Bolivia

República de Bolivia

Flag Coat of arms
Motto: Morir antes que esclavos vivir English: To die before living as slaves
Anthem: Bolivianos, el hado propicio
Capital	La Paz, Sucre1 17°00′ S 65°00′ W
Largest city	Santa Cruz
Official language(s)	Spanish, Quechua, Aymara
Government President	Unitary republic Evo Morales
Independence • Date	From Spain August 6, 1825
Area • Total • Water (%)	1,098,581 km² ( 27th) {{{areami²}}} mi² 1.29%%
Population • July 2005 est. • 2001 census • Density	8,857,870 ( 86th) 8.274.325 8/km² ( 177th) {{{population_densitymi²}}}/mi²
GDP ( PPP) • Total • Per capita	2006 estimate $25,892 million ( 103rd) $3,049 ( 126th)
HDI ( 2003)	0.687 ( 113th) – medium
Currency	Boliviano ( BOB)
Time zone • Summer ( DST)	— ( UTC-4) — ( UTC?)
Internet TLD	.bo
Calling code	+591
1 La Paz is the seat of government; Sucre, the legal capital

The Republic of Bolivia ( Spanish: República de Bolivia, IPA [re'puβlika ðe bo'liβi̯a]) is a landlocked country in central South America. It is bordered by Brazil on the north and east, Paraguay and Argentina on the south, and Chile and Peru on the west.

History

Pre-colonial period

The Andean region probably has been inhabited for some 5,000 years. Beginning about the 2nd century B.C., the Tiwanaku culture developed at the southern end of Lake Titicaca. This culture, centered around and named for the great city of Tiwanaku, developed advanced architectural and agricultural techniques before it disappeared around 1200 A.D., probably because of extended drought (some legends of the Aymará, who claim descendance from the inhabitants of Tiwanaku, indicate that Lake Titikaka rose and flooded the city, causing dispersal of the survivors). Roughly contemporaneous with the Tiwanakan culture, the Moxos in the eastern lowlands and the Mollos north of present-day La Paz also developed advanced agricultural societies that had dissipated by the 13th century A.D. In about 1450, the Quechua-speaking Incas entered the area of modern highland Bolivia and added it to their empire. They controlled the area until the Spanish conquest in 1535.

Colonial period

During most of the Spanish colonial period, this territory was called "Upper Peru" or "Charcas" and was under the authority of the Viceroy of Lima. Local government came from the Audiencia de Charcas located in Chuquisaca (La Plata — modern Sucre). Bolivian silver mines produced much of the Spanish empire's wealth, and Potosí, site of the famed Cerro Rico — "Rich Hill" — was, for many years, the largest city in the Western Hemisphere. A steady stream of enslaved Indians served as labor force. As Spanish royal authority weakened during the Napoleonic wars, sentiment against colonial rule grew.

The Republic and economic instability (1809)

Independence was proclaimed in 1809, but 16 years of struggle followed before the establishment of the republic, named for Simón Bolívar, on August 6, 1825 (see Bolivian War of Independence).

During the presidency of Mariscal Andres de Santa Cruz Bolivia enjoyed the most glorious period of her history with great social and economic advancement. Different wars against almost all it's neighbors were fought during this period with sound victories against its enemies but maybe the turning point took place on the fields of Paucarpata where the Confederacion Peru-Boliviana lead by the glorious Mariscal Santa Cruz defeated the Chilean and Peruvian rebel armies, on the same field a peace treaty know as the Paucarpata Treaty was signed with the unconditional surrender of the Chilean and Peruvian rebel army, allowing them to go back to Chile with all their arms and equipment intact; later this treaty was discarded by the Chilean parliament. The rebel Peruvians and the Chilean army set of to a new war against Santa Cruz, defeating the Confederation on the fields of Yungay. Using the same arms and equipment Santa Cruz allowed them to carry back home and the later defeat, is at this moment that the Bolivian history will change for ever, after this moment for nearly 60 years, coups and short-lived constitutions dominated Bolivian politics.

