Artificial Intelligence law at El Salvador
El Salvador has recently enacted comprehensive legislation to regulate and promote artificial intelligence (AI) development, positioning itself as a leader in AI governance in Latin America.(El Salvador in English)
🇸🇻 Key Provisions of El Salvador's AI Law (Decree No. 234)
On February 26, 2025, El Salvador's Legislative Assembly approved the Law for the Promotion of Artificial Intelligence and Technologies (Decree No. 234), which includes several significant measures:(DPA)
Establishment of the National Artificial Intelligence Agency (ANIA): ANIA is an autonomous body under the Presidency responsible for overseeing AI development, issuing technical guidelines, and managing the National Registry of AI Development, Innovation, and Application. (DPA)
Intellectual Property Rights: The law grants exclusive ownership of patents, copyrights, trademarks, and trade secrets resulting from AI research and development conducted in El Salvador to the developing entity or individual. (DPA)
Legal Protections for Developers: Developers are shielded from liability for unintended consequences or errors arising from AI-generated outputs, provided they demonstrate reasonable efforts to ensure safety and ethical standards. (El Salvador in English)
Integration into Education: The law mandates the inclusion of AI education at all levels of the national curriculum, in collaboration with the Ministry of Education. (DPA)
Promotion of Open-Source AI: El Salvador is the first country to prioritize open-source AI development, offering legal certainty and protections for developers working with open-domain or proprietary data for non-commercial purposes. (Dinero)
🛡️ Alignment with Existing Legal Frameworks
The AI law complements and takes precedence over existing regulations:
Cybersecurity and Information Security Law: Enacted in November 2024, this law establishes the State Cybersecurity Agency (ACE) to oversee national cybersecurity efforts and enforce data protection standards. (Trade.gov)
Personal Data Protection Law: Also enacted in November 2024, this law regulates the collection, processing, and storage of personal data, ensuring individuals' privacy rights are upheld. (The Library of Congress)
In cases of conflict, the AI law takes precedence to facilitate AI development. (CryptoSlate)
🚀 Strategic Initiatives and Economic Incentives
El Salvador's approach includes:
AI Lab Establishment: A dedicated AI Lab will focus on applying AI to public services such as traffic management, water quality monitoring, and geothermal resource optimization. (El Salvador in English)
Tax Incentives: The Law for the Promotion of Innovation and Manufacture of Technology (approved in May 2023) offers a 15-year tax exemption for companies involved in AI development, including the elimination of income tax, capital gains tax, and customs duties. (Trade.gov)
🌐 Global Significance
El Salvador's AI law sets a precedent by providing a clear regulatory framework that fosters innovation while ensuring ethical standards and legal protections. Its emphasis on open-source development and integration into education positions the country as a forward-thinking leader in AI governance. (El Salvador in English)
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