China-funded steel plant boon to Bolivia's recovery

A mega steel plant in Puerto Suarez, Bolivia, largely financed by the Export-Import Bank of China, is expected to meet half of the Andean country's demand for steel and boost its economic recovery and industrial upgrading.

The $546 million Mutun plant, inaugurated on Feb 24, will be run by Sinosteel Engineering and Technology, a subsidiary of Chinese state-owned Sinosteel Corporation, in its first year of operations.

It is expected to create around 1,000 jobs for Bolivians, offering cheer at a time when the economy is grappling with low foreign currency reserves, fuel shortages, high inflation, and declining natural gas reserves.