Bolivia largely outperformed during the downturn thanks to the country's strategic location andfavourable below-ground prospects. However, weak reserves growth of both oil and gas will create longtermuncertainty for production and exports. Continued investment in projects to monetise domestic gasresources for local consumption in the residential, power and industrial sectors could tighten the supplydemandpicture in the medium term.
Latest Updates And Key Forecasts
Significant operational headwinds will persist at Yacimientos Petrolíferos Fiscales Bolivianos (YPFB)given the company's reduced profits and budget in the wake of the global sector downturn. While ouroutlook for 2017 remains positive as a number of key projects advance, we caution that long-term growthwill be challenging to achieve.