El Salvador secures $138 million in IMF funding

The International Monetary Fund (IMF) has approved the immediate release of approximately $138 million to El Salvador. This disbursement follows the completion of the second and third reviews under the country’s 40-month Extended Fund Facility, a program valued at roughly $1.4 billion.

While El Salvador failed to meet certain agreed-upon program targets, the IMF Executive Board granted waivers for these missed milestones. The lender cited “strong corrective measures and renewed commitments” as the basis for the decision. A significant point of contention involved Bitcoin accumulation; however, the IMF noted that additional Bitcoin accumulation is not expected beyond documented donations.

The IMF is seeking increased transparency regarding the government’s cryptocurrency holdings, alongside improved regulation, supervision, and governance of crypto asset providers. The funding follows reports that the Salvadoran government accumulated 1,090 BTC, valued at approximately $100 million, which authorities stated came from private donations rather than government funds.