the data in Q11.1). The Morales government, however, also questioned or revoked specific international commitments when it regarded them as contradicting domestic norms (such as the 2009 constitution) and, thereby, the principle of self-determination. The rhetoric places environmental care above economic revenues, following the Andean cosmo-vision of living well (Buen Vivir). The overall polarization, which has increased in recent years, is reflected in the relations between societal groups. In terms of key indicators, health in Bolivia ranks nearly last among the Western Hemisphere countries. Public expenditure might moderately increase as authorities have considered investments in productive areas such as infrastructure, health and education. Foreign trade was deregulated after 1985 and further liberalized and diversified throughout the 1990s. This partially changed, however, under interim president ez: with an openly revanchist and elite-centered agenda as well as an aggressive and, in part, explicitly racist discourse, the ez government (unintentionally) managed to, once again, unite large parts of the indigenous population and the popular sectors behind the MAS. National resources, mainly natural gas and minerals will remain nationalized and the state-owned enterprises will continue to play a substantial role in the economy. Although the population growth rate is not expected to continue if anticipated declines in fertility occur, Bolivias population is likely to exceed 10 million by 2012 and be twice its current size by 2050. The National Program for Climate Change estimates that in less than 30 years, melting of the nearby glaciers will reduce water supply for La Paz city by 35% (Slunge and Jaldin, 2007). Generally speaking, the Arce government has clear aims of political and economic development, with a focus on socioeconomic issues. Still, in contrast to his predecessor, President Arce quickly approved a law that authorized $700 million of loans from the World Bank and the Inter-American Development Bank in order to fund the Bono Contra el Hambre, a one-time unconditional $145 cash transfer to a significant part of the population. Consequently, between now and 2020 both the working age population and women in childbearing age will grow faster and will become larger proportions of the total population. International reserves will continue to decline in 2022 (5.6 months of imports by the end of October 2021). Second, the regulation authority (ASFI) issued a resolution that mandated banks to reinvest all of their revenues from 2020. These clearly escape state control and influence state institutions and policies, but do not present themselves as political veto actors. Poverty is predicted to increase from 22% to 31%, as measured by the international poverty line of 5.5 international dollars a day (World Bank). View Homework Help - Coca Leaf.pptx from HUMS 113 at Ivy Tech Community College of Indiana. Generally speaking, however, the years under MAS rule have been characterized by significant increases in the participation of civil society organizations in agenda setting, policy formulation, deliberation and decision-making as well as policy implementation. The simple average of the MFN applied total tariffs in 2017 amounted to 11.8% (WTO). Surveys conducted in 2006 revealed that 71.4% of the population in the area know about Malaria, locally called Chujchu. Under the Morales government, Bolivia took its cause (once more) to the International Court of Justice (ICJ) in The Hague, claiming that Chile was obligated to enter negotiations with Bolivia on the matter at hand. Blood samples were sent to the Epidemiological Centre in La Paz to confirm the diagnosis (P. Vivax was positive). None of these interest groups dominate the rest, but power is not distributed equally. In response to the pandemic, two specific decisions have been taken that have worried the private sector. Since 2006, the MAS government relied especially on cash transfer programs, which are the principal mechanism of providing (limited) social security and fighting poverty. However, market entry for domestic and foreign companies can at times be very challenging due to a lack of transparency of the legal framework, a cumbersome legal system, and the prioritization of government decisions and public investments. Regarding party financing, several years ago MAS canceled state funding and there are no mechanisms to audit political party funds, or their sources. The central bank projects a low inflation rate for the year, in the range of 0.9% to 2.3%. At present, the local population identifies the mosquitoes as vectors of the disease. VERY HIGH RISK, globalEDGE - Your source for business knowledge, Michigan State Top. During the period under review, the dramatic transfers of political power in late 2019 and, again, in late 2020 make it virtually impossible to assess the potential long-term strategy of the political leadership. Reacting to the COVID-19 pandemic, the ez government obtained loan commitments from the International Monetary Fund (IMF), the Andean Development Corporation (CAF) and the World Bank. This coerced resignation of an elected president, at the suggestion of the leadership of the military, resulted in the assumption of the presidency by conservative vice president of the Senate, Jeanine ez, and had at least some coup-like features, even if it lacked an open breach of the constitutional order. In 2018, the most recent year for which Latinobarmetro data exists, 33% of the respondents expressed trust in the government (down from 38% in 2017, but far above the Latin American average of 22%). In addition, violent incidents during the political crisis of October and November 2019, as well as during the 2020 election campaign, show that groups exist on both sides of the political divide that are willing to use violence. In particular, the Morales government (2006 - 2019) has brought about a significant broadening of the range of civil society groups that have access to the political arena. Corruption is widespread and deeply rooted in Bolivia. However, as the twin deficits continued to expand, this policy became increasingly unsustainable. Additional measures included the temporary reduction (subsidy) of electricity and water tariffs, the prohibition of water, electricity and gas cuts during the quarantine, and the deferral