Gobierno de El Salvador defends the use of bitcoin by FMI advertisements

The President’s Governor Nayib Bukele defend the lunes the right to maintain bitcoin as the currency of legal exchange in El Salvador, pese a las advertencias del FMI to make it happen.

“No multilateral body should oblige to do anything, absolutely nothing. The states are sovereign states and make sovereign decisions about their public policies”, assured the Minister of Health, Alejandro Zelaya, on Channel 21 of local television.

Informing the passing of March and lying in a communiqué, the FMI insisted that the Salvadoran authorities “limit the amount of the ley bitcoin eliminating the quality of the legal exchange rate “.

In this information, the IMF’s executive directorate exhorted the government to salvage the use of bitcoin officially, citing commitments to “financial stability, financial integrity and consumer protection, as well as fiscal contingencies”.

For Zelaya, “it is false” that the FMI informant wants to “eliminate” the bitcoin as a legal tender amount, meaning that the plant “limits” its share.

In September 2021, El Salvador legalized bitcoin as one of its currencies, at the dollar level.

At the moment a bitcoin is equivalent to a 44,000 dollars. It pays its $ 61,000 contribution in October. Including, in November, Bukele initiated the construction of a public veterinarian with the generic strains.

Without embargo, the bitcoin cayo and is currently contributing to the 38,000 dollars.

The FMI also demonstrated, according to the statement “its preoccupation with the risks associated with the issuance of bitcoin bonuses”.

Pero Zelaya sostuvo ese plan seguía en pie.

“In the first 15 days of March we will hold a program with all the necessities for which it is issued. bono (bitcoin), estamos tomando todas las salvaguardas (…) “, explained Zelaya.

“There is regulation for this (issue of bonuses). He mediates all the risks and has worked on each of them to minimize”, aggregated.

Looking at the differences, according to Zelaya, El Salvador “continuing negotiations” with the IMF a agreed at 1,300 million dollars to sanitize its arcs and admit that bitcoin “is a factor of analysis and risk mitigation, as any one”.

Salvador is looking for an agreement on a fiscal adjustment equivalent to 4% of GDP for the next three years. It will be closed in September 2021.

“All indications are that the Fund has stated that the elimination of bitcoin as the legal exchange rate is a point of honor for the IMF, for the government to be able to negotiate an agreement with your institution”, considered in a recent article by the Economist Luis Membreño.



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