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Bolivia Joint Staff Assessment of the PRSP
May 10, 2001

Poverty Reduction Strategy Papers (PRSPs)

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Bolivia
Poverty Reduction Strategy Paper

Prepared by the Government of Bolivia
March 2001

Poverty Reduction Strategy Papers (PRSPs) are prepared by member countries in broad consultation with stakeholders and development partners, including the staffs of the World Bank and the IMF. Updated every three years with annual progress reports, they describe the country's macroeconomic, structural, and social policies in support of growth and poverty reduction, as well as associated external financing needs and major sources of financing. This country document is being made available on the IMF website by agreement with the member country as a service to users of the IMF website.

Use the free Adobe Acrobat Reader to view full text (1,319 Kb pdf file), Summary (1,531 Kb pdf file), and Annexes (1,500 Kb pdf file)


Contents

Acronyms
 
Preface
 
I.
 Introduction
 
II.
 Structural Reforms, Growth, and Poverty
A. Structural Reforms
  B. Economic Growth And Poverty
  C. Poverty Reduction Policies
     
III.
 The Poor In Bolivia
  A. Magnitude of Poverty
  B. Urban Poverty
  C. Rural Poverty
  D. Social Unsatisfaction
     
IV.
 The Dialogue's Contribution to Bolivia's Poverty Reduction Strategy
  A. The Dialogue Process
  B. Issues Discussed
  C. Results Achieved
  D. The "Government Listens" Workshop
  E. Conclusions
     
V.
 The Bolivian Poverty Reduction Strategy
  A. Objective and Strategic Components
  B. Priorities
  C. Strategic Actions
  D. Cross-Cutting Issues
     
VI.
 Institutional Framework For The BPRS
  A. Institutional Environment and its relationship to the BPRS
  B. The Institutional Approach
  C. Institutional Reforms: Further Decentralization
  D. The Phenomenon of Corruption
     
VII.
 Institutional Framework For The BPRS
  A. Resource Allocation Mechanisms
  B. Financing the BPRS
     
VIII.
 Goals, Monitoring And Evaluation of the BPRS
  A. Indicators and Goals
  B. Monitoring and Evaluation of The BPRS
  C. Action Plan
     
IX.
 Macroeconomic Context Of The Strategy
  A. Macroeconomic Aspects
  B. Anticipated Results
  C. Vulnerability of the Bolivian Economy
     
X.
 International Cooperation in the Context of the BPRS
  A. Extending Concessionary Financing
  B. New Framework of Relationships
  C. Market Liberalization
     
Text Boxes
2.1 Population Living on Fewer than Two Dollars a Day
2.2 Bolivia and HIPC I
4.1 Origin of National Dialogue 2000
5.1 Productive Infrastructure and Support for Production, According to Dialogue Participants
5.2 Rural Development and Local Roads
5.3 Rural Electrification in Bolivia
5.4 Procedures and Results of Microenterprises and Small Businesses
5.5 Education, Health, and Basic Sanitation, According to Dialogue participants
5.6 Advances and Challenges in Education
5.7 Nuclear Educational Projects
5.8 Advances and Challenges in Health
5.9 Nutritional Situation
5.10 Housing and Basic Sanitation in Bolivia
5.11 New National Housing Policy and Basic Service Policy
5.12 Intensive Employment Program (PIE)
5.13 Social Exclusion and Poverty
5.14 Ethnic Social Capital in Bolivia
5.15 Gender Inequalities
5.16 Poverty and the Environment in Bolivia
6.1 DUF and the National Compensatory Policy
6.2 Policies to Improve the Decentralization Process
9.1 Vulnerability of the Agriculture Sector
9.2 Terms of Trade
   
