Bolivia and Argentina have reached an agreement for Argentina to settle overdue payments for 2023’s natural gas exports. This financial influx is crucial for alleviating FX market tensions in Bolivia. With international reserves at a critical low of USD 1.8 bln at the end of 2023, of which only USD 166 mln is in liquid assets, Bolivia faces a severe FX shortage. This shortage has led to delayed international payments by importers and significant restrictions on USD cash withdrawals. Consequently, the parallel exchange rate has surged over 20% above the official rate.