Bolivia Economy Chief Out as Inflation Protests Mount

Bolivian President Rodrigo Paz dismissed Economy Minister Jose Gabriel Espinoza on Friday, following a formal censure by Congress. The decree, published in the government’s official gazette, appoints Oscar Mario Justiniano Pinto as interim minister until a permanent successor is named.

The dismissal represents a strategic reversal for the Paz administration, which initially challenged the legislative censure. The move follows months of civil unrest, including widespread protests and roadblocks triggered by the removal of fuel subsidies and controversial land reform policies. With over 37 percent of the population living below poverty line, the government is currently attempting to secure International Monetary Fund financing to stabilize declining foreign currency reserves and falling natural gas production.

The cabinet change is viewed as an attempt to de-escalate tensions with the opposition-controlled legislature as Paz seeks support for broader economic reforms. However, the administration remains under pressure from supporters of former President Evo Morales, who continue to organize resistance against the government's austerity measures. The political instability persists as the state navigates both a deepening economic crisis and ongoing legal challenges against key opposition figures.