of bank debt payments for the duration of the pandemic. By striking agreements with the interim government, the MAS and key social organizations later de facto accepted ez. Since the inauguration of President Arce in November 2020, no significant incidents have been reported. With its neighbors, Bolivia enjoys mostly cooperative and friendly relations, although the polarization between right- and left-wing governments in the region has generally undermined intra-regional cooperation (most notably in the context of UNASUR). Gross capital formation, which had risen to 22.2% of GDP by 2017, has now fallen to 19.9% (2019). Discuss this Theme with the experts on the Forum, The Association of Commonwealth Universities (ACU), who are members of the Adaptation Resilience Alliance (ARA), are, Dear Tapan Kanti Dey please have a look at Ecosystems for the Future online course (16 hours) and Building Climate, To celebrate and share the results of the 8+ years Sino-Swiss cooperation project Rehabilitation and management. Regarding the governments response to the COVID-19 pandemic, national and international human rights organizations heavily criticized a decree that temporarily imposed severe restrictions on the freedom of expression. The years under review (2019 to January 2021) have been highly turbulent, featuring two dramatic political about-turns and the COVID-19 pandemic, which has exacerbated an already difficult socioeconomic situation. The freedoms of assembly and association are constitutionally guaranteed and not restricted in principle. There is a broad range of interest groups that reflect the full array of diverse and partially competing social interests and values. Regarding indigenous justice systems, which are partially in tension with certain individual civil rights, the 2009 constitution gives clear priority to the right to life and defense along with other civil rights and guarantees. The rural population is represented at the regional and national level by a series of peasant (e.g., CSUTCB) and indigenous (movement) organizations (e.g., CIDOB and CONAMAQ). Bolivia | World Bank Development Indicators. Second, in April 2020, the Financial Regulation Authority approved several rules that obliged banks to defer payments for three months. The years between 2016 and 2019, however, saw a revival of the opposition, which got a major boost by the 2016 referendum, in which a narrow majority voted down the proposal to allow Morales to run for a fourth term in 2019. Feedstuff for animals (excluding unmilled cereals), Fixed vegetable oils and fats, crude, refined or fractionated 4.7, Information on Investment Strategy and Engagement Policy, USD 40.4bn (World ranking 94, World Bank 2021), 11.8mn (World ranking 79, World Bank 2021), 13.6%Petroleum, petroleum products and related materials, Gold, non-monetary (excluding gold ores and concentrates)21.7%, 4.9%Other industrial machinery and parts. These macroeconomic problems have been massively exacerbated by the pandemic and the measures taken by the ez government in order to contain the spread of the coronavirus. Under interim president ez, the same dynamics could be observed but with different political targets, with the MAS-leaning community radios particularly under pressure. There is no evidence that the COVID-19 pandemic has significantly affected either the sense of solidarity and trust or the self-organizational capacities within Bolivian society. The soils both in the highlands and the lowlands have little depth and are fragile, having more suitable conditions for forest vegetation cover rather than for intensive agriculture. But a veto from parliament prevented its actual use, and the economic and social policy measures in the end had to be funded domestically. However, the voters once again chose MAS and its policy in favour of indigenous communities. Based on Article 314 of the 2009 constitution, which prohibits private monopolies and oligopolies, the government created an office to supervise and control private companies and to regulate, promote and protect free competition. At the same time, governments have also used anti-corruption campaigns to selectively target political rivals. In terms of economic and social policies, the Morales government increased the role of the state in the economy. Unemployment (in WDI 2020 terms) increased from approximately 2% in 2014 to 3.5% in 2019 and 2020. This affects the adaptation mechanisms of communities that are directly and indirectly affected by mining operations. While not a unified political party but rather the political instrument of a number of powerful peasant organizations, the MAS is the only political force with a nationwide presence. A to G, Currency Inconvertibility and Transfer Restriction Risk. The modest (but exceptional) 2021 trade surplus might decrease due to lower regional demand for gas. Politically, it is therefore crucial that both the governing MAS party and the (fragmented) political opposition accept each other as legitimate competitors, respect existing institutional procedures and constraints, and that they try to solve existing differences through dialogue and negotiation. Despite his solid election victory, Mr. Arces popularity had declined steadily in the media polls (as of November 2021), with some protesting against his person, political corruption, and the detention (October 2021) of Ex-Interim President, Jeanine ez. Generally speaking, the severe political and social crisis that erupted after the 2019 elections, which was accompanied by two transfers of political power (from the MAS to the interim government led by ez, and back to the MAS), has harmed the efficient use of human, financial and organizational resources. Under the ez presidency, international human rights organizations charged the national police and the military with excessive use of force. This situation, exacerbated by the lack of security in land tenure and unequal land distribution, has been detrimental to the improvement of productivity in Bolivia. Limited administrative capabilities and resources, a lack of professionalism, politicization, inefficiency and corruption, all restrict the functioning of the judicial system, law enforcement and tax collection. For many years, Bolivias party system has been characterized by a high level of polarization between the MAS on the one hand, and the fragmented opposition