IMF to provide aid despite El Salvador’s Bitcoin law, central bank prez affirms

Bitcoin [BTC] was widely recognized and accepted this year. However, El Salvador took it up a notch and decided to give the asset a legal status in the country. Not only did this spruce up the popularity of Bitcoin, but it also gave El Salvador the attention of the entire globe. Many were appalled by the government’s decision, one among them was the Internation Monetary Fund [IMF]. However, now it seems like IMF didn’t mind El Salvador’s Bitcoin law.

The Salvadorian government went on to accept Bitcoin in open arms. Giving it a legal status and urging businesses to accept the asset went on to attract crypto enthusiasts from all around the world into the country. The only problem was that the people of the region weren’t happy with this latest crypto-friendly law. Coercing businesses to accept Bitcoin was called out by many including the co-founder of the Ethereum network, Vitalik Buterin.

Previously, this law endured hate and angst from an array of entities. The IMF had even refrained from providing financial aid. Things were certainly changing and the president of the Central Reserve Bank of El Salvador, Douglas Rodriguez affirmed that the IMF wouldn’t cause any issue.

El Salvador to secure loan from IMF without any issues

As per Bloomberg’s latest report, El Salvador wouldn’t face a lot of issues seeking a loan from the IMF. The country has been yearning for a loan of $1.3 billion loan from the IMF. Speaking about the same, Rodriguez noted that the central bank viewed no risks surrounding the Bitcoin law and the loan facility.

The President of the Salvadorian central bank even went on to explain to the IMF that Bitcoin was merely a payment method. Yet, a potential bull run could spruce up the country’s economy by 9%, Rodriguez noted.

Previously, speaking about El Salvador’s crypto-friendly move, the spokesperson of IMF, Gerry Rice had stated,

“Adoption of bitcoin as legal tender raises a number of macroeconomic, financial and legal issues that require very careful analysis. We are following developments closely, and we’ll continue our consultations with the authorities.”

Sahana Kiran: Experienced Journalist with a demonstrated history of working in the online media industry. Skilled in Photography, Feature Writing, Journalism, Online Journalism, and Web Content Writing. Strong media and communication professional with a Bachelor of Arts - BA focused in Journalism