The Bolivian Institute of Foreign Trade (IBCE) reported yesterday that this 2020 would be remembered as one of the "worst" years for the local economy since 1953 due to the effects of the pandemic, which will cause a contraction in the gross domestic product (GDP) of 8.4%. This loss is some 3.5 billion dollars compared to 2019, the year in which the country recorded its slowest growth (2.2 per cent) in almost two decades. This GDP's drop is the worst in 67 years.
As of October this year, the internal debt of the General State Treasury (TGN) reached $9.322 billion; the main creditor is the Central Bank of Bolivia (BCB) with 54.6% of the total, followed by the bonds of the Pension Fund Administrators (AFP), auctioned in the financial market, with 41.2%. The remaining 4.2% corresponds to AFP bonds.
State-owned enterprises will receive an economic injection of at least $500 million, and public investment will reach $4 billion next year. By 2021 the official projection of Gross Domestic Product (GDP) growth is 4.8% and a fiscal deficit of 9.4%.
The Government announced the creation of an initial fund of more than 911 million bolivianos ($130.7 mn) that will allow the implementation of productive credits oriented to the reactivation and development of the national industry. The fund will allow the injection of capital to industries producing goods or services that substitute imports.
With data from the Eastern Chamber of Agriculture (CAO), cumulative agricultural exports as of October this year totalled $847.36 million, a 2.73% increase over 2019. The volume of exports fell by 5.53% compared to 2019.
The state-owned YPFB confirmed on Saturday that oil reserves of 13.7 million barrels of oil (MMbo) and 76.8 trillion cubic feet of natural gas (BCF), the latter equivalent to 0.78 trillion cubic feet (TCF), were found in the Yarará X-1 (YRA-X1) well, located in Yapacaní, Santa Cruz. However, there is no date for the start of production because the reservoir is still in the testing phase.