Promoting debate about Latin America and the Caribbean
View Article  Food Crisis: implications and opportunities for Latin America

The first semester of 2008 saw the real price of the main food staples climb to a 30 year peak. The food riots in Haiti and the highly politicized “Sovereignty and Food Security: Food for Life” Presidential Summit held in Managua, Nicaragua on the May 7th have brought issues of trade, international aid and crisis mechanisms to the forefront of the regional political and economic agenda. Growing concern over food security and price vulnerability was clearly reflected by the Summit’s call for a regional production and distribution strategy for fairly priced food as well as for a review ...   more »

View Article  El desafío de ser un país normal

 Por Antonio Cicioni, director del Programa de Instituciones Políticas de CIPPEC (Centro de Implementación de Políticas Públicas para la Equidad y el Crecimiento)

 

Las elecciones presidenciales argentinas del 28 de octubre son, antes que nada, un motivo para celebrar. Se trata de la sexta elección consecutiva desde la restauración de la democracia en 1983, algo que no deja de ser auspicioso si se tiene en cuenta las décadas de violencia y gobiernos dictatoriales que caracterizaron a la Argentina del siglo XX. La democracia logró incluso sobrevivir a la trágica crisis de 2001, que sumió en la pobreza ...   more »

View Article  New Latin American trade and poverty programme launches today

Comercio y Pobreza en Latinoamérica (COPLA) aims to use research based evidence to strengthen and promote an improved dialogue between policymakers, researchers and those institutions that represent the poor to incorporate new issues into the policy debate.

 

 A couple of years ago, when the Free Trade Agreement between the US and Peru was still being negotiated, a friend who had worked in the Peruvian Ministry of Trade and had been involved in the negotiations told me that studies about the effects of the agreement on poverty had been commissioned but not been made public. Why? Because they ...   more »

View Article  Chavez Inc Expands to London
Amid announcements that Venezuela’s Hugo Chavez is seeking indefinite terms for the presidency and thereby further undermining what remains of Venezuelan democracy, comes more moves to shore up support from leftist / anti-American leaders the world over… this time, very close to home, in London.   more »
View Article  Tough Times Ahead for Argentina’s Cristina Fernandez de Kirchner

Tough Times Ahead for Argentina’s Cristina Fernandez de Kirchner

Aaron Goldfarb 8 August 2007

After presiding over an impressive fifth year of economic expansion in Argentina, President Nestor Kirchner could have easily won a second term in the upcoming October elections. Instead, Kirchner is stepping aside to let his wife, Cristina Fernandez, seek the presidency. Cristina, who has often been compared to Hilary Clinton, has been a leading figure in the Senate for the past four years. Though her approval rating is not as high as her husband’s, Cristina (as she likes to be known) is still heavily favoured ...   more »

View Article  China’s Growing Presence in Latin America

Costa Rica switched diplomatic relations from Taiwan to Mainland China earlier this month, citing economic reasons as the deciding factor. Costa Rica’s realignment is a small example of how Chinese "checkbook diplomacy" is reshaping Latin American politics. By financing multi-billion dollar infrastructure and public works projects in Latin America, China is receiving contracts for raw materials and foodstuffs that will feed the appetite of its ever expanding economy. On his 2005 tour, President Hu Jintao spoke of a US$100 billion investment in South American infrastructure over the next ten years. Clearly, China is laying the path for a long-lasting presence ...   more »

View Article  They weren’t shouting 'GOOOOOOOOL' …
The stadium shook as the passionate crowd seemed to unite in one resounding voice at the US-Argentina Copa America soccer match in Maracaibo on June 28. A chant was taking hold, and it grew louder and louder as people joined in, clapping and stomping their feet at the same time.   more »
View Article  What Kirchner and Clinton have in common
Argentine president Nestor Kirchner announced this month that he would not run for re-election in order to put forward his wife, Senator Cristina Fernández de Kirchner, as a presidential candidate. Unlike the wives of Juan Peron, Kirchner is an accomplished politician who has served both in the lower house of Congress and now the Senate. Many are comparing her to Hillary Clinton – both are lawyers, both were involved in policy making during their husbands presidency and both are notable politicians in their own right.   more »
View Article  World Bank releases governance indicators for Latin America and other regions

