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The Relationship Between Bolivia And Peru
Peru and Bolivia have found themselves in the worst moment of their history. Being drawn together as allies, towards Chile after the War of Pacific, but Peru’s denial to concede pacific coast to Bolivia, made them enemies. |
Bolivia and Peru travelled the historical distance from allies to enemies.Despite common historic and cultural background between Peru and Bolivia, the two countries opposes on economic and social paradigms. An Peruvian ambassador in La Paz has been withdrawn following an unorthodox form of diplomacy and the president of Bolivia, Evo Morales, is being labeled as an “enemy of Peru”, accusing him of supporting enemies of Peru.
In spite of this, Peru offered an alternative route for the export of Bolivian gas, allowing Bolivia to bypass the problematic Chilean territories, but is shelved since it involves pipeline linked to Peru's Pacific coast. Bolivia is facing deep economic problems. Bolivia and Peru are moreover potential rivals so far as gas sales are concerned. The non-renewal of the Andean Trade Promotion and Drug Eradication, ATPDEA, with United States, and the decision to not pursue a trade agreement with European Union have shifted Bolivian exports towards small, low budget markets like Venezuela. Till now Bolivia have seen a 25% decrease in exports this year in comparison with 2008, bringing the first popular protests in La Paz against Morales’ economic policies.
What is clear is the crisis between both countries is increasing the internal support of the conflicting sides and hampering the growth as the GDP has also seen a downfall from last year.
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