Bolivia Country Summary

FATF Status

Bolivia is on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

The last follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Bolivia was undertaken in 2025. According to that Evaluation, Bolivia was deemed Compliant for 14 and Largely Compliant for 19 of the FATF 40 Recommendations. It remains Highly Effective for 0 and Substantially Effective for 1 of the Effectiveness ratings.

Bolivia faces significant challenges related to crime and corruption, with pervasive issues affecting governance and the judicial system. Despite legal frameworks against corruption, enforcement is weak, and cases involving pro-government officials often do not progress, leading to a climate of impunity that undermines public trust in institutions.

Additionally, the country grapples with various criminal markets, including drug trafficking and human trafficking, exacerbated by a lack of resources and corruption among local authorities. While civil society and media play important roles in exposing these issues, their efforts are often stymied by government pressure and social polarization, highlighting the resilience challenges Bolivia faces in combating crime and fostering effective governance.

Bolivia's economy is currently characterized by significant challenges, including a prolonged economic crisis marked by severe fuel shortages and a lack of foreign currency, which has led to a cautious investment climate. Despite the potential for investor-friendly reforms following the elections in August 2025, where pro-market parties gained a supermajority, the country faces hurdles such as inefficient state-owned enterprises, high public debt, and a fragile economy vulnerable to external shocks. While sectors like agriculture, energy, and mining present investment opportunities, political and economic uncertainties, coupled with interventionist policies and a weak judicial system, hinder Bolivia's ability to attract foreign direct investment and fully capitalize on its economic potential.