Going through a vicious economic and political crisis, Bolivia's weakness was demonstrated during the War of the Pacific ( 1879– 83), when it lost its seacoast, and the adjoining rich nitrate fields, together with the port of Antofagasta, to Chile. Since independence, Bolivia has lost over half of its territory to neighboring countries due to wars. See Treaty of Petrópolis in 1903 Chaco War ( 1932– 35).

An increase in the world price of silver brought Bolivia a measure of relative prosperity and political stability in the late 1800s. During the early part of the 20th century, tin replaced silver as the country's most important source of wealth. A succession of governments controlled by the economic and social elite followed laissez-faire capitalist policies through the first third of the century.

Living conditions of the indigenous people, who constituted most of the population, remained deplorable. Forced to work under primitive conditions in the mines and in nearly feudal status on large estates, they were denied access to education, economic opportunity, or political participation. Bolivia's defeat by Paraguay in the Chaco War ( 1932– 35) marked a turning point.

Rise of the Nationalist Revolutionary Movement (1951)

The Nationalist Revolutionary Movement (MNR) emerged as a broadly based party. Denied its victory in the 1951 presidential elections, the MNR led the successful 1952 revolution. Under President Víctor Paz Estenssoro, the MNR introduced universal adult suffrage, carried out a sweeping land reform, promoted rural education, and nationalized the country's largest tin mines.

Twelve years of tumultuous rule left the MNR divided. In 1964, a military junta overthrew President Paz Estenssoro at the outset of his third term. The 1969 death of President René Barrientos Ortuño, a former member of the junta elected President in 1966, led to a succession of weak governments. Alarmed by public disorder, the military, the MNR, and others installed Col. (later General) Hugo Banzer Suárez as President in 1971. Banzer ruled with MNR support from 1971 to 1974. Then, impatient with schisms in the coalition, he replaced civilians with members of the armed forces and suspended political activities. The economy grew impressively during most of Banzer's presidency, but human rights violations and eventual fiscal crises undercut his support. He was forced to call elections in 1978, and Bolivia again entered a period of political turmoil.

Military governments: García Meza and Siles Zuazo (1978)

Elections in 1978, 1979, and 1980 were inconclusive and marked by fraud. There were coups, counter-coups, and caretaker governments. In 1980, Gen. Luis García Meza Tejada carried out a ruthless and violent coup that did not have popular support. He pacified the people by promising to remain in power only for one year. (At the end of the year, he staged a televised rally to claim popular support and announced, "Bueno, me quedo," or, "All right; I'll stay [in office]." He was deposed shortly thereafter.) His government was notorious for human rights abuses, narcotics trafficking, and economic mismanagement; during his presidency the inflation that would later cripple the Bolivian economy could already be felt. Later convicted in absentia for crimes including murder, García Meza was extradited from Brazil and began serving a 30-year sentence in 1995.

After a military rebellion forced out García Meza in 1981, three other military governments in 14 months struggled with Bolivia's growing problems. Unrest forced the military to convoke the Congress elected in 1980 and allow it to choose a new chief executive. In October 1982, twenty-two years after the end of his first term of office (1956-60), Hernán Siles Zuazo again became President. Severe social tension, exacerbated by economic mismanagement and weak leadership, forced him to call early elections and relinquish power a year before the end of his constitutional term.

Sánchez de Lozada and Banzer: Liberalizing the economy (1993)

Sánchez de Lozada pursued an aggressive economic and social reform agenda. He relied heavily on corrupt entrepreneurs-turned-politicians like himself and on fellow veterans of the Paz Estenssoro administration (during which Sánchez de Lozada was Minister for Planning). The most dramatic change undertaken by the Sánchez de Lozada government was the "capitalization" program, under which investors, typically foreign, acquired 50% ownership and management control of public enterprises, such as the state oil corporation, telecommunications system, airlines, railroads, and electric utilities in return for agreed upon capital investments. The reforms and economic restructuring were strongly opposed by certain segments of society, which instigated frequent and sometimes violent protests, particularly in La Paz and the Chapare coca-growing region, from 1994 through 1996. The Sánchez de Lozada government pursued a policy of offering monetary compensation for voluntary eradication of illegal coca by its growers in the Chapare region. The policy produced little net reduction in coca, and in the mid-1990s Bolivia accounted for about one-third of the world's coca going into cocaine.

