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Bolivia marks 201 years of independence with government cuts amid economic crisis
🇧🇴 Bolivia /Economy & Trade

Bolivia marks 201 years of independence with government cuts amid economic crisis

From El Deber · () Spanish

Translated from Spanish, summarized and contextualized by DistantNews.

At a glance

News Sources not specified New plan
  • Bolivia is celebrating 201 years of independence amid economic crisis and government restructuring.
  • President Rodrigo Paz is reducing the number of ministries from 14 to 12 to improve efficiency and reduce bureaucracy.
  • The changes face criticism from tourism and arts sectors, and the government's legislative agenda may face challenges after a key supporter withdrew backing.

Bolivia is marking 201 years of independence with a government overhaul and persistent economic challenges. President Rodrigo Paz is streamlining the state by cutting ministries from 14 to 12, eliminating those for Development Planning and Sustainable Tourism, Culture, Folklore, and Gastronomy. The administration aims for a more "efficient" state and reduced bureaucracy.

the structure that is required to have austerity and a maximum use of the public budget

— José Luis GálvezPresidential spokesperson José Luis Gálvez explained the rationale behind reducing ministries, citing the need for austerity and efficient budget use amid the economic crisis.

However, these reforms have drawn criticism. Tourism operators argue the sector has been "degraded" by replacing the ministry with a national agency. Arts advocates accuse the government of neglecting culture in the new structure. Paz also reshuffled other ministries, proposing the former Minister of the Presidency, José Luis Lupo, as Bolivia's ambassador to the Organization of American States (OAS).

degraded

— tourism operatorsTourism operators expressed their dissatisfaction with the government's decision to replace the Ministry of Sustainable Tourism, Culture, Folklore, and Gastronomy with a national agency.

Adding to the political uncertainty, businessman Samuel Doria Medina announced his withdrawal of support for Paz's government, citing concerns about corruption and a lack of "integral" change. Lupo, who served as Doria Medina's vice-presidential running mate in the past, stated he joined Paz's cabinet "personally" and remains committed to the country.

omit

— arts promotersPromoters of the arts accused the government of neglecting cultural affairs in the new state structure.

It remains unclear whether this rift with Doria Medina will hinder the government's ability to pass reforms and new laws in Parliament, particularly for strategic sectors like hydrocarbons and energy, or for attracting investment. The upcoming parliamentary session in Sucre, the constitutional capital, will be a key test for Paz's administration as he presents his nine-month report.

I am concerned about corruption

— Samuel Doria MedinaBusinessman Samuel Doria Medina announced his withdrawal of support for President Paz's government, citing concerns about corruption and the lack of comprehensive change.
DistantNews Editorial

Originally published by El Deber in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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