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Proceso 1118
Octubre 20, 2004
ISSN 0259-9864

 

 

Índice


 

Editorial: The dirty tricks of nationality

Politics: Twenty-five years after the last Coup d'état

Economy: The economic effects of the 1979 coup d’état

 

 

Editorial


The dirty tricks of nationality

 

The opposition to the candidacy of former president Flores for the General Secretariat of the Organization of American States (OAS) was described as “stingy” by President Saca. He considers that it is not polite to be against the aspirations of a Salvadoran that hopes to occupy such a relevant position. According to him, he would be very proud if a Salvadoran were to be chosen for that position. The presidential logic seems impeccable. Former president Flores would be suitable for that position just because he is a Salvadoran citizen and, for the same reason, the nation, as a whole, would have to support his candidacy. It is a simple nationalistic argument, that overlooks his intellectual, political and diplomatic capacities, his experience in the international field and, in particular, his experience in the field of the regional integration, and his adhesion to the principles and the actions of the Organization of American States. Nothing of this sort is relevant when a person has the Salvadoran nationality.

With this apparently consistent logic, President Saca ought to feel even more proud of Monsignor Romero, the most universal Salvadoran there is. Monsignor Romero is the most renowned, remembered and the most celebrated Salvadoran anywhere in the world. His name and his image can be found in many places in the American continent, Europe, and the East. He is also Salvadoran, and has many more merits than the former president that Saca would feel so proud of if he were chosen as the Secretary General of a continental organization. For someone who is such an admired Salvadoran personality, inside as well as outside the national borders, President Saca already should have given instructions to his ambassador in the Vatican to promote the canonization of Monsignor Romero as a national cause of vital importance for the country and for the Salvadoran Church. But this is not the case.

President Saca does not feel the same pride for Monsignor Romero, even though he is also Salvadoran. The reason is simple. In fact, the important aspect of this is not the nationality, but that former president Flores shares with him the trajectory and the ideology of ARENA. In addition, the founder of that party is directly connected with the murder of Monsignor Romero. It is understandable then why president Saca does not feel proud of this universal Salvadoran and, consequently, it is clear why he does not condemn the questionable actions of Romero’s detractors, those who refuse to give him the recognition that he deserves. Monsignor Romero is not a fundamental piece of the history of the Salvadoran nationality for ARENA. However, outside the national borders, he is indeed acknowledged in an unquestionable way. Nationality is not, then, the determining factor. For the Salvadoran right wing there are Salvadorans and then there are Salvadorans.

The inclinations of president Saca are actually testing the humanitarian spirit of his administration, a key element of the propaganda about the Presidential House. An administration that ignores the scornful attitude that former president Flores adopted when he received the recommendations of the Inter-American Commission of Human rights, an branch of the Organization of American States, cannot rave about a government with a human face, because it still has not shown any signs of sensitivity before the human rights subject. The president of a government with a human face cannot ignore one of the most delicate aspects of the human rights of the country because the positions of former president Flores were made public. If memory is what fails here, the presidential advisers should help them remember. In fact, the ARENA administrations hide behind the shield of their lack of memory to avoid the aspects connected with the violation of the human rights.

Even though President Saca affirms that his administration only supports a single regional candidacy and denies that he endorses the one of former president Flores, the facts demonstrate that his administration is working to put him at the head of the Organization of American States. What moves Saca goes beyond the fact of Flores’ nationality. One of the aspects of the policy of ARENA is to promote the idea of an attractive country for the foreign investments, a country that, by the way, has not been able to reach the desired standards, although, for fifteen years, those administrations have been working hard to attract a considerable amount of investments. That is why President Saca also requested a position inside the Security Council of the United Nations
–a request that was rejected -. The public officials have a slogan to speak in the name of the kind of country they dream about when they participate in conferences, forums, workshops, etc. abroad. In this, they follow the script written by former president Flores, which is also used by Saca.

