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Tuesday, November 3, 2009
On Monday, October 19th, the constitutional chamber of the Nicaraguan Supreme Court ruled to lift a ban on re-election by deeming it "unenforceable." The ruling opens the door for President Daniel Ortega to run for re-election in 2011 and was immediately condemned by Sandinista-government's opposition as an illegal political maneuvering intended to avoid having to get the vote for ending term limits approved by the national assembly and passed in a national referendum, both of which appeared unlikely, as indicated by Bloggings by Boz.
Confronted with increasing criticism about the ruling, President Ortega announced that the ruling "is unappealable" and "written in stone," and encouraged his critics to relax and prepare to run against him in the 2011 presidential elections.
Since the ruling, however, the United States Department of State, U.S. ambassador to Nicaragua, Robert Callahan, and Senator John Kerry (D-MA), chairman of the Senate Foreign Relations Committee, have joined in expressing concern about the recent ruling. Their statements have led to protests outside the U.S. Embassy in Managua and calls for the U.S. ambassador to be expelled. As the Miami Herald reports, "For Sandinistas here (in Nicaragua), the comments by the U.S. ambassador are part of the United States' legacy of continual interventionist policies toward Nicaragua. During the first Sandinista government of the 1980s, the United States funneled money to the contras, who fought to overthrow the leftist regime."
The Nicaraguan government has not indicated that they will expel the U.S. ambassador, though President Ortega quickly blamed Ambassador Callahan and the State Department for instigating the attacks on the U.S. Embassy, stating that "It was not us who started this polemic that led to protests in the country. It was them (the United States) who started it with the statement in Washington and the discourse of the Ambassador in Managua."
Below are excerpts of the statements made by the the U.S. Department of State, Ambassador Callahan, and Senator Kerry.
On October 22nd, the United States Department of State issued a statement expressing concern about the situation in Nicaragua:
We share the concern of many Nicaraguans that this situation is part of a larger pattern of questionable and irregular governmental actions, beginning before the flawed municipal elections of November 2008, that threatens to undermine the foundations of Nicaraguan democracy and calls into question the Nicaraguan government's commitment to uphold the Inter-American Democratic Charter. The ruling appears to short circuit, through legal maneuverings, the open and transparent consideration by the Nicaraguan people of the possibility for presidential re-election.
As we approach the first anniversary of the November 2008 municipal elections, it is important to note that decisions that have such a profound impact on democratic governance should be taken in a manner that fosters a sense of legitimacy and ownership among those who are governed. Attempts to short circuit constitutional authority, regardless of ideology or country, threaten democratic governance and are of concern to all members of the Organization of American States.
The United States' ambassador to Nicaragua, Robert Callahan, told a group of businessmen that "From our point of view, the Supreme Court acted improperly and with unusual speed, in secret, with the participation of judges from only one political movement and without any public debate or discussion."
In response to the protests outside the U.S. Embassy, Ambassador Callahan announced that he will not leave Managua, despite calls for him to be expelled. "I am staying here to continue my functions as the U.S. Ambassador," he said. He also noted that "no one has the right to attack an embassy; an embassy is sovereign territory of another country and the protests were violent... Protest yes, but please, peacefully."
Senator John Kerry, chairman of the Senate Foreign Relations Committee, also condemned the recent ruling by the Nicaraguan Supreme Court and compared President Ortega to the leaders of the de facto government in Honduras:
Nicaraguan President Daniel Ortega's manipulation of the Nicaraguan Supreme Court this week to circumvent constitutional limits on his term in office reeks of the authoritarianism of the past. Coming on the heels of universally condemned municipal elections last year, his power grab deepens a crisis that Nicaragua can ill afford.
Nicaragua and Honduras are obviously different, but unconstitutional actions are unacceptable anywhere. President Ortega appears to be following the cues of the coup-plotters in Honduras, where the president of the Congress and the military have manipulated the Supreme Court to rationalize a coup d'etat, resist the restoration of democracy, and impose martial law repression.
