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 Yes, Argentina should be kicked out of the G-20.8:30 AM, May 8, 2012 • By JAIME DAREMBLUMToday in Washington, Argentine vice president Amado Boudou will be addressing a Council of the Americas conference on the global economic recovery. I have no idea what Boudou will say in his remarks, and I have no idea how the attendees will receive it. But I do know this: Having a senior member of the Kirchner government speak about responsible economic policy is like having a senior member of the Iranian government speak about religious tolerance.
It’s been less than a month since President Cristina Kirchner announced that she was nationalizing a majority stake in Argentina’s biggest oil company (YPF), a stake that had previously been owned by the Spanish firm Repsol. Her decision triggered outrage in Madrid, and the Spanish government immediately retaliated, saying it would curb imports of Argentine biodiesel fuel. (Meanwhile, the Spanish technology company N2S canceled plans to establish an office in Argentina.) For its part, Repsol vowed to challenge Kirchner’s expropriation in the international court system.
The Wall Street Journal urged Western officials to go a step further: “A better way to send a message to Buenos Aires would be for the world’s civilized countries to expel Argentina from the G-20. When its president wants to behave like a real head of state and not a thug, the country can be invited back into the club of serious nations.” The Washington Post echoed this call for Argentina to be removed from the elite club of major economies (it suggested Chile as a replacement), and a British member of the European Parliament said the EU should at least discuss the idea. The Economist argued that if Western countries booted Argentina from the G-20, terminated its borrowing privileges from multilateral organizations, and stopped allowing its citizens to enjoy visa-free travel in Europe, “Argentines might see the true cost of their president’s antics.”
Those antics have made Argentina a global pariah. Apart from Cuba, Venezuela, and perhaps Bolivia, it is hard to think of another Latin American nation with worse economic management. (Even autocratic Sandinista leader Daniel Ortega is trying to maintain a relatively attractive business climate in Nicaragua.) At a time when most of the region is modernizing and seeking to lure foreign investment, Kirchner has embraced policies worthy of Hugo Chávez. The result? Massive capital flight, soaring inflation, and “the largest number of protectionist measures worldwide,” according to the Latin Business Chronicle.
Not only has the Kirchner government adopted a series of disastrous economic policies; it has also been lying about the consequences. Indeed, for several years now, Buenos Aires has systemically doctored its official inflation data, and it has bullied those journalists and consultants who dared to report the truth. Back in February, the Economist declared that it would no longer be publishing inflation figures supplied by the Kirchner government: “We are tired of being an unwilling party to what appears to be a deliberate attempt to deceive voters and swindle investors.” Read more... 4:18 PM, Apr 12, 2012 • By PATRICK CHRISTYAhead of the president’s trip to the Summit of the Americas this weekend, Gallup reports that Latin America is losing faith in President Obama. Specifically, the Gallup shows that only 24 percent of respondents in Latin American countries now believe Obama will strengthen ties between Latin America and the U.S.—in 2009, by contrast, that number was 43 percent.
Read more... The United States should improve relations with Brazil.9:05 AM, Apr 9, 2012 • By JAIME DAREMBLUMIn 2001, Goldman Sachs economist Jim O’Neill famously coined the acronym “BRIC” to describe four of the world’s most populous countries—Brazil, Russia, India, and China—each of which boasted great economic potential. Since then, China has enjoyed breakneck GDP growth while making very little progress on economic or political reform, and Russia has devolved into a petro-autocracy dangerously reliant on global oil prices. As for Brazil and India, they have reaped consistent accolades for their commitment to democracy and economic stability.
Read more... 11:34 AM, Apr 5, 2012 • By PATRICK CHRISTYIn April 2009, four months after taking office, President Obama wooed Latin American leaders and liberal elites at the Summit of the Americas by apologizing for decades of U.S. foreign policy and promising a new era of cooperation. Obama said:
Read more... While international pressure helped save an opposition newspaper, free speech and democracy are still at risk.8:30 AM, Mar 19, 2012 • By JAIME DAREMBLUMLike Hugo Chávez, Ecuadorean president Rafael Correa has used vast oil wealth to boost his personal popularity and camouflage the effects of his disastrous economic policies while steadily weakening his country’s democratic institutions.
