Bolivia's 2002 gross domestic product (GDP) totaled $9 billion.
Economic growth is about 2.5% a year and inflation expected to
be between 3% and 4% in 2002 (it was under 1% in 2001). Since
1985, the Government of Bolivia has implemented a far-reaching
program of macroeconomic stabilization and structural reform
aimed at maintaining price stability, creating conditions for
sustained growth, and alleviating poverty. A major reform of the
customs service in recent years has significantly improved
transparency in this area. The most important structural changes
in the Bolivian economy have involved the capitalization of
numerous public sector enterprises. (Capitalization in the
Bolivian context is a form of privatization where investors
acquire a 50% share and management control of public enterprises
by agreeing to invest directly into the enterprise over several
years rather than paying cash to the government). Parallel
legislative reforms have locked into place market-oriented
policies, especially in the hydroc