The World Bank released its annual “governance indicators” yesterday – a set of six variables which is designed to measure governance globally.  The project has many critics, broadly falling into two camps – those that oppose the idea on principle and argue that the World Bank should not be in the business of rating countries on governance or any other metric, and those that find fault with the indicators methodology, which could accurately be described as a “kitchen sink” approach to measuring corruption, political stability and other categories of governance with surveys and other imprecise metrics....   more »

View Article  US Medical Ship Tries to Mend Broken Relations with Latin America
After US President George W. Bush’s long trip to Latin America this spring, the US has announced a number of very small humanitarian and aid initiatives for the region which appear like buy-offs to the uninitiated. Dedicating just $20 million (the cost of a single day of the continuing Iraqi war), the US has put a large hospital ship off the coast of several Central American cities in an effort to buy popularity. One can’t help but notice how much this mini-mission has in common with the itinerant Cuban doctors working in Venezuela.    more »
View Article  The de-politicisation of humanitarianism in Colombia is essential in order to avoid further tragedies like the one witnessed last week

In December 2005, Switzerland, France and Spain put forth a proposal to negotiate a humanitarian exchange between hostages kidnapped by the guerrilla group FARC-EP and members of the group being held in prisons by the Colombian government. The proposal sets out a period of 45 days for discussions to be held and the exchange carried out, during which security guarantees would be provided through the ICRC and the UN. But since the proposal was made, neither party have been able to come to an agreement. This has been due to the FARC’s insistence on the demilitarisation of two municipalities ...   more »

View Article  Mexico and Central America Angered by the Defeat of US Immigration Bill

     The bill that proposed a pathway to citizenship for the estimated 12 million illegal immigrants in the United States now lays dead on the Senate floor, where it will likely stay until after the 2008 presidential election.  Latin American leaders expressed their disappointment, with Mexican President Felipe Calderon calling the Senate’s defeat of the bill, “a grave error” and Salvadorian President Elias Antonio Saca labelling the bill’s demise, “a pity”.  Yet a much more incensed tone arose from the Latin American press.  An op-ed in the Mexican newspaper La Jornada placed responsibility on the shoulders of President Bush, ...   more »

View Article  It is not money or experts what Latin America needs: think partners

When DFID withdrew their bilateral programmes in Honduras, Peru and Bolivia, civil society was fast to point out that, among other things, there were many poor Latin Americans who needed urgent assistance. DFID should have stayed to look after them. There are other reasons too for supporting DFID’s direct involvement in Latin American countries. DFID left a space in policy debate that was not filled by other donors (or by the government) and many of the progressive ideas it had supported have suffered to remain in the policy and research agendas.

 

ODI’s mid-term evaluation of DFID’s RAP...   more »

View Article  The Juntos programme in Peru: an innovative approach to tackling childhood poverty and vulnerability?
To date, the Juntos programme has been the most ambitious and innovative government attempt at tackling childhood poverty in Peru, a country where two out of three children live below the poverty line and many lack access to basic services. Strange then, that the programme has received so little attention; in fact, debates on child protection in Peru have been more preoccupied with how to punish child molesters and kidnappers and fathers who evade child support than with the state’s responsibility for child well-being. However, according to a recent report to which ODI researchers contributed, Juntos has made ...   more »
View Article  The boom in counter-hegemonic news channels - the case of Telesur in Venezuela (ISA, 4th March)

To those who, like myself, had assumed that Telesur was merely an outlet for pro-Chavez propaganda, this talk by James Painter of the BBC World Service revealed some surprising and some not-so-surprising facts about this Caracas-based pan-Latin American TV network. In fact, Telesur is not owned exclusively by Venezuela, but a joint project in which a number of Latin American governments are stakeholders - although it is all paid for by Venezuela’s oil wealth. Claiming to provide an alternative to CNN and other Western media, it follows the example of other ‘counter-hegemonic’ news channels like Al-Jazeera, which ...   more »

View Article  The Politics of Economic Integration: Where does Peru stand in the global context? (LSE, February 26th 2007)

