During the visit of Bolivian Vice President Victor Hugo Cárdenas

(Caracas, November 14, 1994). -- During an official visit to Venezuela -- in which he assumed the presidency of the Andean Parliament -- the Constitutional Vice President of the Republic of Bolivia, Victor Hugo Cárdenas, today visited CAF headquarters in Caracas.

He met with CAF President & CEO Enrique García – a former Bolivian Planning Minister and chief of Economic Cabinet – to analyze the operations that the Corporation is executing in his country and their future potential.

In this respect, at the recent meeting of the Ninth Consultative Group for Bolivia, held in Paris November 2 to 4, CAF expressed its interest in cofinancing construction of the Bolivian gas pipeline to San Paolo and the north of Chile, with a US$100 million contribution.

CAF also agreed to continue offering its support for the second generation of structural reforms which the Bolivian government is implementing, and which is awaiting approval of loan applications and other operations for US$350 million for 1995. In this context, a US$18 million contribution will be granted to cooperate with setting up a Capitalization Fund to support this important process in the country.

García said that since 1994, the Corporation had approved operations in favor of Bolivia for US$232 million, including short-, medium- and long-term loans, equity participation, acquisition of bonds and technical cooperation. CAF is also cooperating with development of capital markets, the health sector, the pension system, with Capitalization and Popular Participation programs, physical infrastructure, modernization of the State, and strengthening the export sector.

"Over half these approvals directly benefit the private sector, which maintains a strong presence in the financing of the country’s productive sectors," he said.

On the public sector – García said -- CAF is a strong supporter of physical integration, especially road projects which upgrade transport in border areas and improve the competitiveness of exports.

CAF is formed by the five countries of the Andean Group and its shareholders include Chile, Mexico and Trinidad and Tobago, together with 22 private banks from the Andean region.