Tuesday, June 16, 2009
The Millennium Challenge Corporation (MCC) announced on Friday that it is partially terminating assistance to Nicaragua - specifically, $65 million of the original $175 million compact. This aid was originally suspended in December 2008, after the Chief Executive Officer of the MCC, along with the MCC Board of Directors, determined that the Government of Nicaragua had "engaged in a pattern of actions inconsistent with the criteria used to determine the eligibility of Nicaragua for MCC assistance." Basically, these "patterns of actions" were mostly referring to the controversy surrounding the fairness of the 2008 municipal elections in the country - with many national and international groups calling the elections fraudulent.
The Millennium Challenge Corporation is a U.S. Government corporation designed to help developing countries reach the Millennium Development Goals. For a country to be eligible to receive assistance, the MCC looks at multiple policy indicators that measure rule of law, investment in people, and economic freedom in the particular country. Nicaragua was one of the first countries to be deemed eligible for MCC assistance in 2004 (the official compact was signed in 2005), making the MCC the largest source of aid to Nicaragua among U.S. aid programs in the 2006-2008 period. However, an increase in corruption indicators over the past two years and the manner in which the 2008 municipal elections were carried out resulted in Nicaragua being deemed ineligible for further MCC assistance, according to a December 2008 press release announcing the initial suspension of aid to Nicaragua. (See past news coverage of the Nicaraguan municipal elections)
Nicaraguan President Daniel Ortega called the termination of $65 million in MCC assistance "disrespectful," according to CNN. He continued, saying that "President Barack Obama knows that the United States of today is not the United States of 30-40 years ago. Today, the U.S. cannot do whatever it wants, it no longer has moral force, even though it has the material force to do it. It has lost the support of the people in its warring adventures."
Venezuelan President Hugo Chávez has already stepped in and promised $50 million in assistance through the ALBA (Bolivarian Alliance of the Americas) Solidarity Fund in order to continue many of the projects that the MCC funds would have supported - including $12 million for property regularization programs, $18 million for the construction of the highway that leads to the "Bolivar's Supreme Dream Oil Refinery" and $16 million for two rural roads to provide improved access for rural producers to the market.
El Salvador and Honduras are the other countries in the region that receive MCC assistance, while Paraguay has received "Threshold Assistance" in the past (this assistance is aimed at helping a country improve their policy indicators in order to become eligible for MCC compact assistance) and Peru and Guyana have both signed "Threshold Agreements," yet assistance has not yet been allocated. Colombia has also been deemed eligible for "Compact Assistance" though no agreement has been signed. To see the amounts of MCC assistance allocated to countries in the region since 2005, check out the Just the Facts database.
Wednesday, January 21, 2009

On the first full day of President Barack Obama's administration, newspapers throughout Latin America reported on the fanfare of the inauguration, the historical significance of the swearing in of the United States' first African-American president and the challenges that he must immediately confront. A few articles used the occasion to look at the future of U.S. policy toward the region and/or specific countries.
Entire Region:
Obama y América latina: La mejor agenda posible (Obama and Latin America: The best agenda possible), Clarín (Argentina), by Jesús Rodríguez
"With an historic change in the United States, and upon the end of the region's cycle of transition to democracy, it is time to define common objectives and parallel strategies."
Cómo podría Obama hacer una mejor política hacia América Latina (How could Obama make better policies toward Latin America), Semana by Maria Teresa Ronderos
"The United States has discounted Latin America as an ally for too long. It is now time to start appreciating it."
Colombia:
Colombia- U.S. relations: Days of anguish, Semana
"The Uribe government fearfully awaits Barack Obama, who thinks quite differently from the Bush administration."
