Bolivia Ends 15-Year Dollar Peg, Moves to Flexible Exchange Rate

On 26 June 2026 the government issued a decree ending the 15-year peg that fixed the boliviano at 6.86 / 6.96 per dollar. The central bank set a new official rate of 9.73 bolivianos per dollar, a roughly 30 % devaluation, and moved to a flexible exchange-rate system.

Express TribuneBolivia Ends 15-Year Currency Peg in Major Economic Policy ShiftBolivia abandons 15-year dollar peg. Boliviano set for 30% free float plunge.

Since 2011 the peg relied on reserves accumulated during a natural-gas export boom. Falling gas revenues, lower commodity prices after 2014 and persistent dollar shortages reduced reserves to near-zero. A parallel market priced the dollar near 20 bolivianos, while most transactions already used a reference rate of about 9.90 bolivianos.

Bolivia Ends Its Dollar Peg. The Street Rate Was Already Three Times Higher.

• Official peg (2011-2026): 6.86 / 6.96 bolivianos per dollar.

Express Tribune

• Parallel market peak: ? 20 bolivianos per dollar.

Express Tribune

• New official rate: 9.73 bolivianos per dollar (? 30 % depreciation).

Bolivia Ends 15-Year Currency Peg in Major Economic Policy Shift

• IMF financing sought: $2.5 billion to $3.3 billion.

Reuters

The Economy Ministry said the reform would strengthen macroeconomic stability, preserve external competitiveness, and improve the balance of payments. The central bank will oversee the transition and rebuild reserves. The International Monetary Fund previously recommended abandoning the peg as a condition for broader support.

Bolivia Central Bank: 7 Changes After Dollar Peg

Labor groups, led by the Bolivian Workers' Central, have blocked highways since May, demanding the government rule out IMF borrowing they fear could impose austerity. President Rodrigo Paz declared a state of emergency to allow security forces to clear the blockades that had paralyzed transport and trade for nearly two months.

Bolivia Ends 15-Year Currency Peg in Major Economic Policy Shift

Sources differ on the IMF package size, citing a $2.5 billion minimum versus a $2.5-$3.3 billion range. The new official rate is reported as 9.73 bolivianos in some accounts, while others cite 9.90 bolivianos. No IMF comment was available at the time of reporting.

Reuters

• “strengthen macroeconomic stability, preserve external competitiveness and contribute to the balance of payments equilibrium.” — Economy Ministry, decree

Bolivia Ends 15-Year Currency Peg in Major Economic Policy Shift

• “Once you have this, the important thing is to continue getting dollars, to have international reserves in the central bank,” — Gonzalo Chávez, economist, local radio

Bolivia Ends 15-Year Currency Peg in Major Economic Policy Shift

• “The dollars are the condition.” — José Gabriel Espinoza, Finance Minister, interview

Bolivia Ends Its Dollar Peg. The Street Rate Was Already Three Times Higher.

• “Exchange rate flexibility can strengthen long-term stability when supported by sound economic policies,” — International Monetary Fund, prior guidance

Bolivia Central Bank: 7 Changes After Dollar Peg

Bolivia awaits approval of an Extended Fund Facility that would inject $2.5-$3.3 billion, enabling reserve rebuilding and anchoring the float. In the interim, the central bank must manage inflation from higher import costs, while labor protests could intensify if IMF talks stall.

Reuters