Bolivia

Overview

Bolivia is the poorest country in South America. One out of eight Bolivians lives on less than US$1.25/day, the most vulnerable being women and children living in rural areas, as well as indigenous people who make up 65 percent of the 10 million population. However, Bolivia has a relatively well-performing economy due to strong oil, natural gas, and mineral prices, and this has contributed to a decline in poverty rates in recent years. The 2009 global economic downturn did lower the country's economic growth rate, but due to prudent fiscal management and stability in the financial sector, Bolivia is better positioned than many countries to weather that economic storm. Bolivia has the second largest reserve of natural gas in South America, vital to the economies of neighbouring Brazil, Argentina, and Chile.

Bolivia ranks 108 out of 187 countries on the United Nations Development Programme's 2011 human development index. However, Bolivia's health indicators are among the lowest in the Americas, with one child out of 16 dying before the age of five and one woman out of 89 dying during pregnancy or childbirth (UNDP). The poor health of Bolivians is closely tied to inadequate or non-existent infrastructure. More than 25 percent of Bolivians do not have access to safe drinking water, and 44 percent do not have access to basic sanitation services. Bolivia's Ministry of Heath is demonstrating leadership in addressing these challenges but technical capacity is still lacking.

Bolivia has maintained a fairly peaceful democracy since 1982, although work remains to be done to improve the professionalism, accountability, and transparency of its democratic processes and institutions and to strengthen the rule of law.

Since January 2006, the Government of Bolivia has introduced economic and social reforms designed to meet the basic needs of the poorest people. Challenges remain. These include: inequality and exclusion, especially of the indigenous population; relatively nascent democratic institutions and internal political tensions; and diversification of its economy.

Thematic Focus

In 2009, as part of Canada's new aid effectiveness agenda, Bolivia was selected by CIDA as a country of focus.

CIDA's programming in Bolivia is closely aligned with the principles of Bolivia's national development plan (NDP) (in Spanish), which promotes the Government of Bolivia's goals of constructing a new, equitable, more just, and economically vigorous society by addressing the social, democratic, and economic dimensions of development.

The overall goal of CIDA's program in Bolivia is to support a more equitable society in which poverty is reduced and the quality of life of vulnerable and marginalized populations is improved. More specifically, CIDA focuses on providing the means for a better future for children and youth and creating the conditions for sustainable economic growth. CIDA also continues to maintain support for key democratic and oversight institutions, such as the National Electoral Court and the Auditor General's Office, to help strengthen democratic processes, accountability, and transparency. Environmental challenges are addressed through an emphasis on corporate social responsibility initiatives.

Children and youth

CIDA continues to improve maternal health and reduce child mortality by improving access to essential health care, combatting malnutrition, and increasing sustainable access to safe drinking water and basic sanitation services.

Economic growth

CIDA encourages sustainable economic growth by supporting training in market-driven skills for employment programs (technical and vocational training) and promoting effective corporate social responsibility programs for the sustainable well-being of communities through the empowering of women as economic actors by increasing their access to markets, property, credit, and technology and through strengthened sustainable development of the hydrocarbon sector.

Progress on Aid Effectiveness

Bolivia adheres to the Paris Declaration on Aid Effectiveness (PDF, 317 KB, 23 pages).

Bolivia actively leads the planning process for development cooperation. Donors have aligned their priorities with the NDP and have focused their program on selected sectors. Donor coordination continues to improve, and Canada chairs Bolivia's Donor Coordination Group in 2010. Joint assistance strategy agreements between donors exist in health and governance.

Accomplishments 2009-2010

Children and youth

• Helped the health services in Beni, Pando and Oruro to implement the national norms for planning, managing and providing health services
• Helped achieve a significant increase in the numbers of births in health facilities (up to 74 percent in Beni, and 86 percent in Pando and Oruro)
• Assisted mobile health brigades to increase service in targeted communities, from 65 percent in 2008 to the current 90 percent
• Improved the number of children receiving a full set of vaccinations (up to 80 percent in Oruro, 87 percent in Beni, and 77 percent in Pando)
• Provided 24 percent of infants with a nutritional supplement (up from 18 percent in 2008)
• Provided 71 percent of pregnant women with at least four prenatal consultations (up from 63 percent in 2008)

Economic Growth

• Supported new cooperative industry in the production, transformation and commercialization of herbs and spices, notably oregano and essential oils

---

Note: If you cannot access the documents that are provided in an alternate format, refer to the Help page.