Economy - overview:
With its long history of semifeudal social controls, dependence on volatile prices for its mineral exports, and bouts of hyperinflation, Bolivia has remained one of the poorest and least developed Latin American countries. However, Bolivia has experienced generally improving economic conditions since the PAZ Estenssoro administration (1985-89) introduced market-oriented policies which reduced inflation from 11,700% in 1985 to about 20% in 1988. PAZ Estenssoro was followed as president by Jaime PAZ Zamora (1989-93) who continued the free-market policies of his predecessor, despite opposition from his own party and from Bolivia's once powerful labor movement. By maintaining fiscal discipline, PAZ Zamora helped reduce inflation to 9.3% in 1993, while GDP grew by an annual average of 3.25% during his tenure. President SANCHEZ DE LOZADA (1993-1997) vowed to advance the market-oriented economic reforms he helped launch as PAZ Estenssoro's planning minister. His successes included the signing of a free trade agreement with Mexico and the Southern Cone Common Market (Mercosur) as well as the privatization of the state airline, phone company, railroad, electric power company, and oil company. Furthermore, SANCHEZ DE LOZADA sponsored legislation creating private social security accounts for all adult Bolivians and capitalized these new accounts with the state's remaining 50% share in
the privatized companies. Hugo BANZER Suarez took office in August 1997 and has proclaimed his commitment to the economic reforms of the previous administration.
GDP: purchasing power parity—$23.1 billion (1997 est.)
GDP—real growth rate: 4.4% (1997 est.)
GDP—per capita: purchasing power parity—$3,000 (1997 est.)
Exports: total value: $1.4 billion (f.o.b., 1997)
commodities: metals 34%, natural gas 9.4%, soybeans 8.4%, jewelry 11%, wood 6.9%
partners: US 22%, UK 9.3%, Colombia 8.7%, Peru 7.4%, Argentina 7.2%
Imports: total value: $1.7 billion (c.i.f. 1997)
commodities: capital goods 48%, chemicals 11%, petroleum 5%, food 5% (1993 est.)
partners: US 20%, Japan 13%, Brazil 12, Chile 7.5% (1996)
Money exchange The value of the dollar as of 12/18/99 is 5.99 almost 6 pesos Bolivianos. The price of a Hotel room as an avarage is $25 dollars a day, like hotel Latina which is located almost in front of the Bus Terminal in La Paz,when I was there, in March it costed $20 dollars a day,the only problem that some American o Europens tourists might not find hot water in the sink, only for the shower. So you better take your electrical razor, unles yos shave with cold water. Of course in more expensive hotels will be different it will have all the comforts of an American hotel.
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