The construction sector fell 50.95% in the first half of the year due to the Covid-19

The construction and mineral sectors were the most affected by the Covid-19 pandemic in the first half of this year, falling by 50.95% and 38.56% respectively. The National Institute of Statistics indicated that the only sectors that grew were communication (6.14%) due to the increase in the use of the internet, and agriculture (1.53%) due to the good behavior of livestock and non-industrial agricultural activity.

Bank defaults reach $469 million in August

Bank arrears as of August 31, 2020 reached $469 billion, exceeding the arrears registered in 2019, according to the National Banks Association (ASOBAN). This default is a consequence of the impact of Covid-19 on the country. ASOBAN also reported that the number of accounts up to August 2020 reached 11,175,468.

Loans to the productive sector increased by 5% annually in August

Loans to the productive sector increased by 5% between August 2019 and August this year, according to the Financial System Supervisory Authority (ASFI). Loans in August reached Bs.83.99 billion ($12.19 billion), BS.4.04 billion ($587.45 million) more than in the same period in 2019. The manufacturing industry received 36.1% of the loans, followed by the construction sector (25%), agriculture and livestock (24.2%) and tourism (8.4%).

Huanuni mining company records $15mn deficit

The Huanuni Mining Company (EMH) has a deficit of at least $15 million, as a result of the paralysis of production for two months due to the coronavirus pandemic, and the impossibility of marketing its tin concentrates freely. The mining company can only sell to the state-owned Metalúrgica de Vinto, which also has financial problems.

5,000 small producers at risk due to falling sugar prices on the local market

The oversupply of sugar and price competition in the local market brought down sugar prices, currently at Bs.110-120 ($15.96 - $17.41) per quintal. This situation has put at least 5,000 small sugarcane growers in Santa Cruz at risk of disappearing and losing their patrimony. Sugarcane producers have proposed the Government to allow 30% of this year's production to be exported in order to alleviate the situation.

Bolivia election: Exit polls suggest win for Luis Arce with more than 50%

Exit polls suggest socialist candidate Luis Arce, an ally of former President Evo Morales, is set to win Bolivia's presidential election. Exit polls carried out by the Jubileo research institution gave Luis Arce of the Mas party 53% of the votes, followed by centrist candidate Carlos Mesa of the Citizens' Community alliance with 30.8%. A quick-count by pollsters Ciesmori suggested Mr Arce had won with 52.4%, trailed by Mr Mesa with 31.5%.

Bolivia’s Central Bank injected $3.59 billion into the economy

The former president of the Central Bank of Bolivia, Guillermo Aponte, said in an interview that the institution adopted eight monetary policy measures that allowed it to inject Bs. 24.77 billion ($3.59 billion), equivalent to 10% of the GDP, into the economy. The measures allowed for maintaining the liquidity of the financial system and helped to channel credits, in the midst of the crisis derived from the impact of Covid-19.

Chambers of Industry and Commerce of Cochabamba merge into one entity

With the support of its members, the Chambers of Commerce and Services and the Department of Industry of Cochabamba consolidated their institutional merger. The nascent Chamber of Industry, Commerce and Services of Cochabamba, will have as president Ramon Daza and the vice president will be in charge of Juan Carlos Viscarra.The new entity will have nearly 1,000 member companies.

With an investment of $18 mn, ENDE Transmission begins electrical interconnection to Bermejo

The city of Bermejo, on the border with Argentina, will be incorporated into the National Interconnected System (SIN) until February 2022 with the execution of the 115 Kv transmission line from La Angostura (Tarija). The interconnection, of 145 kilometres in length, is in charge of ENDE Transmission, a subsidiary of the National Electricity Company (ENDE) which is investing more than $18 million.