on the other. Bolivian (s) Nationality Adjective. Given that the MAS, with its two-thirds majority in parliament, controlled the selection of candidates, the judges elected in the second judicial elections in 2017, like their predecessors elected in 2011, have been perceived as close to the government. Bolivias biomes are threatened through overgrazing, inadequate agricultural practices, tree felling and burning of forests, demographic pressures, inappropriate use of technology, and ecosystem use above their productive capacity and potential. While the government has not taken equity stakes or nationalized private companies to prevent bankruptcy, it has extended a loan of $37 million to the public airline BOA. Bolivia constitutes an entire country at risk of getting left behind because of a severe lack of reliable data and analysis. However, under the Morales government extreme poverty decreased from 38.2% in 2005 to 15.2% in 2018. A very uncertain political and economic outlook and a business environment with many troublesome weaknesses can have a significant impact on corporate payment behavior. With regard to land tenure, the constitution limits the right to private property by establishing an absolute limit of 5,000 hectares (which is not, however, applied to already existing agrarian property). The tourism sector will not be able to bring equilibrium to the balance of services, and expatriate remittances (3.3% of GDP) will not be sufficient to compensate, leaving the current account deficit to increase again. The bank capital to assets ratio has decreased consistently from 7.7% in 2012 to 6.7% in 2018 but saw a slight increase to 6.9% in 2019. According to Yale Universitys Environmental Performance Index (EPI), Bolivia has seen significant improvements over the last 20 years. Since the October 2020 elections, President Arce and his team have signaled their interest in depolarizing Bolivian society and politics. In response to this deep crisis of the judiciary, the new Arce government has initiated a reform process, which is conducted by Minister of Justice Ivn Lima. As a result, the degree of investment freedom as measured by the Index of Economic Freedom has worsened (from moderately unfree to repressed). The COVID-19 pandemic has not led to an enduring disruption in service provision. The forced resignation of Morales and the accession to office of interim president ez was celebrated by the heterogeneous camp of anti-MAS forces as a return to democracy after the alleged electoral fraud committed by the MAS. Throughout the country, a large number of self-organized groups, associations and organizations exist. As expected in capitalist societies, business associations benefit from their structural (investment) power. In office, Morales and his MAS party led a process of decisive political change that has included a profound reshaping of the countrys political system through constitutional reform as well as substantial change in economic and social policies. Regarding policy learning, continuities prevail. Yet the severe polarization of Bolivian politics and society persists to the present day and has only been reinforced by events since October 2019. Production has fallen in 2020, below the quantities promised for export. This has converted the country into the world leader in certified natural forests (CFV, 2008). The military has explicitly refused to consider coups (a regular practice until the early 1980s). In late 2019, the commission handed over more than 6,000 files with historical documents and testimonies of victims to the library of parliament and, in March 2020, submitted its final report to the Defensora del Pueblo. Since 1990, and in particular since 2006, indigenous access to public office has increased dramatically. The constitutional concept of Bolivia as a plurinational state may in part remain contested (e.g., with regard to the recognition and rights of indigenous nations and peoples vis--vis the Bolivian nation), but it is no longer actively challenged by any major group. In this context, the MAS governments neo-developmentalist modernization strategy that relied on the primary sector to promote state-led, socially inclusive development with high levels of public investment and an active social policy, became increasingly unsustainable. Between 1998 and 2006 new Malaria cases appeared sporadically in the area: 10 cases in 1999, 1 case in 2001, 2 in 2002 and 3 cases in 2005. Since 2002, the share of non-performing loans as a percentage of banks total gross loans has declined almost continuously, from 17.7% in 2006 to 1.6% in 2016, with a small increase to 1.9% in 2019. Bolivia, under ez, did not play a relevant role in international efforts to coordinate a response to the COVID-19 pandemic. Yet, significant political problems remain, including a high degree of political polarization and a serious crisis of the judiciary. But the latter, in and of themselves, are too weak to present a threat to Bolivian democracy. Paradoxically, however, its surprising loss of power in November 2019 triggered a partial renewal of the MAS and a certain reconnection with its constituencies. In 2020, the government announced that a comprehensive NDC was under consideration and that it would include broad commitments. Likewise, moderate poverty decreased from 60.6% in 2005 to 36.4% in 2017. Basic institutional conditions for market-based competition exist. Study Resources. This video features two countriesFijiandTimor-Lestethat are effectively scaling up Ecosystem-based Adaptation (EbA) actions through their National Adaptation Plan (NAP) processes. (2020) Absolute annual change in primary energy consumption. It quit trade negotiations with the United States and the European Union but continued to build joint cooperation frameworks with the Europeans (e.g., a 530 million program in spring 2018). Although some effects are clear, there is a lack of knowledge of the direct and indirect impacts of climate change on biodiversity, forestry resources and ecosystem services in the lowlands and the natural capacity of these ecosystems to adapt to climate change. After the elections of October 2019, serious allegations of electoral fraud provoked mass protests. The Morales government also introduced temporary restrictions (export quotas) on agricultural and agribusiness exports. According to ECLAC data, the