During this time, the umbrella labor organization of Bolivia, the Central Obrara Boliviana (COB), became increasingly unable to effectively challenge government policy. A teachers' strike in 1995 was defeated because the COB could not marshall the support of many of its members, including construction and factory workers. The state also used selective martial law to keep the disruptions caused by the teachers to a minimum. The teachers were led by Trotskyists, and were considered to be the most militant union in the COB. Their downfall was a major blow to the COB. The COB also became mired in internal corruption and infighting in 1996.

In the 1997 elections, Gen. Hugo Banzer, leader of the ADN, won 22% of the vote, while the MNR candidate won 18%. Gen. Banzer formed a coalition of the ADN, MIR, UCS, and CONDEPA parties which held a majority of seats in the Bolivian Congress. The Congress elected him as president and he was inaugurated on August 6, 1997. During the election campaign, General Banzer had promised to suspend the privatization of the state owned oil company, YPFB. Considering the weak position that Bolivia is in vis-a-vis international corporations, though, this seemed unlikely.

The Banzer government basically continued the free market and privatization policies of its predecessor, and the relatively robust economic growth of the mid-1990s continued until about the third year of its term in office. After that, regional, global and domestic factors contributed to a decline in economic growth. Financial crises in Argentina and Brazil, lower world prices for commodity exports, and reduced employment in the Coca sector depressed the Bolivian economy. The public also perceived a significant amount of public-sector corruption. These factors contributed to increasing social protests during the second half of Banzer's term.

At the outset of his government, President Banzer launched a policy of using special police units to physically eradicate the illegal coca of the Chapare region. The policy produced a sudden and dramatic 4-year decline in Bolivia's illegal coca crop, to the point that Bolivia became a relatively small supplier of coca for cocaine. Those left unemployed by coca eradication streamed into the cities, especially El Alto the slum neighbor of La Paz. The MIR of Jaime Paz Zamora remained a coalition partner throughout the Banzer government, supporting this policy (called the Dignity Plan).

On August 6, 2001, Banzer resigned from office after being diagnosed with cancer. He died less than a year later. Banzer's U.S.-educated Vice President, Jorge Fernando Quiroga Ramírez, completed the final year of the term. Quiroga was constitutionally prohibited from running for national office in 2002 but could do so in 2007.

In the June 2000 national elections, former President Gonzalo Sánchez de Lozada (MNR) placed first with 22.5% of the vote, followed by illegal-coca advocate and indigenous campesino leader Evo Morales ( Movement Toward Socialism, MAS) with 20.9%. Morales edged out populist candidate Manfred Reyes Villa of the New Republican Force (NFR) by just 700 votes nationwide, earning a spot in the congressional run-off against Sánchez de Lozada on August 4, 2002.

A July agreement between the MNR and the fourth-place MIR, which had again been led in the election by former president Paz Zamora, virtually ensured the election of Sánchez de Lozada in the congressional run-off, and on August 6 he was sworn in for the second time. The MNR platform featured three overarching objectives: economic reactivation (and job creation), anti- corruption, and social inclusion. All the this promises fell short when on a criminal act he sent the armed forced against the people, killing and wounding several people, this act and corruption links during his government led to his resignation. Today Sanchez the Lozada hides himself on the United States from Bolivian laws and trials, including genocide.

Social Crisis and the nationalization of hydrocarbon resources (2000-2005)

In April 2000, the social movements in Bolivia got together to protest the privatization of water provision in Cochabamba. Three years earlier, the government had sold rights to manage water in the city to Aguas del Tunari, a conglomerate led by Bechtel corporation. After making investments, the company raised water prices dramatically. They also made drawing water from community wells or gathering rainwater illegal, giving Aguas del Tunari exclusive rights. Protests that included Cochabamba residents and coca growers turned violent. Roadblocks paralyzed parts of the country. The protesters were helped along by policemen, who took the opportunity to go on strike for higher wages. Finally the government gave into the protesters demands and revoked the water contract. It was an unprecedented moment of unity for the Bolivian social movements against neoliberal reform. ^1-2

