The Vice President of Bolivia, Edmand Laratogether with the majority of parliamentary leaders, declared this Thursday his rejection of the withdrawal of fuel subsidies ordered by the government of Rodrigo Paz. A new chapter begins in the saga of tensions between the president and vice president.
After a meeting with representatives of the Christian Democratic Party (PDC), the ruling movement, and the opposition alliances Libre, APB Súmate and Popular, they adopted a unified position against Decree 5503, which abolishes fuel subsidies and is part of the measures announced to address the economic crisis in the country.
“We reject these measuresWe believe that it was not time to establish these types of measures will lead to more poverty, more unemployment and rising prices of the family basket, which will affect the most humble sectors,” Lara said in a public statement after the meeting.
Representative of the Movement towards socialism (MAS) were not present at the meeting, while those of National Unity (UN), allies of peace, supported the executive’s decision.
The Bolivian president announced on Wednesday the abolition of the grant and declared an “economic, financial, energy and social emergency” on the grounds that Bolivia could no longer continue to operate under the rules established over the last 20 years.
In his televised message, he called the issuance of the decree a “historic decision to save the homeland” and reiterated that the new measures would allow for rapid and coordinated responses to stabilize the economy and protect Bolivian families.
For more than two decades, a liter of diesel and gasoline was sold in Bolivia at subsidized prices of around $0.53, costing the state more than $2 billion annually.
With the new regulations, the price of specialty gasoline will rise to 6.96 bolivianos per liter (around one dollar), premium gasoline will be charged at 11 bolivianos (US$1.58) and diesel will be charged at 9.80 bolivianos per liter (US$1.40). The price of liquefied petroleum gas (LPG) remains at 22.50 bolivianos ($3.23).
According to Paz’s statements, “Reducing subsidies does not mean giving up, but rather order and justice“The President explained that this decision is part of the strategy for the private sector to gradually assume responsibility for the country’s fuel supply.”
As supplementary measures The government will increase the national minimum wage by 20%from 2,750 to 3,300 Bolivianos (from 395 to 474 dollars), will increase premiums for seniors and school children, and will reduce tariffs on imports of industrial machinery, equipment and vehicle spare parts.
Lara, who has established himself as one of the main critics of Paz’s policies, repeatedly denounced his exclusion from important meetings of the presidential cabinet and from decision-making on relevant issues in the country.
A survey about the company Ipsos Ciesmori for the channel Unitel revealed that the Bolivian vice president is experiencing a significant decline in his popular support after weeks marked by open confrontations with the government and strong direct criticism of Paz, whom he publicly described as “cynical” and a “liar.”
According to the report published on Sunday, 52% of respondents disapproved of Lara’s management, while 34% expressed approval and 14% responded that they “don’t know.”
The survey was conducted between November 19 and December 1, 2025 with a sample of 400 people over the age of 18, residing in La Paz, El Alto, Cochabamba and Santa Cruz, all with internet access. The error rate is ±4.9%.
(With information from EFE)