Exploring Bolivia's Markets: A Dollar's Worth

Bolivia is one of the most affordable countries in South America. The official currency of Bolivia is the boliviano, which is divided into 100 centavos or centécimos in Spanish. The exchange rate of the boliviano to the US dollar has remained stable for several years, with 1 USD worth around 6.9 bolivianos. With a dollar, you can buy small items like traditional Bolivian music CDs, hats, and textiles. You can also use your dollar to exchange it for bolivianos at casas de cambio (exchange agencies) or with street money-changers, but you will need to negotiate for a preferable rate. It is important to note that only crisp and new dollar bills are accepted for exchange, and it is recommended to bring smaller denomination notes for maximum flexibility in changing money.

Meals and drinks

With one US dollar, you can expect to buy a meal at a local food stall or a cheap restaurant. You could also purchase several items from a bakery, such as a loaf of bread, pastries, or empanadas.

For drinks, one US dollar can buy you a cup of coffee or tea, a bottle of water, or a soft drink. You could also get a beer at a local bar or restaurant.

While US dollars are accepted in larger cities and stores, you will need the local currency, the Boliviano, in smaller towns and remote regions. The exchange rate of the US dollar to the Boliviano has been stable for several years, with 1 USD worth around 6.9 Bolivianos.

It is recommended to bring new, crisp US dollar bills, as older bills are often inspected and rejected. Additionally, smaller denomination notes are preferable, as many small stores and village businesses will not accept large denominations.

ATMs are available in major cities and towns, but they may not be found in small villages. It is also important to note that there is a limit to the amount of money you can withdraw from ATMs, with smaller banks allowing withdrawals of around 1500 Bolivianos and larger banks permitting up to 6500 Bolivianos (approximately 950 USD) per transaction.

Credit cards are accepted in some mid-range and higher-end hotels, restaurants, and stores, but they may charge a service fee. Visa and Mastercard are the most widely accepted, while American Express is rarely accepted.

Transport

A dollar can go a long way in Bolivia, especially when it comes to transportation. Here are some options for getting around with a budget of one US dollar.

Buses

Local buses in Bolivia are a convenient and affordable way to get around, especially in cities like La Paz and Santa Cruz. While the exact fare may vary depending on the city and the length of your journey, a dollar should be more than enough to cover a few bus rides. Just keep in mind that local buses may not accept large denomination notes, so it's a good idea to have some smaller bills or coins.

Taxis

Taxis in Bolivia are also quite affordable. For a dollar, you can expect to cover a short taxi ride within the city. Taxi fares typically start with a base fee and then charge a per-kilometre rate. Remember that tipping taxi drivers is not customary in Bolivia, but you can round up the fare if you wish.

Trains

Although trains are not as prevalent in Bolivia as other forms of transportation, you may be able to get around certain areas, such as the city of Cochabamba, for less than a dollar. Train fares are usually very affordable, and you can often purchase tickets at the station right before departure.

Bicycle Rentals

In some tourist areas, you may find bicycle rental services that offer hourly or daily rates. With a dollar, you might be able to rent a bicycle for a short period to explore the nearby areas. This can be a fun and active way to get around while also enjoying the local scenery.

Ride-sharing Apps

Ride-sharing apps like Uber or local alternatives may be available in larger cities like La Paz and Santa Cruz. With a dollar, you can likely cover a short ride within the city, especially if you take advantage of promotional discounts or ride-sharing options.

Goods and services

Bolivia is one of the most affordable countries in South America. The local currency is the boliviano (Bs), which is divided into 100 centavos. The exchange rate of the boliviano to the US dollar has remained stable for several years, with 1 USD worth around 6.9 Bs.

With one US dollar in Bolivia, you could purchase:

• A range of traditional Bolivian goods, such as CDs of local music, hats, and textiles.
• A meal and a drink—meals and drinks cost approximately one-third to one-half of the price you would expect to pay in North America.
• A bus ride—local buses often don't accept large denomination notes, so you would need to break down a larger bill.
• Small treats or snacks—many small stores and village businesses in Bolivia won't accept large denominations, so having smaller coins is beneficial.
• Entrance fees for some tourist attractions—it's always good to have smaller denominations of cash on hand for such expenses.

Tipping

When it comes to tipping, here are some guidelines for different services:

Restaurants

In restaurants, it is customary to leave a 10% tip on the total bill. This is because a 10% service charge is often added to the bill, and if it's not included, a 10% tip is appreciated. It's important to note that while credit cards are accepted in some restaurants, they may add a transaction fee. So, it's always a good idea to carry cash to ensure you can leave a tip.

Taxis

Hotels

For hotel staff, it is common to tip bell boys Bs5-8 (Boliviano) per bag when they handle your baggage. For the maid service, a tip of around Bs8 per night is considered a nice gesture.

Bars

In bars, similar to restaurants, a service charge is often included in the total bill. If you enjoyed your experience, a 5-10% tip on the total is a good practice.

Tour Guides and Drivers

For tour guides, a tip of $5-10 per person per day is customary, and for drivers, a tip of $2-4 per person per day is appropriate. If you have a private guide, you may want to consider a higher tip of around $10 if you're especially pleased with their service.

It's worth noting that while US dollars are widely accepted in Bolivia due to the weakness of the Bolivian economy, carrying smaller denominations of Bolivianos is recommended for tipping, as some businesses and services may only accept the local currency. Additionally, change and coins are in short supply in Bolivia, so it's helpful to have a variety of note values to avoid issues with larger denominations.

Small purchases

A dollar can go a long way in Bolivia, as it is one of the most affordable countries in South America. The official currency of Bolivia is the boliviano, but you can use US dollars in larger cities and stores. However, smaller shops, stalls, and local businesses will only accept bolivianos.

Street Food

With a dollar, you can buy a variety of street food options in Bolivia. You can find empanadas, salteñas (meat and vegetable-filled pastries), choripan (sausage sandwiches), and anticuchos (grilled meat skewers) for around 3 to 10 bolivianos each.

Public Transportation

Public transportation in Bolivia is very affordable. A bus ride in La Paz costs 2 bolivianos, and a ride on the Mi Teleferico cable car system is 3 bolivianos. In other cities, such as Sucre and Cochabamba, bus fares are even lower, ranging from 1.5 to 2 bolivianos.

Snacks and Drinks

You can buy snacks and drinks for a dollar or less in Bolivia. For example, a bottle of Coca-Cola or a bag of chips usually costs around 5 bolivianos. Fresh fruit and vegetables are also very affordable in local markets.

Souvenirs

With a dollar, you can buy small souvenirs such as keychains, magnets, postcards, and handmade crafts from local markets. Prices can vary depending on the quality and location, but you can find many options within the 1-dollar range.

Newspaper

You can buy a newspaper for a dollar or less in Bolivia. For example, the daily newspaper "El Deber" costs 5 bolivianos, and other newspapers such as "La Razon" and "Los Tiempos" have similar prices.

Frequently asked questions