[Cispes-update] FMLN Demands Transparency and a Sustainable Fiscal Policy for Debt

[CISPES National Office]

FMLN Demands Transparency and a Sustainable Fiscal Policy for Debt

April 18, 2007

CISPES Update

 

El Salvador's debt crisis has been getting much attention recently, with the
rightwing ARENA on a major campaign to sway public opinion in favor of more
international loans despite the already precariously high level of
indebtedness ARENA has burdened the Salvadoran people with.   On March 15,
the FMLN asserted its power in the Legislative Assembly with a unified vote
against a loan package of $297 million, stopping the IMF loan.  The motion
was applauded by majority of the Salvadoran population according to public
opinion surveys.

 

The FMLN has defended their position in a national "Transparency Campaign"
to explain that the party supports development, but that it should be
financed by taxing El Salvador's elite instead of burdening the poor with
more loans.  The party is also demanding that the ARENA government undergo
audits of loans dating back to 1991, and that they use the funding that has
already been approved for development, and that they return stolen state
funds.  Gerson Martinez, FMLN deputy in the Committee on Internal Revenue in
the Assembly, said about the issue that, "to this day they have not
reintegrated a dime to the Public Treasury nor to the General budget of the
nation.we could recuperate more than one billion dollars. There would be not
need to further indebt the country."

 

ARENA has continued its attacks on the FMLN, calling the party
"anti-development"; however, the FMLN maintains its position and is
committed to voting against more loans until certain conditions have been
met.  Security Minister Rene Figueroa said this week that ARENA will
continue with their "media offensive" against the FMLN so that they approve
the loans. 

 

Health Minister under investigation for corruption

While ARENA leaders insist on the need for more loans, its public officials
are coming under investigation for corruption and mismanagement of
international loans.  Currently a high-profile case is targeting the
Ministry of Health, led by Minister Guillermo Maza.  In June 2003 the
Legislative Assembly - with the support of the FMLN - approved a $172
million loan from the World Bank for the repairs to seven national
hospitals. To this day, none of the seven projects have been completed and
in some cases the repairs have not even begun.

 

Despite this scandal for deviation and misuse of funds, Maza continues to
deny irregularities in his ministry and is actually requesting the state for
more funding for projects dating back to 2001. Maza tried to defend himself
by stating that there is not enough money for the construction and
rehabilitation of the public hospital system.  However, the Ministry did
have enough funds for $92,000 worth of renovations to Maza's personal
office, with almost $30,000 spent on carpeting and curtains.  

 

Additionally, Maza is under investigation for using donated equipment in his
private office, such as a CAT-scan machine donated back in 2003.  As a
result, he has left the country without access to this equipment in the
public healthcare system. All other Central American public hospitals have a
minimum of two CAT-scan machines.   The FMLN continues to push for a
Legislative investigation into the corruption.

 

FBI in El Salvador

Security Minister Rene Figueroa announced this week that El Salvador will be
the home of Transnational Anti-Gang Center, which will open in May with the
objective of sharing information between participating countries in order to
control gang activity.

The center will have participants from police departments from all the U.S.
cities with a high presence of Salvadoran gangs, plus the FBI and Mexican,
Honduran, Salvadoran and Guatemalan police.

 

Last weekend there was a presidential summit in southern Mexico to discuss
the Plan Puebla Panama, a regional "development" project aimed at laying the
infrastructure for transnational corporations to gain maximum profit from
free trade deals.  At the summit, Saca announced his interest in the FBI
taking a more active policing role in El Salvador, and he met with the
presidents of Mexico, Honduras, and Guatemala to discuss regional anti-crime
work that they might present to the U.S. government. 

 

Preparations for May Day/International Workers' Rights Day

The Salvadoran Union Front (FSS) held a press conference last week calling
for all unions, workers, and social movement to participated together in the
annual May 1 International Worker's Day march which will be held in San
Salvador.  The unions and participants will be denouncing cases of attacks
on unions, demanding the government respect the right to organize, and
denouncing all efforts of the Saca government to privatize water and
healthcare.  CISPES will be present on May 1 with a solidarity delegation in
support of workers' rights and organizing in El Salvador and around the
world.

 

 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: http://lists.people-link.net/pipermail/cispes-update/attachments/20070418/c678b899/attachment.html