Business people in Chuquisaca doubt the projection of the Economic Commission for Latin America and the Caribbean (ECLAC), which predicted a 5% drop in Bolivia’s Gross Domestic Product (GDP). Essential sectors in the production chain such as the construction sector paralyzed despite the efforts of the Government to create jobs in this area and recalled that tourism paralyzed.
The Government launched this Thursday the so-called “credit 1, 2, 3”, for entrepreneurs and individual entrepreneurs, with the interest of 3%, and $120 million. A natural person can apply for credits of between Bs 1,000 ($143.67) and Bs 64,000 ($9,195), micro-entrepreneurs and business people can get up to Bs 350,000 ($50,287.36). The resources come from the reduction of legal reserve limits of financial entities and could allow liquidity of Bs 3,500 million ($502.87 mn).
The Economic Commission for Latin America and the Caribbean (ECLAC) forecasts that extreme poverty in the country will reach 16.8% of the population, according to data from the National Institute of Statistics, last year the indicator stood at 12.9%. By the end of the year, about 453,000 more Bolivians will have fallen into extreme poverty.
The national government and the Santa Cruz Chamber of Construction (Cadecocruz), signed this Thursday an inter-institutional agreement to generate a minimum of 11 thousand jobs that will be subsidized by the State through a loan from the Inter-American Development Bank (IDB). The objective is to intermediate and generate employment opportunities in the next three to six months with a budget of at least $us. 19 million.
The recovery period of the oil and gas sector both in Bolivia and globally will be at least one year, during which time the demand for transport will return to normal after the coronavirus pandemic. Despite this trend, Bolivia has a still complex scenario, as in 2020 it will have a drop in its gas sales revenue of approximately 40%, and in 2021 it will have a lower production capacity.