Bolivia’s inflation rate surged to its highest level in nearly 10 years in August, driven by rising food and fuel prices. Official data from the National Institute of Statistics (INE) showed a year-on-year increase of 4.77%, marking the sharpest rise since 2014.
Higher costs of essential goods, such as meat, cooking oil, and bread, have been putting significant pressure on household budgets. The inflation spike comes as Bolivia grapples with global economic factors like the ongoing energy crisis and rising oil prices, which have increased production and transportation costs.
Domestically, Bolivia’s reliance on natural gas exports, which have seen production declines, and recent political shifts have compounded economic concerns. Despite government efforts like subsidies and price controls, many are calling for deeper reforms to tackle inflation’s root causes.
The inflation jump has sparked public discontent, with protests emerging in several cities. While officials remain hopeful that inflation will ease later this year, economic analysts warn that price pressures could persist in the coming months.
