Latest news with #ClaudiaMorales
Straits Times
08-08-2025
- Business
- Straits Times
Investors betting voters in Bolivia will make a turn to the right
Sign up now: Get ST's newsletters delivered to your inbox FILE PHOTO: Bolivia?s former President Evo Morales leaves after attending a RUNASUR event, an international indigenous and leftist organization, in Ivirgarzama, El Chapare, Bolivia, August 2, 2025. REUTERS/Claudia Morales/File Photo Bolivia's international bonds have rallied ahead of a fiercely contested presidential election, fueled by investors' hopes that a political U-turn could help shore up the country's fragile economy and pave the way for an IMF program. The South American nation of 12 million people is engulfed in a crisis marked by inflation at a four-decade high, dwindling dollar reserves and a fiscal squeeze in which the government must choose to service debt or pay for fuel and food imports. Bolivia's international bonds, however, have enjoyed a stellar rally since the start of 2025. With a return of more than 30%, they are one of the top performers in JPMorgan's emerging markets bond index, which across the asset class has returned slightly more than 7%. Citigroup recently upgraded its assessment on Bolivian bonds to "neutral" from "underweight." Having started the year below 60 cents, Bolivian government bonds have scaled multi-year highs in recent days and are trading in the mid-70 cent range - well above the 70 cent threshold below which debt is seen as being in distress. A change in government "is likely to be quite positive for the economy, which has been on an unsustainable fiscal and current account position for so many years," said Carlos de Sousa, emerging markets debt strategist at Vontobel Asset Management. "A restructuring could be avoided, particularly if the country gets an IMF program soon after," de Sousa said, adding that turning to the International Monetary Fund for support would be a political choice while Bolivia's overall debt metrics were "sufficiently bad" to justify a debt reworking. Top stories Swipe. Select. Stay informed. Singapore PM Wong calls on S'poreans to band together for nation to remain exceptional in National Day message Singapore Nation building is every Singaporean's responsibility, not the work of one party alone: Pritam Singapore Four foreign leaders to attend NDP 2025 at the Padang Singapore 'This is home', for retired shop owner putting up 11th flag display in Toa Payoh to mark SG60 Singapore Singapore leaders send congratulatory letters to South Korean counterparts to mark 50 years of ties Singapore Relaxed rules 'not a silver bullet', but a step in right direction, say nightlife businesses Business Singapore's digital banks trim deposit rates, mirroring moves by incumbent players Singapore Chief Justice allows founder of site that ran fake KKH story to be called to the Bar Bolivia's political landscape is dominated by a power struggle that has fractured the incumbent left-leaning Movement to Socialism (MAS) party. Polls show it winning about 12% of the vote in the first round of the election on August 17. Evo Morales, who ruled the country from 2006 to 2019 under the MAS banner, has been barred from running for another term as president. Betting websites peg the chances of a win for center-right businessman Samuel Doria Medina, the National Unity party's presidential candidate, at more than 50%. Favored by markets, he has pledged to restore central bank autonomy, tackle a dollar shortage and take on corruption. To avoid a runoff, which has been scheduled for October 19, a candidate must secure more than 40% of the vote as well as have a lead of at least 10 percentage points. IMF LOAN PROGRAM The election is taking place at a critical time for Bolivia's $50 billion economy. Central bank-financed fiscal deficits have become a major flash point, revenues from gas exports - a big source of hard currency for the government - have dwindled and the central bank has been forced to spend precious reserves defending the boliviano currency's peg to the dollar. The gap between parallel and official exchange rates has blown out to 80%, the IMF says. Despite the recent spurt of optimism, investors remain worried that political infighting and falling gas export revenues could jeopardize the country's ability to service upcoming debt payments - large chunks of which are due in the first quarters of the next three years. Bolivia's external debt amounted to about $13.3 billion by the end of 2024, of which $1.8 billion is in hard-currency