FATF Status

Bolivia is no longer on the FATF List of Countries that have been identified as having strategic AML deficiencies

Latest FATF Statement - 21 June 2013

The FATF welcomes Bolivia’s significant progress in improving its AML/CFT regime and notes that Bolivia has established the legal and regulatory framework to meet its commitments in its Action Plan regarding the strategic deficiencies that the FATF had identified in February 2010. Bolivia is therefore no longer subject to FATF’s monitoring process under its on-going global AML/CFT compliance process. Bolivia will work with GAFISUD as it continues to address the full range of AML/CFT issues identified in its Mutual Evaluation Report.

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.

Corruption remains a significant challenge in Bolivia, with laws in place to penalize officials for corrupt practices, yet enforcement is weak and cases against pro-government officials are seldom pursued. Reports from the UN and the Interdisciplinary Group of Independent Experts highlight the need for judicial reforms to prevent political misuse of the justice system and ensure due process. Despite Bolivia's ratification of international anti-corruption conventions, widespread bribery and clientelism continue to hinder business operations across various sectors.

Bolivia's economy is characterized by state control and interventionist policies, with significant nationalization in strategic sectors such as energy and mining. Despite having the lowest inflation rate in the region, the economy faces challenges including low foreign direct investment, high public debt, and a fragile financial system exacerbated by dollar scarcity and liquidity issues. Key sectors for potential investment include agriculture and energy, but legal and bureaucratic hurdles, along with a politicized judicial system, create an uncertain investment climate.

The investment climate in Bolivia remains challenging, with no significant improvements in trade and investment conditions over the past year. The government's interventionist policies, including nationalization of key sectors and a lack of incentives for foreign direct investment, contribute to an uncertain environment for investors. Additionally, a compromised judicial system and bureaucratic hurdles further deter potential investment.