SOCIAL AND ENVIRONMENTAL IMPACTS OF WORLD BANK/IMF-FUNDED ECONOMIC RESTRUCTURING IN BOLIVIA: AN ANALYSIS OF ENRON AND SHELL'S HYDROCARBONS PROJECTS

With the spectacular financial collapse of Enron in 2001, Enron and Shell's Rio San Miguel‐Cuiabá gas pipeline gained international notoriety for degrading the last, most intact dry tropical forest in the world, Bolivia's Chiquitano forest. The paper uses specific case studies, including the case of the Cuiabá pipeline, to examine how economic restructuring sponsored by the World Bank, International Monetary Fund (IMF) and Inter‐American Development Bank (IDB) facilitated the entrance of multinational oil corporations that have caused significant social and environmental impacts in Bolivia. The paper explores the influence of international financial institutions and multinational oil corporations on Bolivian state institutions, particularly their ability to regulate and address impacts caused by developments in the hydrocarbons sector. It concludes that neoliberal policies, which resulted in partial privatisation of the state oil company and in expanded control over natural resources by multinational corporations (MNCs), were detrimental to sensitive ecosystems and indigenous inhabitants.