bonds and the remainder in multilateral and bilateral loans, according to its central bank. Foreign exchange reserves were at a record low of about $165 million in April, central bank data shows. JPMorgan calculates that the country's liquid reserves are only $100 million. The IMF puts reserves at two months worth of imports - well below the minimum threshold of the equivalent of three months. Earlier this year, the three major credit rating agencies downgraded Bolivia's rating deeper into junk. S&P Global said the economic circumstances could impair the government's ability to service debt over the next six to 12 months. Some relief may come from loans worth more than $1 billion from official lenders like the World Bank and the Japan International Cooperation Agency that have been secured but not drawn down amid government infighting, and which analysts expect could be unlocked by a new government in La Paz. Monetizing Bolivia's vast lithium deposits could also bring in financing. But the real silver lining - at least for investors - would be an IMF loan program. It would, however, require painful reforms. The IMF said in May that the Bolivian government should ditch the dollar peg, lift capital controls and phase out fuel subsidies, among a raft of other policy changes. It estimates Bolivia's economy will grow 1.1% in 2025 and 0.9% next year - less than half the 2.2% growth expected across broader Latin America this year and the 2.4% forecast for the region in 2026. With a balance of payments crunch looming, analysts say, the next government might not have much choice. "All these liberalizing reforms will eventually allow the economy to flourish, but there's going to be some short-term pain as you shut down money-losing businesses, cut fuel subsidies, and unshackle the economy," said Ajata Mediratta, partner at Greylock Capital Management. "Very few countries can do that in an election year." REUTERS
Straits Times
07-08-2025
- Politics
- Straits Times
Bolivia's socialists lose support of the Aymara, once their base
Sign up now: Get ST's newsletters delivered to your inbox Indigenous Aymara people await the first rays of the sun during the celebration of the Aymara New Year 5533, in El Alto, Bolivia, June 21, 2025. REUTERS/Claudia Morales/File Photo LA PAZ - The rise in power and influence of the Indigenous Aymara in Bolivia has been the country's biggest political shift of recent decades, driven by the success of former President Evo Morales and the leftist party he founded. But as Bolivia prepares for a general election on August 17, it seems increasingly clear that Indigenous voters are abandoning the ruling Movement to Socialism, or MAS, the party that once claimed to champion them. Voters from inner-city Aymara and Quechua communities say their loyalty to MAS has been eroded over the country's worst economic crisis in decades, and younger Bolivians in particular say questions of identity now loom less important. "Most Indigenous people are having to deal with how to earn money," said Sayuri Loza, an Aymara social media influencer and daughter of Remedios Loza, the first Indigenous woman elected to Bolivia's national legislature. "The need for economic stability, for education, for healthcare — none of those are being met," said the 42-year-old, who does not plan to cast her vote for MAS. Bolivia has the highest Indigenous population proportionally of any country in Latin America, at about 62%, according to the United Nations Economic Commission for Latin America and the Caribbean. Made up of diverse ethnic groups, the largest are Aymara and Quechua, long the backbone of MAS, which has dominated the country's politics for nearly two decades. Now support for leftist and MAS-affiliated candidates is trailing the right-wing opposition. Top stories Swipe. Select. Stay informed. Singapore Liquor licences for F&B, nightlife venues extended to 4am in Boat Quay, Clarke Quay Singapore Chikungunya cases in Singapore double; authorities monitoring situation closely Singapore Some ageing condos in Singapore struggle with failing infrastructure, inadequate sinking funds Singapore CDC, SG60 vouchers listed on e-commerce platforms will be taken down: CDC Singapore Jail for driver who drove over leg of special needs woman in accident on church driveway Asia Australia's purchase of Japanese frigates signals a new era for Indo-Pacific security Singapore Wastewater overflow in Bedok and Chai Chee due to choked sewer at BTO worksite: PUB Singapore Ex-Hyflux director fined over firm's failure to disclose