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Economy / El Salvador

Firm Hand Threatens Centrist Rule

February 2010 | Political Risk Analysis

BMI View: Latest efforts to combat El Salvador's spiralling violent crime rates have sparked criticism from human rights groups, and are likely to place further pressure on President Maurico Funes's already strained relationship with his party. While the need to balance the demands of an increasingly polarised polity presents an immediate challenge to Funes's centrist instincts, in the longer-term we believe that the country's seemingly intractable position as a major centre of narco-trafficking is a greater threat to El Salvador's place on investor radar screens.

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