From American Banker By TAMAR FRANKEL July 10, 2014 Many contributors helped bring about the most...
Institutions providing microfinance services in Bolivia include commercial banks (notably BancoSol), private financial funds (FFPs), cooperatives, mutual savings and loan societies, and NGOs. All financial organizations, including financial NGOs, are regulated by the Authority of Supervision of the Financial System (ASFI), though in practice NGOs are not as closely supervised. The Central Bank of Bolivia is responsible for issuing norms regarding the financial system as a whole. Several commercial banks, such as BancoSol, Banco Los Andes ProCredit, and Banco FIE, play an active role in microfinance.
Microfinance & Banking
Banking and Microfinance
- Law No. 1488 of 1993 on Banks and Financial Entities (amended through 2008) (Spanish)
- Law No. 1670 on the Central Bank of Bolivia (enacted in 1995) (Spanish)
- Law No. 2297 of 2001 on Strengthening of Financial Regulations and Supervision (enacted in 2001) (Spanish)
- Regulation and Supervision of Microfinance Institutions in Bolivia (enacted in ) (Spanish)
- Supreme Decree No. 24000 (on Private Financial Funds) (enacted in 1995) (English)
- General Cooperative Societies Law (enacted in 1958) (Spanish)
- Supreme Decree No. 24439 (governing the operation of credit cooperatives in Bolivia) (enacted in 1996) (Spanish)
- Resolution 143-91 (requirements for international NGOs) (enacted in 1991) (Spanish)
- Supreme Decree No. 22409 (creating a national registry for NGOs) (enacted in 1990) (Spanish)
- Supreme Decree No. 26140 (governing NGOs working with indigenous groups and peasant farmers) (enacted in 2001) (Spanish)
- Supreme Decree No. 26973 (regulations under Law 2446 regarding the organization of the executive power) (enacted in 2003) (Spanish)
Bolivia lacks a framework for financial consumer protection. The provisions of the Supreme Decree No. 29519 of 2008, which regulates competition and consumer protection, are not easily applicable to financial services and products. The Law No. 1488 of 1993 on Banks and Financial Entities of 1993 (as amended through 2008) has no provisions specific to consumer protection. While consumer protection does not seem to be a priority for the financial sector supervisor, the Supervisory Authority of the Financial System (ASFI) has introduced disclosure standards for MFIs, including the obligation to disclose terms and conditions in loan agreements, in particular with regard to interest rates, charges and fees.
- Compilation of Rules for Banks and Financial Institutions of 2010 (Section on Client and User Services) (enacted in 2010) (Spanish)
- Supreme Decree No. 29519 (enacted in 2008) (Spanish)