El Salvador has the potential to become the “Singapore of the Americas,” says fund management titan VanEck, with more than $76 billion in assets under management.El Salvador’s growth is similar to that of Singapore...
El Salvador has the potential to become the “Singapore of the Americas,” says fund management titan VanEck, with more than $76 billion in assets under management.
El Salvador’s growth is similar to that of Singapore in the late 1990s when that city state’s economy grew by almost 13% annually between 1986 and 1996, said director of digital assets strategy Gabor Gurbacs in a tweet.
“I expect continued increase in immigration to, capital investment in, and overall growth in El Salvador,” he said. “I say often to portfolio managers and asset allocators that El Salvador has the potential to become the Singapore of the Americas.”
Thrilled, honored and excited to start working with the Bitcoin Office in the first country to adopt a bitcoin standard! https://t.co/KsczRwFIh5
— Saifedean Ammous (@saifedean) May 30, 2023
Singapore rivals Hong Kong as Asia’s leading financial centre and also is adopting a relatively friendly attitude towards the crypto industry.
Gurbacs’ remarks came in response to an X post by Bitcoin bull Mark Keiser, who termed El Salvador “The New Land of the Free.”
I say often to portfolio managers and asset allocators that El Salvador has the potential to become the Singapore of the Americas. I expect continued increase in immigration to, capital investment in and overall growth in El Salvador. https://t.co/CmT554x12j
— Gabor Gurbacs (@gaborgurbacs) October 28, 2023
Keiser listed having Bitcoin and USD as legal tender, reduced crime rates, great beaches, great weather, and great coffee among the reasons to move to El Salvador.
El Salvador Sways Wall Street
El Salvador’s growth is evident in the 70% return on its dollar bond in 2023. The growth is attracting Wall Street giants such as JPMorgan, PGIM Fixed, and Eaton Vance.
I really, really want to say “I told you so” 🤐 https://t.co/dSkcKcgsMo
— Nayib Bukele (@nayibbukele) August 15, 2023
Wall Street’s optimistic outlook on El Salvador starkly contrasts when the country first adopted Bitcoin as legal tender in 2021. The decision triggered anxiety around the country’s Bitcoin bonds.
Earlier this year, El Salvador paid its $800 million debt in full within the due maturing period, raising confidence in the bonds. At the time, President Bukele said the bond’s performance had proven the critics wrong.
The country has continued to push for Bitcoin’s adoption. It removed all taxes on technology innovations in April to attract entrepreneurs and foreign capital. It later appointed Saifedean Ammous, who authored “The Bitcoin Standard,” as an economic advisor to the National Bitcoin Office.
Thrilled, honored and excited to start working with the Bitcoin Office in the first country to adopt a bitcoin standard! https://t.co/KsczRwFIh5
— Saifedean Ammous (@saifedean) May 30, 2023
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