El Salvador Reaches Technical Agreement with the IMF to Strengthen the Economy

The government of President Nayib Bukele has reached a technical agreement with the International Monetary Fund (IMF) for a 40-month program under the Extended Fund Facility (EFF). This program will provide the country with access to approximately $1.4 billion, subject to the approval of the IMF’s Executive Board, to address balance of payments needs and support key economic reforms.

Furthermore, the program is expected to attract additional support from the World Bank, the Inter-American Development Bank, and other regional institutions, totaling more than $3.5 billion in financing over the program period. This will strengthen efforts to ensure fiscal stability, promote inclusive economic growth, and protect the most vulnerable.

The Salvadoran economy continues to show resilience, driven by tourism, remittances, and a notable improvement in security. Meanwhile, inflation has decreased and the current account deficit continues to narrow, amid responsible management of public finances.

The agreement also includes commitments to improve fiscal transparency, combat corruption, and strengthen digital asset regulation, ensuring a solid and sustainable economic framework for the coming years. With this progress, the Bukele administration reaffirms its commitment to inclusive and responsible economic growth, consolidating confidence in international markets.