Parallel Exchange Rate: Will the Parallel Dollar Keep Falling? Here’s What an Expert Says | Cotización paralela: ¿Seguirá bajando el dólar paralelo? Esto dice un especialista

By Unitel:

“We’ve crossed a psychological barrier,” said expert Enrique Borda after the parallel dollar exchange rate on the streets fell below Bs 14 this Wednesday.

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The parallel dollar showed a downward trend on Wednesday, with exchange rates in Santa Cruz reaching Bs 13.50 for buying and Bs 13.90 for selling. Economic analyst Enrique Borda stated that a “psychological barrier” had been surpassed, as the rate dropped below the threshold representing a 100% devaluation compared to the official exchange rate of Bs 6.96.

But will this trend continue? “Honestly, I hope so, and everything indicates that the parallel dollar price will go down,” said Borda in an interview with POV, UNITEL’s streaming program. However, he clarified that it is difficult to predict exchange rate behavior, especially “in a country like Bolivia,” referring to the current situation.

Borda recalled that when the parallel rate exceeded Bs 13.90, the difference from the official rate was more than 100% (the Central Bank of Bolivia maintains the official rate at Bs 6.96), which generated uncertainty in the market. However, this new scenario marks, in his view, a different phase in how the dollar’s value is perceived.

Among the factors that could influence the dollar’s price, he mentioned both local and international elements. Domestically, he pointed out that there is “a lot of hope in a new model, an economic shift,” especially with general elections less than a month away and a new government on the horizon.

Globally, Borda noted that the dollar has depreciated more than 10% against the euro. He emphasized that if the U.S. Federal Reserve lowers interest rates, as expected later this year, there will be more dollars circulating worldwide—something that could also help push the parallel rate down in Bolivia.

When asked whether it’s the right time to buy or sell dollars, Borda was cautious but shared his personal outlook: “I believe this drop will continue steadily and that the next government will likely try to normalize the dollar’s price within the Bs 10 to Bs 12 range.”

Regarding cryptocurrencies, he noted the importance of distinguishing between stablecoins like USDT or USDC, which are pegged to the dollar’s value.

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