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USAID/OTI Bolivia Field Report

June 2005


Program Description

Widespread protests in October 2003, largely centered in La Paz and El Alto, forced the resignation of the elected Bolivian President, Gonzalo Sánchez de Lozada. Sánchez de Lozada was replaced by his Vice President, former journalist Carlos Mesa. Opposition groups gave Mesa 90 days to produce results meaningful to Bolivia's poor indigenous population. Mesa promised action on three specific topics: 1) a referendum on the export of natural gas, 2) a revision of the hydrocarbons law and 3) the convening of a constituent assembly to revise Bolivia's constitution.

In this context, the OTI program goal in Bolivia seeks to reduce political tensions and support the democratic processes until the next elections scheduled for 2007.

The major program focus areas are:

  • Government Communications: Supporting public education communication initiatives of the Office of the President:
  • Civic Education: Use of radio and other media for the civic education program emphasizing key aspects of the current situation involving the people in and around El Alto.

  • Self-Help: Short-term community-based self-help activities in distressed communities, e.g., El Alto and the altiplano.

  • Social Linkages: Increasing societal cleavages have the potential to threaten the country's stability and integrity. OTI will support efforts to facilitate better social linkages and a national dialogue on strategic political issues.

  • Focus on Youth: Over half the population of El Alto and the surrounding area is less than 20 years of age. A large proportion of the demonstrators who challenged armed security forces in La Paz were youth. OTI will seek to involve youth as a cross-cutting element in all projects wherever feasible.

Country Situation

Following are the major political developments affecting the political environment in Bolivia over the last month:

  • Debate on Gas Referendum Heats up – With the Gas Referendum less than a month away, the controversy is taking center stage in Bolivian politics. Government opponents are waging an effective campaign against the referendum. This prompted Bolivia's National Electoral Commission to approve a new regulation that prohibits "anonymous propaganda directed at promoting abstention (from voting in the national referendum on gas) and which undermines public morale and damages the dignity of persons." Various radical groups oppose the July referendum arguing that the October 2003 protests against the sale of gas to the U.S. constituted "the people's will", and thus no referendum is required, and that the planned referendum is a trick being perpetrated by "multinational corporations."
  • Road Blockades Continue to Disrupt Economic Activity – A series of blockades of major roads by unions, colonizers and cocaleros in various parts of the country continue to take a heavy toll on Bolivia's already-beleaguered economy, costing Bolivia millions of dollars a week in lost sales, spoilage, and property damage.
  • Assassination of Mayor Raises Fears of Increasing Anarchy in Rural Areas – The recent kidnapping and murder of the mayor of Ayo Ayo in southern La Paz Department has heightened fear of a collapse of order in rural areas, particularly in the altiplano. Police believe the murder was politically motivated. A tradition of "community justice", and an extremely sparse police force in rural areas provoke concerns of increased attacks on local officials.

USAID/OTI Highlights

A. Narrative Summary

In the run-up to the Gas Referendum, scheduled for July 18, 2004, the OTI program focused heavily on supporting national and local efforts to encourage participation and to educate the voting population on the issues and policies implicit in the referendum. Thus, some 24 grants focused on public information campaigns related to the gas referendum. This is, in large measure, a reflection of the crucial role the referendum will play in the transition process as one of the three major commitments the Mesa government made when it assumed power last year. The remaining grants are, for the most part, community based activities aimed at reducing conflict in El Alto and the altiplano.

B. Grants Activity Summary

Focus Area # Grants Grant Amt Amt Disbursed Balance
Civil Society Org. Support 16 $341,087 $101,061 $240,027
Community Impact Activities 21 $335,351 $111,050 $224,301
Conflict Management 5 $  58,829 $ 10,908 $ 47,921
Election Processes 7 $145,614 $ 10,511 $135,103
Justice/Human Rights 3 $  60,172 $  1,659 $  58,513
Media 10 $ 265,557 $120,059 $145,498
Transparency/Good Governance 7 $255,836 $140,476 $115,361
Total 69 $1,462,446 $495,723 $966,723

C. Indicators of Success

The largest single project with the Presidents Office provided for 7 workshops with journalists on the Gas Referendum (8 regional and 1 national workshop, in Spanish and 5 native languages). Of these, 4 have already been carried out, with great success -attendance and succeeding media coverage far exceeded expectations. Around 80 journalists from around the country were flown in for the national workshop yesterday, and another 120 La Paz journalists also attended.

At a recent press conference, President Mesa responded to a suggestion by one of the reporters that the government was not doing enough to prepare for the upcoming referendum. In response, the President listed off a number of activities, all of which were OTI funded initiatives.

In addition, the program made significant progress in enhancing the Governments media outreach capacity with the rehabilitation of the Governments Illimani Radio station.

D. Program Appraisal

The OTI/Bolivia program initiatives as well as startup tasks such as installation of management and financial systems are proceeding as planned. The program is properly focused for the moment on the most immediate and crucial political hurdle facing the Mesa government at this time: the Gas Referendum. This will continue to be the primary - but not exclusive - focus in the run up to the referendum and for a period after as the government and citizens begin to clarify and implement the outcome of the vote.

NEXT STEPS/IMMEDIATE PRIORITIES

The most immediate priority is the hiring of additional personnel to bring staffing and implementation capacity in line with the rapid growth of the program. A second priority is to complete the negotiations and implementation arrangements for a $1.0 million Education Fund to be funded by a transfer from the USAID/Bolivia Mission.

For further information, please contact:
In Washington, D.C: Amy Frumin, LAC Program Manager, 202-712-4231, afrumin@usaid.gov

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