The analysis of deformation dynamics in Guatemala city and its surrounding region presented in this paper holds significant relevance due to the high vulnerability of this area to natural disasters, combined with its rapid urbanization, similar to most Central American cities, contrasting with a lack of InSAR and deformation studies in the region. A total of 226 SAR images from Sentinel-1 A and B satellites in both ascending and descending geometries were processed with the Persistent Scatterer Interferometry (PSI) technique employing the SNAP-StaMPS integrated processing chain. The study area encompasses the Metropolitan Region of Guatemala, which is characterized by a diverse and active geological framework, with a historical record of earthquakes, intense groundwater extraction, and local subsidence phenomena, causing fissures and sinkholes. Four active areas were identified in the study area, each covering more than 50 hectares, with subsidence velocities greater than 10 mm/yr. This study provides valuable insights into fostering the sustainable development of this region by identifying deformation patterns, characterizing main active areas, and evaluating associated risks for disaster management and prevention. The results can also aid informed decision-making processes and guide urban planning and resource management strategies in other Central American countries. The application of InSAR studies is crucial for improving safety and sustainability in urban environments and natural resource management in vulnerable regions.