The World Bank started to provide financial and technical support Bolivia face coronavirus disease, under an emergency component of an active financing ($300 mn), aimed at the strengthening of country's health system. The support, totaling US$ 20 million, is focused on attending the immediate and short-term priorities of the health system, including technical assistance to counteract the growth of the virus outbreak in the country.
We are reducing our 2020 zinc, silver, tin and lead mine production forecasts for Bolivia (between 1.5-3.0% y-o-y growth to between a 1.0-2.4% y-o-y contraction) on the back of announcements by miners to suspend operations in compliance with government measures.
Pork production has decreased by 67% since the emergency began. Also, there has been a drastic drop in producer prices, reduced by 50%. The production dropped from 90,000 tons of meat per month to less than 30,000. The cost of production is between Bs 9 and Bs 10 per kilogram, but the market is only paying Bs 5. Most producers have chosen to sell directly to the consumer by phone orders, at Bs 15.
According to the National Chamber of Industries, 97% of the country's factories have stopped their operations. Thirty-five thousand factories are operating in Bolivia, but only 1,300 have been working since the quarantine took place. This group includes micro and small production units.
The National Customs Office anticipated that it would collect 30% of the annual revenue expected for 2020, due to the health emergency caused by the coronavirus. Bolivia will feel the effect in the first half of the year.