Macroeconomy/Finance

$1.5 bn drop in gas export revenues will affect national GDP

Bolivia is currently facing the worst possible scenario for its oil revenues. Due to lower demand from Brazil and Argentina, the drop in oil prices and the effects of the coronavirus, gas export revenues will reduce in about $1.5 billion. That decline would have a net impact on the country’s economy of a loss of two points of gross national product (GNP) this year and a multiplier effect on governorships, municipalities and universities that would subtract royalty income from direct taxes on hydrocarbons.

Source: Nueva Economía