Colonel Hugo Banzer (1971-78), a highly respected
officer who
had repeatedly attempted to overthrow the Torres regime,
ruled
for six years, the longest continuous presidential term in
recent
Bolivian history. Banzer's presidency was characterized by
relative political stability and unprecedented economic
growth.
At first he was supported by the Nationalist Popular Front
(Frente Popular Nacionalista--FPN), an alliance between
the MNR
under Paz Estenssoro, who was allowed to return from exile
in
Lima, and the FSB under Mario Gutiérrez. Both parties had
been
enemies until the chaos of the Torres regime gave them a
chance
for a political comeback in league with conservative
elements in
the armed forces.
During the first years of the Banzer presidency, the
economy
improved rapidly
(see Growth and Structure of the Economy
, ch.
3). Exports tripled between 1970 and 1974 because of
increased
production of petroleum, natural gas, and tin, which was
then
refined in Bolivian smelters. The production of cotton in
the
Santa Cruz area in eastern Bolivia also tripled between
1970 and
1975.
Despite this economic growth, Bolivia reverted to the
repression
of earlier regimes. The new minister of interior, Colonel
Andrés
Sélich, ordered a massive crackdown on the left,
abolishing labor
unions and closing the universities. The government
brutally
suppressed a general strike against the devaluation of the
Bolivian peso in 1972. In 1974 price increases for basic
goods
and control of food prices resulted in roadblocks by
peasants in
the Cochabamba Valley and their subsequent massacre by the
military.
The governing alliance disintegrated almost immediately
when the
MNR and the FSB split. They proved an unreliable support
for
Banzer because only small factions remained in the FPN.
The armed
forces were also divided, and various factions tried to
overthrow
the regime. On June 5, 1974, younger officers belonging to
the
Generational Group (Grupo Generacional) and led by General
Gary
Prado Salmón attempted a coup, demanding that Banzer
legitimize
his rule. It failed, however, as did another on November 7
that
was supported by military, MNR, and FSB elements in Santa
Cruz.
The November 7, 1974, coup has been called an
auto-golpe (selfmade coup) because it gave Banzer a reason to rule without
civilian interference. Influenced by the Brazilian model,
he
announced the complete reorganization of the Bolivian
political
system and the formation of a "new Bolivia" under military
rule.
Banzer hoped to keep the support of the business
community, the
mine owners, the agricultural entrepreneurs in Santa Cruz,
and
the growing number of loyal bureaucrats.
The government, however, soon began to face serious
problems.
The "economic miracle" turned out to be a myth, the
production of
petroleum declined sharply, and Comibol produced at a
loss,
despite high mineral prices, because it was subsidizing
other
state agencies. Cotton production also declined when world
prices
fell.
The stability of the Banzer regime was superficial
because the
military remained divided by personal rivalry, ideological
differences, and a generational gap. Growing civilian
opposition
was centered in the labor sector, despite the renewed
military
occupation of the mines. Radical students and the
progressive
sector of the Roman Catholic Church became spokespersons
for the
oppressed groups; the peasants also criticized the
government.
External factions contributed to the weakening of the
Banzer
regime as well. The negotiation with Chile for an outlet
to the
sea had raised hopes in 1974. When an agreement between
Banzer
and General Augusto Pinochet Ugarte failed because of the
opposition of Chilean nationalists, Banzer's position was
weakened. After Jimmy Carter assumed the United States
presidency
in 1976, the United States pressured Banzer to hold
elections.
In 1977, with opposition from civilian groups and the
military
mounting and pressure from the United States increasing,
Banzer
announced a presidential election for 1980, hoping to
remain in
control, but labor unrest and hostility to his regime
forced him
to set the date for 1978. However, General Juan Pereda
Asbún,
Banzer's handpicked candidate, carried out a coup in July
1978
after the National Electoral Court annulled the elections
because
of widespread fraud by Pereda's supporters. Although
Bolivia
continued under military rule, the 1978 election marked
the
beginning of Bolivia's traumatic transition to democracy
during
the following four years.