During February 2003, four-year economic recession, tight fiscal situation, and widespread corruption inside the government mounted again in a police revolt that nearly toppled the government of President Sánchez de Lozada; several days of unrest left more than 30 persons dead. The government stayed in power but remained unpopular. Widespread protests broke out in October and revealed deep dissatisfaction with the government. Approximately 80 people died during the demonstrations which led President Sánchez de Lozada to resign from office on October 17. In a constitutional transfer of power, Vice President Carlos Mesa assumed the Presidency and promised to hold a binding referendum on the export of Bolivian natural gas. The referendum took place on July 18, and the electorate voted overwhelmingly in favor of development of the nation's hydrocarbon resources. Mesa planned to detail the government's development plans in legislation to be introduced to Congress. Mesa enjoyed popularity with the Bolivian public, but he faced the same difficulties — social divisions, a radical opposition committed to extra-parliamentary action, and an ongoing fiscal deficit — as the previous administration.

On June 6, 2005, President Carlos Mesa was forced to enter his resignation as over 80,000 protestors surrounded the presidential palace and congress demanding nationalization of the gas industry. The indigenous protestors argued that indigenous communities, two thirds of Bolivia's population, were not adequately represented in government. Consequently, the campesinos and indigenous population, angered by the inequitable dividends paid by the multinational petroleum companies, set up roadblocks throughout the country and placed all the major cities under siege. With Carlos Mesa stranded in the Palace of Plaza Murillo, the congress and senate closed, protestors roamed through the streets of La Paz threatening to drive the "corbateros" (those clothed in suits and ties) from the country.

A civil war was averted when, on June 9, 157 members of congress converged on the Casa de La Libertad in Sucre and nominated Eduardo Rodríguez, then serving as President of the Supreme Court, to the Presidency of the Republic. President Rodriguez, to avert a civil war, promised to hold new national elections in December 2005.

Evo Morales, Movement toward Socialism

The 2005 Bolivian presidential election was held on December 18, 2005. The two main candidates were Juan Evo Morales Ayma of the Movement Toward Socialism (MAS) Party, and Jorge Quiroga, leader of the Democratic and Social Power (PODEMOS) Party and former head of the Acción Democrática Nacionalista (ADN) Party.

Morales won the election with 54 percent of the votes, an absolute majority. He was sworn in on January 22, 2006 for a five-year term. For the first time since the Spanish Conquest in the early 1500's, Bolivia, a nation with a majority indigenous population, has an indigenous leader, and Morales has stated that the 500 years of colonialism are now over.

His recent presidential election victory has also brought new attention to the U.S. drug war in South America and its heavy emphasis on coca crop eradication. The US-led "Plan Dignidad" (dignity plan), which seeks to reduce coca production to zero, is seen by many Bolivians as an attack on their livelihoods and way of life. Morales has said his government will try to interdict drugs, but he wants to preserve the legal market for coca leaves and promote export of such products as the coca tea drink.

Politics

The 1967 constitution, amended in 1994, provides for balanced executive, legislative, and judicial powers. The traditionally strong executive, however, tends to overshadow the Congress, whose role is generally limited to debating and approving legislation initiated by the executive. The judiciary, consisting of the Supreme Court and departmental and lower courts, has long been riddled with corruption and inefficiency. Through revisions to the constitution in 1994, and subsequent laws, the government has initiated potentially far-reaching reforms in the judicial system and processes.

Bolivia's nine departments received greater autonomy under the Administrative Decentralization law of 1995. Departmental autonomy further increased with the first popular elections for departmental governors, known as prefects, on 18 December 2005. Bolivian cities and towns are governed by directly elected mayors and councils. Municipal elections were held on 5 December 2004, with councils elected to five-year terms. The Popular Participation Law of April 1994, which distributes a significant portion of national revenues to municipalities for discretionary use, has enabled previously neglected communities to make striking improvements in their facilities and services.

The president is elected to a five-year term by popular vote. Elected president Gonzalo Sánchez de Lozada resigned in October 2003, and was substituted by vice-president Carlos Mesa. Mesa was in turn replaced by chief justice of the Supreme Court Eduardo Rodríguez in June 2005. Six months later, on December 18, 2005, the Socialist indigenous leader, Evo Morales, was elected president, to the general dismay of the United States government.

