Israel Restores Relations With Bolivia, Signs Free Trade Deal With Costa Rica as Latin American Ties Strengthen

Israel is further expanding its diplomatic and economic presence in Latin America, formally restoring relations with Bolivia and signing a free trade agreement with Costa Rica as the Isaac Accords begin to take shape.

On Tuesday, Israeli Foreign Minister Gideon Saar and Bolivian Foreign Minister Fernando Armayo signed a Joint Communiqué in Washington, DC, formally restoring diplomatic relations between their countries after two years of severed relations amid the war in Gaza.

“Today, we are ending the long, unnecessary chapter of separation between our two nations,” the top Israeli diplomat said during a speech at the signing ceremony. 

“Following the election of [Bolivian] President Rodrigo Paz, I am pleased to announce that Israel and Bolivia are renewing diplomatic relations,” he continued. 

Israel and Bolivia: We renewed our diplomatic relations!
We’re continuing to work. pic.twitter.com/oUtcXyyaHa

— Gideon Sa’ar | גדעון סער (@gidonsaar) December 10, 2025

During their meeting, both leaders committed to fully restoring diplomatic relations, appointing ambassadors, and fostering collaboration between government and private-sector representatives. 

They also pledged ongoing dialogue and broader cooperation in areas including agriculture, security, health, innovation, and their shared fight against organized crime and narco-terrorism.

“Bolivia, the Jewish people, and the State of Israel share a long history of true friendship,” Saar said during his speech. “Bolivia opened its doors to Jewish refugees during the Second World War when much of the world closed its gates.”

“Bolivia supported the establishment of the State of Israel in the historic 1947 UN vote,” he continued. “For many decades, our two nations enjoyed warm diplomatic relations. The renewal of our ties is an important and welcome step.”

Bolivia has also announced it will lift visa requirements for Israelis entering the country, a move the top Israeli diplomat praised as helping to “strengthen the human bridge between our peoples.”

With the official launch of the Isaac Accords by Argentina’s President Javier Milei last week, Israel has been working to expand its diplomatic and security ties across Latin America, with the new effort designed to promote government cooperation and fight antisemitism and terrorism.

Modeled after the Abraham Accords — a series of historic US-brokered normalization agreements between Israel and several Arab countries — this initiative aims to strengthen political, economic, and cultural cooperation between the Jewish state and Latin American governments. 

The first phase of the Isaac Accords will focus on Uruguay, Panama, and Costa Rica, where potential projects in technology, security, and economic development are already taking shape as the framework seeks to deepen cooperation in innovation, commerce, and cultural exchange.

On Monday, Israel and Costa Rica signed a free trade agreement covering goods, services, and investments, advancing their bilateral relations during Costa Rican Minister of Foreign Trade Manuel Tovar Rivera’s visit to Jerusalem.

Rivera also announced that Costa Rica will open an office for trade and investment innovation in Jerusalem next year.

The newly signed agreement will eliminate over 90 percent of tariffs, providing broad access for Israeli industrial and agricultural products to the Costa Rican market, while also reducing import costs on a wide range of goods, from food and medical equipment to industrial tools.

“This agreement opens significant new avenues for both Costa Rica and Israel,” Rivera said during a speech at the signing ceremony.

“It enhances access to high-quality Costa Rican goods and services while creating a mutually beneficial platform for collaboration in high-technology industries, premium agribusiness and specialized services,” he continued. 

Building on the renewed momentum in diplomatic engagement across Latin America, Israel is expanding and strengthening its bilateral relations with several countries in the region. 

Argentina announced plans to relocate its embassy to Jerusalem next spring, fulfilling a promise made last year as the two countries continue to deepen their ties.

Last week, Ecuador opened an additional diplomatic mission in Jerusalem, a move that Saar hailed as a “milestone” in strengthening their bilateral relations.

Paraguay, Guatemala, and Honduras, all of which have previously relocated their embassies to Jerusalem, have reaffirmed their support for Israel and signaled intentions to deepen future cooperation.