Bolivia Grapples with Political Divisions and Economic Uncertainty: Arce Accuses Morales, Dollar Crisis Deepens, and Coup Allegations Persist

Bolivia's political landscape remains turbulent as President Luis Arce publicly accused former President Evo Morales of acting as an opposition leader and obstructing key economic initiatives. Arce stated that Morales's actions in the assembly jeopardized the country's economic stability due to his ambition to return to power. In a separate development, President Arce confirmed that his son acquired land valued at $3 million using a bank loan, defending the transaction's legality and dismissing any irregularities. Economically, Bolivia faces a critical juncture regarding the US dollar. The head of state acknowledged that the dollar is unlikely to return to its previous rate of 6.96 Bolivianos, citing the country's lack of a financial cushion to consider devaluation. The Minister of Economy warned of a potential default if pending credits are not approved, emphasizing the risk of failing to pay debt service and urging assembly members to prevent national damage. Regarding internal political stability, the government affirmed that an attempted coup occurred on June 26, 2024, aiming to disrupt constitutional order. Ministers confirmed that Juan José Zúñiga sought to overthrow President Arce, attributing the government's resilience to its strength and resolve. However, a letter attributed to Zúñiga circulated, denying the event was a coup. A senator also denounced government obstruction in the investigation of the military takeover of Plaza Murillo, demanding clarification. Meanwhile, the Supreme Electoral Tribunal has yet to decide on the case of Jaime Durán, requiring the State Comptroller General to certify his fiscal solvency. Nine other candidates face similar issues, prompting calls for prompt responses from the relevant authorities. The Creemos political party has called for a change in the economic model, asserting that Bolivia's negative financial risk rating is a direct consequence of the government's erroneous policies, which they claim deter foreign investment.

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