At the Summit Invest Forum, leading economists, corporate executives, and business strategists gathered to debate the key challenges of business and investment in Bolivia. The high-level event brought together national and international participants to exchange ideas, identify obstacles to growth, and explore opportunities for innovation and competitiveness in the Bolivian market. One of the central moments of the forum was the presentation by economist Hugo Siles, who unveiled the much-anticipated Ranking of the 500 Largest Companies in Bolivia 2025. This comprehensive study evaluates the structure, contribution, and resilience of the country’s most significant business players in a challenging macroeconomic environment.
Held in the dynamic city of Santa Cruz de la Sierra, often considered Bolivia’s economic capital, Summit Invest Bolivia 2025 served as a platform for dialogue between the public and private sectors. The forum attracted analysts, investors, academics, and business leaders from across the country, who examined the current state of the Bolivian economy, the factors affecting its competitiveness, and the outlook for medium-term recovery.
Organized with the support of the National Chamber of Industries (CNI), Cainco, and Economy magazine as a strategic partner, the event emphasized collaboration and evidence-based discussion. The forum’s highlight was, without doubt, the presentation of the Ranking of the 500 Largest Companies in Bolivia 2025, prepared by renowned economist Hugo Siles Espada. In his remarks, Siles underlined the importance of maintaining a formal, organized, and transparent business sector amid the country’s current economic slowdown and declining levels of private and foreign investment. He argued that despite the constraints on liquidity, trade, and production, Bolivia’s formal companies have continued to demonstrate resilience and adaptability.
According to Siles, the ranking paints a nuanced picture of Bolivia’s economy. While many sectors are under stress, the core of the business community remains solid. The data revealed that the 500 largest companies collectively generate more than 80% of the formal GDP, employ approximately 350,000 people directly, and contribute about 60% of national tax revenues. These firms serve as the backbone of Bolivia’s formal economy, driving innovation, job creation, and sustainable growth even amid structural challenges.
However, Siles warned that Bolivia’s business ecosystem is under mounting pressure due to persistent foreign currency shortages, import restrictions, and rising costs for raw materials and logistics. The country’s dual currency market, where an official exchange rate coexists with a higher parallel rate, has complicated business operations, limiting access to dollars needed for imports and investment. “The lack of dollars and fuel affects all sectors across the board,” Siles said. “Nevertheless, formal enterprises have maintained stability in production and employment. This ranking shows that the private sector continues to be the true engine of the economy and a key driver of sustainable investment in Bolivia.”
Siles also pointed to broader macroeconomic vulnerabilities. If the current conditions persist, he warned, GDP growth could close the year below 1.5%, while the fiscal deficit remains at about 8% of GDP. International reserves continue to fall below US$3.5 billion. Such figures, he argued, are unsustainable in the long run. “These indicators call for a new economic and fiscal pact between the State and the private sector—a shared vision for a competitive and diversified Bolivia,” he emphasized.
Macroeconomic Discipline and Confidence
Former President of the Central Bank of Bolivia (BCB), Juan Antonio Morales, provided a sobering analysis of the country’s fiscal and monetary imbalances. Morales argued that Bolivia’s economic model, which has relied heavily on public spending and state intervention over the past two decades, is clearly exhausted. “The accumulated public deficit, hovering around Bs 30 billion annually, combined with growing current expenditure, is simply unsustainable without a major structural adjustment,” he warned.
Morales emphasized the need for a more transparent and realistic exchange rate policy to close the widening gap between the official and parallel exchange markets. “The market cannot function under constant uncertainty,” he said. “Predictability is essential if the productive sector is to plan effectively and investors are to regain confidence in investment in Bolivia.” He added that a credible monetary policy—backed by fiscal discipline and institutional independence—is crucial to restoring macroeconomic stability and encouraging capital inflows.
The former central banker also drew attention to the inflationary pressures that accumulated throughout 2024, when the inflation rate reached 9.97%. Combined with the loss of industrial competitiveness, these factors have severely affected Bolivia’s ability to attract foreign direct investment, which has fallen to below US$400 million per year, one of the lowest levels in Latin America. Morales noted that this figure stands in stark contrast to neighboring countries such as Chile, Colombia, and Peru, which each attract several billion dollars in foreign capital annually. The decline, he argued, underscores the urgent need for Bolivia to rebuild its reputation as a stable and attractive destination for investors.
Productivity and Innovation as the Way Forward
The forum also heard from Pablo Mendieta, Director of the Bolivian Center for Economic Studies (Cebec) at Cainco, who stressed that Bolivia is at a critical juncture. Mendieta called for a new development model anchored in productivity, innovation, and digital transformation. “Seventy percent of Bolivia’s workforce is in the informal sector,” he said. “A country cannot achieve sustained growth with such a large portion of its labor force operating outside the formal economy.”
Mendieta argued that Bolivia must double its private investment—currently about 9% of GDP—to sustain growth rates above 4% per year. “Competitiveness, innovation, and the attraction of investment in Bolivia are the keys to a new economic cycle,” he declared. “We must shift from a subsidy-driven model to one based on value creation, technological advancement, and industrial diversification.”
He also emphasized that Santa Cruz remains the heart of the country’s productive and entrepreneurial activity, contributing more than 30% of Bolivia’s GDP. The department’s agricultural, industrial, and service sectors continue to drive national growth. Yet, Mendieta warned that persistent logistical bottlenecks, infrastructure gaps, and regulatory bureaucracy limit Santa Cruz’s export potential and constrain private investment in Bolivia. He urged the government to adopt a comprehensive infrastructure modernization agenda—expanding roads, ports, and energy networks—to better connect Bolivia to regional and global markets.
