The statist State suffocates Bolivian mining | El Estado estatista ahoga a la minería boliviana

By El Diario:

Lawyer Heiddi Ruiz Gonzales states

  • Law 535, bureaucracy, and the lack of legal certainty make entrepreneurship more expensive, halt new investments, and keep thousands of formal operators in a legal limbo.
Lawyer Heiddi Ruiz Gonzales.

Mining law specialist Heiddi Ruiz Gonzales warned that Bolivian mining is paralyzed by legal uncertainty, Law 535, and heavy bureaucracy, despite the country having more than 9,000 companies and around 1,700 registered cooperatives.

In an interview with EL DIARIO, she said that reactivating the sector requires a clear political decision that genuinely opens the door to investment and restores legal certainty for both national and foreign operators.

In her view, the shift from a concession system to an administrative contract regime—controlled by the State through the Administrative Mining Jurisdictional Authority (AJAM)—has turned companies into “mere service providers” and created restrictions in fiscal reserve areas, border zones, and strategic minerals, thereby limiting economic growth.

Ruiz told the Dean of the National Press that the process of adapting old concessions, launched in 2016, has become a bottleneck: a single company may face as many as 30 or 40 procedures, with high costs and minimal results, to the point that by 2024 only 19 contracts with cooperatives would have been signed.

Added to this are prior consultation and environmental licenses, which she described as “cumbersome and costly” procedures, capable of discouraging any investor due to the lack of certainty regarding timelines and outcomes.

The lawyer also questioned the fact that AJAM acts as “judge and party,” concentrating administrative, regulatory, and oversight functions, which fuels slow processes and private-sector distrust.

Institutional deterioration, she added, has gone hand in hand with an increase in mineral theft and the seizure of mining areas—phenomena that affect both production and coexistence among cooperatives, companies, and communities.

Ruiz stated that the current regulatory framework “demonizes” exploitation, discourages exploration, and makes it impossible to resort to international arbitration when the State intervenes.

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