Legislative Branch: The Congreso Nacional ( National Congress) has two chambers. The Cámara de Diputados ( Chamber of Deputies) has 130 members, elected to five-year terms by proportional representation. The Cámara de Senadores ( Chamber of Senators) has 27 members (three per department), elected to five-year terms by proportional representation.

Administrative divisions

Bolivia is divided into nine departments, or departamentos:

• Chuquisaca (Sucre)
• Cochabamba (Cochabamba)
• Beni ( Trinidad)
• La Paz (La Paz)
• Oruro ( Oruro)
• Pando ( Cobija)
• Potosí ( Potosí)
• Santa Cruz ( Santa Cruz de la Sierra)
• Tarija ( Tarija)

Additionally, each department is further divided into provinces, or provincias, cantons, or cantones, and municipalities, or municipalidades, which handle local affairs.

Geography

Bolivia is a landlocked nation. However, it does have access to the Atlantic via the Paraguay river. The west of Bolivia is situated in the Andes mountain range, with the highest peak, Nevado del Sajama at 6,542 m. The west of the country is formed by a highland plateau, the Altiplano. The east of the country is lowland, and covered by the Amazonian rainforests. Lake Titicaca is located on the border between Bolivia and Peru. In the west, in the department of Potosí, lies the Salar de Uyuni, the world's largest salt flats.

Major cities are La Paz, Santa Cruz de la Sierra and Cochabamba.

Economy

Bolivia remains the poorest country in South America, in part, due to high corruption levels.

Bolivia's 2002 gross domestic product (GDP) totaled USD $7.9 billion. Economic growth is about 2.5% a year and inflation is expected to be between 3% and 4% in 2002 (it was under 1% in 2001).

Bolivia’s current lackluster economic situation can be linked to several factors from the past two decades. The first major blow to the Bolivian economy came with a dramatic fall in silver prices during the early 1980’s which impacted one of Bolivia’s main sources of income and one of its major mining industries. The second major economic blow came from the end of the Cold War in the late 1980’s and early 1990’s as economic aid was withdrawn by western countries who had previously tried to keep a “democratic” regime in power through financial support. The third economic blow came from the U.S. sponsored eradication of the Bolivian coca crop which was used in 80% of the worlds’ cocaine production at its peak. Along with the reduction in the coca crop came a huge loss of income to the Bolivian economy, particularly the peasant classes.

Since 1985, the Government of Bolivia has implemented a far-reaching program of macroeconomic stabilization and structural reform aimed at maintaining price stability, creating conditions for sustained growth, and alleviating poverty. A major reform of the customs service in recent years has significantly improved transparency in this area. The most important structural changes in the Bolivian economy have involved the capitalization of numerous public-sector enterprises. (Capitalization in the Bolivian context is a form of privatization where investors acquire a 50% share and management control of public enterprises by agreeing to invest directly into the enterprise over several years rather than paying cash to the government).

Parallel legislative reforms have locked into place market-oriented policies, especially in the hydrocarbon and telecommunication sectors, that have encouraged private investment. Foreign investors are accorded national treatment, and foreign ownership of companies enjoys virtually no restrictions in Bolivia. While the capitalization program was successful in vastly boosting foreign direct investment (FDI) in Bolivia ($1.7 billion in stock during 1996-2002), FDI flows have subsided in recent years as investors complete their capitalization contract obligations.

In 1996, three units of the Bolivian state oil corporation (YPFB) involved in hydrocarbon exploration, production, and transportation were capitalized, facilitating the construction of a gas pipeline to Brazil. The government has a long-term sales agreement to sell natural gas to Brazil through 2019. The Brazil pipeline carried about 12 million m³ per day in 2002. Bolivia has the second-largest natural gas reserves in South America, and its current domestic use and exports to Brazil account for just a small portion of its potential production. The government expects to hold a binding referendum in 2004 on plans to export natural gas. Widespread opposition to exporting gas through Chile touched off protests that led to the resignation of President Sánchez de Lozada in October 2003.

