Economic Recovery After Blockades | Ruta económica posbloqueos

By Erika Segales, El Deber:

From Soft Loans to Free Transit: Economic Recovery Roadmap Takes Shape After Blockades

De créditos blandos a libre transitabilidad, perfilan ruta económica posbloqueos

The productive sector nationwide was affected by the disruption of the logistics chain

Bolivia’s productive sectors are outlining an economic recovery plan that includes financial relief measures and a Family Bonus to stimulate domestic demand. They are also calling for structural reforms, such as free-transit and investment laws

The Bolivian economy is beginning to shape an agenda for emerging from the crisis caused by more than 50 days of blockades, with proposals ranging from soft loans, tax deferrals, and recovery funds to demands for free transit in order to resume production.

The common diagnosis among industrialists, small-business owners, transport operators, and logistics providers is that the country has entered a phase of economic and social exhaustion that is already affecting employment, investment, and consumption.

“It is time to reactivate ourselves and see how we are going to overcome these 51 days of blockades,” said Gonzalo Morales, president of the National Chamber of Industries (CNI), noting that the sector has already presented an “Economic and Employment Recovery Plan.”

One of the areas of greatest consensus among sectors was the need to inject liquidity into companies and productive units that exhausted their working capital during the blockades.

The industrial proposal calls for a 90-day deferral of VAT (IVA), Transaction Tax (IT), RC-IVA, and Corporate Income Tax (IUE) payments corresponding to May and June, as well as grace periods for productive-sector loans.

CNI advisor Hugo Siles stated that the objective is to prevent a lack of liquidity from deepening the economic slowdown. In that regard, he proposed a recovery and economic reconstruction fund financed with support from multilateral organizations, along with productive loans exceeding Bs 13 billion and a Bs 1,000 Family Bonus for 3.5 million people to revive domestic demand.

Edwin Fernández, president of the National Confederation of Micro and Small Enterprises (Conamype), warned that thousands of producers were left with immobilized merchandise, unfulfilled contracts, and difficulties in replenishing capital.

“They have plunged us into a catastrophe. Microentrepreneurs have lost merchandise that cannot be recovered until the next season. With what capital are we supposed to reactivate ourselves?” Fernández asked.

He said the sector is requesting a freeze on loan payments for at least six months, the reactivation of low-interest soft loans through the Productive Development Bank (BDP), and a differentiated tariff policy for importing manufacturing inputs.

This is coupled with demands to strengthen the fight against smuggling and unfair competition, a recurring concern within the manufacturing sector.

The transportation sector has also raised the need to refinance debts, reschedule loans, and provide tax relief. Álvaro Ayllón, representative of the Departmental Transport Chamber of La Paz (Cadetran), said that more than 50 days of inactivity consumed the sector’s operating reserves.

He stressed the need for an operating-capital recovery fund and guarantees of fuel supply to reactivate the logistics chain.

Ayllón noted that the sector is currently facing container demurrage charges imposed by shipping companies and is seeking waivers in coordination with the Ministry of Public Works.

Beyond emergency measures, several sectors agreed that recovery will require clear rules to encourage new investment.

The industrial proposal includes the approval of an investment law aimed at providing tax stability, legal certainty, customs facilitation, streamlined procedures, and mechanisms to encourage both domestic and foreign private investment.

The agenda also includes a free-transit law, a long-standing demand from representatives of the productive sector.

From the foreign trade sector, Silvia Quevedo, general manager of AG Logistics SRL and co-founder of Amecómex Bolivia, stated: “The government must provide certainty and guarantees that it will not allow a single blockade again. This way of protesting is contrary to economic activation.”

Economic recovery also depends on normalizing foreign trade flows. Quevedo highlighted the need to promote faster customs procedures supported by technology.

Giovanni Villanueva, former president of the Bolivian Association of Inbound Tourism (Abatur), emphasized that recovery in the tourism sector will depend on rebuilding the country’s image, guaranteeing safety and mobility conditions, and accelerating the implementation of an open-skies policy.

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