Evolution of the Bolivian Economy
Financial analyst Luis Enrique Herrera provided a historical perspective on Bolivia’s economic evolution, tracing key reforms that shaped the country’s modern economy. He highlighted the Investment and Privatization Laws of 1992 and the Capitalization Law of 1994, both of which played a crucial role in revitalizing the economy during the 1990s. These reforms encouraged foreign participation, raised transparency standards, and boosted efficiency in strategic sectors such as telecommunications, hydrocarbons, and energy. As a result, foreign direct investment surged from virtually zero to around US$900 million annually by the end of the decade.
Herrera noted that the repatriation of capital between 1989 and 1991—supported by Central Bank incentives—stimulated growth, especially in Santa Cruz. This policy environment attracted multinational corporations that contributed to industrial diversification, technological transfer, and job creation. Companies like Cervecería Boliviana Nacional (CBN) became symbols of how a favorable business climate could attract global investors and promote sustainable investment in Bolivia.
He explained that during this period, public investment was strategically used to complement and enhance private investment, forming a model of balanced and diversified growth that delivered tangible benefits for nearly a decade. However, Herrera contrasted this with the subsequent two decades under the Movement Toward Socialism (MAS) governments, which, he argued, adopted a more state-centric and interventionist approach. According to him, widespread expropriations and policy uncertainty undermined investor confidence, leading to a sharp fall in foreign direct investment that never recovered to pre-2006 levels.
Despite these setbacks, Herrera suggested that Bolivia retains considerable untapped potential. The country’s natural resources, youthful population, and geographic position at the heart of South America could position it as a regional logistics and energy hub—if supported by sound governance and clear market rules. He concluded that restoring investor trust and promoting a consistent regulatory environment are essential to reinvigorate long-term investment in Bolivia.
Looking Ahead: A Call for Structural Reform
Throughout the Summit Invest Forum, participants emphasized that Bolivia stands at a crossroads. With economic growth slowing, fiscal pressures rising, and international reserves shrinking, the country must define a new development strategy that balances macroeconomic discipline with private-sector dynamism. All panelists agreed that deeper structural reforms—focusing on productivity, innovation, and competitiveness—are necessary to unlock the next wave of growth.
Above all, the discussions reaffirmed that sustained investment in Bolivia requires a stable and predictable business environment, one that fosters trust between the public and private sectors. By encouraging collaboration, reducing red tape, and modernizing infrastructure, Bolivia can strengthen its resilience and position itself once again as a magnet for both domestic and international investors.
At the Summit Invest in Bolivia Forum, leading economists, corporate executives, and business strategists gathered to debate the key challenges of business and investment in Bolivia. The high-level event brought together national and international participants to exchange ideas, identify obstacles to growth, and explore opportunities for innovation and competitiveness in the Bolivian market. One of the central moments of the forum was the presentation by economist Hugo Siles, who unveiled the much-anticipated Ranking of the 500 Largest Companies in Bolivia 2025. This comprehensive study evaluates the structure, contribution, and resilience of the country’s most significant business players in a challenging macroeconomic environment.
Held in the dynamic city of Santa Cruz de la Sierra, often considered the economic capital of Bolivia, Summit Invest Bolivia 2025 became a platform for dialogue between the public and private sectors. The forum attracted analysts, investors, academics, and business leaders from across the country, who examined the current state of the Bolivian economy, the factors affecting its competitiveness, and the outlook for medium-term recovery.
Organized with the support of the National Chamber of Industries (CNI), Cainco, and Economy Magazine as a strategic partner, the event emphasized collaboration and evidence-based discussion. The forum’s highlight was, without doubt, the presentation of the Ranking of the 500 Largest Companies in Bolivia 2025, prepared by renowned economist Hugo Siles Espada. In his remarks, Siles underlined the importance of maintaining a formal, organized, and transparent business sector amid the country’s current economic slowdown and declining levels of private and foreign investment. He argued that despite the constraints on liquidity, trade, and production, Bolivia’s formal companies have continued to demonstrate resilience and adaptability.
According to Siles, the ranking paints a nuanced picture of Bolivia’s economy. While many sectors are under stress, the core of the business community remains solid. The data revealed that the 500 largest companies collectively generate more than 80% of the formal GDP, employ approximately 350,000 people directly, and contribute about 60% of national tax revenues. These firms serve as the backbone of Bolivia’s formal economy, driving innovation, job creation, and sustainable growth even in the face of structural challenges.
However, Siles warned that Bolivia’s business ecosystem is under mounting pressure due to the persistent shortage of foreign currency, import restrictions, and rising costs of raw materials and logistics. The country’s dual currency market—where an official exchange rate coexists with a higher parallel rate—has complicated business operations, limiting access to dollars needed for imports and investment. “The lack of dollars and fuel affects all sectors across the board,” Siles said. “Nevertheless, formal enterprises have maintained stability in production and employment. This ranking shows that the private sector continues to be the true engine of the economy and a key driver of sustainable investment in Bolivia.”
Siles also pointed to broader macroeconomic vulnerabilities. If the current conditions persist, he warned, GDP growth could close the year below 1.5%, while the fiscal deficit remains at about 8% of GDP. International reserves continue to fall below US$3.5 billion. Such figures, he argued, are unsustainable in the long run. “These indicators call for a new economic and fiscal pact between the State and the private sector—a shared vision for a competitive and diversified Bolivia,” he emphasized