Country/Economy Profiles - WEF - World Economic Forum
2.1: Country/Economy Profiles
Bolivia Key indicators, 2010
GDP (PPP) per capita (int’l $), 1985–2010
Population (millions).................................................10.0 GDP (US$ billions).....................................................19.4 GDP per capita (US$) .............................................1,858 GDP (PPP) as share (%) of world total..................0.07
Bolivia
12,000
Latin America and the Caribbean
10,000 8,000 6,000 4,000 2,000 0
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
Global Competitiveness Index Rank (out of 142)
Stage of development
Score (1–7)
GCI 2011–2012 ...................................................... 103......3.8
Factor driven
Basic requirements (60.0%)...............................................95........ 4.2 Institutions...........................................................................123........ 3.1 Infrastructure......................................................................104........ 3.1 Macroeconomic environment ...........................................32........ 5.4 Health and primary education.........................................103........ 5.2
120
Transition 1–2
1
GCI 2010–2011 (out of 139)................................................108........ 3.6 GCI 2009–2010 (out of 133)................................................120........ 3.4
Transition 2–3
2
3
Efficiency driven
Innovation driven
Institutions 7
Innovation
5
Business sophistication
Efficiency enhancers (35.0%)..........................................125........ 3.2 Higher education and training...........................................95........ 3.7 Goods market efficiency...................................................136........ 3.3 Labor market efficiency....................................................140........ 3.3 Financial market development ........................................122........ 3.3 Technological readiness...................................................125........ 2.7 Market size ...........................................................................84........ 3.2
Infrastructure
6
Macroeconomic environment
4 3 2
Market size
Health and primary education
1
Higher education and training
Technological readiness
Innovation and sophistication factors (5.0%) ..............107........ 3.1 Business sophistication ...................................................106........ 3.4 Innovation............................................................................106........ 2.8
Financial market development
Goods market efficiency Labor market efficiency
Bolivia
Factor-driven economies
The most problematic factors for doing business Access to financing.............................................................27.4 Restrictive labor regulations..............................................21.8 Foreign currency regulations ............................................14.4 Inadequate supply of infrastructure.................................10.8 Inefficient government bureaucracy..................................8.1 Policy instability .....................................................................4.8 Corruption................................................................................2.8 Poor work ethic in national labor force.............................2.3 Inadequately educated workforce .....................................1.5 Inflation....................................................................................1.4 Poor public health..................................................................1.4 Tax regulations .......................................................................1.1 Government instability/coups..............................................0.9 Crime and theft.......................................................................0.8 Tax rates ..................................................................................0.8 0
5
10 15 Percent of responses
20
25
Note: From a list of 15 factors, respondents were asked to select the five most problematic for doing business in their country and to rank them between 1 (most problematic) and 5. The bars in the figure show the responses weighted according to their rankings.
The Global Competitiveness Report 2011-2012 © 2011 World Economic Forum
30
The Global Competitiveness Index in detail INDICATOR
VALUE RANK/142
INDICATOR
1st pillar: Institutions
VALUE RANK/142
6th pillar: Goods market efficiency
1.01 1.02 1.03 1.04 1.05 1.06 1.07 1.08 1.09 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21
Property rights....................................................... 2.7 .......... 136 Intellectual property protection ............................. 2.6 .......... 118 Diversion of public funds ...................................... 2.9 ............83 Public trust of politicians ....................................... 2.7 ............71 Irregular payments and bribes .............................. 2.7 .......... 132 Judicial independence........................................... 3.0 .......... 100 Favoritism in decisions of government officials .... 2.9 ............77 Wastefulness of government spending ................ 3.0 ............86 Burden of government regulation ......................... 3.2 ............ 74 Efficiency of legal framework in settling disputes 2.9 ...........110 Efficiency of legal framework in challenging regs. 2.9 .......... 107 Transparency of government policymaking........... 3.5 .......... 127 Business costs of terrorism .................................. 4.4 .......... 125 Business costs of crime and violence .................. 3.9 ...........111 Organized crime .................................................... 4.0 .......... 122 Reliability of police services.................................. 2.7 .......... 129 Ethical behavior of firms ....................................... 3.4 .......... 102 Strength of auditing and reporting standards ....... 3.6 .......... 127 Efficacy of corporate boards ................................. 3.7 .......... 137 Protection of minority shareholders’ interests...... 3.2 .......... 132 Strength of investor protection, 0–10 (best)* ....... 4.0 ...........111
