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Bolivia's Congress Approves $1.9 Billion IMF Deal, Triggering Threats of Unrest
The 36-month IMF program requires fiscal cuts, a more flexible exchange rate and an end to fuel subsidies in the 2027 budget.
- On Thursday, Bolivia's Chamber of Deputies approved a $1.9 billion credit agreement with the International Monetary Fund, passed by more than two-thirds to address fiscal deterioration and currency shortages.
- Facing foreign currency shortages and declining reserves, the government inherited an economy with $3.17 billion in net international reserves, of which only $52 million consisted of liquid assets.
- The agreement requires implementing a stabilization program that includes enforcing greater monetary discipline, adopting a flexible exchange rate regime, and eliminating government fuel subsidies.
- Approval facilitates access to more than $5 billion in additional funds from institutions including the World Bank and the Inter-American Development Bank , essential for broader recovery.
- Plans to reduce the fiscal deficit from 9.1% of Gross Domestic Product in 2026 to 3.8% by 2028 anchor the consolidation; the 2027 budget requires no fuel subsidies.
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18 Articles
18 Articles
(Mexico City = Yonhap News) Correspondent Song Gwang-ho = Bolivia, suffering from a chronic shortage of foreign currency and deteriorating finances, [applied] from the International Monetary Fund (IMF) to revitalize its economy...
·Seoul, Korea (the Republic of)
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Bolivia approves $1.9 billion IMF deal in hopes of accessing external ...
·London, United Kingdom
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Economic analysts warned of the risks that Bolivia will face due to the demands that the International Monetary Fund (IMF) intends to impose for the country to access a credit of 1.9 billion dollars, including the elimination of the subsidy to fuels, electricity and gas, and the suspension of controls [...]
·Caracas, Venezuela (Bolivarian Republic of)
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Coverage Details
Total News Sources18
Leaning Left3Leaning Right2Center5Last UpdatedBias Distribution50% Center
Bias Distribution
- 50% of the sources are Center
50% Center
L 30%
C 50%
R 20%
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