Registration process for foreign agents begins in El Salvador

inscripcion el salvador

The Ministry of the Interior of El Salvador has launched the registration process for the new Foreign Agents Registry (RAEX), in compliance with the Foreign Agents Law, which is already in force. Individuals or legal entities subject to this regulation have 90 days to register, with the deadline set for September 4, 2025. 

According to the law, foreign agents are defined as “any natural or legal person, whether national or foreign, who carries out activities within the territory of El Salvador that serve the interests of, or are controlled or financed, directly or indirectlyby a foreign principal.” 

The legislation further defines foreign principals or directors as foreign individuals, representatives of foreign governments or political parties, international organizations, corporations, or other foreign legal entities established under the laws of another country or headquartered abroad. 

The Regulations of the Foreign Agents Law were published in the Official Gazette No. 101, Volume 447, on June 2, 2025. These regulations set forth the provisions for implementing the law. 

The regulation expressly excludes from the obligation to register with RAEX those companies or entities of a commercial nature, whether domestic or foreign, as well as individuals or legal entities engaged strictly in commercial activities or foreign investment-related ventures, provided that they adhere to the purposes established for their business. Otherwise, they will be required to register accordingly through RAEX. 

The law also imposes a 30% tax on funds received from abroad by foreign agents and establishes restrictions on their participation in political activities. 

As part of the registration process, the official form published by the Ministry of the Interior requires applicants to submit, under oath, detailed information regarding: 

  • Their nationality and type of activities carried out. 
  • Whether they receive foreign funding and the type of financier. 
  • Economic activity and sector (agriculture, industry, commerce, nonprofit services). 
  • Contact information and accounting records. 
  • Amount and method of foreign funding received, itemized by year and type (cash, in-kind, transfers, remittances, virtual currency, etc.). 
  • Country of origin of the funds. 
  • Information about donors and the use of donations. 
  • Projects executed, ongoing, or pending during the current year. 

Individuals and entities potentially subject to this regulation are advised to assess their legal standing in light of the new legislation and take appropriate action within the established timeframe. 

Author

David Claros Flores

David Claros Flores

Managing Partner

El Salvador