Read more... The Caracas summit was an embarrassment for the United States.8:15 AM, Dec 12, 2011 • By JAIME DAREMBLUMHowever poor his health condition, Hugo Chávez must have enjoyed a certain measure of satisfaction earlier this month when leaders from across the Western hemisphere gathered in Caracas for the first meeting of the new Community of Latin American and Caribbean States (CELAC), a hemispheric forum that explicitly does not include the United States or Canada.
Read more... The Chávez disciple is rapidly losing public support in Bolivia.9:10 AM, Nov 15, 2011 • By JAIME DAREMBLUMIt is by now a familiar story: A Bolivian government has sparked massive street protests, and it has subsequently caved to the pressure.
Read more... From both Democrats and Republicans.10:30 AM, Oct 20, 2011 • By JAIME DAREMBLUMIn her remarks to the 41st Washington Conference on the Americas this past May, Secretary of State Hillary Clinton declared the Western Hemisphere “vital” to U.S. interests, adding that Latin America and the United States “will rise or fall together in the 21st century.” Unfortunately, the Obama administration has yet to champion a regional initiative that matches Secretary Clinton’s lofty rhetoric.
Read more... The Honduran leader has been a major disappointment.9:10 AM, Oct 5, 2011 • By JAIME DAREMBLUMWhen Honduran leader Porfirio “Pepe” Lobo visits the White House today, it will be a watershed moment in the Central American country’s diplomatic rehabilitation.
Read more... Chávez disciple Rafael Correa has escalated his persecution of journalists.10:00 AM, Aug 8, 2011 • By JAIME DAREMBLUM
Back in May, Ecuadorean voters approved a referendum that gave President Rafael Correa broader authority to regulate opposition journalists. At the time, Freedom House expressed concern that Correa was acquiring “undue influence over the country’s media,” and its senior program manager for Latin America, Viviana Giacaman, said that “Correa’s continuous demonization of independent media and the use of criminal defamation suits to silence journalists are having a chilling effect on the press in Ecuador.”
Read more... The new Peruvian president claims he has become a disciple of Lula. Thus far, the evidence supports that. 9:00 AM, Aug 2, 2011 • By JAIME DAREMBLUM
Last week, former army officer Ollanta Humala was inaugurated as president of Peru, and he vowed to maintain the successful economic policies adopted by his predecessor, Alan García. The significance of that vow should not be understated.
Read more... 12:05 PM, Jul 25, 2011 • By JAIME DAREMBLUM
As Lewis Carroll’s Alice might have said, the relationship between Argentina and Iran just keeps getting “curiouser and curiouser.”
Read more... Rafael Correa’s latest anti-democratic power grab.1:03 PM, May 26, 2011 • By JAIME DAREMBLUM
By endorsing the judicial and media “reforms” in this month’s constitutional referendum, Ecuador has moved a step closer to Venezuelan-style autocracy. President Rafael Correa, a Hugo Chávez disciple who has attacked opposition journalists, harassed private companies, and weakened democracy, will now have greater powers to regulate media content and punish reporters, judges, magistrates, and businessmen who disagree with his radical agenda. This represents a huge setback for those Ecuadoreans struggling to preserve the basic civil liberties that Americans take for granted.
Read more... Arrested development. 1:30 PM, Apr 8, 2011 • By VANESSA NEUMANN
The elections in Peru, which were held on April 10, are a stern lesson in Latin American politics and its complexities. Consider the following: Peru’s conservative president since 2006, Alán García, has been wildly successful at growing his country economically, especially during a time of a worldwide economic downturn. But in Latin America, that’s apparently not enough for electoral success.
Read more... 10:00 AM, Apr 7, 2011 • By JAIME DAREMBLUM
The Brazilian magazine Veja is reporting that al Qaeda members have established an active presence in South America’s largest country, as have militants associated with Hezbollah, Hamas, and other terrorist groups. They are apparently engaged in fundraising, recruitment, and strategic planning.
Read more...
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