In April 2000, Bechtel signed a contract with Hugo Banzer, the former president of Bolivia, to privatize the water supply in Bolivia's 3rd-largest city, Cochabamba. The contract was officially awarded to a Bechtel subsidiary named Aguas del Tunari, which had been formed specifically for that purpose. Shortly thereafter, the company tripled the water rates in that city, an action which resulted in protests and rioting among those who could no longer afford clean water. Martial law was declared, and Bolivian police killed at least 6 people and injured over 170 protesters. Amidst Bolivia's nationwide economic collapse and growing national unrest over the state of the economy, the Bolivian government was forced to withdraw the water contract. In 2001, Bechtel filed suit the Bolivian government for $25 million in lost profits. The continuing legal battle has attracted attention from anti-globalization and anti-capitalist groups.

Bolivian exports were $1.3 billion in 2002, from a low of $652 million in 1991. Imports were $1.7 billion in 2002. Bolivian tariffs are a uniformly low 10%, with capital equipment charged only 5%. Bolivia's trade deficit was $460 million in 2002.

Bolivia's trade with neighboring countries is growing, in part because of several regional preferential trade agreements it has negotiated. Bolivia is a member of the Andean Community and enjoys nominally free trade with other member countries (Peru, Ecuador, Colombia, and Venezuela.) Bolivia began to implement an association agreement with Mercosur (Southern Cone Common Market) in March 1997. The agreement provides for the gradual creation of a free trade area covering at least 80% of the trade between the parties over a 10-year period, though economic crises in the region have derailed progress at integration. The U.S. Andean Trade Preference and Drug Enforcement Act (ATPDEA) allows numerous Bolivian products to enter the United States free of duty on a unilateral basis, including alpaca and llama products and, subject to a quota, cotton textiles.

The United States remains Bolivia's largest trading partner. In 2002, the United States exported $283 million of merchandise to Bolivia and imported $162 million. Bolivia's major exports to the United States are tin, gold, jewellery, and wood products. Its major imports from the United States are computers, vehicles, wheat, and machinery. A Bilateral Investment Treaty between the United States and Bolivia came into effect in 2001. Agriculture accounts for roughly 15% of Bolivia's GDP. The amount of land cultivated by modern farming techniques is increasing rapidly in the Santa Cruz area, where weather allows for two crops a year. Soybeans are the major cash crop, sold into the Andean Community market. The extraction of minerals and hydrocarbons accounts for another 10% of GDP and manufacturing less than 17%.

The Government of Bolivia remains heavily dependent on foreign assistance to finance development projects. At the end of 2002, the government owed $4.5 billion to its foreign creditors, with $1.6 billion of this amount owed to other governments and most of the balance owed to multilateral development banks. Most payments to other governments have been rescheduled on several occasions since 1987 through the Paris Club mechanism. External creditors have been willing to do this because the Bolivian Government has generally achieved the monetary and fiscal targets set by IMF programs since 1987, though economic crises in recent years have undercut Bolivia's normally good record. Rescheduling agreements granted by the Paris Club has allowed the individual creditor countries to apply very soft terms to the rescheduled debt. As a result, some countries have forgiven substantial amounts of Bolivia's bilateral debt. The U.S. Government reached an agreement at the Paris Club meeting in December 1995 that reduced by 67% Bolivia's existing debt stock. The Bolivian Government continues to pay its debts to the multilateral development banks on time. Bolivia is a beneficiary of the Heavily Indebted Poor Countries (HIPC) and Enhanced HIPC debt relief programs, which by agreement restricts Bolivia's access to new soft loans. Bolivia was one of three countries in the Western Hemisphere selected for eligibility for the Millennium Challenge Account and is participating as an observer in FTA negotiations.

In 2004 the government has given great importance in the development of port facilities at Puerto Busch on the Paraguay river. Already further North in Puerto Suarez and Puerto Aguirre, which are connected to the Paraguay river via canal tamengo going through Brazil, mid-size container ships traverse. As of 2004 about half of Bolivias exports is going out via the Paraguay river. When Puerto Busch is finished bigger ocean going ships should be able to dock in Bolivia. This will greatly help Bolivia become more competitive in that they will not have to use foreign ports as much, mostly in Peru and Chile, which adds to the price of exports and imports. Tobacco has also been one of the big imports and also made my them. In 1992 they made over 1,000 million tons of it.

