... The bulk of public investment is destined for infrastructure, while the majority of subsidies are for ensuring the price of fuel doesn't rise. Bolivia is the only country in the region to see no rise in fuel prices, a policy that has kept inflation at less than 2%, unlike the rest of South America.

The report even states that fuel prices must rise, and the inflation that would inevitably cause could be offset by cash-transfer [payments] programs for the poorest sectors, says the IMF: "The successful implementation of an increase in domestic fuel prices will require recycling a part of the budget savings in cash transfer programs aimed at the poorest deciles of the population."...