Bolivia Implements Emergency Measures to Address Fuel Shortage
In light of a severe fuel shortage, Bolivia’s President Luis Arce has outlined measures to cut state vehicle usage, eliminate bureaucratic lunch breaks, and reduce in-person schooling. These steps aim to mitigate public discontent sparked by economic challenges. The president emphasized the continuing need for public investment despite inflation and fiscal deficits, and announced increased military oversight to curb fuel smuggling.
In response to a worsening fuel shortage, Bolivia’s President Luis Arce has announced measures to reduce fuel consumption, which will include eliminating lunch breaks for bureaucrats and cutbacks on in-person schooling. This initiative aims to alleviate mounting public discontent that has resulted in protests and roadblocks, further exacerbating the economic downturn affecting the nation.
Bolivia’s economy has suffered significantly since 2023, attributed to a reduction in fuel imports and dwindling revenue from gas exports, its primary source of foreign currency prior to 2020. In a televised address, President Arce stated, “Bolivia is not bankrupt… it has an economy that continues to generate public investment,” while emphasizing the continuity of public funding despite economic challenges.
To minimize fuel usage, the government plans to halve the use of state vehicles and increase virtual classroom attendance, allowing public servants to work a continuous shift from 8:30 am to 4:30 pm without breaks. This strategy aims to decrease traffic congestion during lunch hours, ultimately reducing fuel consumption.
Priority for fuel distribution will be given to the agricultural sector, and Arce announced an escalation of military oversight to combat fuel smuggling activities. As inflation in Bolivia reaches a 16-year peak and the fiscal deficit balloons, Arce remarked, “The problem our country faces today is very simple, it is the lack of temporary dollar liquidity.”
With elections approaching, President Arce has not indicated his intentions regarding reelection in August. Meanwhile, former president Evo Morales, although barred constitutionally from additional terms, is seeking a political revival amid legal challenges related to his past conduct while in office.
The Bolivian government’s recent measures reflect an urgent response to an acute fuel crisis affecting both the economy and social stability. By minimizing bureaucratic perks and promoting virtual education, the administration aims to reduce fuel usage substantially. Prioritizing agriculture and enhancing military control over smuggling further underscores the government’s strategy to stabilize the economy amid rising inflation and public unrest.
Original Source: business.inquirer.net
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