gross public debt is expected to rise from 57.5% of GDP in 2019 to 64.9% in 2020. In particular, Arce has promised to return to the socially inclusive, resource-based and state-centered development model pursued by the Morales government, in which he served as minister of economy. Urban and rural: 70 percent of the population of Bolivia live in cities. In response to the COVID-19 pandemic, in March 2020 the interim government declared a national health emergency. However, since mid-2015, they have fallen as trade and account balances went into deficit due to plunging commodity prices and falling gas and oil production. This law not only modified privately-agreed contracts, but in doing so retroactively arguably also violated the constitution. This situation is stressing agricultural activities in the highlands and placing great pressure on water availability for consumption and energy generation for the western region of the country (MPD, 2007; Iwanciw, 2007). Climate change can threaten water quality as the concentration of pollutants increase in reduced water flow. Trust in specific political institutions is generally low. Bolivia. In 2007, tariffs of up to 40% were raised for several products, the maximum tariff the country can charge according to the bounded tariffs it has with WTO. According to the World Bank and the IMF, inflation has decreased consistently since 2012, reaching a historic low of 1.8% in 2019. But conflicts also characterize the relationship between explicitly indigenous organizations such as CIDOB and CONAMAQ, and more class-based organizations that represent peasants, including indigenous colonos. The management of the coronavirus crisis has been marred by serious corruption scandals, by poor administrative capacities, and by political controversies between the interim government and the MAS-controlled parliament. Social safety nets are fragmented and coverage, despite improvements, is far from universal and equally distributed. In cases of expropriation under the Morales government, appropriate compensation was not guaranteed by well-defined procedures and transparent criteria but emerged from negotiations. The new government has announced the provision of aid to the poorest households totalling USD 600 million (or 1.5% of GDP), as well as a plan to refund VAT to the poorest. In terms of international cooperation, its focus was on deepening intra-regional as well as south-south ties. developing countries. The influence that remains, in general, reflects the fact that as in any democracy embedded in a highly unequal, capitalist society social groups and actors that control economic resources have disproportionate political influence. Parliament also passed a bill for taxing the 150 wealthiest persons in the country, which was projected to generate approximately $14 million. Charges of torture leveled against the police and the military are not prosecuted. Moreover, temperature rise has caused a retreat of the Andean glaciers. State-owned Empresa Nacional de Telecomunicaciones (ENTEL) is the largest and has control of the infrastructure, including access to internet international cables. Bolivian society is characterized by an unusually broad and active range of civic associations. The 2009 constitution, drawing on indigenous principles, has enhanced the status of ecological concerns and broadened the legal basis for environmental policy. It has joined and ratified most existing international agreements and is in general compliant with most international norms. at Organized labor is represented by a broad range of trade-union organizations (some of them with long and entrenched traditions of political conflict, like the miners), including the national labor association (COB) as well as sectoral and regional federations. In 1998 the disease impacted oncommunities in non-endemic areas. In October 2018, however, Bolivias demand was rejected by the ICJ. Approval of the government similarly fell from 57% in 2017 to 47% in 2018. The corresponding law (Ley de Deslinde Jurisdiccional) is fairly restrictive with regard to the scope and limits of indigenous (community) justice. Bolivia is roughly the size of France and Spain combined with about 8 percent of their population (7.8 million in 1998). With regard to income inequality, the Gini index has continued to fall (with a slight setback in 2013) from 0.565 in 2007 to 0.422 in 2018 a reduction markedly above the Latin American average. the world bank published that income gas sales for bolivia fell from 4.85 percent to 1.52 percent of gdp in 2017, a trend that has since caused a trade deficit, which has been financed with public debt and net international reserves (nir)which have declined to less than half compared to 2014 levelsand that could trigger the devaluation of the In its first phase, the Morales government successfully broke the fierce opposition from the old political elite and, most notably, from conservative autonomy movements based in the southeastern lowland administrative departments. With these qualifications, the MAS government has set strategic priorities and maintained them for more than a decade. Bolivia's child mortality rate of 69 per 1,000 live births is the worst in South America. According to the International Monetary Fund (IMF), Bolivias financial system is generally considered to be solid and well capitalized, but there are risks related to credit growth, funding and credit concentration. Currently, the country as a whole, and the new government led by President Arce, face a series of challenges, three of which stand out. It has had differentiated effects given that, besides the deficient provision of public services, a vast share of the population is employed in informal work and lacks access to social security. Except for the MAS, Bolivian parties can, at best, count on regional or local organizational structures and/or social roots. There are significant imbalances between competitive export-oriented sectors (e.g., agribusiness), weak national industries and a huge informal and subsistence economy. These include formal checks and balances as exercised by subnational governments and through direct-democratic means, as well as the informal power exercised by social organizations and movements that monitor and balance the power of the central government. The Arce administration seems to be following the approach