El Salvador Defies IMF Again With Fresh Bitcoin Purchase Following Loan Review
El Salvador purchased eight additional bitcoins, increasing its total holdings to nearly 6,200 BTC, valued at over $674 million. This acquisition occurred despite the IMF's recommendation to halt government crypto purchases under a $1.4 billion loan agreement. The IMF acknowledged El Salvador's progress in economic reforms and macroeconomic stability but reiterated its stance on limiting government bitcoin holdings. The country’s Bitcoin Office continues to make small daily purchases, operating outside the fiscal sector's constraints. Recent legal reforms have made Bitcoin optional rather than mandatory legal tender, aligning with IMF conditions while maintaining President Bukele's pro-Bitcoin narrative. The broader agreement with the IMF could unlock an additional $2 billion in financing to help manage El Salvador's public debt, which reached 85% of GDP last year.
