Bolivia names economy minister amid $7-$10bn aid talks

Bolivian President Rodrigo Paz named economist Christian Morales as economy minister on Tuesday as his government seeks a multibillion-dollar rescue package during a severe fuel and currency crisis.

Morales replaces Jose Gabriel Espinoza, who was fired last week after Congress voted to oust him for failing to appear before lawmakers to answer questions about his handling of the economy. Espinoza had been leading talks with multilateral lenders and said he was attending to other business.

Paz asked Morales to prioritize negotiations with the International Monetary Fund, the Inter-American Development Bank and the Development Bank of Latin America and the Caribbean. Paz said the talks are aimed at securing between $7 billion and $10 billion in aid.

Paz took office in November with a mandate to address shortages of fuel and foreign currency. He has ended long-standing fuel subsidies, allowed the boliviano to float freely against the US dollar and opened the mining and energy sectors to private investors.

Inflation fell from 21 percent to 5 percent year-on-year between November 2025 and July, but fuel remains in short supply and the economy is stagnant.

Demonstrations over living conditions escalated earlier this year into unrest that included calls for Paz to resign and roadblocks that cut supplies to major cities. Paz declared a state of emergency in June.