Bolivia: Current Issues, U.S. Relations, and Options for the 119th Congress

Bolivia is a centrally located, landlocked country in South America. The country experienced multiple military coups and periods of authoritarian rule through the 19th and 20th centuries, most recently reestablishing democratic civilian rule in 1982. Despite the country’s significant mineral and hydrocarbon resources, civilian governments have grappled with challenging economic conditions. These governments also have faced frequent political turbulence, at times stemming from popular opposition to government policies, including those related to development of the country’s natural resources. After 20 years of nearly continuous governance under the leftist Movimiento al Socialismo (MAS) party, national elections in 2025 resulted in the inauguration of Rodrigo Paz of the center-right Partido Demócrata Cristiano (PDC) party as president in November 2025. Paz has pledged, among other goals, to reorient Bolivia’s policies to address deteriorating economic conditions and initiate a rapprochement in U.S.-Bolivia relations. President Paz’s election signals a break from a previous political era dominated by former president and MAS founder Evo Morales (2006-2019), a coca-growers union leader and Bolivia’s first leader of Indigenous descent, who oversaw far-reaching social and economic reforms. Bilateral relations between the United States and Bolivia were strained under successive MAS governments. The two countries have not exchanged ambassadors since 2008, after former President Morales expelled the then-U.S. Ambassador for allegedly conspiring against Morales’s administration. Bolivia’s change in government could facilitate increased bilateral cooperation in areas of mutual interest that have declined under previous administrations, including counternarcotics and trade and investment issues. U.S. officials and some Members of Congress have expressed support for improved bilateral relations with the Paz administration. Bolivia was among the top recipients of U.S. bilateral aid to Latin America until U.S. aid levels began declining following President Morales’s election in 2006. As U.S.-Bolivia relations deteriorated, so did U.S. bilateral aid to Bolivia, which included funding for counternarcotic efforts; programs to promote economic development, especially for Indigenous groups; and programs to prevent infectious diseases and strengthen health care provision. U.S. bilateral aid to Bolivia ended in FY2013. The 119th Congress may seek to shape U.S.-Bolivia relations and U.S. policies toward the Paz administration through the use of legislative and oversight tools, including monitoring issues of congressional concern such as counternarcotics efforts and considering potential U.S. aid appropriations and authorizing legislation. Congress also may consider legislative proposals to enhance U.S.-Bolivia trade and investment ties, including potential measures to jointly develop supply chains of minerals deemed critical to U.S. economic and national security interests. Members of Congress also may be interested in monitoring the influence of China, Russia, and Iran in Bolivia.