Economy of Bolivia
Though Bolivia has had a long spell of poor economy, this Latin American country is marching along the progress path to become a market-oriented economy. Efforts in this direction included the signing of a free trade agreement with Mexico and becoming an associate member of the Southern Cone Common Market (Mercosur), as well as the privatization of the state airline, telephone company, railroad, electric power company, and oil company. However, in 1999, growth slowed as a result of the government budget policies, which limited needed appropriations for anti-poverty programs, and the fallout from the Asian financial crisis. In 2000, major civil disturbances held down overall growth to 2.5%. Bolivia's GDP failed to grow in 2001 due to the global slowdown and a lack in domestic activity.