2.01 2.02 2.03 2.04 2.05 2.06 2.07 2.08 2.09
Quality of overall infrastructure ............................. 3.4 .......... 112 Quality of roads..................................................... 3.0 .......... 106 Quality of railroad infrastructure............................ 2.5 ............70 Quality of port infrastructure................................. 3.1 .......... 121 Quality of air transport infrastructure .................... 3.8 .......... 108 Available airline seat kms/week, millions* .......... 68.1 ............90 Quality of electricity supply................................... 4.0 ............89 Fixed telephone lines/100 pop.* ........................... 8.5 ............99 Mobile telephone subscriptions/100 pop.* ......... 72.3 .......... 105
3.01 3.02 3.03 3.04 3.05 3.06
Government budget balance, % GDP*................. 2.0 ............15 Gross national savings, % GDP* ........................ 25.6 ............36 Inflation, annual % change*.................................. 2.5 ..............1 Interest rate spread, %* ....................................... 8.9 .......... 106 General government debt, % GDP* ....................37.4 ............61 Country credit rating, 0–100 (best)* ................... 36.5 ............91
4.01 4.02 4.03 4.04 4.05 4.06 4.07 4.08 4.09 4.10
Business impact of malaria ................................... 4.5 ...........110 Malaria cases/100,000 pop.* ............................ 788.9 .......... 104 Business impact of tuberculosis ........................... 4.0 .......... 124 Tuberculosis incidence/100,000 pop.* .............. 140.0 ............99 Business impact of HIV/AIDS ............................... 3.9 .......... 120 HIV prevalence, % adult pop.* ............................. 0.2 ............55 Infant mortality, deaths/1,000 live births*........... 39.7 .......... 107 Life expectancy, years*....................................... 66.0 .......... 109 Quality of primary education................................. 2.9 .......... 116 Primary education enrollment, net %* ................91.3 ............85
5.01 5.02 5.03 5.04 5.05 5.06 5.07 5.08
Secondary education enrollment, gross %*........81.3 ............89 Tertiary education enrollment, gross %* ............ 38.3 ............61 Quality of the educational system ........................ 3.1 .......... 106 Quality of math and science education ................ 3.0 ...........117 Quality of management schools ........................... 3.3 .......... 122 Internet access in schools..................................... 3.2 .......... 113 Availability of research and training services ........ 3.3 ...........111 Extent of staff training .......................................... 3.4 .......... 113
2nd pillar: Infrastructure
3rd pillar: Macroeconomic environment
4th pillar: Health and primary education
5th pillar: Higher education and training
6.01 6.02 6.03 6.04 6.05 6.06 6.07 6.08 6.09 6.10 6.11 6.12 6.13 6.14 6.15 6.16
Intensity of local competition................................ 3.8 .......... 134 Extent of market dominance................................. 3.3 ............97 Effectiveness of anti-monopoly policy................... 3.3 .......... 115 Extent and effect of taxation................................. 3.3 ............87 Total tax rate, % profits*..................................... 80.0 .......... 136 No. procedures to start a business*...................... 15 .......... 134 No. days to start a business* ................................ 50 .......... 123 Agricultural policy costs ........................................ 3.5 .......... 100 Prevalence of trade barriers .................................. 3.6 .......... 131 Trade tariffs, % duty*............................................ 8.7 ............95 Prevalence of foreign ownership........................... 3.5 .......... 128 Business impact of rules on FDI........................... 3.3 .......... 132 Burden of customs procedures ............................ 3.0 .......... 129 Imports as a percentage of GDP* ...................... 32.9 .......... 105 Degree of customer orientation............................ 3.6 .......... 130 Buyer sophistication.............................................. 2.9 .......... 109
7.01 7.02 7.03 7.04 7.05 7.06 7.07 7.08 7.09
Cooperation in labor-employer relations................ 3.6 .......... 124 Flexibility of wage determination .......................... 4.2 ...........117 Rigidity of employment index, 0–100 (worst)* ....77.0 .......... 140 Hiring and firing practices ..................................... 3.5 .......... 100 Redundancy costs, weeks of salary* .....not possible .......... 139 Pay and productivity .............................................. 3.2 .......... 115 Reliance on professional management ................. 3.2 .......... 134 Brain drain ............................................................. 2.7 .......... 106 Women in labor force, ratio to men*.................. 0.77 ............72
8.01 8.02 8.03 8.04 8.05 8.06 8.07 8.08
Availability of financial services............................. 3.7 .......... 113 Affordability of financial services .......................... 3.5 ...........111 Financing through local equity market .................. 3.3 ............84 Ease of access to loans ........................................ 2.9 ............62 Venture capital availability ..................................... 2.9 ............48 Soundness of banks.............................................. 4.4 ...........117 Regulation of securities exchanges....................... 4.0 ............86 Legal rights index, 0–10 (best)* .............................1.0 .......... 138
9.01 9.02 9.03 9.04 9.05 9.06
Availability of latest technologies .......................... 3.7 .......... 136 Firm-level technology absorption .......................... 3.6 .......... 139 FDI and technology transfer.................................. 3.6 .......... 133 Internet users/100 pop.*..................................... 20.0 ............96 Broadband Internet subscriptions/100 pop.* .........1.0 .......... 100 Internet bandwidth, kb/s/capita*........................... 0.9 ............93
