The International Monetary Fund completed its second and third reviews of El Salvador’s economic program last night, clearing an immediate disbursement of SDR 101.96 million, worth approximately $138 million. The release came after the IMF granted a waiver for El Salvador’s failure to meet a Bitcoin accumulation criterion. The program now indicates that no additional Bitcoin accumulation is expected apart from documented donations.
The decision allows IMF funding to continue while signaling a reduced role for the Salvadoran government in direct Bitcoin-related activities. The IMF board approved waivers for the unmet targets, citing corrective steps taken by the government and renewed commitments under the program.
The Extended Fund Facility was approved on February 26, 2025, for 40 months, providing access to roughly $1.4 billion. The latest disbursement followed completion of the second and third reviews. The IMF said several performance criteria were missed, including the requirement linked to Bitcoin accumulation, but the board approved waivers based on corrective measures and fresh commitments.
Economic activity in El Salvador has outperformed expectations, according to the IMF, supported by continued improvements in security and stronger investor confidence. Fiscal consolidation has broadly progressed in line with the program, while reserve and liquidity targets were comfortably achieved.
IMF projections show real GDP growth of 3.9% in 2025, followed by 4.5% growth in 2026. Gross international reserves are estimated at $4.814 billion for 2025 and are expected to rise to $5.346 billion in 2026, underscoring the program’s focus on rebuilding external financial buffers.
For El Salvador’s Bitcoin policy, the latest review sends a clear but limited signal. The country can remain within the IMF program despite missing the Bitcoin accumulation target, but continued government purchases are not identified as a program objective. The IMF specifically states that no further accumulation is envisaged beyond documented donations.
IMF Highlights Transparency as Bitcoin Moves Above $86,000
Dan Katz, the IMF’s First Deputy Managing Director and Chair, tied the Chivo transfer to the broader reduction in direct government participation in Bitcoin. He added that outstanding exposure and gaps in oversight still need to be addressed.
Bitcoin moved back above $86,000 today, extending a recovery that began toward the end of September. BTC is up around 3% over the past 24 hours after trading largely between $83,000 and $85,000 for much of the week.
The latest advance has put $87,000 back on traders’ radar as the next nearby hurdle. Bitcoin remains significantly below its record high, however, with market participants watching whether the rebound can extend beyond the recent range or encounter another rejection.
