0008
telephone: [1] (202) 483-4410 through 4412
FAX : [1] (202) 328-3712
consulate(s) general: Los Angeles, Miami, New York, and San Francisco

Diplomatic representation from the US:
chief of mission: Ambassador Curtis Warren KAMMAN
embassy: Avenida Arce 2780, San Jorge, La Paz
mailing address: P. O. Box 425, La Paz; APO AA 34032
telephone : [591] (2) 430251
FAX: [591] (2) 433900

Flag description: three equal horizontal bands of red (top), yellow,
and green with the coat of arms centered on the yellow band; similar
to the flag of Ghana, which has a large black five-pointed star
centered in the yellow band

Economy

Economy - overview: With its long history of semifeudal social
controls, dependence on volatile prices for its mineral exports, and
bouts of hyperinflation, Bolivia has remained one of the poorest and
least developed Latin American countries. However, Bolivia has
experienced generally improving economic conditions since the PAZ
Estenssoro administration (1985-89) introduced market-oriented
policies which reduced inflation from 11,700% in 1985 to about 20% in
1988. PAZ Estenssoro was followed as president by Jaime PAZ Zamora
(1989-93) who continued the free-market policies of his predecessor,
despite opposition from his own party and from Bolivia's once powerful
labor movement. By maintaining fiscal discipline, PAZ Zamora helped
reduce inflation to 9.3% in 1993, while GDP grew by an annual average
of 3.25% during his tenure. Inaugurated in August 1993, President
SANCHEZ DE LOZADA has vowed to advance the market-oriented economic
reforms he helped launch as PAZ Estenssoro's planning minister. His
successes include the signing of a free trade agreement with Mexico
and the Southern Cone Common Market (Mercosur) as well as the
privatization of the state airline, phone company, railroad, electric
power company, and oil company. Furthermore, SANCHEZ DE LOZADA
sponsored legislation creating private social security accounts for
all adult Bolivians and capitalized these new accounts with the
state's remaining 50% share in the privatized companies.

GDP: purchasing power parity - $21.5 billion (1996 est.)

GDP - real growth rate: 3.9% (1996)

GDP - per capita: purchasing power parity - $3,000 (1996 est.)

GDP - composition by sector:
agriculture: 17%
industry: 31%
services : 52% (1995 est.)

Inflation rate - consumer price index: 8% (1996)

Labor force:
total: 2.3 million
by occupation: agriculture