IDB and WB do not authorise use of $704 mn in loans for “Bond Against Hunger”

The World Bank (WB) and the Inter-American Development Bank (IDB) indicated that the resources provided to the Bolivian State cannot be used for other purposes that are not included in the loan contracts. The president of the Bolivian Assembly, Eva Copa, affirmed on Friday that the Bond against Hunger will be financed with the credits of the IDB and the WB, which total $704 million, but according to the IDB and the WB, these resources have not been assigned for this purpose.

Seed producers warn that only 45% of fields use certified varieties

The Association of Seed Producers (Asosemillas), stated that rice, soybean, corn and wheat crops with the use of certified seed do not exceed 45%, on average. According to Asosemillas’ calculations, about 55% of the agricultural fields in Santa Cruz, Beni and the Gran Chaco province of Tarija are planted with illegal seed that does not meet certification standards.

Exports exceed $4.2 billion up to August

Total exports from January to August 2020b reached $4.21 billion, $1.68 billion less than the same period in 2019, indicating a decrease of 28%. Imports from January to August reached $4.24 billion, 35% less than the same period in 2019. In the first eight months of 2020, the trade balance registered a deficit of $30 million. The structural problem with the trade deficit is that the country has few value-added products to export and increasingly needs to import a variety of inputs, machinery, and fuels.

Lack of rain aggravates fire situation, 17% of the damaged area is the forest

The panorama of the fires does not change in Santa Cruz. The last report of the Early Warning System of the Governor’s Office revealed that, to date, 17% of the area affected by fire corresponds to forests. Currently, throughout the department, there are still 23 active incidents in six municipalities of the Chiquitania. The situation aggravates by the fact that despite the forecast of rain, it did not reach the affected areas.

Decree consolidates right of indigenous people to own property

The Bolivian Government issued the Supreme Decree 4320, which consolidates the right for indigenous people to own property. The decree is a response to the demands of the original indigenous peasant organisations, which have been the ancestral owners of their lands. The INRA and the leaders of the indigenous ayllus (communities) will install technical working groups to reach a consensus on regulations to implement the decree.

CAF issued $750 million in bonds for Latin America’s economic revival

The Latin American Development Bank (CAF) has issued $750 million in bonds, maturing in five years, to promote Latin America’s economic revival. The issuance attended by 93 U.S. investors, mainly fund managers, public institutions, pension funds and commercial banks. The underwriting banks were Citi, Daiwa, Goldman Sachs and Nomura. CAF’s comprehensive strategy includes a regional emergency credit line of $2.5 billion to reinforce anticyclical economic measures.

BDP spent $130.2 mn to support employment and labour stability

To provide resources to companies and provide support to the payment of workers’ salaries; the Productive Development Bank (BDP) has spent the 100% of the Bs 900 million ($130.2 million) of the Emergency Plan to Support Employment and Labour Stability. The plan was created to support companies during the sanitary emergency due to the Covid-19 pandemic. The funds were placed in 12 financial institutions and to date have supported 3,000 companies.

73% of fires are on fiscal land and large properties

Seventy-three per cent of the 552,142 hectares of forest and pastureland burned by forest fires in the department of Santa Cruz as of September 15, 2020, correspond to public lands and large agricultural properties. Again, the Chiquitania region is the most affected. The work of the State to protect and control fiscal lands is questioned since legally there should be no human settlements or fires in these places. However, they are appropriated by groups who are starting to burn in the face of the national government’s permissiveness.