2.1: Country/Economy Profiles
Bolivia
7th pillar: Labor market efficiency
8th pillar: Financial market development
9th pillar: Technological readiness
10th pillar: Market size 10.01 Domestic market size index, 1–7 (best)*.............. 3.0 ............89 10.02 Foreign market size index, 1–7 (best)* ................. 3.8 ............88
11th pillar: Business sophistication 11.01 11.02 11.03 11.04 11.05 11.06 11.07 11.08 11.09
Local supplier quantity .......................................... 3.8 .......... 135 Local supplier quality............................................. 3.8 .......... 120 State of cluster development................................ 3.3 ............86 Nature of competitive advantage .......................... 3.2 ............87 Value chain breadth ............................................... 3.2 ............94 Control of international distribution....................... 3.7 ............96 Production process sophistication ........................ 3.2 ............93 Extent of marketing............................................... 3.5 .......... 106 Willingness to delegate authority ......................... 3.4 ............92
12.01 12.02 12.03 12.04 12.05 12.06 12.07
Capacity for innovation.......................................... 3.0 ............70 Quality of scientific research institutions .............. 3.0 .......... 108 Company spending on R&D.................................. 3.0 ............78 University-industry collaboration in R&D............... 3.1 .......... 107 Gov’t procurement of advanced tech products..... 3.2 .......... 107 Availability of scientists and engineers ................. 3.5 .......... 104 Utility patents granted/million pop.* ..................... 0.0 ............90
12th pillar: Innovation
Notes: Values are on a 1-to-7 scale unless otherwise annotated with an asterisk (*). For further details and explanation, please refer to the section “How to Read the Country/Economy Profiles” on page 89.
The Global Competitiveness Report 2011-2012 © 2011 World Economic Forum
121
Bolivia Key indicators, 2010
GDP (PPP) per capita (int’l $), 1985–2010
Population (millions).................................................10.0 GDP (US$ billions).....................................................19.4 GDP per capita (US$) .............................................1,858 GDP (PPP) as share (%) of world total..................0.07
Bolivia
12,000
Latin America and the Caribbean
10,000 8,000 6,000 4,000 2,000 0
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
2010
Global Competitiveness Index Rank (out of 142)
Stage of development
Score (1–7)
GCI 2011–2012 ...................................................... 103......3.8
Factor driven
Basic requirements (60.0%)...............................................95........ 4.2 Institutions...........................................................................123........ 3.1 Infrastructure......................................................................104........ 3.1 Macroeconomic environment ...........................................32........ 5.4 Health and primary education.........................................103........ 5.2
120
Transition 1–2
1
GCI 2010–2011 (out of 139)................................................108........ 3.6 GCI 2009–2010 (out of 133)................................................120........ 3.4
Transition 2–3
2
3
Efficiency driven
Innovation driven
Institutions 7
Innovation
5
Business sophistication
Efficiency enhancers (35.0%)..........................................125........ 3.2 Higher education and training...........................................95........ 3.7 Goods market efficiency...................................................136........ 3.3 Labor market efficiency....................................................140........ 3.3 Financial market development ........................................122........ 3.3 Technological readiness...................................................125........ 2.7 Market size ...........................................................................84........ 3.2
Infrastructure
6
Macroeconomic environment
4 3 2
Market size
Health and primary education
1
Higher education and training
Technological readiness
Innovation and sophistication factors (5.0%) ..............107........ 3.1 Business sophistication ...................................................106........ 3.4 Innovation............................................................................106........ 2.8
Financial market development
Goods market efficiency Labor market efficiency
Bolivia
Factor-driven economies
The most problematic factors for doing business Access to financing.............................................................27.4 Restrictive labor regulations..............................................21.8 Foreign currency regulations ............................................14.4 Inadequate supply of infrastructure.................................10.8 Inefficient government bureaucracy..................................8.1 Policy instability .....................................................................4.8 Corruption................................................................................2.8 Poor work ethic in national labor force.............................2.3 Inadequately educated workforce .....................................1.5 Inflation....................................................................................1.4 Poor public health..................................................................1.4 Tax regulations .......................................................................1.1 Government instability/coups..............................................0.9 Crime and theft.......................................................................0.8 Tax rates ..................................................................................0.8 0
5
10 15 Percent of responses
20
25
Note: From a list of 15 factors, respondents were asked to select the five most problematic for doing business in their country and to rank them between 1 (most problematic) and 5. The bars in the figure show the responses weighted according to their rankings.