Background | | Bolivia, named after independence fighter Simon BOLIVAR, broke away from Spanish rule in 1825; much of its subsequent history has consisted of a series of nearly 200 coups and countercoups. Democratic civilian rule was established in 1982, but leaders have faced difficult problems of deep-seated poverty, social unrest, and illegal drug production. In December 2005, Bolivians elected Movement Toward Socialism leader Evo MORALES president - by the widest margin of any leader since the restoration of civilian rule in 1982 - after he ran on a promise to change the country's traditional political class and empower the nation's poor, indigenous majority. However, since taking office, his controversial strategies have exacerbated racial and economic tensions between the Amerindian populations of the Andean west and the non-indigenous communities of the eastern lowlands. In December 2009, President MORALES easily won reelection, and his party took control of the legislative branch of the government, which will allow him to continue his process of change.
|
Location | | Central South America, southwest of Brazil
|
Area(sq km) | | total: 1,098,581 sq km land: 1,083,301 sq km water: 15,280 sq km
|
Geographic coordinates | | 17 00 S, 65 00 W
|
Land boundaries(km) | | total: 6,940 km border countries: Argentina 832 km, Brazil 3,423 km, Chile 860 km, Paraguay 750 km, Peru 1,075 km
|
Coastline(km) | | 0 km (landlocked)
|
Climate | | varies with altitude; humid and tropical to cold and semiarid
|
Elevation extremes(m) | | lowest point: Rio Paraguay 90 m highest point: Nevado Sajama 6,542 m
|
Natural resources | | tin, natural gas, petroleum, zinc, tungsten, antimony, silver, iron, lead, gold, timber, hydropower
|
Land use(%) | | arable land: 2.78% permanent crops: 0.19% other: 97.03% (2005)
|
Irrigated land(sq km) | | 1,320 sq km (2003)
|
Total renewable water resources(cu km) | | 622.5 cu km (2000)
|
Freshwater withdrawal (domestic/industrial/agricultural) | | total: 1.44 cu km/yr (13%/7%/81%) per capita: 157 cu m/yr (2000)
|
Natural hazards | | flooding in the northeast (March-April)
|
Environment - current issues | | the clearing of land for agricultural purposes and the international demand for tropical timber are contributing to deforestation; soil erosion from overgrazing and poor cultivation methods (including slash-and-burn agriculture); desertification; loss of biodiversity; industrial pollution of water supplies used for drinking and irrigation
|
Environment - international agreements | | party to: Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Hazardous Wastes, Law of the Sea, Marine Dumping, Ozone Layer Protection, Ship Pollution, Tropical Timber 83, Tropical Timber 94, Wetlands signed, but not ratified: Environmental Modification, Marine Life Conservation
|
Geography - note | | landlocked; shares control of Lago Titicaca, world's highest navigable lake (elevation 3,805 m), with Peru
|
Population | | 9,775,246 (July 2009 est.)
|
Age structure(%) | | 0-14 years: 35.5% (male 1,767,310/female 1,701,744) 15-64 years: 60% (male 2,877,605/female 2,992,043) 65 years and over: 4.5% (male 193,196/female 243,348) (2009 est.)
|
Median age(years) | | total: 21.9 years male: 21.3 years female: 22.6 years (2009 est.)
|
Population growth rate(%) | | 1.772% (2009 est.)
|
Birth rate(births/1,000 population) | | 25.82 births/1,000 population (2009 est.)
|
Death rate(deaths/1,000 population) | | 7.05 deaths/1,000 population (July 2009 est.)
|
Net migration rate(migrant(s)/1,000 population) | | -1.05 migrant(s)/1,000 population (2009 est.)
|
Urbanization(%) | | urban population: 66% of total population (2008) rate of urbanization: 2.5% annual rate of change (2005-10 est.)
