials don’t seem to believe any of this has anything to do with bitcoin law. The growth is not crazy, but the upward trend is obvious. Advances in tourism, private investment and construction are testament to El Salvador’s continued growth. However, the bitcoin network plays a bigger role in this story than ELSL officials believe.
And the bitcoinist is here to prove it.
ELSL received more than 500 thousand tourists in the first quarter of 2022
According to Salvador in French“In the first quarter of this year, El Salvador welcomed 521,000 tourists who left more than $352.7 million in revenue,” Central Reserve Bank President Douglas Rodriguez said in a television interview. That sounds like a lot, but how does it compare to other years? “This figure is 165% more than the country received in the same period in 2021, when 197,000 tourists entered and spent $235.6 million.”
The publication also quotes Douglas Rodriguez as saying:
“Tourism is becoming another source of additional income for the production of goods and services that the country has. The numbers confirm that the country is transforming, with security giving it the appeal that tourists need.”
Security is certainly an important factor, but does that mean that the fact that El Salvador is a bitcoin country doesn’t attract tourists? Bitcoin collects”From the ground“Bitcoin Tourist Reports for ELSL. And bitcoiners love to spend bitcoins, so they must have something to do with this “residual income”. And at ELSL they were spending the hardest currency in the world, not some flimsy colored paper.
BTC price chart for 06/04/2022 on EXMO | Source: BTC/USD on TradingView.com
Private investment reaches record highs in 2021
Given that the Bitcoin Law went into effect on September 7, 2021, it may not have much to do with these impressive investment numbers. However, can we claim that bitcoin had no impact? At that time, Salvador in French quotes “a report published by the Salvadoran Foundation for Economic and Social Development”. As it turns out, “private sector investment reached 18.4% of gross domestic product (GDP) in 2021, the highest since 1960.”
In total, “investments reached $5.291 million in 2021.” Again, how does this number compare to other years? Well, “an increase of $1.441 million over the previous year, when invested capital accumulated 15.7% of GDP.” The publication highlights three factors that have contributed to the increase in private investment:
- “The impact of the pandemic as some investments planned for 2020 had to be postponed until 2021.”
- “Recovery of exports, imports and remittances, which set records throughout the past year”
- “The impact of the delay in obtaining building permits, which has been paralyzed since 2017.”
The third seems to be quite influential. And good,…