IMF Grants $138 Million to El Salvador Despite Bitcoin Waivers

The International Monetary Fund (IMF) has approved the immediate disbursement of $138 million to El Salvador under its $1.4 billion financing program.

The decision comes despite some performance criteria being missed, including on the Bitcoin accumulation front. The IMF granted waivers 'based on strong corrective measures and renewed commitments.'

El Salvador has made progress in financial sector reforms, fiscal transparency, AML/CFT reforms, and the transfer of majority ownership and control of the Chivo Bitcoin wallet to a private operator.

The government has vowed to continue reducing its involvement in Bitcoin-related activities, strengthening crypto-asset regulation and governance, and enhancing transparency regarding public-sector crypto-asset holdings.