Bolivian workers march during a protest against the abolition of fuel subsidies in La Paz / AP
Thousands of workers from various sectors demonstrated in La Paz yesterday to demand that the Bolivian government repeal the decree that eliminated fuel subsidies and doubled the prices of gasoline and diesel. The protest, one of the largest since center-right President Rodrigo Paz took office, stretched from the city of El Alto to the capital’s political center, with slogans and chants against the measure passed last week.
The decree ended more than 20 years of subsidy policies that had kept fuel prices low in one of South America’s poorest countries. The government justified the decision by the severe economic crisis that Bolivia is currently experiencing, characterized by dollar shortages, the deterioration of international reserves and the increasing tax costs for importing fuel. According to the executive, the subsidy became unsustainable and exacerbated the imbalance in public finances.
But unions, miners, transport companies and indigenous organizations warned that the impact would directly hit popular sectors. “We are outraged by this decree, which primarily affects the working sector and those who live from day to day,” said Óscar Chavarría, head of private mining cooperatives. Protesters peacefully filled the area around the government headquarters, chanting: “Guns, shrapnel, people won’t shut up!”
State miners also warned of possible layoffs and cutbacks in public companies. “At this rate we will have to see layoffs in state-owned companies,” said Simón Choque, a worker at the Colquiri mine. Peasants and indigenous peoples also joined the mobilization, such as Hilarión Mamani, who called for the “repeal of the damned gasoline decree.”
The consequences of the measure are already noticeable. The rise in fuel prices led to an immediate increase in public transport fares and groceries, fueling fears of an inflationary spiral. In parallel with the march in La Paz, at least 16 road blockades were recorded in various parts of the country, particularly in Cochabamba, a key region connecting eastern and western Bolivia.
The government claims that eliminating subsidies is necessary to overcome the worst economic crisis in four decades, after years of left-wing governments led by Evo Morales and Luis Arce. However, the scale of the protests reflects the high social cost of the decision and suggests a high-conflict scenario, with sectors warning that they will continue mobilizations if the executive does not relent or announce compensatory measures for the most vulnerable.