Tuaspring info A July survey by Ipsos CIESMORI showed Andronico Rodriguez, the leading leftist contender, with just 6% support in July, from 19% earlier this year. Another candidate of Aymara heritage, Eva Copa, stood down from the race last week. Such is the rout that the official MAS candidate is polling around 2%, while Rodriguez has distanced himself from the party. President Luis Arce is not seeking reelection. Nearly half of the electorate is under 35 - a generation that has known no political era other than that shaped by Morales, Bolivia's first Indigenous leader, and Arce, his successor. Younger voters like Lirio Fuertes, 29, who runs a fashion brand and teaches the Quechua language on TikTok, said the party's promises fell short. "Indigenous identity was paraded in speeches, flags, and festivals," said Fuertes, who on social media goes by T'ikita Wara, meaning little flower in Quechua. "But it never translated into better healthcare, education, or justice." Loza, a historian who promotes Indigenous traditions on social media, also said public services and financial stability rather than her identity were the key drivers of her vote. Bolivia's emerging middle class, much of it Indigenous, has moved beyond identity politics, and the younger generation spanned diverse professions, said Bolivian sociologist Renzo Abruzzese. "Bolivia's social structure has transformed," he said. TENSIONS EMERGE The 2006 election of Morales was a historic moment for a nation where Indigenous groups for centuries had felt like second-class citizens. They were forbidden, until the mid-1950s, from entering the square outside the presidential palace. Serfdom was only abolished in 1945. Before his first inauguration, Morales received the chieftain's staff at the pre-Inca site of Tiwanaku, pledging to grant rights to the Amerindian majority. "Today begins a new era for the native peoples of the world," Morales said at the time, surrounded by Indigenous activists who had traveled from as far as the United States. Tensions first emerged with some Indigenous groups in 2011, when Morales wanted to build a highway through Indigenous territory in the Bolivian Amazon. Protests broke out and relations between MAS and those groups suffered. Morales, who served three terms until 2019, is barred from running after a failed attempt to change the constitution to allow a fourth term. He is now in hiding in the coca-growing region of the Chapare, after a court in December issued a warrant for his arrest on child abuse and terrorism charges. The former president denies the allegations. Instead of standing for hope, Morales is now associated with disillusionment, Fuertes said. "Sadly, Evo Morales and this radicalized group that refuses to relinquish power have caused the Indigenous movement to be associated with anti-democracy, with corruption and abuse," she said. MAS did not respond to a Reuters request for comment. The official MAS candidate, Eduardo del Castillo, said last month that the problems in Arce's administration had been "identified." "There are people who believe in us and trust us," he told EFE in an interview last month. 'WALLET VOTE' This election comes as Bolivia faces its worst economic crisis since the mid-1980s. Natural gas exports have plummeted, inflation is at a 40-year high, and dollars are scarce. The boliviano currency has lost half of its value on the black market this year, even as the official exchange rate has been held artificially steady by government intervention. Urban, business-minded Indigenous voters were questioning the relevance of MAS, and many blamed the ruling party's spend-to-grow model for the downturn, said Quechua political analyst, Andres Gomez. "The 'wallet vote' is starting to outweigh the identity vote," said Gomez. It was still unclear, he said, how that would manifest on election day. Polls show conservative contenders Samuel Doria Medina and Jorge "Tuto" Quiroga leading the race, but neither commands more than 30% support, while around a third of Bolivians remain undecided. If no candidate wins the August vote outright the election will head to a runoff scheduled for October 19. Some Indigenous voters who are passing over MAS were also skeptical of the alternatives. "The right doesn't understand Indigenous Bolivia either," Loza said. REUTERS
The Star
27-06-2025
- Business
- The Star
Bolivia crypto transactions up over 530% amid currency woes