of the Morales government, which used to start with maximalist and often polarizing positions, only to shift later to a search for compromise and pragmatic solutions. The cases of Malaria outbreaks in the municipalities of Mocomoco, Ancoraimes, Batallas and Carabuco are vivid examples of the vulnerability of human health to climatic variability and extremes in the highlands. Personnel turnover is high at all levels. Since the late 1990s, however, indigenous and social movements increasingly challenged this elite-centered pacted democracy. In December 2005, a series of mass protests culminated in the election of Evo Morales who became the countrys first head of state of indigenous origin. In general, current controversies largely concern economic policy rather than the overall shape of the economic order. Prioritization, therefore, is currently undertaken in the context of widening breaches between different MAS blocs. Although Bolivia remains in a better position than other countries in the region, the accelerated pace of the decrease (more than $1.7 billion per year on average since 2015) has raised concerns. As a result of changes in water availability crop productivity may decrease, and electric power generation may fall short in fulfilling the increasing demand for energy in cities such as La Paz and El Alto (Slunge and Jaldin, 2007). In December 2019, the ez government agreed with the Inter-American Commission on Human Rights (IACHR) to establish an Interdisciplinary Group of Independent Experts (GIEI) in order to investigate the acts of violence and human rights violations that occurred between September and December 2019. All public universities in the boom years benefited from their shares of gas revenues, though their quality has not noticeably improved much. The 2009 constitution defines the Bolivian state as independent of any religion, eliminating the special status granted to the Catholic Church by previous constitutions. Objective. In the Vallegrande region increasing rain intensity has increased the exposure of crops to pests and plant diseases, also negatively impacting yield and revenues. In addition, after an initial period of open confrontation (2006 - 2009), the MAS government has built increasingly cooperative relations with business associations, taking into account and accommodating the interests of key segments of the economic elites. Moreover, anti-corruption judges have themselves been frequently tried and convicted of corruption charges. The fiscal balance will remain in high deficit although a slight reduction might be expected in 2022, as the government tends to consider fiscal consolidation. As a consequence, public indebtedness increased from 35.3% of GDP in 2011 to 57.5% in 2019, with the external debt more than doubling since 2012. In 2018, only 24% said that the type of political regime would not matter, and no more than 12% declared an authoritarian regime preferable to democracy (regional averages: 28% and 15%, respectively). On the whole, while the relatively high level of cooperation and mutual support for purposes of self-help indicates a greater amount of social capital, this capital remains highly fragmented, and the prevalence of rivalries and conflicts between civil society organizations suggests that this social capital is bonding (in-group oriented) rather than bridging (uniting different groups). Another important issue is river water pollution which causes human health problems in different locations of the country. API users can feed a custom application. The Morales government prioritized basic education, and in general achieved notable successes in fighting illiteracy and broadening primary education. When ez decided to run for president in the following election, erstwhile supporters criticized what they saw as an abuse of her role as a caretaker president. Third, the new president, Arce, can no longer count on a two-thirds majority in parliament, which significantly increases the power of the parliamentary opposition compared with the Morales years. Framework Convention on Climate Change, contains an ambitious agenda for change at both the national and the global level. Still, a couple of fiscal measures, including direct relief payments, have somewhat mitigated the socioeconomic effects of COVID-19. In general, societal organizations are less characterized by a civic culture of participation in public (let alone national) life than by a culture of mobilization and negotiation (mostly at the local, regional or sectoral level). Citizen and media access to information has often been problematic. This has directly impacted production by reducing productivity. A .gov website belongs to an official government organization in the United States. Generally speaking, the Arce government presents itself as a reliable, credible and cooperative partner and, for the time being, there is no reason to doubt this stance. As of mid-June 2021, the prospects for this appeared better than at the end of the review period, when vaccination had not even begun. Bolivia - Incidence Of Malaria (per 1,000 Population At Risk), 2022 Data 2023 Forecast 2000-2020 Historical, Incidence of malaria (per 1,000 population at risk) in Bolivia was reported at 3.1169 in 2020, according to the World Bank collection of development indicators, compiled from officially recognized sources. The decision by the MAS to have the constitutional court allow Moraless candidacy anyway, further reduced the legitimacy of the government. The tourism sector, still below its potential (7% of GDP in 2019) will remain in convalescence in an uncertain global context. It can be considered rude to back away from someone while they are speaking. The financial regulation authority instructed banks to stop charging payments on all loans until the end of 2020. Each region is In 2019, Evo Morales, who had governed Bolivia since 2006, tried to secure a fourth term as president. In addition, several judges have been subsequently removed from office by parliament, further undermining what judicial independence remained. In contrast, the MAS, as well as a broad range of so-called popular sector organizations decried this change in power as a coup dtat. Almost all political forces quickly recognized the overwhelming electoral victory of the MAS. While contradictory reports and assessments, including by a mission from