Dear Student,
a. Bolivia has a history of military rule and being a poor underdeveloped country it has sought loans from international Institutions like World Bank and IMF.
b. In order to continue its cycle of loans and repayment for its economic development, Bolivia like many other underdeveloped and developing countries have agreed to the norms laid down by these institutions like privatization of banks, establishing MNC'S, Increase inflow of foreign capital and investment, encourage privatization.
c. Therefore, one such condition laid down by World Bank in Bolivia was to privatize Water and to sell its right to MNC's since it felt that Municipality was ill equipped and corrupt to handle water.
d. This resulted in the increase in the price of water, leading to popular protests
e. The alliance so formed in 2000, among the community members, human rights activist entered into a strike , resulting in a negotiation between the government and them and calling off the strike.
f. However, in the first instance nothing concrete could be achieved and martial law was imposed.
g. People who were protesting were ruthlessly dealt with.
h. Another round of strikes and agitation began in April 2000, which resulted in government conceding to the demands of the protestors.
i. Though , nothing substantial could be attained from January strike but it certainly laid down a strong base for future agitation ,
j. Due to strike in January government first time agreed to hold talks.
k. Thus, finally, the contract with MNC was cancelled and old water prices were restored.
l. Bolivia's popular struggle reflected common man woes and their strength in bringing about change.
Regards