Demographics

Bolivia is one of only three countries in Latin America whose largest population segment is comprised of unmixed Amerindians - the other two being Guatemala and Peru. Bolivia's ethnic distribution is estimated to be 33% Quechua and 30% Aymara Amerindians, 25% Mestizo (mixed Amerindian and European) and 12% European. The largest of the approximately three-dozen indigenous groups are the Quechua-speaking groups (2.5 million), the Aymara (2 million), Chiquitano (180,000), and Guaraní (125,000). There are small German, Italian, American, Basque, Croatian, Asian (particularly Japanese), Middle Eastern, and other minorities, many of whose members descend from families that have lived in Bolivia for several generations. Also noteworthy is the Afro-Bolivian community that numbers roughly 1% of the population, descended from African slaves that were transported to work in the altiplano and the mines of Potosi. They are mostly concentrated in the Yungas region ( Nor Yungas and Sud Yungas provinces) in the department of La Paz, some three hours from La Paz city.

Bolivia is one of the least developed countries in South America. Almost two-thirds of its people, many of whom are subsistence farmers, live in poverty. Population density ranges from less than one person per square kilometer in the southeastern plains to about 10 per square kilometer. (25 per sq. mi.) in the central highlands. The annual population growth rate is about 2.74% (2002).

La Paz is the world's highest capital city at 3,600 meters (11,800 ft.) above sea level. The adjacent city of El Alto, at 4,200 meters above sea level, is one of the fastest growing in the hemisphere. Santa Cruz, the commercial and industrial hub of the eastern lowlands, also is experiencing rapid population and economic growth.

The great majority of Bolivians are Roman Catholic (the official religion), although Protestant denominations are expanding strongly. Islam is practiced by the descendants of Middle Easterners. There is also a small yet influential Jewish community that is almost all Ashkenazi in origin. Over 3% of Bolivians practice the Bahá'í Faith (giving Bolivia one of the largest percentages of Bahá'í practitioners in the world). Due to extensive Mormon missionary efforts there is substantial Mormon demographic; there is even a temple [1] in Cochabamba. There is a colony of Mennonites near Santa Cruz. Many indigenous communities interweave pre-Columbian and Christian symbols in their worship. About half of the people speak Spanish as their first language, although the Aymara and Quechua languages are also common. Approximately 90% of the children attend primary school but often for a year or less. The literacy rate is low in many rural areas. The cultural development of what is present-day Bolivia is divided into three distinct periods: pre-Columbian, colonial, and republican. Important archaeological ruins, gold and silver ornaments, stone monuments, ceramics, and weavings remain from several important pre-Columbian cultures. Major ruins include Tiwanaku, Samaipata, Incallajta, and Iskanwaya. The country abounds in other sites that are difficult to reach and have seen little archaeological exploration.

The Spanish brought their own tradition of religious art which, in the hands of local indigenous and mestizo builders and artisans, developed into a rich and distinctive style of architecture, painting, and sculpture known as "Mestizo Baroque". The colonial period produced not only the paintings of Pérez de Holguín, Flores, Bitti, and others but also the works of skilled but unknown stonecutters, woodcarvers, goldsmiths, and silversmiths. An important body of native baroque religious music of the colonial period was recovered in recent years and has been performed internationally to wide acclaim since 1993.

Bolivian artists of stature in the 20th century include, among others, Guzmán de Rojas, Arturo Borda, María Luisa Pacheco, and Marina Núñez del Prado. Bolivia has rich folklore. Its regional folk music is distinctive and varied. The "devil dances" at the annual carnival of Oruro are one of the great folkloric events of South America, as is the lesser known carnival at Tarabuco.

Culture

Bolivian culture has many Inca, Aymara and other indigenous influences in religion, music and clothing, depending upon the region of the country, isolation of the cultures and contact with European (Spanish) culture. The best known fiesta is the UNESCO heritage "El carnaval de Oruro". Entertainment includes football, which is the national sport, played in many street corners. Also, zoos are a popular attraction with a diverse population of interesting creatures. Also, Bolivia is full of a variety of festivals, including special dance celebrations, such as the Carnaval de Oruro.