Bolivia’s government, amid a fuel crisis, plans to cut bureaucratic lunch breaks, reduce school in-person classes, and limit public vehicle use. President Luis Arce emphasized economic resilience despite significant inflation and fiscal challenges. Key actions prioritize fuel distribution to agriculture and increase military efforts to combat smuggling.
In response to a significant fuel shortage, Bolivia’s President Luis Arce has announced measures to cut lunch breaks for government workers, reduce in-person schooling, and minimize the usage of public vehicles. These steps aim to address public unrest stemming from rising economic challenges that have spurred protests against the government and hindered critical fuel deliveries, further aggravating the economic situation.
Since 2023, Bolivia has experienced a profound economic downturn, primarily due to decreased fuel imports and declining revenues from gas sales, its former key foreign currency source. President Arce asserted in a televised address, “Bolivia is not bankrupt… it has an economy that continues to generate public investment,” while promising a series of strategic measures.
Planned initiatives include halving the use of state vehicles, increasing virtual classes to reduce commuting, and adjusting work hours for public servants to 8:30 am to 4:30 pm without breaks. These measures intend to alleviate vehicular congestion, particularly during lunch hours, amid escalating fuel shortages.
Priority for fuel distribution will be given to the agricultural sector, coupled with intensified military operations to tackle fuel smuggling. The country is currently grappling with the highest inflation levels seen in 16 years alongside a growing fiscal deficit, prompting concerns about liquidity in US dollars. President Arce commented, “The problem our country faces today is very simple, it is the lack of temporary dollar liquidity.”
The political landscape remains uncertain as President Arce’s intentions to seek reelection in August are not yet clarified. Meanwhile, former president Evo Morales aims for a political resurgence despite being constitutionally prohibited from running again, facing serious allegations of human trafficking during his previous term.
In conclusion, Bolivia is implementing stringent measures to tackle its fuel crisis, including cutting government lunch breaks and reducing in-person schooling. These actions are part of a broader strategy to combat economic difficulties exacerbated by fuel shortages and inflation. As the political situation develops, the economic recovery will depend on how effectively the government manages these challenges.
Original Source: business.inquirer.net
