Regulatory landscape of Artificial Intelligence in Central America

Currently, no country in Central America has passed specific legislation to regulate Artificial Intelligence (AI). However, this phenomenon is also repeated in Latin America and the rest of the world. Although it may seem disappointing, the potential applications of AI are advancing faster than our ability to anticipate regulations, so any premature attempt to regulate AI risks being insufficient in the short term. On the other hand, a more thoughtful implementation could take longer than public and private actors would like.

That being the case, is our region prepared to face the new legal challenges that await us without special legislation? To understand how other regions are addressing similar challenges, we can turn our attention to the European Union (EU).

In 2024, the EU’s Artificial Intelligence Regulation (AI Act) came into force, highlighting the classification based on associated risks according to the type of system. Thus, an assessment of the risks associated with the use of AI may be desirable. Knowing how AI systems are being used in the organization can help anticipate legal issues, since, although we do not have special legislation, there are rules applicable to certain cases. For example, image rights, the use of sensitive data, and copyright recognition are issues that are regulated in our region to a greater or lesser extent. All of the above may entail prohibitions, restrictions, or sanctions.

Likewise, it can be seen how the establishment of a framework of principles and values for the use of AI is positioned as a guiding element of the regulation. Principles such as accountability or transparency, human oversight, privacy, and non-discrimination are discussed. Human dignity, freedom of expression, and sustainability are also discussed, but without neglecting to promote innovation and technological and scientific development. These principles could eventually function (and are expected to function) as interpretive guidelines for authorities, companies, and technology developers, even in the absence of specialized legislation.

In this regard, it is worth mentioning that Costa Rica already has a National Artificial Intelligence Strategy that incorporates Guiding Principles and Cross-cutting Principles. Similarly, Panama is currently discussing Draft Bill No. 0016 of July 2, 2025, to regulate the use of AI. Chapter II of this bill establishes a series of “Guiding Principles, Fundamental Rights, and Values,” among which we can highlight Access to Justice and Freedom of Expression.

Although Guatemala, Honduras, El Salvador, and Nicaragua have not yet presented any regulatory material, the experiences of Costa Rica and Panama suggest that other countries in the region could follow the same regulatory line of “tropicalizing” the European case.

Taking the above into account, we can conclude that, although there is no specific legislation on AI, this should not be (and is not) a legal impediment to the implementation and use of this technology in Central America. We may find legal loopholes, but this does not mean that existing regulations cannot be applied. Therefore, rather than rushing to create new regulations, the challenge in Central America is to intelligently interpret, articulate, and update the existing legal framework, allowing AI to develop under a framework of legal certainty.