Central Bank of Bolivia guarantees stability of net international reserves and disqualifies speculators

On Saturday, the Central Bank of Bolivia (BCB) denied speculations about the plunge to minimum figures of the Net International Reserves (NIR) and guaranteed that these financial assets remain stable and meet world sustainability standards.

“For the population not to be confused or manipulated by the biased messages of such analysts, the BCB clarifies that in a partial and not very objective way, such comments and analysis only focus on one of the components of the reserves, such as foreign currency, being that the country’s international reserves constitute an aggregate of assets that together are framed within the management parameters for the NIR,” the entity stressed in a statement.

It specified that up to February 8, 2023, the NIR is at US$30.538 billion and denied that they are at US$372 million, as several media outlets, based on economic analysts, have reported.

In this line, the BCB assured that this figure of reserves allows guaranteeing the coverage of more than twice the short-term external debt service.

In addition, it explained that these reserves comply with the reference parameters for the administration of reserves determined by international organizations, covering more than three months of imports of goods and services.

The issuing entity remarked in the text, dated Friday that the stability and soundness of the Bolivian economy are supported by solid macroeconomic indicators of public knowledge, such as the lowest inflation rate in the region surplus in the trade balance, with a record level of exports.

Likewise, at the end of 2022, a financial system registers the confidence and strength of Bolivians with 99 percent of loans and 86 percent of deposits in local currency.

In this sense, the BCB ratified its commitment and effort to achieve the macroeconomic goals foreseen for the current administration in the Fiscal Financial Program signed with the Ministry of Economy and Public Finance, maintaining the exchange rate regime unchanged.