The Global Competitiveness Report 2011-2012 © 2011 World Economic Forum
30
The Global Competitiveness Index in detail INDICATOR
VALUE RANK/142
INDICATOR
1st pillar: Institutions
VALUE RANK/142
6th pillar: Goods market efficiency
1.01 1.02 1.03 1.04 1.05 1.06 1.07 1.08 1.09 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21
Property rights....................................................... 2.7 .......... 136 Intellectual property protection ............................. 2.6 .......... 118 Diversion of public funds ...................................... 2.9 ............83 Public trust of politicians ....................................... 2.7 ............71 Irregular payments and bribes .............................. 2.7 .......... 132 Judicial independence........................................... 3.0 .......... 100 Favoritism in decisions of government officials .... 2.9 ............77 Wastefulness of government spending ................ 3.0 ............86 Burden of government regulation ......................... 3.2 ............ 74 Efficiency of legal framework in settling disputes 2.9 ...........110 Efficiency of legal framework in challenging regs. 2.9 .......... 107 Transparency of government policymaking........... 3.5 .......... 127 Business costs of terrorism .................................. 4.4 .......... 125 Business costs of crime and violence .................. 3.9 ...........111 Organized crime .................................................... 4.0 .......... 122 Reliability of police services.................................. 2.7 .......... 129 Ethical behavior of firms ....................................... 3.4 .......... 102 Strength of auditing and reporting standards ....... 3.6 .......... 127 Efficacy of corporate boards ................................. 3.7 .......... 137 Protection of minority shareholders’ interests...... 3.2 .......... 132 Strength of investor protection, 0–10 (best)* ....... 4.0 ...........111
2.01 2.02 2.03 2.04 2.05 2.06 2.07 2.08 2.09
Quality of overall infrastructure ............................. 3.4 .......... 112 Quality of roads..................................................... 3.0 .......... 106 Quality of railroad infrastructure............................ 2.5 ............70 Quality of port infrastructure................................. 3.1 .......... 121 Quality of air transport infrastructure .................... 3.8 .......... 108 Available airline seat kms/week, millions* .......... 68.1 ............90 Quality of electricity supply................................... 4.0 ............89 Fixed telephone lines/100 pop.* ........................... 8.5 ............99 Mobile telephone subscriptions/100 pop.* ......... 72.3 .......... 105
3.01 3.02 3.03 3.04 3.05 3.06
Government budget balance, % GDP*................. 2.0 ............15 Gross national savings, % GDP* ........................ 25.6 ............36 Inflation, annual % change*.................................. 2.5 ..............1 Interest rate spread, %* ....................................... 8.9 .......... 106 General government debt, % GDP* ....................37.4 ............61 Country credit rating, 0–100 (best)* ................... 36.5 ............91
4.01 4.02 4.03 4.04 4.05 4.06 4.07 4.08 4.09 4.10
Business impact of malaria ................................... 4.5 ...........110 Malaria cases/100,000 pop.* ............................ 788.9 .......... 104 Business impact of tuberculosis ........................... 4.0 .......... 124 Tuberculosis incidence/100,000 pop.* .............. 140.0 ............99 Business impact of HIV/AIDS ............................... 3.9 .......... 120 HIV prevalence, % adult pop.* ............................. 0.2 ............55 Infant mortality, deaths/1,000 live births*........... 39.7 .......... 107 Life expectancy, years*....................................... 66.0 .......... 109 Quality of primary education................................. 2.9 .......... 116 Primary education enrollment, net %* ................91.3 ............85
5.01 5.02 5.03 5.04 5.05 5.06 5.07 5.08
Secondary education enrollment, gross %*........81.3 ............89 Tertiary education enrollment, gross %* ............ 38.3 ............61 Quality of the educational system ........................ 3.1 .......... 106 Quality of math and science education ................ 3.0 ...........117 Quality of management schools ........................... 3.3 .......... 122 Internet access in schools..................................... 3.2 .......... 113 Availability of research and training services ........ 3.3 ...........111 Extent of staff training .......................................... 3.4 .......... 113
2nd pillar: Infrastructure
3rd pillar: Macroeconomic environment
4th pillar: Health and primary education
5th pillar: Higher education and training
6.01 6.02 6.03 6.04 6.05 6.06 6.07 6.08 6.09 6.10 6.11 6.12 6.13 6.14 6.15 6.16
