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Construction companies demand payment of $44.33 mn for works executed a year ago

Workers of construction companies demand the payment of Bs 309 million ($44.33 mn) corresponding to works executed in the 55 municipalities of Santa Cruz. They peacefully took over the installations of the Association of Municipalities of Santa Cruz (Amdecruz) and declared a hunger strike, indefinitely, until the contracting entities comply with the payment of the debts. Some 10,000 families depend on the sector.

ATB and La Razon acquired with $16.1 mn that the government of Venezuela lent to Bolivia

A report by the State Financial Investigations Unit establishes that the Venezuelan government lent the Bolivian State, between 2008 and 2009, $16.1 million through the Evo Cumple program. Then, $4.5 million were sent to Spain to accounts of the PRISA group, through the company Flaba Trading, which belongs to Marcelo Hurtado, for the acquisition of La Razón-Extra. The other $10.02 million were sent to accounts in the United States in the name of Jordán Silva Tugues, assistant to the Venezuelan Chavista businessman Carlos Gill, for the acquisition of ATB. The shares ended up in private hands: Marcelo Hurtado and Carlos Gill.

Electric companies ask for a fund of $143.47 mn for financial impairment

The generation and distribution companies of the electric industry, associated to the Bolivian Chamber of Electricity (CBE), propose to the Government the constitution of reserve trust of Bs 1 billion ($143.47 mn) to support the economic effect of the deferral of payment of electric energy bills during the confinement by Covid-19. The deferral of payments for April, May and June transactions in the wholesale electricity market exceeds Bs 955 million ($137 mn).

Fires affect 47% of protected areas in Santa Cruz

According to the report of the Government of Santa Cruz, there are 16 fires in the whole department, in the Copaibo Municipal Reserve it is 30 days in a national emergency because the region suffers from a 64% of high and very extreme risk. Forty-seven per cent of the protected natural areas suffer from fires, 42% correspond to land for agro-silvopastoral use, 9% are land for extensive agricultural use, and 1% are land for restricted, intensive farming and forestry use.

Moody’s downgrades Bolivia’s ratings to B2, changes outlook to stable

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 reduced 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).

Bolivian gas revenues will fall by 36% in 2020 and 82% in 2025

An analysis prepared by the consulting firm Gas Energy Latin America (GELA), reflects that gas export revenues in 2019 reached 2.58 billion dollars, while fuel imports (diesel and gasoline) reached 1.42 billion. In 2020, revenues of 1.66 billion expected and expenditures of 558 million, a 36% reduction in the value of sales compared to 2019. In 2025, considering an average oil price of $45 per barrel, revenues from gas sales are projected at $465 million and expenditures from fuel imports at $1.02 billion. A deep reactivation of the sector is proposed, especially in exploration to reactivate gas and oil production. He highlights the potential of the country but considers that the tax system, the structure and the way YPFB organize require reform.

Milestone in wine industry with production of singani with 67k grape concentration per bottle

The project of singani Herencia was born in 2008. The enologists discovered that the traditional process of producing singani could be improved not only thanks to the technology incorporated but also thanks to how they make base wine for the distillate. They used 67 kilos of Muscat of Alexandria grapes, using only the core of the cut from the heart of the distillation. Also, it needs to rest for ten years in stainless steel tanks to achieve its excellent organoleptic characteristics. This characteristic positions it as the purest product of the market. The first batch of Herencia has only 3,000 bottles.