|
Sex ratio(male(s)/female) | | at birth: 1.05 male(s)/female under 15 years: 1.04 male(s)/female 15-64 years: 0.96 male(s)/female 65 years and over: 0.79 male(s)/female total population: 0.98 male(s)/female (2009 est.)
|
Infant mortality rate(deaths/1,000 live births) | | total: 44.66 deaths/1,000 live births male: 48.56 deaths/1,000 live births female: 40.57 deaths/1,000 live births (2009 est.)
|
Life expectancy at birth(years) | | total population: 66.89 years male: 64.2 years female: 69.72 years (2009 est.)
|
Total fertility rate(children born/woman) | | 3.17 children born/woman (2009 est.)
|
Nationality | | noun: Bolivian(s) adjective: Bolivian
|
Ethnic groups(%) | | Quechua 30%, mestizo (mixed white and Amerindian ancestry) 30%, Aymara 25%, white 15%
|
Religions(%) | | Roman Catholic 95%, Protestant (Evangelical Methodist) 5%
|
Languages(%) | | Spanish 60.7% (official), Quechua 21.2% (official), Aymara 14.6% (official), foreign languages 2.4%, other 1.2% (2001 census)
|
Country name | | conventional long form: Plurinational State of Bolivia conventional short form: Bolivia local long form: Estado Plurinacional de Bolivia local short form: Bolivia
|
Government type | | republic; note - the new constitution defines Bolivia as a "Social Unitarian State"
|
Capital | | name: La Paz (administrative capital) geographic coordinates: 16 30 S, 68 09 W time difference: UTC-4 (1 hour ahead of Washington, DC during Standard Time) note: Sucre (constitutional capital)
|
Administrative divisions | | 9 departments (departamentos, singular - departamento); Beni, Chuquisaca, Cochabamba, La Paz, Oruro, Pando, Potosi, Santa Cruz, Tarija
|
Constitution | | 7-Feb-09
|
Legal system | | based on Spanish law and Napoleonic Code; has not accepted compulsory ICJ jurisdiction; the 2009 Constitution incorporates indigenous community justice into Bolivia's judicial system
|
Suffrage | | 18 years of age, universal and compulsory (married); 21 years of age, universal and compulsory (single)
|
Executive branch | | chief of state: President Juan Evo MORALES Ayma (since 22 January 2006); Vice President Alvaro GARCIA Linera (since 22 January 2006); note - the president is both chief of state and head of government head of government: President Juan Evo MORALES Ayma (since 22 January 2006); Vice President Alvaro GARCIA Linera (since 22 January 2006) cabinet: Cabinet appointed by the president elections: president and vice president elected on the same ticket by popular vote for a single five-year term; election last held 6 December 2009 (next to be held in 2014); note - per the new constitution, presidents can serve for a total of two consecutive terms election results: Juan Evo MORALES Ayma elected president; percent of vote - Juan Evo MORALES Ayma 64%; Manfred REYES VILLA 26%; Samuel DORIA MEDINA Arana 6%; Rene JOAQUINO 2%; other 2%
|
Legislative branch | | bicameral Plurinational Legislative Assembly or Asamblea Legislativa Plurinacional consists of Chamber of Senators or Camara de Senadores (36 seats; members are elected by proportional representation from party lists to serve five-year terms) and Chamber of Deputies or Camara de Diputados (130 seats; 76 members are directly elected from their districts [7 or 8 of these are chosen from indigenous districts] and 54 are elected by proportional representation from party lists to serve five-year terms). elections: Chamber of Senators and Chamber of Deputies - last held 6 December 2009 (next to be held in 2015) election results: Chamber of Senators - percent of vote by party - NA; seats by party - MAS 26, PPB-CN 10; Chamber of Deputies - percent of vote by party - NA; seats by party - MAS 89, PPB-CN 36, UN 3, AS 2
|
