Morales´s government fights poverty

On Feburary 1 the Bolivian government introduced "Renta Dignidad" - a pension pàyment for Bolivians over 60 years old. Renta Dignidad will provide 2,400 Bs per month ($315 US) to almost 700,000 Bolivians and will cost between 10 and 11 million American dollars per year. The benefit will be financed, for the most part, with 30% of the recourses from a Direct Tax from the Hydrocarbons (IDH). This money comes direct from the popular nationalisations of gas the Evo Morales government conducted in May 2006.

The Feburary 1 edition of La Razon, quoted the Minister for Rural Development who said, both renta Dignidad and the mass subsidy for schooling él Bono Juancito Pinto "will reduce incidences of poverty in the country from 59.9% to 42.4% until 2015." La Razon also quoted Sacha Llorenti, the viceminister of Co-ordination with the Social Movements who confirmed "the payment of Renta Dignidad is absolutely guareenteed."

To assist with the almighty task of paying people the Administration of Funds, Pensions, provisions BBVA and Future of Bolivia (Las AFP) have opened 10 new offices. Moreover, forty-six financial institutions - private banks, mutual societies, cooperatives, and NGOs - have agreed to help. As well, the armed forces are being located in 200-250 rural areas to assist.

The payment has been opposed by seven out of nine prefects (heads of the regional states). Nornally, the MAS dominated government has support of four out of the nine prefects. Opposition comes from the heads of department who believe the tax from gas nationalisation should go direct to them, not to national projects. In response Sacha Llorenti said renta Dignidad is part of the social revolution which is the face of Evo Morales. "We do not understand why they (these prefects) act in a stingy manner towards people opf the third age. We belive it is an act against solidarity and patriotism to try to impede this payment renta Dignidad."

On Feburary 1 here in Cochabamba activists and government officials were handing out information about the new scheme to great enthusiasm. While some prefects are not supportive, the great majority of Bolivians appreciate anti-poverty measures.