the Organization of American States (OAS), have failed to produce reliable evidence of any significant electoral fraud, the vote count in 2019 was, indeed, characterized by serious irregularities. During these years, which were characterized by an unprecedented economic boom, poverty rates fell dramatically, and socioeconomic inequality was also reduced significantly. The fixed exchange rate also limits the ability to absorb external shocks, though the peg has anchored inflation and allowed for a certain degree of macroeconomic stability. The Human Capital Index (HCI) database provides data at the country level for each of the components of Households are also expected to benefit from the moderate recovery of remittance flows, 40% of which come from Spain and 20% from the United States, with an improvement in unemployment in both countries compared to 2020. Bolivias lack of clean water and basic sanitation, especially in rural areas, contributes to health problems. Concomitantly, public investment growth will be constrained by the fiscal consolidation and level of public debt. Socioeconomic discrimination affects indigenous peoples, rural areas and women in particular. According to the pension law of December 2010, private pension funds (legacies of the neoliberal governments) were replaced by a public entity, and the age of retirement was reduced from 65 to 58 years. In late 2008, following a three-year literacy campaign assisted by Venezuela and Cuba, Bolivia was declared free of illiteracy by UNESCO. Since the elections of 2009, the MAS could also govern with a two-thirds majority in both houses of parliament. It remains to be seen whether and, if so, how, the new government responds to these challenges by improving the capacities and mechanisms of coordination. Bolivian. Still, an effective use of international support will continue to be limited by the low institutional and professional capacities of the Bolivian agencies and public administration in general. The female 2019 HDI score for Bolivia is 0.696, in contrast to 0.737 for men. With the exception of the broadcasting sector, there is no formal requirement that Bolivians own shares of companies, or that foreign equity be limited over time. The new constitution, adopted by referendum in 2009, recognizes Bolivia as a plurinational state and contains a broad range of political and civic, social and economic as well as collective indigenous rights. In response to the COVID-19 pandemic, the TSE postponed new elections twice in 2020 (first from May to September, then from September to October). In this sense, human health vulnerability to climate change effects is influenced by the state of the ecosystems, the level of social, institutional and technological adaptive capacity, and by the level of awareness of climate change risks. In addition, the second classic pillar of social safety nets, the health system, is considered to be one of the least efficient in Latin America; according to the ministry of health, 51% of Bolivias inhabitants currently have no health insurance at all. Institutionally, coordination between different government departments and agencies continues to be limited, and much of present government mismanagement in a number of sectors (e.g., water supply, medical workers, the penal code) is due to a lack of coordination. With the COVID-19 pandemic, international reserves have reached their lowest level since 2006. From 2000-2002 there were more than 62,000 cases of malaria (Slunge and Jaldin, 2007) and it is estimated that Malaria might increase its endemic area between 12 and 20% over the next decade due to climate change. Indigenous (community) justice systems (officially recognized by the 2009 constitution with a status equal to ordinary law) provide judicial functions, but at times also lead to tensions with ordinary state law. Unfortunately, no comparable survey data exist for the period under study (February 2019-January 2021). In addition, there are the serious effects on economic performance mentioned in 11.1 caused by the pandemic. For example, demand for water resources is increasing especially for irrigation, industry and electric power generation (MPD, 2007). Arces political agenda basically continues the agenda of the Morales government, in which he served as minister of economy. We have a plan for your needs. Bolivia, Plurinational State of 2021 programme expenses, (non-core) 32.1% 15.3% 28.4% 24.1% Utilization of sexual and reproductive health services Empowerment of young people Gender Both episodes of conflict escalation involved serious violent incidents, arguably bringing Bolivia to the brink of civil war. The new Forest Law, issued in 1996, has set the conditions to improve the management of forests and biodiversity conservation practices in the country (Slunge and Jaldin, 2007). Formally, the 2009 constitution envisions a clear-cut separation of powers, in particular between the three branches of the state that are elected in popular elections (executive, legislature, judiciary). Furthermore, drier conditions in the lowlands have contributed to forest fires affecting the livelihoods of indigenous and local groups living from forest resources. Most recently, the political crisis of October and November 2019 has been characterized by serious human rights violations. The brief ez government, which was characterized by close relations to the traditional business elites, generally did not feature significant involvement of civil society actors, either in general or as part of the government response to the COVID-19 pandemic. Share sensitive information only on official, secure websites. Based on rising revenues from hydrocarbons and mineral resources, social spending and public investment were expanded. Regarding the stable exchange rate of the Boliviano against the U.S. dollar, depreciations in the currencies of major trading partners, such as Argentina and Brazil, have meant that Bolivias real exchange rate has been on the rise; the real effective exchange rate index grew consistently from 120.1 in 2014 to 149.7 in 2019. In terms of international relations, the new administration has already begun to re-establish links with the traditional allies of MAS, which were abandoned by the interim government, in particular growing closer to Nicolas Maduro in Venezuela. From 2013 to 2014, it rose from 6.3% to 7.3% of