Judicial branch | | Supreme Court or Corte Suprema (judges elected by popular vote from list of candidates pre-selected by Assembly for six-year terms); District Courts (one in each department); Plurinational Constitutional Court (five primary or titulares and five alternate or suplente magistrates elected by popular vote from list of candidates pre-selected by Assembly for six-year terms; to rule on constitutional issues); Plurinational Electoral Organ (seven members elected by the Assembly and the president; one member must be of indigenous origin to six-year terms); Agro-Environmental Court (judges elected by popular vote from list of candidates pre-selected by Assembly for six-year terms; to run on agro-environmental issues); provincial and local courts (to try minor cases)
|
Political pressure groups and leaders | | Bolivian Workers Central or COR; Federation of Neighborhood Councils of El Alto or FEJUVE; Landless Movement or MST; National Coordinator for Change or CONALCAM; Sole Confederation of Campesino Workers of Bolivia or CSUTCB other: Cocalero groups; indigenous organizations (including Confederation of Indigenous Peoples of Eastern Bolivia or CIDOB and National Council of Ayullus and Markas of Quollasuyu or CONAMAQ); labor unions (including the Central Bolivian Workers' Union or COB and Cooperative Miners Federation or FENCOMIN)
|
International organization participation | | CAN, FAO, G-77, IADB, IAEA, IBRD, ICAO, ICC, ICCt, ICRM, IDA, IFAD, IFC, IFRCS, ILO, IMF, IMO, Interpol, IOC, IOM, IPU, ISO (correspondent), ITSO, ITU, LAES, LAIA, Mercosur (associate), MIGA, MINUSTAH, MONUC, NAM, OAS, OPANAL, OPCW, PCA, RG, UN, UNASUR, UNCTAD, UNESCO, UNFICYP, UNIDO, Union Latina, UNMIL, UNMIS, UNOCI, UNWTO, UPU, WCL, WCO, WFTU, WHO, WIPO, WMO, WTO
|
Flag description | | three equal horizontal bands of red (top), yellow, and green with the coat of arms centered on the yellow band note: similar to the flag of Ghana, which has a large black five-pointed star centered in the yellow band; in 2009, a presidential decree made it mandatory for a so-called wiphala - a square, multi-colored flag representing the country's indigenous peoples - to be used alongside the traditional flag
|
Economy - overview | | Bolivia is one of the poorest and least developed countries in Latin America. Following a disastrous economic crisis during the early 1980s, reforms spurred private investment, stimulated economic growth, and cut poverty rates in the 1990s. The period 2003-05 was characterized by political instability, racial tensions, and violent protests against plans - subsequently abandoned - to export Bolivia's newly discovered natural gas reserves to large northern hemisphere markets. In 2005, the government passed a controversial hydrocarbons law that imposed significantly higher royalties and required foreign firms then operating under risk-sharing contracts to surrender all production to the state energy company. In early 2008, higher earnings for mining and hydrocarbons exports pushed the current account surplus to 9.4% of GDP and the government's higher tax take produced a fiscal surplus after years of large deficits. Private investment as a share of GDP, however, remains among the lowest in Latin America, and inflation remained at double-digit levels in 2008. The decline in commodity prices in late 2008, the lack of foreign investment in the mining and hydrocarbon sectors, and the suspension of trade benefits with the United States will pose challenges for the Bolivian economy in 2009.
|
GDP (purchasing power parity) | | $43.38 billion (2008 est.) $40.88 billion (2007 est.) $39.08 billion (2006 est.) note: data are in 2008 US dollars
|
GDP (official exchange rate) | | $16.6 billion (2008 est.)
|
GDP - real growth rate(%) | | 6.1% (2008 est.) 4.6% (2007 est.) 4.8% (2006 est.)
|
GDP - per capita (PPP) | | $4,500 (2008 est.) $4,300 (2007 est.) $4,200 (2006 est.) note: data are in 2008 US dollars
|
GDP - composition by sector(%) | | agriculture: 11.3% industry: 36.9% services: 51.8% (2008 est.)
|
Labor force | | 4.454 million (2008 est.)
