Bolivian President Proposes New Economic Laws to Boost Investment
The President of Bolivia, Rodrigo Paz, introduced a legislative proposal on Tuesday aimed at creating legal certainty and attracting foreign investments. This proposal is the first of several anticipated measures designed to tackle the economic crisis in the Andean nation. Various productive sectors have called for this structural change to improve the country’s image following nearly two decades of leftist governance.
The Minister of Economy and Public Finance, José Gabriel Espinoza, highlighted that the initiative aims to offer security and predictability for investors by streamlining incentives and clarifying scattered legal frameworks. The proposal rests on three key pillars intended to guide Bolivia over the next 20 years. Priority will be given to sectors like logistics, artificial intelligence, digital economy, innovation, and alternative energies, such as hydrogen and solar power. These efforts aim to move past previous economic models which favored state investment and nationalized industries like hydrocarbons, telecommunications, and electricity, according to experts.
Espinoza remarked that for nearly 20 years, property and constitutional rights have been breached without accountability. He emphasized the creation of a “system of incentives and regulation that ensures predictability, security, stability, and investor confidence, whether national or foreign,” while adhering to the country’s constitutional laws. Additionally, the launch of the National Investment Agency has been announced. This agency will work with institutions, local mayors, and governors to ensure an orderly institutional strategy for regulation, promotion, and attracting investment, the minister explained.
Gonzalo Morales, President of the National Chamber of Industries, reiterated in an interview with Red Uno television the necessity of providing legal security and regulatory predictability to regain investor confidence in Bolivia. According to the Economic Commission for Latin America and the Caribbean (ECLAC), Bolivia received $620 million in foreign direct investment in 2025, representing 0.3% of the regional total.
Paz faces the challenge of negotiating with a fragmented Legislative Assembly. Recently, he distanced himself from his key ally, Samuel Doria Medina, leader of the Unidad Alliance. Despite this split, several lawmakers have expressed their intent to scrutinize the proposed measures.
Medina has criticized delays in addressing the economic crisis, exacerbated by over 50 days of anti-government protests and blockades between May and June. This situation has deepened issues such as fuel shortages, particularly diesel. Nonetheless, President Paz has secured over $5 billion in international support and loans from global organizations.