Bolivia's Ministry of Economy and Public Finance, together with the Attorney General's Office and pension sector bodies, briefed on the Netherlands Supreme Court’s final decision in the BBVA arbitration, which leaves the state required to pay compensation of about USD 105 million under an International Centre for Settlement of Investment Disputes award linked to the nationalisation of pension fund administration. The authorities attributed the outcome to decisions taken by previous administrations and said the state will seek to limit the economic impact while identifying those responsible. The award found Bolivia had breached international standards including fair and equitable treatment and the prohibition of arbitrary measures, and the arbitration was formally initiated in 2017. The Public Social Security Fund Manager stated that pension funds are independent and protected under existing rules, and that individuals’ retirement savings will not be affected. Next steps include technical audits of currently active arbitration processes, work to identify structural weaknesses in legal and administrative case management, and a review of how the transition processes that triggered the disputes were conducted. After identifying responsible parties, the authorities plan to initiate actions aimed at recovering the amounts that are generating the economic damage to the state.

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