Bolivia sees nationwide protests after fuel subsidies end

Protests erupted across Bolivia on Friday after fuel prices doubled following the government’s decision to end state subsidies that had kept prices low for nearly two decades. Demonstrations by bus drivers and traders brought traffic to a halt in major cities, including the administrative capital La Paz, the nearby city of El Alto, and the economic hub of Santa Cruz.

The subsidy cuts were announced on Wednesday by newly elected center-right President Rodrigo Paz as part of a broader reform package aimed at addressing a deep economic crisis. The government has blamed years of heavy spending on fuel subsidies for straining public finances, particularly as Bolivia struggles with a shortage of foreign currency needed to import fuel and other essential goods.

The price hikes, which took effect on Thursday, immediately led to a doubling of bus fares, placing pressure on commuters who rely heavily on public transport. Traders joined the protests, saying higher fuel costs were driving up prices and hurting sales. Many expressed frustration and disappointment with the new administration, including small business owners who had supported Paz during the recent election.

Bolivia’s economic situation has worsened in recent months, with annual inflation reaching nearly 20 percent in November. Attempts by previous governments to remove fuel subsidies have also triggered strong public resistance, making the issue politically sensitive.

Opposition to the price increases is expected to intensify. A mining union has announced an indefinite strike, while coca growers led by former president Evo Morales plan a march in the coming days. Morales, who governed Bolivia from 2006 to 2019, was barred from running in this year’s election due to constitutional term limits but remains a prominent political figure.