The severe dollar shortage in Bolivia has recently fueled illegal transactions using cryptocurrencies. It has been reported that there is a surge in cases where Bolivians purchase cryptocurrencies, travel to Paraguay, and exchange them for dollars on the black market. According to the Paraguayan Exchange Houses Association, they then bring the cash back to Bolivia and sell it at high prices on the black market.

Emil Mendoza, the representative of the Paraguayan Exchange Houses Association, expressed concern, saying, "This is a situation similar to the era of former Argentine President Cristina Fernández." Although the Central Bank of Paraguay (BCP) injected $85 million into the market to address the dollar shortage, it has been insufficient to prevent the outflow of dollars to Bolivia.

Bolivian Economic Crisis Deepens... Shortage of Essential Goods such as Fuel and Medicine

The Bolivian economy is facing a severe crisis due to the dollar shortage. There are disruptions in the import of fuel (diesel, gasoline), and prices of essential goods such as medicines and car parts are skyrocketing.

In exchange houses in Tarija, the exchange rate is 12.50 to 13.00 Bolivianos per dollar, and in Yacuiba and Bermejo near the Argentine border, it has soared up to 14.00 Bolivianos. A currency exchanger on Bolivar Street in Tarija said, "We have dollars, but they are very scarce."

Paraguay Requests Police Cooperation to Block Dollar Outflow

The Paraguayan Exchange Houses Association has requested the cooperation of the National Police Economic Crime Department to prevent the outflow of dollars to Bolivia. The Central Bank's position is that police cooperation is essential since it is not a law enforcement agency. The black market provides an opportunity for Bolivians to secure dollars through cryptocurrencies, further intensifying the illegal outflow of dollars.