IMF approves $139 million disbursement to El Salvador, grants waiver for prior breach of limits on Bitcoin accumulation.

BlockBeats news, October 2, according to Reuters, the International Monetary Fund (IMF) approved a disbursement of 139 million US dollars to El Salvador, after the institution granted a waiver for the Salvadoran government's violation of conditions restricting further increases in Bitcoin holdings. The IMF Executive Board completed the second and third reviews of El Salvador's 1.4 billion US dollar Extended Fund Facility (EFF), allowing for the immediate release of these funds.

The IMF stated that El Salvador's economic performance has been better than expected, thanks to improved security conditions and enhanced investor confidence. The IMF said that some program performance criteria were not met, including indicators related to Bitcoin holdings. However, after El Salvador took strong corrective measures and reaffirmed its commitments, the IMF approved the relevant waiver.

In September, IMF staff said that documents provided by El Salvador showed that the Bitcoin added after the first review came from private donations, not public funds. The IMF said that El Salvador has also made progress in anti-money laundering measures, fiscal transparency, and the transfer of majority ownership and control of the state-owned digital wallet Chivo to a private operator.