Bolivian businessmen foresee economic crisis and estimate years for its reactivation

Bolivia has been suffering a crisis since 2019 due to the failed elections, and now with the coronavirus and a transitional government, its economic outlook is more complicated

The new coronavirus pandemic rigorously hit the Bolivian economy due to the paralysis of various activities required by the quarantine, and it will take more than three years for the reactivation, considering businessmen and industrialists. Bolivia has been suffering a crisis since 2019 due to the failed elections, and now with the coronavirus and a transitional government, its economic outlook is more complicated
Bolivian businessmen foresee economic crisis and estimate years for its reactivation
News Update, La Paz. - The new coronavirus pandemic rigorously hit the Bolivian economy due to the paralysis of various activities required by the quarantine, and it will take more than three years for the reactivation, considering businessmen and industrialists.
In an interview with Xinhua, the graduate in Political Science with a specialty in political and economic analysis, Jorge Richter, said that international organizations have already warned of a worse recession than in 2009, as a consequence of Covid-19, AFP said.
"The coronavirus is destroying everything in its path, including the fragile economies of Latin America, which must prepare for almost certain declines. 
Bolivia has been experiencing a crisis since 2019 due to the failed elections, and now with the coronavirus and a transitional government, its economic outlook is more complicated, "he said.
For his part, the president of the National Chamber of Commerce (CNC), Rolando Kempff, told Xinhua that this year Bolivia will grow below 2.5 percent, less than last year and the lowest figure of the last one decade, taking into account the pandemic crisis and its effects that are already beginning to be felt.
"In Bolivia we are going to have a drastic drop in the Gross Domestic Product of an average of 1.5 percent, that is, that the country will be growing by an average of 2 percent," he said.

The Central Bank of Bolivia (BCB) and the ministries of Economy and Development Planning announced last February the Fiscal Program 

Financial 2020, with which they project for this year a growth of the Gross Domestic Product (GDP) of 3.5 percent and an inflation of 3.4 percent.
The president of the Confederation of Private Entrepreneurs of Bolivia (CEPB), Luis Barbery, said on Monday to a local channel that the reactivation of companies and the country's economy, hit by the restriction measures against the pandemic, will take at least three years.
Barbery assured that there are "sectors severely hit" and others "totally paralyzed", among them commerce, tourism and gastronomy, which have found it difficult to meet the payment of wages in March.
Meanwhile, Ibo Blazicevic, president of the National Chamber of Industries (CNI), reported that only 3.7 percent of the total manufacturing industries in Bolivia are active due to the health emergency.
"Only 1,300 industries work out of the 35,000 existing in all of Bolivia. Out of about 110,000 formal jobs in the industry in the country, only 6,000 workers are operating," said the leader, who considered it essential to "save employment" in a critical context for the industrial production system.
The industrial sectors most affected so far are textiles, furniture, plastics, metalworking, alcoholic beverages and organic food, among others, that is, the items that are not food or medicine, essential for the health emergency.
Microentrepreneurs of various categories suggest the temporary salary reduction for the duration of the quarantine and the freezing of the salary increase for the current administration.
Along these lines, the representative of this sector, Ricardo Marroquín, pointed out that it is necessary to put the shoulder on the country, but that the micro-business sector cannot continue to bear all the weight of economic responsibilities in this health emergency.
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