Venezuela & Colombia:
Venezuela y Colombia: Cambio de relaciones? (Venezuela and Colombia: Change in relations?), El Comercio (Peru)
"The expectation of how Barack Obama will manage U.S. policy toward Latin America is focused on the two countries that in the last few years became opposites in terms of their relations with the United States, especially in the affection of their leaders toward the outgoing President George W. Bush: the enemy Venezuela and the ally Colombia."
Peru:
EE.UU. y el Perú: Una nueva etapa de consolidación (The United States and Peru: A new stage of consolidation), El Comercio (Peru)
"A new stage in bilateral relations has opened and it will depend on our leaders to make it even more solid and fluid, in order to benefit national interest and the majority of Peruvians."
Venezuela:
Maduro confía en que Obama rectifique declaraciones sobre Chávez, El Universal (Venezuela)
"The Venezuelan government hopes that the new president of the United States, Barack obama, will rectify the declarations made about Venezuela and President Hugo Chávez, said the Minister of Foreign Relations, Nicolás Maduro, on Tuesday."
Nicaragua:
EU insiste en que el país debe resolver falta de transparencia, El Nuevo Diario (The U.S. insists that the country must resolve lack of transparency) (Nicaragua), by Ary Pantoja
"...Commenting on U.S. President Barack Obama's speech, and linking it to Nicaragua, [U.S. Ambassador to Nicaragua] Callahan said that if President Daniel Ortega's government does not respect fundamental principles and values such as democracy and human rights, 'he will find himself in serious problems' with the new North American administration."
Sunday, December 14, 2008
The Millennium Challenge Corporation (MCC) is a U.S. government economic-aid program begun during the first years of the Bush administration. It offers several-year "contracts" of aid to countries that meet a list of good governance criteria, then submit and receive approval for aid proposals. (See our MCC aid data here.)
In Latin America, only Honduras ($215 million [PDF]), Nicaragua ($175 million [PDF]), and El Salvador ($461 million [PDF]) have received MCC aid under several-year contracts. Paraguay and Guyana have received smaller amounts through single-year grants via what the MCC calls its "Threshold" program. The three countries that received MCC contract aid have seen a general decline in U.S. assistance through other, "traditional" U.S. economic-aid programs.
According to its contract, Nicaragua was scheduled to receive $47.5 million in MCC aid in 2009. On Thursday, however, the MCC announced that it was suspending Nicaragua's participation in the program due to concerns about the validity of recent local elections.
The Board also voted to suspend assistance for new activities under the $175 million MCC compact in Nicaragua because of actions taken by the Nicaraguan government that are inconsistent with MCC’s eligibility criteria. MCC will therefore not approve disbursements for activities not already contracted by MCA-Nicaragua. The political conditions leading up to, during, and following recent elections in Nicaragua were not consistent with MCC requirements that include a commitment to policies that promote political freedom and respect for civil liberties and the rule of law.
The Board called on Nicaragua to develop and implement a comprehensive set of measures to address concerns regarding the government’s commitment to democratic principles. The Board will review the response of the Nicaraguan government and determine subsequent actions at its next quarterly Board meeting in March 2009.
“The MCC model is based on aid with accountability and good governance. The Board determined that recent actions by the Nicaraguan government were inconsistent with MCC’s core principles and therefore had to take this difficult decision,” said Ambassador Danilovich. “Nicaragua’s compact with MCC benefits hundreds of thousands of poor Nicaraguans by providing better roads, property titles, and agricultural business support. For the sake of the poor of the country, we sincerely hope that the Nicaraguan government recommits to the principles of democracy and the rule of law so that MCC can reestablish what has been an effective partnership. It should be remembered that our partnership with Nicaragua is dedicated to both poverty reduction and good government policies.”
As a result of the MCC aid suspension, we estimate that U.S. assistance to the hemisphere's second-poorest country will plummet in 2009 to its lowest level, in nominal dollars, since 2001.

Tuesday, October 14, 2008
Over the past month, the U.S. and regional press has been paying closer attention to Russia's relations with such Latin American countries such as Venezuela, Bolivia, Nicaragua, Cuba and even Colombia.
