By winning the runoff election on October 19, 2025, with 54.5% of the vote against Jorge "Tuto" Quiroga, Paz of the Christian Democratic Party (PDC) ended nearly two decades of almost uninterrupted rule by the socialist party, the Movement for Socialism (MAS). This unexpected victory, given the initial polls, underscores a profound demand for political renewal as the country grapples with a major economic crisis. Rodrigo Paz will take office on November 8, 2025.

The first round of the presidential election on August 17th was marked by a resounding defeat for the left . Voters overwhelmingly punished the MAS party, whose candidate, Eduardo del Castillo, garnered only 3.15% of the vote, a paltry result compared to the party's usual performance. This rejection was fueled not only by economic discontent but also by deep internal divisions and power struggles within the MAS between current president Luis Arce and former president Evo Morales.

Morales, who led the country from 2006 to 2019, was barred from running for a fourth term. In protest, he urged his supporters to cast blank ballots, resulting in a historically high number of invalid ballots, reaching 19.1% of the total. The change of government after two decades of socialist rule also signals a likely shift in Bolivian foreign policy , potentially leading to closer ties with the United States, following a period of rapprochement with China, Russia, and Iran. Rodrigo Paz, in fact, stated his intention to “open Bolivia to the world” in his first speech as president-elect on Sunday evening.  

The new government inherits an economy described as "broken," facing its worst crisis in years. According to some analysts, Rodrigo Paz will have to confront a "three-headed dragon ." The country is indeed impacted by three structural challenges: high inflation, a dollar shortage, and a crisis in the hydrocarbon sector , a traditional pillar of the Bolivian economy.  

The country's dollar reserves have fallen from $15 billion in 2014 to less than $2 billion in 2023, prompting downgrades of its sovereign credit rating by agencies such as Fitch and Moody's. In June, monthly inflation reached 5.2% , the highest rate in Latin America at that time. The population, accustomed to subsidies, is deeply affected, and the outgoing government has been criticized for its inability to manage the crisis. The new government's priority will be to "stabilize the economy with the lowest possible social cost."

The currency crisis is closely linked to the failings of the national gas industry , which was historically the country's main source of revenue. Although the nationalization of hydrocarbons in 2006 allowed Evo Morales's government to invest heavily (at the time, Bolivia was hailed as an "economic miracle"), natural gas production has fallen by about 40% since 2014, as existing sources are being depleted due to a lack of investment. Today, Bolivia imports about 90% of its diesel and more than 50% of the gas it consumes. The costly maintenance of fuel subsidies has depleted the country's dollar reserves.

Rodrigo Paz, an economist by training, centered his campaign on "capitalism for all ," proposing a program that included tax cuts to stimulate the formal economy and the elimination of import barriers. While he plans to end fuel subsidies, Paz has promised gradual reforms and rejected the idea of ​​seeking an IMF bailout, preferring to renegotiate existing debt. He will, however, have to find solutions quickly, as nearly $3 billion will be needed during the first eight months of his term for fuel imports and external debt servicing.