Bolivia economy contracts as construction and transport sectors decline

Bolivia's economy experienced a significant contraction, with the National Institute of Statistics reporting that economic activity fell by 3.27 percent by the end of June. This represents a sharp decline from the 0.31 percent contraction recorded in the first quarter.

The downturn was driven largely by disruptions caused by 53 days of road blockades between May and June, which hindered exports and raw material supplies. Additionally, shortages of gasoline and diesel reduced the mobility of vehicles and machinery.

The construction sector saw the most severe impact, dropping by 29.21 percent. Other major declines included transport and communications at 14.50 percent, manufacturing industries at 11.33 percent, and commerce at 9.28 percent. Together, these four sectors accounted for approximately 87 percent of the decline in value added.