A waiter collects a diner's bill in cryptocurrency, as Bolivians are increasingly turning to cryptocurrencies and exchange platforms like Binance as a shortage of dollars and high inflation force savers to look for alternatives, in Cochabamba, Bolivia June 12, 2025. REUTERS/Claudia Morales (Reuters) -Bolivia's central bank on Friday reiterated a dramatic uptick in transactions of digital assets, following a Reuters report that showed how more Bolivians were turning to crypto exchanges like Binance and stablecoins like Tether as a hedge against the depreciation of the local boliviano currency. According to new figures published on Friday by the Bolivian central bank, transactions using Electronic Payment Channels and Instruments for Virtual Assets (VA) soared more than 530%, from $46.5 million in the first half of 2024, to $294 million in the same period of 2025. New figures showed monthly transactions at a record $68 million in May. "These tools have facilitated access to foreign currency transactions, including remittances, small purchases and payments, benefiting micro and small business owners across various sectors, as well as families nationwide," the bank said in a statement. Cryptocurrencies were outlawed in Bolivia until June last year. Since the ban was lifted, transaction volumes reached $430 million across more than 10,000 individual operations, the bank said. The Bolivian government was working on a "comprehensive regulatory framework for financial technology companies," that aligns with international standards set by the Financial Action Task Force of Latin America (GAFILAT), the bank added. Bolivians are facing an acute economic crisis, with reserves of dollars near zero, inflation at 40-year highs and fuel shortages causing long lines at the pump. The South American country's currency has lost half its value on the black market this year, even as the official exchange rate has been held artificially steady by governmentintervention. That has meant more Bolivians are looking for alternatives to protect their savings and make transactions. Crypto proponents have pushed blockchain-based tokens as an answer, though economists warn that these digital offerings come with risks. "This (crypto uptick) isn't a sign of stability," said former central bank head Jose Gabriel Espinoza. "It's more a reflection of the deteriorating purchasing power of households." (Reporting by Lucinda Elliott in Montevideo and Daniel Ramos in La Paz. Editing by Diane Craft)
Atlantic
20-06-2025
- Climate
- Atlantic
Photos of the Week: Devil-Angels, Highland Cows, Hot Dogs
A record-setting drone light show in China, the 88th Tour de Suisse in Switzerland, the Superman World Tour in the Philippines, a volcanic eruption in Indonesia, and much more Mustafa Kilic / Anadolu / Getty A flock of sheep is herded through a valley toward the foot of Mount Nemrut in Kiyiduzu village, in the Tatvan district of Bitlis, Turkey. Claudia Morales / Reuters Dancers dressed as devil-angels perform the Diablada dance during the Gran Poder parade in La Paz, Bolivia, on June 14, 2025. Gill Carpenter wears an ornate hat as she arrives on the second day of the Royal Ascot horse race in Ascot, England, on June 18, 2025. A villager watches the eruption of Mount Lewotobi Laki-Laki, as seen from Talibura village in Sikka, East Nusa Tenggara, Indonesia, on June 17, 2025. Missiles launched from Iran are intercepted high in the atmosphere, as seen from Ashkelon, Israel, on June 18, 2025. Israel's Iron Dome air defense system launches to intercept missiles over Tel Aviv on June 13, 2025. A Russian drone approaches a building during a massive missile and drone air attack by Russian forces in Kyiv, Ukraine, on June 17, 2025. Maxym Marusenko / NurPhoto / Getty A rescuer holds an injured kitten found at the site of a Russian ballistic missile strike on a residential building during a massive overnight attack in Kyiv on June 17, 2025. According to preliminary reports, 15 people were killed and 114 were injured. Superman fans dressed in costumes pose during an event, part of the first stop of the Superman World Tour, in Pasig city, Philippines, on June 19, 2025. Alper Tuydes / Anadolu / Getty A pheasant is seen in the floodplain forests located in the Karacabey district of Bursa, Turkey, among fields of wild lavender. Jens Büttner / DPA / Getty Poppies and other plants bloom in a field in Mecklenburg–Western Pomerania, in northeastern Germany, on June 17, 2025. Suleyman Elcin / Anadolu / Getty An aerial view shows handwoven carpets laid out in open fields to naturally soften their colors under the sun, in the Döşemealtı district in Antalya, Turkey, on June 18, 2025. Avishek