Government instructs to capitalize 100% of bank profits

Through the Financial System Supervisory Authority (ASFI), the government ordered that Multiple Banks, SME Banks, Development Financial Institutions and Housing Financial Institutions capitalize 100% of the net profits they generated during this year to preserve the stability of the financial system. Banks will not be able to distribute their earnings for 2020, and this money will strengthen equity and channel more credit. According to official data from ASFI, the financial system's profits in November 2020 exceeded 1.145 billion bolivianos ($164.27 mn).

Government enacts Law on the Tax on Large Fortunes, the refund of VAT and Budget 2021

On Monday morning, the Government passed three laws: 1.The Tax on Large Fortunes (IGF) will be applied annually to those who have a wealth of more than Bs 30 million ($4.3 mn). 2.The Value Added Tax (Re-VAT) establishes a 5% cash refund for people who earn less than 9,000 Bolivianos ($1291.25). 3.General State Budget Law (PGE) which will prioritise public investment with $4.01 billion which, according to the Government, will help economic recovery.

Elmer Pozo becomes manager of SABSA

Elmer Pozo Oliva is the new general manager of Bolivian Airport Services (SABSA) and has the mission of fighting corruption in that state institution. Pozo Oliva is from Cochabamba and has a degree in Public Accounting, as well as a diploma in Tax Management and a Masters in Business Administration.