Old-Guard Revolutionary Will Take Office in Bolivia Today

Victor Paz Estenssoro, the old-guard leader of Bolivia’s nationalist revolution, won election Monday for the fourth time as president and will take office today.

His main opponent, Hugo Banzer, a conservative former military president who topped Paz in last month’s popular election, personally telephoned the new president to wish him well. Banzer also announced that he will lead a “loyal opposition.”

Banzer’s gesture dispelled rumors of a military coup, which would have been in the long tradition of intervention by the Bolivian armed forces in politics. The last time Paz was elected president, in 1964, he was ousted by the military three months after his inauguration.

It was a great personal comeback for Paz, a 78-year-old economist, who had said that this would be his last election. The white-haired, pipe-smoking Paz conducted a vigorous electoral campaign, winning in seven of Bolivia’s nine departments, with strong backing from peasant districts.

Congressional Runoff

But his chances of victory were in doubt until early Monday, when he was chosen to be president for a four-year term by a center-left coalition of political parties with a majority in the Bolivian Congress.

Congress had to choose between Paz and Banzer, 58, who led by 35,000 votes in the direct, popular presidential vote on July 14. But Paz’s party held more seats in the Congress, and he won the backing of all the left-wing parties that opposed Banzer.

Presidents from four Latin American countries with democratic governments, including Raul Alfonsin of Argentina and Alan Garcia of Peru, have come to La Paz for the inauguration, in recognition of Bolivia’s success in remaining in the democratic camp. Special delegations have also come from the United States and from Cuba.

Paz’s election finds Bolivia in a deep economic crisis. The administration of incumbent President Hernan Siles Zuazo allowed inflation to reach an annual rate of 10,000%. Bolivia owes foreign banks $720 million and has paid no interest on its debt for a year.

Recovery Program Vowed

Paz has fewer leftist sympathies than Siles, and he has promised an economic recovery program that includes negotiating with the International Monetary Fund and the creditor banks. However, these pledges are not part of the agreement Paz made with the other parties whose support gave him the presidency.

The main interest of the coalition that elected Paz was Banzer’s defeat, and the leftist parties may turn against Paz if he adopts unpopular measures.