However, the reality of the country betrays them. It is like the bridge on the Acelhuate river that communicates San Salvador with Soyapango, a piece of infrastructure that recently just collapsed without a warning. The government is really trying to present a country with a solid growth, and a sustainable development, respectful of the institutional sense, a very democratic country, in short, a country that, like the bridge, looks apparently safe. Nevertheless, the foundations of the bridge are weak, and it can collapse at any time, just like the country. Fifteen years of a transition guided by ARENA have not been able to provide the country with the necessary support to drive it towards where the official speech wanted it to go.

To be against to the candidacy of former president Flores for the Secretariat of the Organization of American States is not the actual sample of meanness, but to support it, knowing that he is an unsuitable person for the job. The fact that he is a Salvadoran citizen is not enough. If that were the case, anyone could aspire to these positions, and there would always be a reason for the pride that President Saca feels. It is not enough to be a former president either, because, as it has been verified, in the case of the last Costa Rican secretary, that position does not offer any guarantees of suitability. The Central American presidents and chancellors should look for a candidate outside their exclusive club. There are many Central American citizens that could be more qualified than the former presidents, as Gert Rosenthal, the former director of the Economic Commission for Latin America, someone with a much higher level of education than Flores and with an outstanding international experience. For a long time, Rosenthal has also been a serious promoter of the regional integration process. And this is a fundamental characteristic, if the goal is to work for the unity of the region. The sincere desire to present a regional candidacy would have to be reflected in the trajectory of the candidate. Certainly, former president Flores is not that candidate.

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Politics


Twenty-five years after the last Coup d'état

 

Twenty-five years after the last coup d'état of the military youth is a good moment to reflect on what has been the political life like since those days. What have we learned? Is there some kind of similarity between the reality of those days and the present? Is there an absolute certainty that there will be no more coup d'états in the country? The present commentary will try to go deep into these questions in order to understand the political moment that El Salvador is presently living.

Has the lesson been learned?
The manifesto of the members of the army that prepared a coup d’état on 15 of October of 1979, tried, among other things, to consecrate the "cease of the violence and corruption, to guarantee the effectiveness of the Human rights, to adopt measures that would lead the country to an equitable distribution of the national wealth, and to guide in a positive manner the country’s foreign relations". The need to encourage such project was present, according to the members of the army, in a previous analysis that created the conviction that the problems of that time were "the product of old fashioned economic, social, and political structures that have prevailed in the country, [ which ] do not offer for most of the inhabitants the minimum necessary conditions to live as human beings".

A serious problem of that time, as indicated by the proclamation of the military youth, was corruption. Twenty-five years later, it is lamentable to observe that corruption has not disappeared. No one knows exactly what is the magnitude of corruption inside the country’s institutions, or what is the rank of all the people involved in it. Nevertheless, judging by what is going on and by some recent cases that have been made public, it is easy to conclude that the flagellum of corruption exists in the high circles of the Salvadoran State. As for guaranteeing the validity of the human rights, the country has gone a long way. In any case, in spite of the serious flaws in this area, the country has surpassed that period in which the institutions of security were the ones planning the public decapitation and execution of the opponents, or those that were considered as the alleged opponents.

In reference to the equitable distribution of the national wealth, the country is still far from the ideal that those who participated in the coup d’état had on 15 of October of 1979. The country has not gone too far with it, and therefore the situation has gotten worse. At the present time, El Salvador occupies the second place on the list of the countries with the most unequal distribution of resources in Latin America, socially and economically speaking. In other words, the national wealth is more concentrated and the members of the elite are not willing to share the elements of their good life with the rest of the society. The country’s foreign relations have not followed a positive line either. Although El Salvador is not in war with its Central American neighbors, its presence in Iraq in is part of a cloudy circumstance that has nothing to do with the interests of the majority.

The question is what has happened in the country since then? It is not possible to say that the society surpassed all the obstacles that the military riot of those years denounced. Perhaps, unlike back then (1979), there are no more members of the army that could belong to the left wing, worried about the way in which the elites impose their law to the less fortunate social classes. In that sense, a direct consequence of the last coup d'état was the conscience that was developed in the wealthiest sectors about the necessity to take control of their political destiny.

