American Marconi Wireless News - Bolivia at 'breaking point', president warns protesters

The US-backed Paz, who took office six months ago in the middle of a severe economic crisis, is battling a groundswell of fury over his center-right policies.

The political capital La Paz has been besieged by low-income workers and members of the country's Indigenous majority calling for his resignation.

"The country needs order, and is reaching breaking point," the 58-year-old leader said at a public event in La Paz, renewing his appeal for dialogue.

On Tuesday, Congress lifted restrictions on him announcing a state of emergency, paving the way for Paz to possibly deploy troops to restore order.

Paz has so far emphasized the need for dialogue but not ruled out using "constitutional instruments" to end the blockade of La Paz -- an allusion to declaring a state of emergency.

"Anyone who wants to destroy the nation will have to deal with this president and the full force of the Constitution," he said on Wednesday, assuring the police and military that they had the public's support.

His warnings came as thousands of Indigenous women in traditional layered skirts marched through La Paz on Mother's Day in Bolivia, in support of striking transport workers.

The demonstrations began in early May with trade union demands for salary increases, stable fuel supplies and more sound economic management.

But the protests later ballooned into a full-blown revolt.

Over the past two weeks, La Paz has been turned into a battleground, with riot police repeatedly clashing with protesters.

Paz has attempted in quell the protesters' fury by saying he will cut his own salary in half and give Indigenous groups and labor unions more of a say in policy-making.

His government accuses ex-president Evo Morales -- in hiding from charges of trafficking a minor with whom he allegedly fathered a child -- of orchestrating the upheaval.

P.Silva--AMWN