LatinNews Daily - 19 January 2026

*The international credit ratings agency Fitch has raised its credit rating for Bolivia from ‘CCC-’ to ‘CCC’, which indicates ‘substantial credit risk’. Fitch said that “the upgrade of Bolivia’s rating reflects easing risks of default or restructuring due to reduced political constraints on external financing, financing commitments from multilaterals, and the elimination of fuel subsidies, which should support fiscal deficit reduction and reserve accumulation”. It noted that Bolivia’s risk of default has lessened, following previous concerns about the country’s ability to make US$388m in bond repayments due in March this year. Nevertheless, Fitch emphasised that “risks remain high given still very narrow external liquidity buffers”. It highlighted “persistent large fiscal deficits largely financed by the central bank in recent years and macroeconomic weaknesses, including contracting growth and high inflation.” It added, however, that these weaknesses are “offset by the relatively low external commercial debt burden and near-term maturities as well as ongoing economic reform program aimed to correct macroeconomic imbalances and boost international reserves.”

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