ARENA was born in this context and the late Roberto D'Aubuisson stood out as one of the members of the army that defended the status quo. The sectors of the right wing learned the lesson and ended up controlling the military institution, putting aside the “dangerous” members of the army that sympathized with the left wing. The virulent analysis that some sectors are still making about the events of that 15 of October show the resentment of those that were expropriated from their lands and other properties. An editorial of El Diario de Hoy recalls the events in these terms: "the regime connected the financial system and the robbery of the lands with the State. It is also necessary to remember how with the agrarian reform, also the banking system fell quickly into bankruptcy although it was one of the most important institutions, with executives of great experience, efficient administrations, infrastructures with strong foundations, trained personnel, and the trust and loyalty of its customers. It is not difficult to guess the reason why the system became part of the State: the reliable, progressive, honest and beneficial institutions were taken because, in the famous words of Willy Sutton, a gangster of Chicago that also robbed banks, it is there where the money is".

With those words, although they do not have much to do with the reality of the formerly described companies, anyone can have an idea about the degree of hate that the editorialist reflects towards those members of the army and the intellectuals who either took part in the coup d’état or that supported it. The most conservative sector of the right wing does not accept the fact that the coup d'état responded to a specific situation of the national life and that it has to be analyzed beyond the passionate perspective of those who were affected by it. That is why it is not actually true to say that the country has lost twenty-five years of the development cycle or that the economic, the social and the political problems of the present are directly connected with the decisions made by the country’s governmental board of that time. However, by the way, what were the objectives of the coup d'état?

A blow out of boldness?
It is necessary to consider that an important progressive sector of the country supported the coup d’état. Outstanding intellectuals, known by their support in favor of a change in the political, the social, and the economic structures of the country, accepted to take part, along with the members of the army, in the governmental board. From the beginning, in the proclamation of the members of the army it is established that "to achieve the goals that with all justice the Salvadoran population demands, the Revolutionary Governmental Board will integrate a cabinet formed by honest and willing elements that will represent different sectors, and use all of their patriotism in the performance of such important duties".

The day after the military insurrection, the most sagacious analyst of the national political reality at the time noticed that, despite the lack of time to evaluate the facts, the coup d’état itself was a promising event. Ignacio Ellacuría said: "if someone puts together a revolutionary government able to do justice listening to the demands and noticing the people’s sacrifice, someone who looks for the support of the progressive forces, someone able to stay open to the critics, its presence in circle of power can be transcendental not only to liberate the country from a horrid stage, but to open a new way through which the Salvadoran population will be able to build its own destiny".

If the proposal of the governance committee were to become a reality, according to Ellacuria, "this October 15th will transform itself into an historical date in the struggle of the Salvadoran population for its social vindication. It can constitute the date in which the promises of the right wing (of the previous regime) will start falling apart. The unfulfilled promises about the popular sovereignty, the democratic regime, the human rights, and social justice. The monotony of these promises must reach an end in El Salvador. The promises must be transformed into true and effective realities. The proclamation of the revolutionary board of government, leaded by the progressive military men of El Salvador, is lined up towards these accomplishments".

A modern interpretation of that past reveals that the dreams of Ellacuría did not come true in reference to the possibilities that the first Revolutionary Board of Government had to solve the problems of the country. The fratricidal confrontation that the members of the army said they wanted to avoid only became worse and lasted for twelve long years. In addition, until today the promises of social justice of the Salvadorans have not been fulfilled. Why did the army failed?

Ellacuría himself spoke about the most serious mistakes of the new process. " the fundamental errors were:
a) To exclude the organized people and the revolutionary organizations from the solution principle, when they are the main enemy of that dominant class, a class responsible for the situation of the country;
b) To base all the process on the Armed Forces, when no one knew anything about its degree of corruption and its complex network of implications with the dominant class, whether they were conscious or not about it;
c) To think that it is possible to come up with an average solution or a central one between the dominant class and the revolutionary class in a country like ours with its specific stage of development;
d) To believe that new things could be done without ending with the usual actions of the previous socioeconomic and political order ".

In other words, the young military men never cut the connection between their umbilical cords and the dominant sectors of the country. The most conservative groups of those sectors took control of the military apparatus once again and they became the guardians of the interests of a small exploitative elite. Despite the later recovery, there is no doubt that the coup d’état of the young military people is an important landmark in the history of the country, since a group of the army wanted to put itself to the service of a national project where the exclusion of most of the citizens were not the rule.

