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LATIN AMERICA ADVISOR

LATIN AMERICA ADVISOR

A daily publication Of the dialogue

October 21, 2025

What Will Rodrigo Paz’s Victory Mean for Bolivia?

Rodrigo Paz, pictured last month at the Inter-American Dialogue, on Sunday won Bolivia’s presidential runoff election. // File Photo: Inter-American Dialogue.

Q

A

Steven E. Hendrix, managing director of Hendrix LLC and former coordinator for foreign assistance of the U.S. Agency for International Development: Rodrigo Paz’s near-landslide victory marks a decisive break from the populist cycle that has defined Bolivia for two decades. Voters chose stability and competence over ideology. Paz’s disciplined, technocratic message—’capitalism for all’—resonated with a weary electorate facing high inflation, an 8 percent fiscal deficit and a chronic shortage of dollars. His promise of gradual reform, transparency and inclusive growth was more credible than Jorge Quiroga’s call for rapid liberalization. Paz’s priorities will be restoring macroeconomic stability, rebuilding public confidence in institutions and re-establishing Bolivia’s credibility with investors and lenders. Expect early moves to rationalize subsidies, strengthen fiscal…”

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