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Mass protests sweep Bolivia

Newest challenge to IMF's economic program

By Andy McInerney

A government decision to raise water prices triggered a mass outpouring into the streets of every major city in the South American country of Bolivia during the first week in April.

Demands from different sectors of workers and peasants--and even from police officers--began to merge into a comprehensive indictment of President Hugo Banzer's pro-International Monetary Fund economic policies. On April 8, Banzer declared a 90-day state of emergency to try to contain the protests.

Demonstrations began April 2 in the Andean city of Cochabamba. Residents there protested government plans to raise the price of water by some 20 percent.

Water already costs about $30 a month. For many workers and peasants that amounts to one-sixth of their monthly income.

Demonstrators erected barricades across roads and highways throughout the country. By the end of the week, transportation across the country was largely paralyzed.

On April 8, soldiers clashed with demonstrating peasants as the government tried to dismantle the roadblocks. At least three people were killed in the clashes.

The demonstrations had the backing of the Confederation of Bolivian Peasants (CCB). CCB leader Felipe Quispe had announced in March that the confederation would paralyze the countryside to protest Banzer's agrarian economic policies.

Many Bolivian peasants--cocaleros--earn their livelihood by producing coca leaf, a traditional crop in the Andean highlands. Banzer's government has launched a campaign against the cocaleros as part of the U.S.-backed "war on drugs." This campaign has focused on destroying arable land with poisonous chemicals, but has not addressed the peasants' needs to make a living in some other way.

Quispe summarized the CCB's demands with a call for a "true, integral, agrarian development" program.

Workers join protests

The peasant mobilizations, centered in Cochabamba, received broad support from Bolivia's powerful labor movement. On April 7, the day before Banzer declared the state of emergency, the Bolivian Workers Federation reaffirmed plans for a national mobilization and strike beginning April 17.

The protests would be aimed at high living costs and the government's "inability" to solve the people's economic problems.

In the midst of the peasant protests, police in the country's two main cities, La Paz and Santa Cruz, struck for a 50-percent pay increase. Police and their spouses had staged a two-week hunger strike to highlight their low pay.

The police strike, coming amid the generalized mass protests, put the government on the defensive. In La Paz, the strike turned into an armed confrontation with army units.

Striking police turned their tear-gas canisters--traditionally aimed at workers and students--against the army. Soldiers returned fire with machine guns.

On April 9, the government capitulated to the striking police and granted the 50-percent pay raise.

In the hours after the state of emergency was declared April 8, the government moved to stifle the protests. Union leaders were arrested. The government restricted media coverage of the protests.

But the protests did not dissolve. Thousands of peasants filled the streets of Cochabamba while thousands more were making their way to the city.

Crisis of neoliberalism

The protests in Bolivia open a new front in the battle across Latin America against the IMF's "neoliberal" economic policies. Under these policies, governments are forced to sell off state industries and impose harsh austerity measures as a condition for IMF loans.

The policies' professed goal is fostering "healthy" free-market capitalism in the super-exploited countries around the world. They have one real aim: to maximize the profits flowing into the biggest banks in the imperialist countries.

United States banks have a near monopoly on the profits generated in Latin America.

It takes police and military force to impose the harsh restrictions of the IMF and World Bank. Hugo Banzer was elected in 1997 after promising investors to push forward the neoliberal economic order in Bolivia.

His word was good with U.S. financiers and generals. As a general himself, he had headed Bolivia's brutal military regime from 1971 to 1978, crushing the labor movement.

But while increasing profits for U.S. banks, the neoliberal economic policies have unleashed a wave of resistance across the continent.

Bolivia's protests come only two months after mass mobilizations toppled the president of Ecuador. The intervention of the military there and dire warnings of sanctions by the U.S. government prevented that movement from taking power out of the hands of the pro-IMF clique in Quito.

The parallels between the new protests in Bolivia and the recent struggles in Ecuador will force the ruling classes in both La Paz and the United States to take the growing movement seriously.

The IMF is facing its most serious challenge in Colombia. While the Colombian government has desperately tried to impose its neoliberal model there, its plans have run into fierce resistance from the masses.

On the one hand, Colombia's powerful union federations have launched several national strikes against the government's economic policies. At the same time, the country's armed revolutionary movements have forced the government to defend its economic policies in front of the workers and peasants.

Resistance to the IMF in Colombia is backed by a people in arms.

Imperialist economics and the corresponding military interventions are provoking resistance at every turn in Latin America. That resistance--from Bolivia to Colombia--deserves the support of the new movement in the United States against the IMF and the World Bank.

In turn, U.S. activists have much to gain from the lessons learned by their sisters and brothers in struggle across the continent.

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