Graphs
2.1 Latin America: Incidence of National Poverty at the end-1990s
6.1 Increase in Municipal Income (LPZ, El Alto, Curva)
6.2 Increase in Municipal Income (Sucre, Padilla, Poroma)
6.3 Comparisons Between Allocations and Allocation Based on Poverty
6.4 Institutional Structure of the BPRS
8.1 Hierarchical Structure of BPRS Indicators
8.2 System for Monitoring the BPRS, Systemic Approach
9.1 Bolivia: Reduction in Headcount Index of Poverty
9.2 Behavior of Poverty and Extreme Poverty (Shock)
10.1 General Extension to Concessionary Financing: Funds Released
10.2 General Extension to Concessionary Financing: Implicit Grant Element
10.3 General Extension to Concessionary Financing: Ratio of NPV to Export Debt
10.4 General Extension to Concessionary Financing: Total Debt Service Over Exports
   
Tables
2.1 Sources of Public Investment Financing, 1990-1999
2.2 Public Investment Execution, 1994General Extension1999
3.1 Poverty and Extreme Poverty Using the Unsatisfied Basic Needs Approach by Area, 1976-1992
3.2 Poverty by Unsatisfied Basic Needs, by Department, 1976 and 1992
3.3 Population, Headcount Index of Poverty and Extreme Poverty, by Area of Residence, 1999 Poverty Lines Method
3.4 Headcount Index of Poverty and Extreme Poverty in Major Cities, 1986-1997
3.5 Bolivia: Education Indicators
3.6 Bolivia: Labor Indicators
3.7 Bolivia: Urban Employment, by Sector
6.1 Agreement on Allocation of HIPC II Resources
7.1 Resources for Poverty Reduction
7.2 Availability of Funds from Foreign Financing for Investment, Institutional Strengngthening, and Technical Cooperation by Strategic Component
7.3 BPRS: Projected of Investment and Recurrent Expenditure by Strategic Component 2001-2006 (In thousands of current USD)
7.4 BPRS: Projected of Investment and Recurrent Expenditure by Strategic Component 2001-2006 (Percentage Structure)
7.5 BPRS: Financing of Public Investment Associated with Strategic Components, 2001-2006 (Baseline Macroeconomic Scenario)
7.6 BPRS: Projected Investment by Strategic Component, by Financing Sources, 2000-2006 (Base Macroeconomic Scenario)
8.1 Goals for Impact Indicators
8.2 Goals for Outcome Indicators
8.3 Goals for Intermediate Indicators: Rural Development
8.4 Goals for Intermediate Indicators: Road Infrastructure
8.5 Goals for Intermediate Indicators: Microfinance
8.6 Goals for Intermediate Indicators: Education
8.7 Goals for Intermediate Indicators: Health and Basic Sanitatio
8.8 Goals for Intermediate Indicators: Securing Land Ownership
8.9 Goals for Intermediate Indicators:Development with Identity
8.10 Goals for Intermediate Indicators: Gender
8.11 Goals for Intermediate Indicators: Environment
9.1 Headcount Index of Poverty in Some Asian Countries
   
Matrices
5.1 Priority Actions and Policies for Promoting Rural Development
5.2 Priority Actions and Policies Promoting Development of Micro and Small Business
5.3 Priority Actions and Policies Developing Microfinance
5.4 Priority Actions and Policies Supporting Technological Assistance
5.5 Priority Actions and Policies Building the Road Infrastructure: Fundamental Network
5.6 Priority Actions and Policies Improving Education Quality and Access
5.7 Priority Actions and Policies Improving Health Conditions and Access
5.8 Priority Actions and Policies Improving Habitability: Basic Sanitation and Housing
5.9 Priority Actions and Policies Increasing Security and Protection for the Poor
5.10 Priority Actions and Policies Supporting and Training Citizen Organization and Participation
5.11 Priority Actions and Policies Reducing Inequalities and Barriers Based on Ethnic Discrimination
5.12 Priority Actions and Policies for Development with Identity of Indigenous and Native Peoples
5.13 Priority Actions and Policies Promoting Gender Equity
5.14 Priority Actions and Policies Sustainable Utilization of the Environment
6.1 Priority Actions and Policies Strengthening Institutional Structures for the BPRS