Economic Overview: Challenges and Opportunities

Economist Gustavo Vélez stated that “Puerto Rico is growing stronger for the future.” In a recent meeting with business owners, Vélez provided an overview of Puerto Rico’s economic outlook, highlighting significant achievements and a promising path forward with great opportunities, if action is taken with agility and strategic vision.

During his presentation, “Puerto Rico’s Economic Future: Key Aspects for 2025,” Vélez emphasized that the island has experienced a period of unprecedented economic growth since 2020, driven by the influx of federal funds, a rebound in employment, and the vibrancy of key productive sectors.

The most notable advances include:

• The Gross National Product increased from $70 billion in 2020 to $85 billion in 2024.
• 200,000 new jobs were created.
• The population stabilized at 3.2 million.
• Tourism has doubled its impact, attracting 6 million visitors annually.
• The central government emerged from bankruptcy and restructured a significant portion of its debt.

These indicators reflect both the resilience of the private sector and the island’s capacity to adapt in the face of historical challenges. According to Vélez, “the economy has grown, and we are now entering a period of normalization with significant challenges, but also with strategic opportunities to sustain that growth.”

The challenges that must be addressed urgently include transforming the energy system, enhancing the agility of reconstruction project execution, and continuing to strengthen the investment climate.

Despite these challenges, the core message remains clear: Puerto Rico has a unique opportunity to establish a foundation for sustainable growth. If allocated funds are utilized effectively and essential reforms are implemented, the island could sustain its growth well into the next decade.

To learn more about the data and projections shared by Vélez, please view his analysis here: Download the presentation, available only in Spanish.

At Popular, we reaffirm our commitment to supporting business owners during this crucial time in our economic history. Click here to explore tools, programs, and products available to assist you at any stage of your business.

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