The air sector in Bolivia registered a decline in 2024, with an estimated 4.9% decrease in total passenger traffic compared to 2023. According to the report ALTA Aviation Insight Bolivia (available for download at the end of the article), the domestic market was the most affected, with a contraction of 7.9%, while the international segment showed a growth of 5.8%. Domestic traffic is estimated to reach 5.1 million passengers, below the 5.5 million from the previous year, highlighting the challenges in recovering the internal market.
«The report highlights the need to strengthen the dialogue between the government and the air industry to address challenges such as high operating costs, limited connectivity, and the lack of incentives to attract new airlines,» said José Ricardo Botelho, CEO of the Latin American and Caribbean Air Transport Association (ALTA).
Domestic market in decline and positive signs in the international segment
The domestic market continues to be under pressure, with lower demand on key routes such as La Paz-Santa Cruz de la Sierra.
On the other hand, the international segment shows signs of recovery, with notable performance on the La Paz-São Paulo route, which transported 246,000 passengers in 2024, according to ALTA’s report. Santa Cruz-Madrid ranks second with 201,000 passengers, and Santa Cruz-Buenos Aires third, with 181,000.
65.4% of international passengers in Bolivia have Latin America as their origin or destination, followed by Europe with 16.5%, North America with 16.6%, Asia-Pacific with 0.8%, and the Middle East and Africa with 0.2% each.
Despite these challenges, aviation continues to play a fundamental role in the Bolivian economy. The sector contributed 5.7% to GDP in 2019, and while a slight decrease to 5.5% is expected in 2024, it remains key for economic development. Additionally, international tourism, closely linked to air transport, has grown by 31%, reaching 2.2 million visitors in 2023.
The load factor for the Bolivian market will close 2024 with an average of 85%. In the international market, it will be 79%, and in the domestic market, 88%.
Yanela Zárate Morón, CEO of the Bolivian Airline Association (ALA Bolivia), highlighted the resilience of airlines, which continue their operations despite economic difficulties such as dollar shortages and unilateral changes in operational conditions. «The continuity of service reflects the commitment of aviation professionals who ensure a safe, punctual, and efficient exit for tourism and foreign trade in a landlocked country like Bolivia,» Zárate stated.
According to ALA Bolivia, the sector generates approximately 300 direct jobs, 600 indirect jobs, and nearly 2,000 transversal positions linked to tourism.
Economic and regulatory challenges
Among the main obstacles facing the Bolivian air industry are the high cost of fuel, priced at $3.75 per gallon, and the lack of adequate bilateral agreements. Botelho urged authorities to take immediate action.
«The current situation requires urgent action to solve the issues hindering the industry’s potential. We urge the Bolivian government to open a communication channel with aviation stakeholders to implement policies that promote growth, sustainability, and legal certainty. Without a joint effort, Bolivia will miss the opportunity to position itself as a key hub in the region,» he emphasized.
Recommendations and perspectives
The ALTA Aviation Insight Bolivia report, prepared with data from the Amadeus Travel Intelligence platform, provides an in-depth analysis of air traffic, main routes, and airports in the country. It also offers recommendations to strengthen the sector, such as improving connectivity, reducing costs, and regulatory adjustments that encourage investment.
Although the outlook is complex, aviation remains an essential economic driver for Bolivia. ALTA and ALA Bolivia’s call to the government aims to foster a joint effort to overcome challenges and unlock the sector’s potential.
Download document: ALTA Aviation Insight Bolivia