GDP. Moreover, mining concessions are operating within indigenous territories and national parks, affecting ecosystem services, livelihoods and biodiversity. The judiciary, however, continues to be seriously questioned and is generally regarded by both the opposition and the government as in need of far-reaching reforms even if the MAS does not precisely share the oppositions main criticism that the governing party controls the judiciary. Currently, there are two conditional social programs, which support children that continue basic education (Bono Juancito Pinto) as well as pregnant women and young mothers that seek medical care (Bono Juana Azurduy). Since 2014, women have held a majority of seats in the national parliament. Freedom of expression is guaranteed by the constitution and generally observed. Spanish is the official Public debt rose from 38.7% of GDP in 2015 to 59.0% in 2019. Generally speaking, there is scant evidence for institutionalized mechanisms of policy learning in Bolivia. However, according to the constitution, strategic sectors must remain under state control; if foreign investors are to participate, this must be in the form of joint ventures. Allianz continues to be recognized in the top field of sustainable insurance companies. CountryReports 1997 - 2022 - All Rights Reserved. Still, structural weaknesses continue to limit the performance of the legislature and, most notably, the judiciary. While the Arce government has promised to revive the economy through public demand, its scale is likely to be constrained by the need to avoid a crisis of increasingly fragile public finances. After his election to office, President Arce reversed these decisions, but has signaled his interest in cooperative relations with the United States. In 2022, the economy will continue to pick up, but at a In response, in April 2020, the interim government announced several cash transfers as means of social protection: the Family Bonus ($81 to each boy and girl in primary education), the Family Basket ($66 for older adults, pregnant women and people with disabilities), and the Universal Bond ($81 for people between the ages of 18 and 60 who do not receive pensions or salaries). Moreover, a great part of the rural population depends on agriculture for subsistence and as their main source of income generation (MPD, 2007). As the MAS had succeeded in uniting behind the presidential ticket of Luis Arce and David Choquehuanca, the anti-MAS camp had quickly disintegrated into opposing factions after the 2019 coup. Arce (55%) prevailed over moderate-right Carlos Mesa (29%) and the candidate of the far Right, Luis Fernando Camacho (14%), in an undisputed victory; the MAS party also won a majority in both chambers of the Legislative Assembly. Fourth, ethnic fragmentation, a long history of ethnicity-based discrimination, and additional cleavages along the lines of local and regional identities generate low levels of trust, frequently inflame conflicts, and make it difficult to reach a consensus on questions of national development. Regarding access to information, access to public information is restricted, despite highly publicized processes of open government during past years (see Q2.4). Hydrocarbons and lithium are considered strategic sectors and, most recently, telecommunication infrastructure. Political Risk In addition, in 2008, a tax-financed state pension for all citizens over 60 years was introduced (Renta Dignidad). Risk of impoverishing expenditure for surgical care (% of people at risk) Rural population growth (annual %) School enrollment, secondary (% gross) School enrollment, secondary, male (% net) First, Bolivia is a landlocked country characterized by extreme geographical disparities and is frequently hit by natural disasters (especially floods associated with the El Nio phenomenon; severe droughts; water shortages). The World Banks Doing Business reports still see in Bolivias regulatory environment severe restrictions for private business (rank 150 out of 190 countries in 2020). Reduced commodity prices, a decline in gas production and falling remittances from abroad have meant the current account balance has been in deficit for 5 consecutive years since 2015, although the deficit has been somewhat alleviated in 2020 by the significant slump in imports due to the COVID-19 pandemic (a decline of 35.1% in the first half of 2020). The hydrocarbon sector is not only detrimental to the resources that provide important repositories for vital livelihood resources and ecosystem services that are key for adaptation to climate change, but also an important source of carbon emissions. Restrictions on mass gatherings ended in December 2020. Given the diversity of social actors and conflicts and the high degree of mobilization of Bolivian society, the state and the MAS party should also more generally rely on and expand institutionalized mechanisms that enable reliable modes of participation, consultation, and accountability. On the one hand, by not declaring a state of (health) emergency, the government has also refrained from concentrating power in the executive branch. Since 2006, the role of the state in the economy has expanded (through public investment, public enterprises and state regulation), and there is now substantial state participation and intervention In particular, the victims of the violent repression in Sacaba (Cochabamba) and Senkata (El Alto) are demanding justice. The World Banks Doing Business reports still see in Bolivias regulatory environment severe restrictions for private business (rank 150 out of 190 countries in 2020). In response to the pandemic, two specific decisions have been taken that have worried the private sector. In 2020, the Bolivian economy is expected to have contracted by at least 7% according to diverging estimates from the World Bank, the International Monetary Fund and the Economic Commission for Latin America and the Caribbean (ECLAC); the latter estimates a contraction of GDP per capita of 9.4%. First, the government accepted the arguments made by specific sectors that they could not pay their obligations due to the pandemic and forced banks to accept continued deferral of specific loans. The 1952 revolution brought agrarian reform, the nationalization of the large mining companies, universal suffrage without literacy requirements and a wide range of social policy