City license payment exemption for new ventures

By PPO Abogados

The Government of La Paz, the seat of government and the legislative and executive capital of Bolivia, will exempt city license payment fees for two years for all new businesses and ventures originated at the city and its metropolitan area.

A bill unanimously sanctioned by the Municipal Council of La Paz looks to reactivate the city’s economy after a hard hit endured during and after Covid-19. The regulation aims to specifically favor those who lost their jobs during the pandemic.

“We want to make life easier for investors in the city of La Paz. We don't want national investments, creations and ideas to suffer barriers, run into problems or go to other places,” said Mayor Iván Arias. “The fair thing to do was to enact this regulation and encourage all Bolivian innovators who want to create jobs and execute businesses in La Paz,” he added.

The third-most populous city in Bolivia, La Paz remains the principal center of manufacturing enterprises that produce finished-product goods for the country, with about two-thirds of Bolivia's manufacturing located nearby. Other typical industries are mineral processing and agriculture.

Although Bolivia’s startup ecosystem is still small in comparison to other South American countries -155 active startups in 2021- during the pandemic there was a rise in financing, advice and support to these kind of ventures.