{"id":811134,"date":"2024-12-09T20:53:32","date_gmt":"2024-12-10T02:53:32","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2024\/12\/09\/el-salvador-to-change-bitcoin-plans-to-secure-1-3bn-imf-loan\/"},"modified":"2024-12-09T20:53:32","modified_gmt":"2024-12-10T02:53:32","slug":"el-salvador-to-change-bitcoin-plans-to-secure-1-3bn-imf-loan","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2024\/12\/09\/el-salvador-to-change-bitcoin-plans-to-secure-1-3bn-imf-loan\/","title":{"rendered":"El Salvador to change Bitcoin plans to secure $1.3bn IMF loan"},"content":{"rendered":"<div data-site=\"CoinJournal\">\n<div data-site=\"CoinJournal\">\n<picture><source  type=\"image\/webp\" media=\"(min-width: 750px)\"><source  type=\"image\/webp\"><source  type=\"image\/jpeg\" media=\"(min-width: 750px)\"><source  type=\"image\/jpeg\"><img decoding=\"async\" src=\"https:\/\/coinjournal.net\/wp-content\/uploads\/2023\/03\/1633351621032-d00c6ec3-8370-438d-bfa1-401999f9a104-5.png\" alt width=\"100%\" height=\"100%\">\n<\/picture>                    <\/div>\n<ul>\n<li aria-level=\"1\">El Salvador would also receive $1 billion in lending from the World Bank and $1 billion from the Inter-American Development Bank<\/li>\n<li aria-level=\"1\">Under the IMF agreement, El Salvador would change a legal requirement making businesses accept Bitcoin as payment<\/li>\n<li aria-level=\"1\">Since 2021, the IMF has been against El Salvador\u2019s Bitcoin Law, asking the government to \u201cnarrow its scope\u201d<\/li>\n<\/ul>\n<p>El Salvador is reportedly reducing its Bitcoin ambitions as it gets ready to receive a $1.3 billion loan from the International Monetary Fund (IMF).<\/p>\n<p>The <a href=\"https:\/\/www.ft.com\/content\/847cdb57-2d56-4259-ab8e-f95032efa259\" target=\"_blank\" rel=\"noopener\">Financial Times<\/a> reports that the Central American country, which was the <a href=\"https:\/\/coinjournal.net\/news\/el-salvador-buys-200-btc-amid-the-rollout-of-its-new-bitcoin-law\/\">first to accept Bitcoin as legal tender<\/a> in 2021, is expected to reach a deal in the next few weeks with El Salvador\u2019s President <a href=\"https:\/\/coinjournal.net\/search\/Nayib+Bukele\">Nayib Bukele\u2019s<\/a> government.<\/p>\n<p>The deal is also expected to unlock a further $1 billion in lending from the World Bank and $1 billion from the Inter-American Development Bank over the next few years.<\/p>\n<p>Under the proposed plans, <a href=\"https:\/\/coinjournal.net\/search\/el+salvador\">El Salvador<\/a> would change a legal requirement making businesses accept Bitcoin as payment, making it optional instead. The government would also reduce the budget deficit by 3.5% of GDP over three years through spending cuts and tax rises while boosting reserves from $11 billion to $15 billion.<\/p>\n<h2>IMF against El Salvador\u2019s Bitcoin adoption<\/h2>\n<p>Following El Salvador\u2019s adoption of Bitcoin in 2021, the IMF sent a <a href=\"https:\/\/www.imf.org\/en\/News\/Articles\/2021\/11\/22\/mcs-el-salvador-staff-concluding-statement-of-the-2021-article-iv-mission\" target=\"_blank\" rel=\"noopener\">statement<\/a> in November 2021 \u201crecommend[ing] narrowing the scope of the Bitcoin law\u201d while \u201cstrengthening the regulation and supervision of the new payment system.\u201d<\/p>\n<p>This was again called for in January 2022 when the IMF advised El Salvador to <a href=\"https:\/\/coinjournal.net\/news\/imf-wants-el-salvador-to-drop-bitcoin-as-legal-tender\/\">reconsider its decision on Bitcoin as the country\u2019s legal tender<\/a>. More recently, the IMF recommended El Salvador <a href=\"https:\/\/coinjournal.net\/news\/imf-recommends-el-salvador-to-limit-the-publics-exposure-to-bitcoin\/\">limit the public\u2019s exposure to Bitcoin<\/a>.<\/p>\n<p>Despite the advisories, El Salvador and its president remain committed to Bitcoin, going on to <a href=\"https:\/\/coinjournal.net\/news\/el-salvador-buys-the-dip-to-boost-government-coffers-with-500-btc\/\">buy more of the asset<\/a> during price dips.<\/p>\n<p>With <a href=\"https:\/\/coinjournal.net\/news\/bitcoin-hits-100k-for-the-first-time-as-bull-run-continues\/\">Bitcoin reaching $100,000<\/a> last week for the first time, Bukele posted a tweet on X, showcasing its Bitcoin balance was now worth more than <a href=\"https:\/\/x.com\/nayibbukele\/status\/1864506095131144278\">$600 million<\/a>.<\/p>\n<blockquote data-width=\"500\" data-dnt=\"true\">\n<p lang=\"zxx\" dir=\"ltr\"><a href=\"https:\/\/t.co\/QVvFbQ7woa\">https:\/\/t.co\/QVvFbQ7woa<\/a> <a href=\"https:\/\/t.co\/WiOAYg6Ztx\">pic.twitter.com\/WiOAYg6Ztx<\/a><\/p>\n<p>\u2014 Nayib Bukele (@nayibbukele) <a href=\"https:\/\/twitter.com\/nayibbukele\/status\/1864506095131144278?ref_src=twsrc%5Etfw\">December 5, 2024<\/a><\/p>\n<\/blockquote>\n<div>\n<hr>\n<h6>Share this article<\/h6>\n<hr>\n<h6>Categories<\/h6>\n<hr>\n<h6>Tags<\/h6>\n<\/p><\/div>\n<\/p><\/div>\n<p><a href=\"https:\/\/coinjournal.net\/news\/el-salvador-to-change-bitcoin-plans-to-secure-1-3bn-imf-loan\/\" class=\"button purchase\" rel=\"nofollow noopener\" target=\"_blank\">Read More<\/a><br \/>\n Rebecca Campbell<\/p>\n","protected":false},"excerpt":{"rendered":"<p>El Salvador would also receive $1 billion in lending from the World Bank and $1 billion from the Inter-American Development Bank Under the IMF agreement, El Salvador would change a legal requirement making businesses accept Bitcoin as payment Since 2021, the IMF has been against El Salvador\u2019s Bitcoin Law, asking the government to \u201cnarrow its<\/p>\n","protected":false},"author":1,"featured_media":811135,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2509,3962],"tags":[],"class_list":{"0":"post-811134","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-change","8":"category-salvador"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/811134","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=811134"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/811134\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/811135"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=811134"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=811134"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=811134"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}