Bolivia's Chamber of Deputies to consolidate four investment bills into one law

Bolivia's Chamber of Deputies has initiated negotiations to consolidate four distinct investment bill proposals into a single, comprehensive law. The process aims to streamline regulations and create a more attractive environment for both domestic and foreign capital.

The most recent proposal, submitted by the executive branch, is an ambitious 103-article bill intended to replace the existing investment law from 2014. This new legislation outlines new rules for attracting investment, including tax incentives, public-private partnerships, and mechanisms for resolving disputes. Roberto Castro, president of the Chamber of Deputies, confirmed that the four proposals would be unified during their treatment, emphasizing the need to reach consensus among political forces.

Castro stated that the government's bill would be sent to the Economic Policy and Finance Commission for a 15-day review. He indicated that due to the proposal's length and the existence of three other initiatives, technical work would precede any debate in the full chamber. The goal is to create a single law that can garner broad approval, potentially with a two-thirds majority.

The executive's proposal, titled the Law for the Promotion, Protection, and Facilitation of Productive Investments, includes incentives designed to lower the costs of new investments. These benefits may involve exemptions from VAT and customs duties on imported capital goods, machinery, and equipment. Additionally, it proposes tax credits for corporate income tax, contingent on meeting targets related to job creation, exports, industrialization, and innovation.

Further provisions include the establishment of a National Investment Agency and a One-Stop Shop to centralize and expedite procedures. Investment contracts could offer stability on certain conditions and incentives for up to 10 years. The Chamber has yet to publicly detail the content or authorship of the other three projects under consideration for unification, but discussions with political caucuses and coordination with the Ministry of Economy are underway.