Where is it Easiest to Do Business in Central America? The 2025 Global Business Complexity Index Ranking

In today’s business environment, where efficiency and simplification are key to investment and growth, it is essential to know which countries are the most favorable to operate in. Every year, the Global Business Complexity Index (GBCI), compiled by TMF Group, provides a comprehensive view of the ease or difficulty of doing business in 79 jurisdictions worldwide.

This 2025 report brings interesting movements in Central America’s ranking. The most notable highlight: Honduras has positioned itself as the least complex country in the region to do business, making significant strides in its regulatory framework and digital processes.

📊 What Does This Index Measure?

The GBCI analyzes over 300 indicators affecting how businesses operate internationally, including accounting, fiscal, regulatory, and labor-related aspects. The higher the position in the ranking, the greater the complexity. Therefore, a lower position equals a more favorable business environment.

🔎 Central America Ranking in 2025

Here is a summary of the performance of Central American countries, comparing their current position with last year’s, and highlighting the most relevant advances or setbacks:

Country	Ranking 2025	Ranking 2024	Change	Key Comment
Panama	42	39	+3	Slight increase in complexity due to stricter regulations.
Guatemala	45	44	+1	Minor setback, still among the most complex.
El Salvador	46	50	-4	Improvement due to accounting and fiscal adjustments.
Nicaragua	50	53	-3	Progress with improvements in administrative efficiency.
Costa Rica	58	51	+7	Setback due to higher fiscal and bureaucratic demands.
Honduras	66	60	-6	Significant improvement, the least complex country in Central America.

Honduras: An Improvement Worth Noting

As a Honduran, I am thrilled to see the country climb six positions in the ranking, moving from 60th to 66th place. This improvement reflects the efforts made in key areas:

• Digitalization of fiscal and customs processes, such as the implementation of the "Paperless Customs" program.

• Electronic platforms for tax declaration submission and regulatory compliance.

• Administrative simplification, reducing time and costs for businesses.

These actions have enabled Honduras to become the most competitive country in Central America in terms of ease of doing business, even surpassing more developed economies in the region.

🧭 What Lessons Does This Ranking Leave?

This study not only allows us to see each country’s position but also invites us to reflect on the necessary reforms to improve the business climate in the region. While countries like Honduras, El Salvador, and Nicaragua show positive signs, others like Costa Rica and Guatemala may need to reconsider certain aspects to remain attractive to investors.

The GBCI 2025 delivers a clear lesson: business competitiveness does not depend solely on the size of the economy but on the willingness to simplify, digitalize, and modernize. Honduras stands as an example that, with vision and commitment, progress is possible.

From my perspective as a consultant and professional in financial and tax matters, these types of reports are key tools for strategic decision-making, both for local and foreign companies wishing to invest in Central America.

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For more information on how this innovation may affect your operation or investment in Honduras, the Galindo & Asociados team   the Galindo & Asociados team is at your disposal.

Carlos Galindo

Socio de Impuestos

carlos@galindoyasociados.com

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