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Paraguay vs. Bolivia

Transnational Issues

ParaguayBolivia
Disputes - international

unruly region at convergence of Argentina-Brazil-Paraguay borders is locus of money laundering, smuggling, arms and illegal narcotics trafficking, and fundraising for violent extremist organizations

Chile and Peru rebuff Bolivia's reactivated claim to restore the Atacama corridor, ceded to Chile in 1884, but Chile offers instead unrestricted but not sovereign maritime access through Chile for Bolivian products; contraband smuggling, human trafficking, and illegal narcotic trafficking are problems in the porous areas of its border regions with all of its neighbors (Argentina, Brazil, Chile, Paraguay, and Peru)

Illicit drugsmajor illicit producer of cannabis, most or all of which is consumed in Brazil, Argentina, and Chile; transshipment country for Andean cocaine headed for Brazil, other Southern Cone markets, and Europe; weak border controls, extensive corruption and money-laundering activity, especially in the Tri-Border Area; weak anti-money-laundering laws and enforcementworld's third-largest cultivator of coca (after Colombia and Peru) with an estimated 37,500 hectares under cultivation in 2016, a 3 percent increase over 2015; third largest producer of cocaine, estimated at 275 metric tons potential pure cocaine in 2016; transit country for Peruvian and Colombian cocaine destined for Brazil, Argentina, Chile, Paraguay, and Europe; weak border controls; some money-laundering activity related to narcotics trade; major cocaine consumption

Source: CIA Factbook