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Before a lack of dollars, Bolivia demonstrates its resilience

La Paz, Feb 26 (Prensa Latina) The satisfaction of the Bolivian business sector with a group of measures from the national government to promote the entry of foreign currency into the country, confirmed this week the resilience of the government's Social Community Economic Model (MESC).

A statement from the Confederation of Private Entrepreneurs of Bolivia (CEPB) expressed “(…) satisfaction with the agreement reached with the national government that, in addition to defining measures to confront the shortage of dollars, implements a new stage in the public-private relationship. (…)”.

The document stated that in this context, “open, transparent and direct dialogue is prioritized to analyze difficulties and find joint and effective solutions.”

The understanding established the release of exports with streamlining procedures and the immediate delivery of the Tax Refund Certificate, after delivery of foreign currency for exports.

Another measure is the issuance of bonds by the Central Bank of Bolivia (BCB) in dollars, the auction of diesel to large buyers, and the streamlining of the import of this hydrocarbon for private companies for their own consumption.

Likewise, after the meeting of business leaders with ministers who deal with the economic sphere, it was agreed to promote private investment for the construction of biodiesel plants and the promotion of investments to improve the returns of the agricultural sector.

Likewise, the weight and maximum length allowed in cargo transport vehicles will be increased, for which a modernization law will be negotiated in Bolivia.

Simultaneously, tax incentives will be established for the purchase of flex and electric vehicles and a band on the collection of commissions for transfers and money orders abroad.

The CEPB statement recognizes the decision and political will of the Executive of President Luis Arce, whose position opened the possibility of dialogue, coordination and agreements.

“We are aware of the economic difficulties that our country is going through and we understand that it is necessary to address structural issues to solve them, however, we are sure that the best way to solve the problems is dialogue and consensus, within a framework of respect for the laws. and to the rules of democracy,” the letter stated.

The CEPB statement concludes with the commitment to “continue contributing to the recovery of the economy, the maintenance of employment and the provision of goods and services that Bolivians need.”

For his part, the president of the powerful Federation of Private Businessmen of Santa Cruz, Óscar Mario Justiniano, reported that the price of the US dollar began to fall in the country’s speculative market, as a sign of the measures agreed upon by the national government and the private sector.

“We have carried out monitoring in the three important cities (La Paz, Cochabamba and Santa Cruz) and we have seen that the dollar in the parallel market has begun to fall and that is one of the main signs, which we expected with this measure,” assured the leader of the Santa Cruz business community in statements to Red Uno.

Also this week, the state-owned Banco Boliviano Unión opened a first correspondent with the Industrial and Commercial Bank of China, which will facilitate direct operations between yuan and Bolivians without the intermediation of other financial entities.

In this regard, the manager of the private Bolivian Institute of Foreign Trade, Gary Rodríguez, considered the use of the yuan in Bolivian international transactions will help reduce the demand for the dollar in the country.

Hence, he welcomed the agreement between the Banco Unión and the Popular Bank of the Asian nation, to operate in one of the five most important currencies in the world.

“If this mechanism works well, it will help reduce pressure on the dollar as a means of payment to do business with China, something significant, considering that it has become by far the first trading partner for Bolivia, with an annual global exchange close to the three thousand 600 million dollars,” concluded Rodríguez.