In September, Russian Vice-Prime Minister Igor Sechin traveled to Venezuela, Nicaragua and Cuba to meet with his counterparts in each country to discuss the potential increase in economic, military, and political cooperation between each country and Russia. In September, two Russian T-160 strategic bombers visited Venezuela for a joint military exercise and a Russian navy squadron is currently en route to the Caribbean for joint exercises with the Venezuelan navy. Russia also has begun preliminary discussions with Cuba to help the country develop its own space center, has announced it will replace the Nicaraguan army's aging weaponry, and has started talks with Venezuela about developing a peaceful nuclear energy program.
Bolivian President Evo Morales recently announced that he will seek Russia's aid for the country's counternarcotics program, and Colombia's Defense Minister Juan Manuel Santos even traveled to Russia to discuss defense and counternarcotics cooperation.
Below are links to media coverage from the past month about Russia's renewed interest in Latin America. With the exception of the Venezuelan-Russian military exercise, U.S. officials have sought to downplay this interest in their public statements. It is apparent, however, that the U.S. government is watching these developments closely.
Analysis:
The Guardian: The cold war comes to the Caribbean
Front Page Magazine: Chávez's dangerous liaisons
Semana (Colombia): Calentando la guerra fria: Heating up the cold war
New Statesman: Cuban missile crisis II?
Venezuela:
El Universal (Venezuela): Presidente Dmitri Medvedev visitará Venezuela en noviembre: President Dimitri Medvedev will visit Venezuela in November
AP: Russia: Arms sales to Venezuela are defensive
AFP: Cooperación nuclear entre Moscu y Caracas desata la pol?©mica: Nuclear cooperation between Moscow and Caracas unleashes controversy
AP: Venezuela to build nuclear technology with Russia
New York Times: Russia loans Venezuela $1 billion for military
Reuters: Putin offers nuclear energy help to Chávez
BBC: Russia and Venezuela boost ties
AP: Putin, Chávez discuss ways to constrain U.S. power
EFE: Hablan Chávez y Medvedev de cooperación economía y militar: Chávez and Medvedev discuss economic and military cooperation
AP: Crece alianza Venezuela-Rusia: Venezuelan-Russian alliance grows
New York Times: Russia and Venezuela confirm joint military exercises
Nicaragua:
AP: Russia to modernize Nicaraguan military's arsenal
El Nuevo Diario (Nicaragua): Condoleezza despectiva con Ortega: Condoleezza derogatory toward Ortega
El Nuevo Diario: Viceprimer ministro de Rusia visitará este miercoles Nicaragua: Russian Vice-Prime Minister to visit Nicaragua on Wednesday
Cuba:
Reuters: Russia to help Cuba build space center
Bolivia:
AP: Ambassador: Russia looking to boost Bolivia ties
BBC Mundo: Bolivia y Rusia, nuevos aliados: Bolivia and Russia, new allies
La Prensa (Panama): Bolivia busca apoyo de Rusia: Bolivia looks for Russian support
Colombia:
El Espectador (Colombia):Moscu propone a Colombia combatir el creciente trafico de cocaína: Moscow makes a proposal to Colombia to combat the rise in narcotrafficking
El Tiempo (Colombia): Fortalecer cooperacion de seguridad, objetivo de viaje del Ministro de Defensa a Rusia: Strengthening security cooperation, objective of the Defense Minister's trip to Russia
Thursday, August 21, 2008
Since the end of the Contra war in 1990, the United States has regularly prodded Nicaragua to destroy a large trove of shoulder-fired surface-to-air missiles that the Sandinista government received from the Soviet Union in the 1980s.
Nicaragua is still believed to possess as many as 1,000 SAM-7s (probably less). Since the missiles can be used just as easily against commercial jets as against military targets, U.S. administrations have been concerned about the possibility that they could end up in the hands of terrorists. This concern grew after the September 11, 2001 attacks.
