Potosí

City and capital of Potosí department, southwest Bolivia; population (1992) 112,300. Situated at the foot of Cerro Rico mountain at an altitude of 4,020 m/13,189 ft, it is one of the highest cities in the world. Tin, copper, zinc, lead, and silver are mined in the region. There is a cathedral, a university (founded in 1892), and the Royal Mint, which houses a museum and an art gallery. The city was founded in 1545 following the discovery of ores in the silver-rich Cerro Rico, the hill overlooking the city.

Potosí was founded by the Spanish in 1545 having discovered the Indian mine workings at Cerro Rico. Vast amounts of silver were extracted and during the 17th and 18th centuries it was the chief silver-mining town and largest and wealthiest city in Latin America. The Casa Real de Moneda (Royal Mint) was founded here in 1572 to coin the silver. Following the depletion of silver deposits, the city suffered a decline until the 19th century, when tin became the most important export. Today this is only a small-scale activity.

Artificial lakes (the Lagunas del Kari-Kari) were constructed in the late 16th century by Indian slaves to provide water for the city and also hydroelectric power to run the city's 132 smelters.