Bolivia's external debt hits $14.4 bn as IMF talks aim to steady the economy

Bolivia closed the first half of 2026 with public external debt of $14.357 billion, a rise of $193 million (1.4%) from the end of 2025. Debt‑to‑GDP stood at 26.5% and 70.4% of the debt is owed to multilateral lenders, led by the IDB ($4.37 bn), CAF ($3.29 bn) and the World Bank ($1.72 bn). The government issued $1 billion in sovereign bonds and secured a $100 million liquidity loan, while reserves fell to about $670 million, or 18% of total foreign‑exchange reserves.

The finance ministry and the governor of La Paz, Luis Revilla, expect that an imminent agreement with the International Monetary Fund will help stabilise the dollar and restore investor confidence. The IMF deal is seen as a key tool to address a fiscal deficit, low export earnings and a shortage of hard currency.

Meanwhile, the economy is projected to contract between 0.7% and 1% in 2026, largely due to prolonged social protests and road blockades that cut household incomes by roughly 11% and inflicted over $3 billion in losses. Despite the slowdown, officials anticipate ending the year with single‑digit inflation.