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Economy / Bolivia

POLITICAL RISK - Protests Hinder Progress

March 2008 | Risk Summary

In February, a large pro-government rally took place in Santa Cruz, the region most opposed to the Evo Morales administration. While the protests did not result in any injuries, there were incidences of violence and a number of arrests, and as such our short-term political risk ratings remain subdued at 51.9. The demonstrations were centred on the new constitution, which the opposition refuses to acknowledge. Both sides remain inflexible regarding their demands over such issues as the constitution and regional autonomy, and we maintain our view that a diplomatic solution to the parties' conflicting objectives remains a long way

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