|
Labor force - by occupation(%) | | agriculture: 40% industry: 17% services: 43% (2006 est.)
|
Unemployment rate(%) | | 7.5% (2008 est.) 7.5% (2007 est.) note: data are for urban areas; widespread underemployment
|
Population below poverty line(%) | | 60% (2006 est.)
|
Household income or consumption by percentage share(%) | | lowest 10%: 0.5% highest 10%: 44.1% (2005)
|
Distribution of family income - Gini index | | 59.2 (2006) 44.7 (1999)
|
Investment (gross fixed)(% of GDP) | | 18% of GDP (2008 est.)
|
Budget | | revenues: $8.039 billion expenditures: $7.5 billion (2008 est.)
|
Inflation rate (consumer prices)(%) | | 14% (2008 est.) 8.7% (2007 est.)
|
Stock of money | | $3.998 billion (31 December 2008) $3.032 billion (31 December 2007)
|
Stock of quasi money | | $6.339 billion (31 December 2008) $4.729 billion (31 December 2007)
|
Stock of domestic credit | | $5.433 billion (31 December 2008) $4.759 billion (31 December 2007)
|
Market value of publicly traded shares | | $NA (31 December 2008) $2.263 billion (31 December 2007) $2.223 billion (31 December 2006)
|
Economic aid - recipient | | $582.9 million (2005 est.)
|
Public debt(% of GDP) | | 45.2% of GDP (2008 est.) 46.3% of GDP (2007 est.)
|
Agriculture - products | | soybeans, coffee, coca, cotton, corn, sugarcane, rice, potatoes; timber
|
Industries | | mining, smelting, petroleum, food and beverages, tobacco, handicrafts, clothing
|
Industrial production growth rate(%) | | 10.6% (2008 est.)
|
Current account balance | | $2.015 billion (2008 est.) $1.984 billion (2007 est.)
|
Exports | | $6.448 billion (2008 est.) $4.49 billion (2007 est.)
|
Exports - commodities(%) | | natural gas, soybeans and soy products, crude petroleum, zinc ore, tin
|
Exports - partners(%) | | Brazil 60.1%, US 8.3%, Japan 4.1% (2008)
|
Imports | | $4.641 billion (2008 est.) $3.24 billion (2007 est.)
|
Imports - commodities(%) | | petroleum products, plastics, paper, aircraft and aircraft parts, prepared foods, automobiles, insecticides, soybeans
|
Imports - partners(%) | | Brazil 26.7%, Argentina 16.3%, US 10.5%, Chile 9.5%, Peru 7.1%, China 4.8% (2008)
|
Reserves of foreign exchange and gold | | $7.722 billion (31 December 2008 est.) $5.318 billion (31 December 2007 est.)
|
Debt - external | | $5.931 billion (31 December 2008) $5.385 billion (31 December 2007)
|
Stock of direct foreign investment - at home | | $5.998 billion (31 December 2008)
|
Stock of direct foreign investment - abroad | | $NA
|
Exchange rates | | bolivianos (BOB) per US dollar - 7.253 (2008 est.), 7.8616 (2007), 8.0159 (2006), 8.0661 (2005), 7.9363 (2004)
|
Currency (code) | | boliviano (BOB)
|
Telephones - main lines in use | | 690,000 (2008)
|
Telephones - mobile cellular | | 4.83 million (2008)
|
Telephone system | | general assessment: privatization begun in 1995; reliability has steadily improved; new subscribers face bureaucratic difficulties; most telephones are concentrated in La Paz and other cities; mobile-cellular telephone use expanding rapidly; fixed-line teledensity of 7 per 100 persons; mobile-cellular telephone density slighly exceeds 50 per 100 persons domestic: primary trunk system, which is being expanded, employs digital microwave radio relay; some areas are served by fiber-optic cable; mobile cellular systems are being expanded international: country code - 591; satellite earth station - 1 Intelsat (Atlantic Ocean) (2008)
|
