Bolivia's Ministry of Finance, through the Vice Minister of Pensions and Financial Services Miguel Ángel Ríos, issued a public clarification that the resources managed by the Gestora Pública de la Seguridad Social de Largo Plazo are invested in publicly offered financial instruments and are not loans to the Government. The statement challenged media and analyst claims that the administrator allocated more than USD 8.7 billion to fund the fiscal deficit or that one in three dollars contributed by workers was lent to the State. Investment activity is framed by Pension Law No 065 and its regulations, which require placement in publicly offered instruments with risk diversification through the securities market. The Ministry reported that the portfolio is allocated 36.7% to bonds of the General Treasury of the Nation and the Central Bank of Bolivia, with the remaining 63.3% placed across the banking and non-banking financial system, private issuers in productive sectors including telecommunications, electricity, hydrocarbons, mining and transport, as well as investments abroad. It also cited a 4.4% return achieved in August 2025, compared with an average 2.7% reported for the previous private pension fund administrators during their final years in Bolivia, and contrasted the current diversification regime with the earlier legal requirement under Law 1732 that obliged a 75% allocation to the public sector. The release also pointed to governance and transparency arrangements, including execution via the Bolivian Stock Exchange and review of each proposal by the Gestora’s Investment Committee, which assesses market conditions, bond type, tenor and risk ratings, with no government intervention.
Ministry of Finance (Bolivia) 2025-09-04
Bolivia's Ministry of Finance rebuts claims that the public pension manager is financing the fiscal deficit and publishes portfolio and performance figures
Bolivia's Ministry of Finance clarified that the Gestora Pública de la Seguridad Social de Largo Plazo invests in publicly offered financial instruments, not government loans, countering claims of funding the fiscal deficit. The portfolio is diversified, with 36.7% in bonds from the General Treasury and Central Bank, and 63.3% in various sectors and international investments, achieving a 4.4% return in August 2025. Governance includes oversight by the Gestora’s Investment Committee, ensuring transparency and no government intervention.