In this conference organised by LSE’s Peruvian Society, speakers reflected on how the new political map of Latin America is influencing Peru’s integration into transnational markets and what this tells us about the opportunities and challenges facing developing countries when interacting in the global economy. Speakers were Dr. Ricardo Luna (Peruvian Ambassador in the UK), Dr. John Crabtree (Centre for Latin American Studies, Oxford University) and Mr. Richard Ralph  (former British Ambassador in Peru (2003-2006) and current chairman of a UK mining company working in Peru). The conference was chaired by LSE’s Dr Evan Killick....   more »

View Article  What impact will China's growth have on Latin American countries?
There has been a surge of recent interest in China’s impact on developing countries, but far more of this discussion has focused on Africa than on Latin America. This is partly because the consequences of China's growth for Latin America are likely to be both more complex and less direct. Unlike Africa, the Latin American resource sector is dominated by large state-owned companies and how these will interact with new Chinese investment is hard to predict. A more developed infrastructure also means China will have less of a competitive advantage in the race to exploit Latin America’s natural resources. In Latin America, there are likely to be both winners and losers, as a recent report by the    more »
View Article  Will he or won’t he? Correa’s game of chicken with Ecuadorian default

Rafael Correa, Ecuador’s new president, has been playing a game of chicken with the international capital markets.  Earlier this week the government announced that it would utilise a 30 day grace period to repay interest on its bonds – in effect, defaulting.  Yesterday, however, the government surprised the markets by making the payment on time. Predictably, the response in the bond markets has been volatility: first a massive selling off of Ecuadorian debt, then a rally.  All of this follows on a campaign promise by Correa to restructure the country’s debt.

 

There are ...   more »

View Article  Surprise! Pemex and PDVSA are the third and fourth largest companies in the world

Attending a conference last week at Chatham House on political risk, I was faced with the most surprising statistic: Pemex and PDVSA are the third and fourth largest companies in the world, respectively.  The presenter, Dr. Harm Bandholz of UniCredit Markets and Investment Banking, informed us that the Mexican and Venezuelan state oil companies were recently ranked by the Financial Times as third and fourth largest companies in the world on the basis of total assets when both state owned and public companies were compared.  This makes both larger than General Electric, and lagging behind only ...   more »

View Article  Rafael Correa: Chavista or ‘Christian on the left’?

 The Western media depict him as a Chavista and the latest South American leader to join the ‘Bolivarian revolution’, yet he describes himself as a ‘Catholic humanist’. He has been criticized both for populism and for using the overly complex language of an academic. So, who is Rafael Correa and what does he really stand for?

 Representing his newly-formed Alianza PAIS, Correa won the November run-off elections in Ecuador with a surprise landslide victory, gaining 58% of the vote. His campaign promises included a new more democratic constitution (to be written by a Constituent Assembly), cutting ties with the IMF and World Bank, ...   more »

View Article  Notes from Exile: Salinas at LBS
Former Mexican President Carlos Salinas de Gortari (1988-1994) was in London this week giving a talk on NAFTA at the London Business School. The argument of his presentation was that NAFTA was intended to be an instrument to making the Mexican economy more competitive and robust, not an end in and of itself. He presented a number of statistics which demonstrated that Mexico had lost competitiveness in the decade since NAFTA on a number of metrics, and was highly critical of the lack of progress in reforming the Mexican economy further during the Zedillo and Fox administrations...   more »
View Article  The differences between Evo Morales and Hugo Chavez in a new ODI Opinion

After a year of record gas revenues in 2006, Bolivia has achieved a fiscal surplus for the first time in three decades. In a period in which high oil prices have given Chavez more room to manoeuvre to shift its policy towards nationalisation and authoritarianism (see recent LACG Blog), there is the suspicion that windfall revenues may allow the Morales administration to take the same turn in Bolivia.

 

A new ODI Opinion argues that this is unlikely to be the case and that Evo Morales is actually departing from Chavez-type policy-making, acting more pragmatically and to some ...   more »

View Article  Chavez - 21st Century... Authoritarianism?
The announcement last week that Hugo Chavez planned to nationalise telecom and energy companies shouldn’t have come as much of a surprise to those who have been observing the trends in the South American economy...   more »
View Article  Latin America 2006: making another world possible

On Saturday 2nd Dec 2006, a conference entitled ‘Latin America 2006: making another world possible’ was held at Congress House, organised by the Cuba Solidarity Campaign, Justice for Colombia, Venezuela Information Centre and the T&G Latin American Workers Association. The conference brought together trade unionists, academics, NGOs and progressive movements from Latin America and the UK to explore recent political and social developments across Latin America. In particular, it explored the effects of US policy on the region and the current wave of progressive changes seen most notably in Venezuela and Bolivia.

