Bolivia at Risk of Isolation

La Paz, November 9, 2024 – The Bolivian authorities refusal to engage in dialogue with the aviation industry presents an imminent issue, as operators in the country face the inability to access U.S. dollars in the local banking system to pay for fuel supplies.

The main challenge lies in the requirement to pay for this service in U.S. dollars rather than in bolivianos – the local currency used for ticket sales and thus the primary income source for operators in the country. This measure, within a context of limited foreign currency access, jeopardizes the ability to acquire fuel and, consequently, the provision of air services.

It is imperative that the Bolivian government takes responsibility in this situation and implements immediate actions to facilitate access to foreign currency or permit payment in bolivianos. The lack of government action not only threatens the continuity of air services but also endangers the country’s economy, which heavily relies on tourism and air transport to supply essential goods, as well as for the import and export of goods to markets traditionally loyal to Bolivian products.

Currently, more than 70% of tourists arrive in the country by air, contributing approximately 5% to the national GDP and over 5% to direct and indirect employment. Additionally, essential goods such as medicines, vaccines, smartphones, diagnostic reagents, and turbine parts are brought to the country by air.

We urge the government to address this request promptly and engage in discussions with the industry to implement immediate, viable solutions to ensure the uninterrupted provision of an essential service that enables population mobility, sustains thousands of jobs, and guarantees the supply of essential goods to the population.

– ALTA – ALA Bolivia