Imports of diesel oil, premium fuel and lubricants grew from $115 million in 2001 to $1,629 million in 2019, affecting the trade balance, public finances and the fiscal deficit. Hydrocarbon subsidies increased from $74 million in 2006 to $794 million in 2019 with a tendency to continue rising until the end of the current administration.
Through Supreme Decree 4164 of February 27, 2020, the Government decided to lower the minimum portfolio levels that multiple banks must maintain for productive and social interest housing loans, from 60% to 50% of their loans and ordered SME banks to lower to 40% the minimum portfolio for loans to small, medium and micro-enterprises.
Bolivia will extend for five more years the contract that allows natural gas exports to Brazil on Friday, March 6 in Santa Cruz de la Sierra, thus ensuring the next five years in the sale of gas to the Brazilian market with a new price.
Yacimientos Petrolíferos Fiscales Bolivianos (YPFB) reported that in the last three months a total of $220 million was saved on diesel and gasoline imports, thanks to increased liquid production, low international prices and expansion of the biofuel program. The import of diesel allowed a saving of $120 million and the import of gasoline decreased by $100 million.
The economic austerity plan, through personnel optimisation, carried out by Yacimientos Petrolíferos Fiscales Bolivianos (YPFB Corporación) at the Rio Grande plant, and which will be extended to the Urea and Ammonia and Gran Chaco plants, provides for economic savings of at least Bs 100 million ($14 mn) in 2020.
Yacimientos Petrolíferos Fiscales Bolivianos (YPFB) will boost ethanol sales under the current administration and expects to reach the volumes agreed with the previous administration of 150 million litres. The company is investing to increase ethanol consumption in the domestic market, both in logistics and storage, the goal is to reach 12% of the market. After the purchase of the agreed volume is concluded, they will advance in the subscription of a new agreement for a higher amount.