Bolivia - Public finance



Many of the expenditures and revenues of autonomous agencies—government development, mining, petroleum corporations, and the universities—do not appear in the central budget. Also, an estimated 15% of revenues come from illegal drug shipments. Since April 1992, comprehensive privatization has helped decrease the need for public sector expenses. In 1996, both current and capital spending had been reduced as a percentage of GDP. On the one hand, state capital spending, in the productive sector, fell overall as the privatization and capitalization programs relieved the state of responsibility for the capital spending of leading industrial enterprises; on the other, social investment rose sharply.

The US Central Intelligence Agency (CIA) estimates that in 2002 Bolivia's central government took in revenues of approximately $400 million and had expenditures of $400 million. External debt totaled $5.8 billion.

The following table shows an itemized breakdown of government revenues and expenditures. The percentages were calculated from data reported by the International Monetary Fund. The dollar amounts (millions) are based on the CIA estimates provided above.

Bolivia

REVENUE AND GRANTS 100.0% 400
Tax revenue 69.4% 278
Non-tax revenue 16.7% 67
Capital revenue 1.0% 4
Grants 12.8% 51
EXPENDITURES 100.0% 400
General public services 7.6% 31
Defense 7.4% 30
Public order and safety 7.2% 29
Education 19.9% 79
Health 9.9% 40
Social security 20.6% 82
Housing and community amenities 1.9% 8
Recreation, cultural, and religious affairs 0.3% 1
Economic affairs and services 14.4% 58
Other expenditures 2.9% 12
Interest payments 7.8% 31
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