NDF and the Inter-American Development Bank (IDB) will finance support for the preparation and implementation of the New Linear Park between La Paz and El Alto in Bolivia. NDF has approved a booster grant of EUR 500,000 that will contribute to the preparatory studies and technical assistance as part of the preparations of a new major IDB-supported investment program Parque Lineal entre La Paz y El Alto - Thakhi Tantasia. This investment program will support the two cities in adaptation and mitigation efforts related to climate change impacts. Both cities are confronting increasing challenges due to rapid urbanisation and high vulnerability to climate change.
The collapse of crude oil and petroleum product prices will weigh on natural gas production in Bolivia. We have revised our dry natural gas production forecast for 2020 to 15.44bcm, a decline of 5.6% y-o-y based on falling domestic demand and expected lower exports to Brazil and Argentina. A possible slowdown in natural gas infrastructure projects in Brazil and Argentina would support steady demand for Bolivian gas, which will help counter declines in natural gas exports over the medium term.
All the bonds and service payments that the government will pay, some of which were extended on Tuesday by President Jeanine Añez, will involve the disbursement of a global figure of some 4.22 billion Bolivians, ($600 million). It is equivalent to approximately 1.5% of GDP.
The latest report from the Central Bank of Bolivia (BCB) showed that up to December 31, 2019, the public external debt balance reached US$ 11,267.6 million. Despite this, the government is managing loans from five international organizations to confront COVID-19.
The Government of Bolivia turned to the International Monetary Fund (IMF) for a concessional credit of 320 million dollars and to the World Bank (WB) to access other resources and finance the payment of the bonds, although it did not detail which ones. It estimates that more than 4 billion bolivianos ($575 million) will be needed for the bonuses created.
The U.S. administration, through its State Department and the Agency for International Development (USAID), announced the cooperation of 5.1 million Bolivians ($750,000) to increase the diagnostic capacity of COVID-19 and improve the control of the epidemic in Bolivia.