Bolivia's economy forecast to grow above 6 pct this year- minister

[Judi Lynn]

Bolivia's economy forecast to grow above 6 pct this year- minister

LA PAZ | Thu Oct 24, 2013 1:02pm EDT

Oct 24 (Reuters) - Bolivia's economic growth will exceed 6 percent this year, outpacing the government's goal of a 5.5 percent expansion, the Andean nation's economy minister said on Thursday.

The growth estimate is also higher than the International Monetary Fund's most recent growth forecast of 5.4 percent for Bolivia in 2013.

The land-locked South American nation has posted one of the highest growth rates in the region this year thanks to rising consumer demand and an increase in natural gas exports to neighboring Argentina and Brazil.

"We're going to grow above 6 percent this year, that's already better than the goal we had of 5.5 percent. We're a lot better," Minister Luis Arce told reporters in La Paz.

http://www.reuters.com/article/2013/10/24/bolivia-economy-idUSL1N0IE1C620131024?rpc=401

(Short article, no more at link.)

[FrodosPet]

1. Did "The 700 Club" promoting quinoa help Bolivia?

Unfortunately, I know that fact because my ex-roommate used to watch the show. Then, she would go flip some I-Ching coins, and then go spend lots of the little money she had on healing crystals and quinoa.

In any case, as Bolivia is one of the poorest nations on Earth, any good news is great news.

[Socialistlemur]

2. Seems to me its a bit silly to claim too high a figure

The latest forecasts by independent bodies range between 5.2 and 5.4 %. Bolivia lives from commodity exports, and the economy isn't exactly dynamic because the government tends to promote state owned companies and nationalizes foreign property without thinking about the consequences. Therefore it remains highly dependent on what happens elsewhere. I'd say the probability of exceeding 6% is extremely low.

Then there's another issue to consider. Evidently the bulk of government supporters aren't too much into economic statistics. So who is the target for such a comment? Foreign investors of Bolivian bonds?