The last coup d’état?
The events of October 15th culminated with an election process that, as it can be said today, meant the beginning of a normalization process for the representative democracy in the country. Since then, the administrations are chosen through an electoral process. In spite of all its limitations, the democratic process keeps advancing. But, was that the last time that the Armed Forces intervened the political life of the country? Will they ever intervene in the country’s political life again?

No other special event has motivated the armed forces to directly participate in the political process. The most conservative members of the army (who belonged to the right wing) that regained the control of the Armed Forces keep the life of this institution at a certain pace. In addition, the electoral performance of the members of the right-wing party, whose interests are protected by the armed forces, has been a complete success in the last twenty years. For all of these reasons, in the short and medium term, there does not seem to be another coup d'état in the horizon. In addition, at the present time, the international conjunction is less tolerant with that type of political adventures.

However, in the end, there are several elements that can lead people to think that a serious political crisis cannot be discarded for the near future. The serious violations against the social justice persist and the social differences are intense and critical in the country; in addition, the political system remains in the same hands. The possibility of seeing the opposition inside the Executive power is still the worse nightmare of both the right wing and the most inflexible members of the army.

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Economy


The economic effects of the 1979 coup d’état

 

A quarter of a century ago there was a coup d'état against the administration of Carlos Humberto Romero. According to those who planned this event, it was encouraged by the need to resolve the difficult economic and political situation of the country. In 1979 an excluding economic structure had consolidated itself, a structure that had its roots in the 19th century. In the course of the following century, a considerable number of social demands were accumulated and they would explode during the Eighties. In order to briefly characterize the panorama of the time, the following words turn out to be interesting: "the military insurrection creates the combination of two factors: the intensification of an unbearable deterioration of the economic, the social and the political situation (objective factor), and the persuasion of the young officers about the “fact” that such situation could not only take the country to a dead end, but to the total discredit of the military situation ".

A brief revision of diverse analyses on the problematic of that year can be very revealing. There was a critical economic situation and the people were excluded from the political decisions. If the situation of the Salvadoran society of the late Seventies is compared with the one of the early 21st century, many similar characteristics could be identified. This could lead anyone to think that the efforts that have been made in the last years to improve the development of the country have not been successful, because the levels of poverty are still high.

The economic situation before 1979
To observe the economic situation of the Salvadoran population, it is convenient to notice that before the coup d'état, the political parties such as the Christian Democratic Party (PDC, in Spanish) and the National Popular Revolutionary Movement (MNR), and organizations like the Popular League of February 28th (LP-28), and the National Federation of Unions of the Salvadoran Workers (FENASTRAS), among others, had created the Common Platform of the Popular Forum, an institution that considered, among other things, that "the real income of the Salvadoran family has decreased; unemployment has become a chronic characteristic of the society, the life in the country has reached a level of misery". The statistics of the Ministry of Economic Planning confirm those words, because at that time 8% of the population approximately received 50% of the national income. A 30% of the population earned less than $6 per month, and 58% counted with less than $12 per month.

The economic crisis fundamentally obeyed to a couple of elements: it was one of the most critical moments for the agricultural economic model of exports, which began to seem obsolete before the new active mechanisms of the world-wide market. In the second place, there was the failure of the Central American economic integration scheme and, particularly, the loss of the Honduran market as the addressee of the local products, these events became an obstacle for the national economy. The manufacturing sector was hardly able to develop itself, and one of the most important markets for the local manufactures was therefore lost. As for the demographic aspect, the destruction of the relations with the Honduran market became an obstacle for the incorporation of the agrarian population to the economic activities of a modern production system, in a moment when the demographic growth was very intense.

The economic impact of the reforms
In the conjunction of the coup d’état of 1979, three fundamental measures were established: the Agrarian Reform, the nationalization of the banking system, and the nationalization of the foreign trade. Such measures intended to achieve a more equitable distribution of the income and to improve the productivity of the economy.

