Yacimientos Petrolíferos Fiscales Bolivianos (YPFB) asked its Argentine counterpart for an advance of $100 million on account of the entire natural gas supply to send in July. YPFB requested the advancement because the country was in breach of contract by not declaring a guarantee from Banco Nación. The “default” does not imply a risk of natural gas supply to Argentina, although it reveals the country’s poor energy season.
The Asociación Accidental Tunari (AAT), which is executing the Cochabamba Metropolitan Train project, reported that the government owes it nearly 297 million bolivianos ($42.67 mn) in payroll and almost eight million ($1.15 mn) in interest. Additionally to this amount, Bs 330.6 million ($47.5 mn) have not yet invoiced for the progress of work as of December 2019. The debt caused the contract of the consortium formed by the companies JOCA from Spain, Molinari from Switzerland and the Bolivian State to be suspended due to default.
Construction entrepreneurs in Tarija are protesting to demand the payment of total debt of Bs 700 million ($100 mn), accumulated between the central government and subnational entities.
Construction activity fell by 48% in April 2020 compared to the same month in 2019, according to data from the INE’s Global Economic Activity Index (IGAE). Added to this critical situation are the debts that national and sub-national public entities have with the country’s construction companies, which border on Bs. 2.5 billion ($359.2 mn).
Without the credits requested to the Government, Amaszonas reduces the salary of its 520 workers by 50%
The airline paralyzed for 107 days with 99% of its activities stopped by the coronavirus pandemic. Before that, the company generated between 5 and 7 million dollars a month, but now its income has been reduced to 1%, so it cannot meet the payment of salaries, rents and other responsibilities.
Exports of non-traditional Cochabamba products fell by 38.43% between January and May 2020, compared to the same period in 2019, although they rose by 5% in value. This data, however, is altered by gold bars, without which the real percentage would be 2%. Items like wood, plastic and leather have been the most affected with falls of more than 50 per cent in value.
At least five drugs to treat Covid-19 have registered price increases of more than 50% in recent days and some cases up to 300%. Some pharmacies offer Ivermectin at Bs 60 per tablet ($8.6). The reference price of this drug published in May by Agemed is 8.45 bolivianos ($1.21) for a 3-milligram tablet and 14.7 ($2.11) for a 6-milligram tablet. Bolivia feels the impact due to the closing of the border and exports from other countries.
Between January and June, flights at the country’s three primary airports fell by 85% due to the pandemic, which is why Servicios Aeroportuarios Bolivianos (Sabsa) lost 78.5 million Bolivians ($11.32 million). It expects that until the end of the year, work will be 50% less than the period before the pandemic and until March 2021 operations will reach 80% of the level before COVID-19.
Banana exports were reduced by 50% due to low demand in the Argentine market, which is the leading buyer of the product. The payments for the product exported are delayed between 30 and 60 days, due to restrictions to buy dollars in Argentina. Source: Los Tiempos
Exports in the January-May quarter fell by 24% in value and 6% in volume compared to 2019. Hydrocarbon exports fell 9 per cent in value, despite a 3 per cent increase in volume. Minerals fell 36% in value and 44 per cent in size. Despite the fall, there are products whose export value grew, such as beef (191%), sugar (63%), sunflower and derivatives (88%) and ethyl alcohol (29%).