The US is denying allegations its Agency for International Development is working to undermine the government of Bolivia.  President Evo Morales on May Day declared he is kicking the developmental agency out of Bolivia.

USAID has provided millions of dollars to Bolivia, and has been especially effective in reducing infant mortality and pushing sustainable development.

USAID issued a statement that read, “Those who will be most hurt by the Bolivian government's decision are the Bolivian citizens who have benefited from our collaborative work on education, agriculture, health, alternative development, and the environment.”

Morales claims USAID funds groups that oppose his policies, including a lowlands indigenous federation that organized protests against a Morales-backed highway through the TIPNIS rainforest preserve.  Morales provided no evidence to back-up his claims.

Morales also said his move was to protest a recent remark by US Secretary of State John Kerry, who referred to Latin America as “the backyard of the United States”.  Kerry at the time was trying to persuade US lawmakers about the importance of the region.

On past May Days, Morales announced the nationalization of key industries, such as hydroelectric power and the electricity grid.  This time he claimed he would "only nationalize the dignity of the Bolivian people".