April 20, 2023, 4:10 PM
April 20, 2023, 4:10 PM
The Ministry of Economy and Finance reported that sovereign bonds maturing in 2028 had a recovery of up to 52%, after a sharp fall last month. The recovery, according to this State portfolio, is due to the meeting that the Government had with the rating agencies of risks and investors who acquired these titles.
“After an episode of strong turbulence in the international and national markets, the value of Bolivian sovereign bonds reversed its downward trend and since last April 14, it has been on the rise, which reflects an improvement in the external perception regarding the performance of national economic activity,” says a report by the state agency ABI.
According to the specialized platform Bloomberg, sovereign bonds maturing in 2028 reached a level of 47%, but in the last days had an increase that until this Wednesday reached 52%“which shows the reversal of the downward trend observed in recent months,” adds the state media.
Bloomberg detailed that the sovereign bond maturing in 2030 was the one with the greatest advance in emerging markets, going from 58.3% to 60.9%, “the highest level in two weeks.”
This comes after multilateral support to the country from the Development Bank of Latin America (CAF) and the Inter-American Development Bank (IDB), which They promised to continue financing different projects production and continue supporting investment plans that contribute to the development of the country.
This vision of stability of the Bolivian economy is shared by international organizations such as the World Bank (WB), which even when they reduced the perspective of economic activity in the region, placed Bolivia among the top three countries with the highest growth rates of the region for this year.
Although in January the World Bank projected economic growth for Bolivia of 3.1% for this 2023, on April 4 it slightly adjusted its projection by placing the growth rate of the real Gross Domestic Product (GDP) at 2.7% in a environment of slowdown in global economic activity.
With this new indicator, Bolivia would only be behind Ecuador, which would obtain a growth of 3.0% and ahead of Peru, which would reach 2.4%.
For this year, the national government projected GDP growth in the order of 4.86%below the 5.10% forecast for 2022 and the 6.11% achieved in 2021, exceeding the 4.80% scheduled, mainly explained by the mining, quarrying and construction sectors, which grew in 18.02% and 17.89%.
These indicators reversed the recession in which the country found itself in 2020 when it decreased by -8.80%.
The Gross Domestic Product (GDP) is a statistical indicator that measures the value of final goods and services produced within the geographical limits of an economy, in a given period.
In the internal context, the country maintains indicators such as the low level of inflation, which in March registered a decrease of -0.08% compared to February. The accumulated variation up to that month was -0.19% and twelve months it was positive 2.53%.