Nicaraguan governments have responded to U.S. pressure over the years by destroying about half of the 2,000 Soviet weapons. The government of Sandinista-Party President Daniel Ortega, elected in late 2006, has been far less willing to go along, however.
When it first assumed office, the new government argued that the missiles were necessary to deter neighboring Honduras, which has been slowly upgrading its aging fleet of U.S.-supplied F-5 fighter planes. Since March 2008, though, President Ortega has chosen a new hypothetical enemy to deter: Colombia.
It was in that month that Ortega joined Ecuadorian President Rafael Correa and Venezuelan President Hugo Chávez in angrily rejecting the Colombian raid on Ecuadorian soil that killed Raúl Reyes, a top leader of Colombia's FARC guerrillas. Relations between Nicaragua and Colombia had already been poor; in December the World Court ended a long-running dispute about sovereignty over the Caribbean islands of San Andrés and Providencia by finding in Colombia's favor. In the months after the Ecuador raid, Ortega has angered Colombia's government further by speaking fondly of the FARC and granting asylum to FARC members who were injured in the attack.
Here are translated excerpts from an article posted yesterday to a Sandinista party website. They show that the SAM-7 issue has now become entangled with Nicaragua's worsening relations with Colombia. They also show, however, that the Nicaraguan government remains willing to bargain with the United States to get a better deal in exchange for the missiles' destruction.
Nicaragua will keep SAM-7s
Nicaragua will keep the SAM-7 missiles in its military defense system, due to the reiterated threats from Colombia's government, which is maintaining its warships on the 82nd parallel even though that is not the maritime border between both countries, according to the findings of the International Court of Justice in the Hague.
President Daniel Ortega indicated that the counter-proposal to exchange the missiles sent by the U.S. government was shameful. …
The comandante mentioned the counter-proposal sent by the U.S. government in exchange for the destruction of the SAM-7 missiles, which he considered "shameful."
Nicaragua requested, in exhange for the destruction of these apparatuses, US$32 million in medical equipment to be installed in public hospitals to benefit the population.
"Our proposal is 32 million dollars in medical equipment, because we consider it to be fundamental to improve conditions in the hospitals. They have improved, we have managed to advance in that sense, but it is still not enough because the demand is increasing," he said.
"We consider the counter-proposal that they made to be shameful: They offered us 5 million dollars in medical equipment, when they are spending billions of dollars on the war in Iraq and Afghanistan, when they are spending billions of dollars on the famous Plan Colombia," he criticized.
He recalled that during the presentation of the U.S. counter-proposal, relations between Nicaragua and the Colombian government became tenser.
"Here we have no other choice but to keep the missiles, because it is the only defensive weapon we have, and we must hope that we finally come to find an attitude on Colombia's part that respects what the International Court of Justice decided," he assured.
"When Colombia respects what the Court resolved, there will be [appropriate] conditions. When Colombia is no longer a threat to Nicaragua, we will once again take up this negotiation with the U.S. government," he explained.
He revealed that a recent poll carried out by the "Government of Citizen Power" reveals that 77 percent of the population agrees with Nicaragua's position with respect to the defense of sovereignty.
He indicated that a small minority exists that disagrees, and that they even do propaganda work for the Colombian government through the media. …
He rejected the Colombian president's proposal that Nicaragua, upon granting asylum to the young Colombian women who are now in our country, should first demand that they reject their principles and ideals.
Ortega said that this proposal was like blackmail. "I believe that the President of Colombia does not believe in Christian precepts, he only believes in the doctrine of hatred and confrontation. Can you believe that he asks us to condition asylum on the renunciation of principles, this is called blackmail, this doesn't reflect well on President Uribe to be using the language of blackmailers, we cannot understand why he would be competing with his minister of defense [the outspoken Juan Manuel Santos] to see who is the biggest killer," Daniel said, suggesting that the Colombian government work seriously for peace.
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