Intensity of local competition................................ 3.8 .......... 134 Extent of market dominance................................. 3.3 ............97 Effectiveness of anti-monopoly policy................... 3.3 .......... 115 Extent and effect of taxation................................. 3.3 ............87 Total tax rate, % profits*..................................... 80.0 .......... 136 No. procedures to start a business*...................... 15 .......... 134 No. days to start a business* ................................ 50 .......... 123 Agricultural policy costs ........................................ 3.5 .......... 100 Prevalence of trade barriers .................................. 3.6 .......... 131 Trade tariffs, % duty*............................................ 8.7 ............95 Prevalence of foreign ownership........................... 3.5 .......... 128 Business impact of rules on FDI........................... 3.3 .......... 132 Burden of customs procedures ............................ 3.0 .......... 129 Imports as a percentage of GDP* ...................... 32.9 .......... 105 Degree of customer orientation............................ 3.6 .......... 130 Buyer sophistication.............................................. 2.9 .......... 109
7.01 7.02 7.03 7.04 7.05 7.06 7.07 7.08 7.09
Cooperation in labor-employer relations................ 3.6 .......... 124 Flexibility of wage determination .......................... 4.2 ...........117 Rigidity of employment index, 0–100 (worst)* ....77.0 .......... 140 Hiring and firing practices ..................................... 3.5 .......... 100 Redundancy costs, weeks of salary* .....not possible .......... 139 Pay and productivity .............................................. 3.2 .......... 115 Reliance on professional management ................. 3.2 .......... 134 Brain drain ............................................................. 2.7 .......... 106 Women in labor force, ratio to men*.................. 0.77 ............72
8.01 8.02 8.03 8.04 8.05 8.06 8.07 8.08
Availability of financial services............................. 3.7 .......... 113 Affordability of financial services .......................... 3.5 ...........111 Financing through local equity market .................. 3.3 ............84 Ease of access to loans ........................................ 2.9 ............62 Venture capital availability ..................................... 2.9 ............48 Soundness of banks.............................................. 4.4 ...........117 Regulation of securities exchanges....................... 4.0 ............86 Legal rights index, 0–10 (best)* .............................1.0 .......... 138
9.01 9.02 9.03 9.04 9.05 9.06
Availability of latest technologies .......................... 3.7 .......... 136 Firm-level technology absorption .......................... 3.6 .......... 139 FDI and technology transfer.................................. 3.6 .......... 133 Internet users/100 pop.*..................................... 20.0 ............96 Broadband Internet subscriptions/100 pop.* .........1.0 .......... 100 Internet bandwidth, kb/s/capita*........................... 0.9 ............93
2.1: Country/Economy Profiles
Bolivia
7th pillar: Labor market efficiency
8th pillar: Financial market development
9th pillar: Technological readiness
10th pillar: Market size 10.01 Domestic market size index, 1–7 (best)*.............. 3.0 ............89 10.02 Foreign market size index, 1–7 (best)* ................. 3.8 ............88
11th pillar: Business sophistication 11.01 11.02 11.03 11.04 11.05 11.06 11.07 11.08 11.09
Local supplier quantity .......................................... 3.8 .......... 135 Local supplier quality............................................. 3.8 .......... 120 State of cluster development................................ 3.3 ............86 Nature of competitive advantage .......................... 3.2 ............87 Value chain breadth ............................................... 3.2 ............94 Control of international distribution....................... 3.7 ............96 Production process sophistication ........................ 3.2 ............93 Extent of marketing............................................... 3.5 .......... 106 Willingness to delegate authority ......................... 3.4 ............92
12.01 12.02 12.03 12.04 12.05 12.06 12.07
Capacity for innovation.......................................... 3.0 ............70 Quality of scientific research institutions .............. 3.0 .......... 108 Company spending on R&D.................................. 3.0 ............78 University-industry collaboration in R&D............... 3.1 .......... 107 Gov’t procurement of advanced tech products..... 3.2 .......... 107 Availability of scientists and engineers ................. 3.5 .......... 104 Utility patents granted/million pop.* ..................... 0.0 ............90
12th pillar: Innovation
Notes: Values are on a 1-to-7 scale unless otherwise annotated with an asterisk (*). For further details and explanation, please refer to the section “How to Read the Country/Economy Profiles” on page 89.
The Global Competitiveness Report 2011-2012 © 2011 World Economic Forum
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