Gabor Gurbacs, a strategic advisor at investment management firm VanEck, said El Salvador could follow in the footsteps of Singapore and become a financial center in the Americas.
“I often tell portfolio managers and asset allocators that El Salvador has the potential to become the Singapore of America,” Gulbacks said. explained In a post dated October 28th X.
Similar to Singapore’s achievements in the late 1900s, Gulbacks expects new capital investment and immigration to be the main drivers of El Salvador’s economic growth in the coming years.
His comments follow an Oct. 28 post by ABC and Bitcoin enthusiast Max Keizer titled “Move to #ElSalvador, the new land of freedom.”
Keizer, who now lives in El Salvador, listed Bitcoin (BTC) and the U.S. dollar’s legal tender status, the cleanup of crime in El Salvador, beautiful beaches, and delicious coffee as the main reasons why this Central American country should be on everyone’s radar. radar.
I often tell portfolio managers and asset allocators that El Salvador has the potential to become the Singapore of America. I expect immigration, capital investment, and overall growth in El Salvador to continue to increase. https://t.co/CmT554x12j
— Gabor Gurbacs (@gaborgurbacs) October 28, 2023
El Salvador’s status as an emerging economy became even more prominent with the appointment of Nayib Bukele as President of El Salvador in June 2019.
El Salvador’s sovereign bonds outperformed many other emerging markets in 2023, returning an eye-popping 70% through August 2023, attracting the attention of investment managers such as JPMorgan Chase and Eaton Vance.
Fiats are here @JPMorgan Said El Salvador is finally “getting some honors.”
They are catching up.
Soon it will become: “El Salvador bonds are now investment grade.”
you will see pic.twitter.com/6Z1r7iS9M4
— Nayib Bukele (@nayibukele) May 9, 2023
Bukele and the El Salvadoran government designated Bitcoin as legal tender in September 2021 and launched Chivo Wallet, a Bitcoin custodial wallet for all Salvadorans, in the same week.
El Salvador has also used its volcanic resources to power Bitcoin mining startup Volcano Energy, which launched in June with a $1 billion investment. Kaiser serves as executive chairman of the company.
Its first mining pool was launched in October following a partnership with Bitcoin miner Luxor Technology.
related: El Salvador’s Bitcoin Strategy Evolves Ahead of 2022 Bear Market
El Salvador appointed Dr. Saifedean Ammous, author of “Bitcoin Standard”, as economic adviser to the National Bitcoin Office in May. The country plans to accumulate Bitcoin as a strategy to clear its debt over the next five years.
Bukele also made a bold move in April to eliminate all taxes on technological innovation, which could attract more entrepreneurs and foreign capital to the country.
Magazine: What it’s actually like to use Bitcoin in El Salvador
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