Bolivian Leader Offers Resignation

President Carlos Mesa Also Resigned In March Amid Unrest In Capital

(CBS/AP) 
The crisis pits Indian and labor groups from the poorer eastern highlands, including La Paz and its poor satellite city of El Alto, against ruling blocks from Santa Cruz in the east and the oil-rich gas fields to the south that are pursuing greater autonomy.

The protests have steadily increased since Bolivia's Congress last month raised taxes on foreign oil companies that have descended on the country to develop its natural gas reserves — the second largest in South America after Venezuela.

Lawmakers had hoped to calm tensions in a country where anti-globalization anger runs high. But the tax increase touched off fresh demands for the nationalization of the oil industry and a new constitution giving more clout to Indians, who represent about half the population.

A historian turned politician, Mesa had no political sponsorship when he was thrust into the presidency in October 2003. He succeeded former President Gonzalo Sanchez de Lozada, who resigned after street protests over plans to export the country's natural gas reserves left at least 56 people dead.

Senate President Hormando Vaca Diez, who would be next in line to succeed Mesa, said he expected Mesa to stay on at least until Congress decides on a political transition. Vaca Diez said he was opening urgent consultations with all parties on when and where to call an emergency session of the legislature.

Many indigenous leaders have openly declared they would repudiate a Vaca Diez presidency, or even the next-in-line, House leader Mario Cossio, both from traditional parties.

One scenario, analysts said, included the possibility the third-in-line, the popular Supreme Court President Eduardo Rodriguez, could assume the presidency to then call early elections.