Bolivia is facing its most severe economic crisis since the global financial downturn, with soaring inflation driven by fuel and dollar shortages.
Natural gas and grain exports have declined due to depleting reserves and lack of new discoveries, leading to foreign currency shortfalls and long lines for gasoline.
The crisis has severely impacted daily life, with food inflation reaching 17%, and prices for essentials like rice, meat, and fish increasing dramatically—up to 58% over the past year. Households like that of Angelica Zapata in La Paz now struggle to afford basic necessities.
“Everything is so expensive, there’s no money left,” she said. “I used to go to the market with 100 bolivianos ($14.58) and buy everything. It was enough for more than a week. I have several daughters, and what I buy isn’t enough … .”
The government, led by socialist President Luis Arce, has maintained subsidies to control prices, but these have strained under economic pressures, diminishing the administration’s popularity ahead of the August elections.
Measures to alleviate the crisis include increased fuel imports and payments using cryptocurrency, though many residents demand complete subsidy removals to stabilize supply. Meanwhile, citizens like taxi driver Samuel Castillo work multiple jobs to cope with the crisis. “I have to work as a driver … he said.
The economic turmoil has led to widespread financial hardship across the country, with many families reducing meals to just one a day.
