By: Lykke E. Andersen*
According to Nina and Arduz (2016), the density of roads in Bolivia is about 8 km per 100 km2 of territory, which is less than half the average density in Latin America and less than a third of the world average of 28 km/100 km2. By 2012, about 52% of the primary road network was paved, while a very small fraction of other roads was paved. The lack of good roads constitutes a serious limitation on the development of the country, as it dramatically increases transportation time and vehicle maintenance costs, and therefore transport costs (1).
This situation is pretty much inevitable for a large, sparsely populated, mountainous, jungle covered country, like Bolivia, but the Government of Bolivia has been doing its best to improve the situation by channelling enormous amounts of money into road construction (around USD 10 billion during the last 10 years), making the transport sector by far the single biggest recipient of public funds. For example, last year the Bolivian Government budgeted 28.9% of all public investment to the transport sector (28.9% of USD 6.4 billion amounts to USD 1.8 billion), while the education and health sectors received 5.5% each, and the water infrastructure sector only 0.9% (2).
The problem is that almost all of these road investments have been unbelievably badly executed.
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