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Andean Group - December 2011 (ISSN 1741-4466)

BOLIVIA: Nationalisation process under the spotlight

“The most important investment underway in this [hydrocarbons] sector,” was how Bolivia’s president, Evo Morales, described the US$640m earmarked for 2010-2014 by Spain’s Repsol during a recent meeting with Repsol’s president, Antonio Brufau, in which the latter reiterated the company’s commitment to Bolivia. Brufau’s show of commitment, which once again illustrates that the nationalisation process – a declared tenet of Morales’s 2009 plurinational constitution – has failed to deter foreign investors, comes as two recently released reports challenge the extent and success of the nationalisation policy.

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