Swiss embassy in Bolivia faces closure due to cost cuts

La Paz: the third-most populous city and the administrative capital of Bolivia. Copyright 2019 The Associated Press. All Rights Reserved.

The diplomatic withdrawal from Bolivia would come as part of wider savings measures affecting not just the Swiss foreign ministry but all government departments.

A spokeswoman for the foreign ministry confirmed the Bolivia plans to the Neue Zürcher Zeitung newspaper over the weekend. The closure is planned for summer 2024.

The government has yet to sign off on the decision, while a parliamentary committee also needs to be consulted, the spokeswoman said.

The planned withdrawal from La Paz is part of wider cost-saving measures, spurred by a looming federal budget deficit, and which will affect all government departments.

For its part, the foreign ministry recently confirmed that representations abroad will have to save a total of CHF10 million ($11.23 million) annually – or 2% of the CHF495 million budget for the entire foreign service network.

Network pressure

Under plans released some years ago, Swiss development aid to Bolivia – one of South America’s poorest countries – is already set to be phased out; the Swiss Agency for Development and Cooperation (SDC) is planning to leave the country by 2024, the NZZ writes.

Under the latest cost-cutting measures, the newspaper said, the Swiss Consulate General in Chengdu in China is also set to shut by the end of this year.

Switzerland’s diplomatic network currently comprises 103 embassies, 29 consulates general, 19 cooperation offices, 12 permanent missions and four other representations worldwide – a total of 167 outposts.