About this work
Bloomberg Línea reports that Bolivia ended 15 years of a fixed exchange rate and moved to a managed flexible regime. Jonathan Fortun of the IIF explained how the new official rate will be calculated from bank dollar purchases, and cautioned that it is not a clean float because banks cannot sell above that rate plus Bs 0.10. He warned that the margin cannot fix a dollar shortage, and said the key test is whether people can actually buy dollars at that price.