Internet country code | | .bo
|
Internet users | | 1 million (2008)
|
Airports | | 952 (2009)
|
Pipelines(km) | | gas 4,883 km; liquid petroleum gas 47 km; oil 2,475 km; refined products 1,589 km (2008)
|
Roadways(km) | | total: 62,479 km paved: 3,749 km unpaved: 58,730 km (2004)
|
Ports and terminals | | Puerto Aguirre (inland port on the Paraguay/Parana waterway at the Bolivia/Brazil border); Bolivia has free port privileges in maritime ports in Argentina, Brazil, Chile, and Paraguay
|
Military branches | | Bolivian Armed Forces: Bolivian Army (Ejercito Boliviano, EB), Bolivian Navy (Fuerza Naval Boliviana, FNB; includes marines), Bolivian Air Force (Fuerza Aerea Boliviana, FAB) (2009)
|
Military service age and obligation(years of age) | | 18-49 years of age for 12-month compulsory military service; when annual number of volunteers falls short of goal, compulsory recruitment is effected, including conscription of boys as young as 14; 15-19 years of age for voluntary premilitary service, provides exemption from further military service (2009)
|
Manpower available for military service | | males age 16-49: 2,295,746 females age 16-49: 2,366,828 (2008 est.)
|
Manpower fit for military service | | males age 16-49: 1,666,697 females age 16-49: 1,906,396 (2009 est.)
|
Manpower reaching militarily significant age annually | | male: 108,304 female: 104,882 (2009 est.)
|
Military expenditures(% of GDP) | | 1.9% of GDP (2006)
|
Disputes - international | | Chile and Peru rebuff Bolivia's reactivated claim to restore the Atacama corridor, ceded to Chile in 1884, but Chile offers instead unrestricted but not sovereign maritime access through Chile for Bolivian natural gas and other commodities; an accord placed the long-disputed Isla Suarez/Ilha de Guajara-Mirim, a fluvial island on the Rio Mamore, under Bolivian administration in 1958, but sovereignty remains in dispute
|
Electricity - production(kWh) | | 5.495 billion kWh (2007 est.)
|
Electricity - production by source(%) | | fossil fuel: 44.4% hydro: 54% nuclear: 0% other: 1.5% (2001)
|
Electricity - consumption(kWh) | | 4.665 billion kWh (2007 est.)
|
Electricity - exports(kWh) | | 0 kWh (2008 est.)
|
Electricity - imports(kWh) | | 0 kWh (2008 est.)
|
Oil - production(bbl/day) | | 51,360 bbl/day (2008 est.)
|
Oil - consumption(bbl/day) | | 60,000 bbl/day (2008 est.)
|
Oil - exports(bbl/day) | | 10,950 bbl/day (2007 est.)
|
Oil - imports(bbl/day) | | 6,172 bbl/day (2007 est.)
|
Oil - proved reserves(bbl) | | 465 million bbl (1 January 2009 est.)
|
Natural gas - production(cu m) | | 14.2 billion cu m (2008 est.)
|
Natural gas - consumption(cu m) | | 2.41 billion cu m (2008 est.)
|
Natural gas - exports(cu m) | | 11.79 billion cu m (2008)
|
Natural gas - proved reserves(cu m) | | 750.4 billion cu m (1 January 2009 est.)
|
HIV/AIDS - adult prevalence rate(%) | | 0.2% (2007 est.)
|
HIV/AIDS - people living with HIV/AIDS | | 8,100 (2007 est.)
|
HIV/AIDS - deaths | | fewer than 500 (2007 est.)
|
Major infectious diseases | | degree of risk: high food or waterborne diseases: bacterial diarrhea, hepatitis A, and typhoid fever vectorborne diseases: dengue fever, malaria, and yellow fever water contact disease: leptospirosis (2009)
|
Literacy(%) | | definition: age 15 and over can read and write total population: 86.7% male: 93.1% female: 80.7% (2001 census)
|
Education expenditures(% of GDP) | | 6.4% of GDP (2003)
|