Víctor Paz Estenssoro

president of Bolivia
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Quick Facts
Born:
October 2, 1907, Tarija, Bolivia
Died:
June 7, 2001, Tarija

Víctor Paz Estenssoro (born October 2, 1907, Tarija, Bolivia—died June 7, 2001, Tarija) was a Bolivian statesman, founder and principal leader of the left-wing Bolivian political party National Revolutionary Movement (MNR). He served three times as president of Bolivia (1952–56, 1960–64, 1985–89).

Paz Estenssoro began his career as professor of economics at the University of San Andrés in La Paz. He was economic adviser to President Germán Busch (1937–39) and in 1939 was elected to the Chamber of Deputies. In 1941 he and others established the MNR; when it seized power in 1952, Paz Estenssoro became president. During his administration the right to vote was extended to Indians, the three largest tin companies in the country were expropriated by the government, and an agrarian-reform law began the process of transferring the arable land of the central plateau to the Indians.

During 1956–60 Paz Estenssoro served as ambassador to the United Kingdom. He again became the MNR candidate for president in 1960 and won a decisive victory. During his second administration, his government reached an agreement with the U.S. government, the Inter-American Development Bank, and West German industrialists providing for a reorganization of the tin industry.

In the election of 1964, about 70 percent of the eligible voters cast their ballots for Paz Estenssoro. Nevertheless, he was overthrown by a military coup d’état in early November 1964 and went into exile in Peru. He remained in Lima as a professor of economics at the university until August 1971, when he returned to Bolivia as an adviser to the government led by the right-wing president Hugo Banzer Suárez.

Paz Estenssoro ran unsuccessfully for the presidency in 1979, and he ran again as the MNR’s candidate in July 1985. He finished second to Banzer in the popular vote, in which no candidate gained a majority. On August 5, 1985, Congress elected Paz Estenssoro president, and he was installed the next day. During his tenure, he instituted a program of economic austerity that reduced the hyperinflation that had imperiled Bolivia’s economy. He also privatized the tin mines. In 1989 Paz Estenssoro retired from politics.

This article was most recently revised and updated by Encyclopaedia Britannica.