Analysis of the Hydrocarbon Sector in Bolivia

Analysis of the Hydrocarbon Sector in Bolivia

How are the Gas and Oil Revenues Distributed?

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This report analyzes the hydrocarbon sector in Bolivia, which represents a vital component of its economy. In 2006, Bolivia nationalized the hydrocarbon sector due to unfavorable contracts for the government since the privatization of the sector 10 years prior. Without a coherent allocation system of the important hydrocarbon revenues, significant per capita disequilibrium will remain in which regions with a high population get considerably fewer resources than less populated regions. The current distribution system is discriminatory in the allocation of resources without taking into account p...