legislation to the country. The restrictions and controls linked to the pandemic, mostly overseas, continue to have a negative impact on tourism flows (7% of GDP before COVID-19) . Auditing of state spending remains inefficient. The business environment is mediocre. Although illegal activities are still a challenge, to date 8.5 million hectares of forest are exploited under concession following a forest management plan and 2.2 million hectares are certified under the Forest Stewardship Council. However, vaccination coverage was still comparatively low (about 14% had one vaccination and 4.9% had two) and the third wave was ongoing. Santa Cruz 1.719 million; LA PAZ (capital) 1.715 million; Sucre (constitutional capital) 307,000. Lockdowns and Implementation of long-range policies can only improve under the incoming Arce administration. The outbreak of Malaria during the rain season in 1998 is attributable to the climatic events of that year. Morales had lost momentum, turned to preservation of achievements, and became increasingly distracted by the day-to-day politicking around his candidacy for a contested fourth term. The right to campaign for elective office exists, and multiple parties with different platforms are able to run. The year 1998 coincides with the El Nio event 1997/98 that strongly impacted the region, causing an increase in temperature and in rain intensity concentrated within few months. Above-ground biomass in forest per hectare. These cases suggest an altitudinal and geographical expansion of the disease associated to climate change in the area that is modifying the ecosystems and creating suitable conditions for the development of vectors. The political crisis since October 2019 and the COVID-19 pandemic have further reduced growth rates and external incomes due to the sharp decline in commodity prices, thereby also increasing fiscal pressures. During the last Morales administration, strategic priorities had shifted from enacting change to sustaining achievements. Under both the Morales government (2006 2019) and the interim government of ez (2019 - 2020), civil society organizations that were perceived as belonging to the opposition were subject to attacks, intimidation and administrative harassment. Upon taking office, the interim government of Jeanine ez started to reverse course, intensifying ties with the U.S. government, breaking off diplomatic relations with Cuba and Venezuela, and initiating the countrys withdrawal from a number of regional organizations (ALBA, CELAC, UNASUR). This site uses cookies to optimize functionality and give you the best possible experience. The left-wing Movimiento al Socialismo (MAS) candidate, Luis Arce, won the presidential election with 55.1% of the vote and took office in November 2020. All of this will depend as well on developments associated with the pandemic, which includes progress being made with vaccination if another collapse of the countrys health system is to be avoided. However, Argentina's difficulties in developing its gas programme are expected to encourage some recovery in Bolivian production in 2021. According to the 2011 telecommunications law, television and radio frequencies have to be distributed equally between the state, the private sector and community-based, small farmer and indigenous groups. For some time, the government has been able to counteract the negative effects of the fall in international commodity prices since 2014, in particular by drawing on extensive international reserves. Productivity relative to benchmark of complete education and full health. Moreover, recent oil spills in 2000 have caused some of the worst environmental disasters in the country. A preliminary evaluation at the national level estimated that climate change is a contributing factor in 27.4% of Malaria cases (11.3% produced by P. vivax and 43.6% by P. falciparum). At the political level, the Arce government has explicitly endorsed the aim to deal with the acts of injustice committed under the interim government, while simultaneously emphasizing the need for national reconciliation and unity. As a result, climatic variability and more frequent extreme events not only pose a high risk for food security, but represent a threat to poverty reduction objectives in the country. At the same time however, both the MAS camp and the range of opposition groups are very much fragmented. According to V-Dems Pandemic Violations of Democratic Standards Index, these restrictions have generally complied with international human rights standards, with the temporary exception of restrictions on media freedom. Public revenues should slightly increase on the continuing economic recovery and receipts from the direct tax on hydrocarbons (15% of total revenues). Bolivias banking system and capital market are differentiated, open and internationally oriented, but subject to fluctuations due to the small size of the economy, a lack of supervision and a high dependency on foreign markets. Trading Economics members can view, download and compare data from nearly 200 countries, including more than 20 million economic indicators, exchange rates, government bond yields, stock indexes and commodity prices. It is also partly the result of 10 years of overwhelming political power in the hands of the governing MAS party. This is particularly true in the case of vector borne diseases such as Malaria and Chagas, since the incidence and prevalence of these diseases are increasing. White label accounts can distribute our data. With regard to performance, satisfaction with democracy in Bolivia that had been around 50% in 2009 and had recovered after a temporary slump in 2012, dropped from 41% in 2016 to 35% in 2017 and 26% in 2018 (Latin America average: 24%). With a view to the structure of the economy, however, the desire to reduce the countrys dependency on commodity exports by pushing for an industrialization of extractive resources (gas, minerals, lithium) has yielded only limited results. On the whole, Bolivias governments in the period under review have been less effective than before in implementing their strategic goals, because most of their energies were absorbed by permanent campaigning with enhanced polarization and conflict (firstly around the disputed Morales candidacy, and secondly around the 2019 election). 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