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).
Through Supreme Decree No. 4429, the Government authorised a capital contribution of Bs 37,475,444 to the Bolivian state-owned aviation company (BoA). The disbursement of the amount will be subject to the availability of the National Treasury (TGN).
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.
The Central Bank of Bolivia (BCB) assured that the government would maintain the "immobility and stability of the exchange rate" to ensure the stability of the economy and to provide security to Bolivian families. It also reported an increase in public investment of Bs 27.516 million ($3.95 mn).
The Senate on Thursday passed a law that will return 5% of all invoiced purchases made by Bolivians with income up to Bs 9,000 ($1,291), which must register with the National Tax Service (SIN). On the other hand, it returned to deputies with modifications the law of the Tax on Large Fortunes due to differences over the time of application.
The government on Wednesday appointed Ronny Alexander Balderrama as the new Executive Director General of the Airports and Auxiliary Air Navigation Services Administration (AASANA). The new authority has the mission to reactivate as a matter of priority the technical study carried out at AASANA for the installation of radars to detect aircraft with illegal cargo.
Small and medium-sized farmers will be the most affected by the return of the quota policy for exports of non-traditional products. Throughout the department of Santa Cruz, there are 90,000 small and medium-sized producers living from agriculture. Of this number, 75% (67,500) engaged in soybean cultivation, one of the most affected by the restrictions.
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.
The former Bolivian ambassador to the UN and Evo Morales' confidant, Sacha Llorenti, was elected as the Secretary-General of ALBA-TCP.
The Government determined the abrogation of Supreme Decrees 4139 and 4181, which allegedly put Bolivia's food security at risk. According to the Minister of Economy, Marcelo Montenegro, both norms threatened the food security of the Bolivian population.