Das / SOPA Images / LightRocket / Getty A child poses with their face painted during a Bahurupi performance event in Canning, West Bengal, India, on June 15, 2025. A dog shakes the water from its fur after swimming in one of the ponds on Hampstead Heath in London, on June 19, 2025. French Police enter the water to try and stop migrants boarding small boats that had come to collect them on June 13, 2025, in Gravelines, France. Police used tear gas and pepper spray to try and disperse hundreds of migrants aiming to board several boats but were ultimately overwhelmed by the sheer number of people. A record number of migrants (more than 15,000) have left the northern French coastline and arrived in the United Kingdom so far this year. Fabrice Coffrini / AFP / Getty Visitors stand next to the artwork No, 2021 by the Italian visual artist Maurizio Cattelan, displayed at the Gagosian Gallery during the Art Basel fair for Modern and contemporary art, in Basel, Switzerland, on June 17, 2025. Law-enforcement officers on horseback approach demonstrators during a protest on June 14, 2025, in Los Angeles. New York City Comptroller Brad Lander is placed under arrest by ICE and FBI agents outside federal immigration court on June 17, 2025, in New York City. Nhac Nguyen / AFP / Getty Vietnamese farmers transport harvested lychees to sell to traders at a wholesale market in the Lục Ngạn District of Vietnam's Bắc Giang province on June 18, 2025. Palestinians carry sacks and boxes of food and humanitarian aid that was unloaded from a World Food Program convoy that had been heading to Gaza City in the northern Gaza Strip, on June 16, 2025. Mauri Vansevenant leads the pack during Stage 3 of the 88th Tour de Suisse, from Aarau to Heiden, on June 17, 2025, in Heiden, Switzerland. Highland cows are herded at low tide, in Sollas, Scotland, on June 13, 2025. Every June, the Ardbhan herd of Highland cattle makes the two-mile journey across the sea at low tide from the Hebridean island of Vallay to North Uist on the mainland, where they give birth before returning to graze the island's nutritious machair grassland over winter. Sebastien Bozon / AFP / Getty A Pieris rapae butterfly alights on a flower in a field in Soultz-Haut-Rhin, France, on June 18, 2025. A flight test demonstrates an escape system for China's new-generation crewed spacecraft Mengzhou at the Jiuquan Satellite Launch Center in Jiuquan, Gansu province, China on June 17, 2025. A drone light show featuring 11,787 drones set a new Guinness World Record on June 17, 2025, in Chongqing, China. The display earned the title for the largest aerial image formed by the most drones. Serhii Korovainyi / Reuters A service member of a drone unit of the 24th Separate Mechanized Brigade of the Ukrainian Armed Forces prepares a heavy-combat drone before its flight over positions of Russian troops, amid Russia's invasion of Ukraine, in the Donetsk region, on June 11, 2025. An assortment of 7,000 illicit firearms and small weapons, recovered during various security operations, are burned at the National Police Leadership Academy in the Bulbul area of Ngong district, near Nairobi, Kenya, on June 13, 2025. A law-enforcement officer points a Taser at a person wearing a hot-dog costume during a protest in Portland, Oregon, on June 14, 2025. Alan Taylor is a senior editor at The Atlantic.
Straits Times
12-06-2025
- Politics
- Straits Times
Bolivia anti-government protests turn deadly as tensions rise
Police fire tear gas at supporters of former Bolivian President Evo Morales during clashes in the town of Vinto, Cochabamba, Bolivia, June 11, 2025. REUTERS/Claudia Morales Police officers stand guard as supporters of former Bolivian President Evo Morales and police clash in the town of Vinto, Cochabamba, Bolivia, June 11, 2025. REUTERS/Claudia Morales LA PAZ - Clashes between anti-government protestors and authorities in Bolivia have left at least four first responders dead, the country's justice minister said on Thursday. Tensions have intensified in recent days as supporters of former President Evo Morales, who have strangled transportation by blocking highways across the Andean nation, skirmish with officials attempting to clear the roadblocks. "There are already four officers who have lost their lives," Justice Minister Cesar Siles told reporters in La Paz, adding that some had been shot. The deceased are three police officers and a firefighter, Bolivia's state news agency reported. REUTERS Join ST's Telegram channel and get the latest breaking news delivered to you.
