Moody’s Investors Service (“Moody’s”) has today downgraded the Government of Bolivia’s local and foreign-currency issuer and senior unsecured debt ratings to B2 from B1 and changed the outlook to stable from negative. The decision reflects: (1) the material erosion of fiscal and foreign exchange reserve buffers; and (2) medium-term prospects for ‘sreduced economic growth, lower government revenue generation and weaker foreign exchange earnings in a context of relatively weak hydrocarbon sector demand and persistent policy uncertainty. The stable outlook reflects that, at the B2 rating level, risks to Bolivia’s credit profile are balanced. Concurrently, Moody’s lowered Bolivia’s long-term foreign-currency (FC) bond ceiling to B1 from Ba3, its long-term FC deposit ceiling to B3 from B2, and its local currency bond and deposit ceilings to Ba3 from Ba2. The short-term foreign-currency bond ceiling and the short-term foreign-currency bank deposit ceiling remain unchanged at Not Prime (NP).