Gold surge will boost Bolivian exports

Significance

So far this year, gold sales to India have seen that country displace Brazil as Bolivia’s most important commercial partner. While providing employment for workers in the sector, gold production does little to boost fiscal income. It also has major, negative environmental impacts.

Impacts

• Attempts to regulate gold production may exacerbate violent responses.
• Cooperatives will continue to resist attempts to regulate them and sell gold through the central bank.
• International criminal activity may be increasingly drawn to Bolivian gold production.