 The discussion centered around the ...   more »

View Article  Elections in Latin America – the way forward
On the 11th Dec, the International Policy Network held a meeting, ‘Elections in Latin America – the way forward’, featuring Paulo Uebel, President of the Instituto de Estudos Empresariais, Brazil. The meeting gave an insight into the current unease felt by proponents of neoliberalism in Latin America and elsewhere, following a year in which left-wing governments have swept to power in a number of Latin American countries. Such discomfort is perhaps not unfounded given that many of these leaders were elected on the basis of their anti-neoliberal rhetoric and promises to implement radical economic and social reform. How investors and corporate interests should respond to this threat and find ‘the way forward’ was the central theme of the discussion.   more »
View Article  Breaking point in Bolivia?

La Media Luna is burning. Santa Cruz is at the brink of civil war, is what I have heard more than once in Bolivia, this week. There is a Cabildo Today in the main cities of the area that makes up the Media Luna –with Santa Cruz taking the lion’s share of the media’s attention. Today, the Cristo Redentor Avenue will host hundreds of thousands of cruzenos who will call for Autonomia in defiance of Evo Morales’ government and his authoritarian aspirations. There is no way around it, I am afraid. (I honestly hope Evo’s government is a successful ...   more »

View Article  Guillermo Perry, World Bank Chief Economist for the LAC region, speaks at ODI.

On 30 October, ODI’s Andrew Lawson (Head of the Centre for Aid and Public Expenditure) interviewed Guillermo Perry on two recent World Bank reports ‘Poverty Reduction and Growth: Virtuous and Vicious Cycles’ and ‘Latin America and the Caribbean’s Response to the Growth of China and India’ and the discussion focused on key development issues in Latin America.  You can read a full meeting summary and listen to a recording of the meeting here and use this space to continue the debates started at the meeting.

   more »
View Article  UK Development Assistance in Latin America: Lessons from Peru
Last Monday, Overseas Development Institute hosted a public meeting on UK Development Assistance in Latin America: Lessons from Peru. Read the meeting summary here: The meeting comes 18 months on from the closure of DFID’s Lima office and the decision to scale back DFID operations in middle income countries, ODI’s Latin America and Caribbean Group organised an event to discuss UK development assistance in Latin America with a specific focus on lesson-learning from Peru. The event brought together both British and Latin American speakers ...   more »
View Article  Bachelet's Participatory Democracy in Chile
On January 2006 Chile elected its first female president. Michelle Bachelet, from the Socialist Party, won with 53% of the votes. She is described as a strong woman, charismatic and sympathetic to the needs and rights of vulnerable people. Her campaign slogans were about creating a participatory democracy, government for the people and a commitment that the social needs of Chileans will be recognised and permanent solutions sought. Her commitment to people raised her popularity to 62,1% in April, but the government’s slow response to social problems in it’s first three months saw her popularity drop to 44,2% by June 2006 ...   more »
View Article  The Mexican electoral cliffhanger part 2: To recount or not to recount — is there a question?

Three weeks after the presidential elections held on 2 July, the situation in Mexico remains tense and volatile. The race was decided by the narrowest of margins. According to the Federal Electoral Institute (IFE), Felipe Calderón of the Party of National Action (PAN) defeated Andrés Manuel López Obrador of the left-leaning Party of the Democratic Revolution (PRD) by 0.58 percentage points, or less than 250,000 votes in an election in which 42 million votes were cast. This result is in the process of being challenged in the courts -- and there will be no official winner until the Federal Electoral ...   more »

View Article  The role of politics in investment climate: Some thoughts from the Bolivian experience

It was quite surprising to read in yesterday's Financial Times that the Bolivian government is set to approve a US$ 2.3bn bid by two Indian companies (Jindal Steel and Power of India) to extract of one of the world's largest untapped iron ore deposits. The numbers are even more impressive considering this would be the first Indian investment in Bolivia and the largest Indian investment in the whole Latin America.

This news comes shortly after the Bolivian government's decision to nationalise the natural gas sector (the most important commodity in the country), which broke the contracts signed with multinational ...   more »

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