In recent years, Peru has achieved success in its fight against inflation, to economic growth and improving quality of life of residents. The authorities have relied on the peace process and rigorous application of an economic program based on fiscal and monetary discipline. It has approved a package of measures to strengthen the market economy: flexible exchange rate, removal of restrictions on foreign capital flows, country’s openness to international trade. Despite the difficulties, the stabilization is confirmed. The economy is experiencing sustained growth. Tourism is a major resource of the country. The minimum wage is about 600 new soles per month.
Bolivia has been one of the poorest countries in Latin America. It has made great liberal reforms in the 1990s. Thus, President Gonzalo Sanchez de Lozada (1993-1997) has signed a free trade treaty with Mexico, and joined the Mercosur as an associate member. In addition, this president has privatized the airline, the telephone company, the railways, the electricity company and the oil company.
GDP growth slowed in 1999, partly due to fiscal austerity.
These restrictions put a brake implementation of programs against poverty. The economy depends heavily on aid from foreign countries. In particular, the United States participate in 2005 to 10% of the GDP of Bolivia, as part of the eradication program of coca as well as overall production is not known officially, Bolivia is considered the third largest supplier coca after Colombia and Peru. Bolivia has a large external debt. Imports come mainly from Brazil (40%), United States (13.9%), Colombia (8.7%), Peru (6.3%) and Japan (4.5%).
Its exports go mainly to Brazil (33.9%), United States (12.7%), Colombia (11.8%), Venezuela (11.6%), Peru (5.1%) Japan (4.2%). The main exports are natural gas, soybeans and derivatives, oil, zinc and tin.
Bolivia holds the second natural gas reserves in South America, behind Venezuela.