Bolivia News - September 1, 2025

La Paz, September 1, 2025 (AP) - The Plurinational Legislative Assembly convened its first ordinary session of the new legislative year today under tight security measures. President Luis Arce delivered the traditional State of the Nation address, spotlighting Bolivia’s ongoing economic recovery and infrastructure projects, while acknowledging persistent challenges in public services and border security.

In his speech, President Arce announced a 5 percent increase in funding for rural education and a 3 percent boost to healthcare budgets. He reiterated his administration’s commitment to advancing lithium-based industries through public-private partnerships and pledged to finalize a new regulatory framework by year-end.

Opposition deputies, led by Senator Samuel Doria Medina, criticized the budget allocations as insufficient to tackle escalating inflation and fuel shortages that continue to plague urban commuters. The chamber’s newly elected president, Andrónico Rodríguez, called for cross-party dialogue to address social unrest in the coca-growing regions of Chapare, where road blockades remain in place amidst simmering tensions over pending electoral reforms.

Santa Cruz Wildfire Emergency Meanwhile, in Bolivia’s eastern lowlands, Governor Luis Vaca declared a regional state of emergency as wildfires raged across parts of Santa Cruz Department for the fourth consecutive week. Local firefighters, backed by military engineers, continued efforts to contain blazes in the Chiquitano dry forests. Smoke from the fires forced school closures in rural districts and disrupted flights at Viru Viru International Airport.

International aid arrived today in the form of three water-bomber aircraft from the European Union Civil Protection Mechanism. Bolivia’s defense minister, Edmundo Novillo, thanked partner nations for their support and warned that the peak of fire season remains ahead.

Crypto Transactions Surge In financial markets, Bolivia’s central bank reported a further uptick in digital asset transactions, with monthly volumes through licensed crypto channels reaching US $72 million in August - a new record. Officials attributed the surge to boliviano depreciation on informal exchange markets and growing public interest in stablecoins as a hedge against inflation. The government-drafted fintech regulation, currently under review, is expected to formalize crypto exchanges by early 2026.

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