The Revolutionary Board of the Government decreed an agrarian reform, which affected 2,000 landlords, whose properties covered an extension of 800,000 hectares, almost half of the total extension of the fertile land in El Salvador. The minister of Agriculture and Cattle-Raising of that period, Enrique Alvarez Córdova, explained that this measure had the objective "to maintain an integral production process and to avoid the disorganized division of the property". The agrarian reform process, according to Alvarez, "was going to favor the workers of the field; and, in addition, it would create a market of consumption in favor of the industrial field, commerce, and the area of services". The public official described the decision of the Revolutionary Board of the Government as "unbreakable".

The model of the Agrarian Reform was supported at all times by the government of the United States, because it was a copy of the agrarian reform’s design that Washington imposed in southern Vietnam, as part of its counterinsurgency strategy. They intended to apply the same strategy in El Salvador, once the promise failed: a program of "pacification" that included the evacuation of the owners of the land and the communities that allegedly sympathized with the guerrilla.

It is necessary to admit that the situation of the farmers in that period was untenable: 63 out of 100 children were undernourished; 60 out of 1,000 children were born dead in deplorable conditions, and only 37% of the families who lived in the rural area had access to water. And if, in fact, the agrarian reform was aimed "to support" the organizations of farmers, it is important to wonder why did it fail. Why did it harm so much to the agricultural exports model that was one of the main features the country throughout history?

For some of those that participated in the coup d’état of 1979, the weak spot of the agrarian reform was "the lack of resources". The plan had to be completed a couple of years after the best lands were redistributed, offering credit assistance and improving the technological resources. However, after a while, they realized that the people who now owned the lands did not count with the necessary resources to make it work.

The person who is now the president of the Independent Harbor Executive Commission (CEPA, in Spanish), Miguel Angel Salaverria, in 1979 was a member of the Association of Beneficiaries and Exporters of Coffee (ABECAFE). Salaverría stated in a recent interview published by El Diario de Hoy that, "the agrarian reform harmed the Salvadoran agricultural sector because some of the coffee properties became cooperatives that were inefficiently administrated ".

On the other hand, combined to this reform, the Revolutionary Board of the Government, with the purpose of supporting it, included measures such as the nationalization of the foreign trade and the nationalization of the banking system.
The nationalization of the financial system, although it had the best technology and it was considered the most advanced in Central America, since it counted with a well trained and an efficient staff, led the authorities to file for bankruptcy. The politicization of the credit mechanisms, the increasing levels of bureaucracy, the ignorance of the new directors, among other factors, were part of the deficient way in which the State administrated the banking system in those years. At the time, the banking system worked granting credits with political goals to friends and sympathizers. A considerable portion of these credits was never paid back, because the people who were close to the power sources demanded loans, knowing that these would never be reimbursed, this was a difficult situation for the productive sectors and the people who had really worked on their land in order get a loan.

With this, an apparatus of corruption was created, which lead the banking system to a period of recession. The politicization of the credits, the increasing bureaucracy levels, the ignorance of the new directors, and the inadequate financial operations were the factors that caused the fall of the financial system.

On the other hand, the nationalization of foreign trade, through which the producers had to sell everything that they exported to the Central Bank, for this one to collect the profits that were obtained from the negotiations in the international market. The BCR paid in local currency to the producers; in other words, the exporters lost a considerable portion of profits because the official type of exchange was of 2,50 colones per dollar.

These measures that were immediately established after the coup d'état moved away from the original objective, that is the objective to favor the rural families, because they completely politicized the reforms, causing serious effects on the economy of that time, and the stagnation that can still be perceived now.

El Salvador, twenty-five years later
At the present time the situation of the country might seem different. The context of the business sector has changed in the last years. In the Nineties, there was an economic transformation: from a model based on the agricultural exports to one based on the foundations of the growth and the proliferation of the tertiary sector (commerce, services and banks). In spite of the economic reconstruction that was possible through policies such as the re-privatization of the national banking system, the privatization of the companies that belonged the State, the dollarization of the economy, and the promotion of the commercial openness, the situation of the Salvadorans is still a very critical one.

According The Report on the Human Development of El Salvador 2003, the conjunction of 1979 was characterized by "increasing differences (that) constituted a factor that affected the high social polarization that prevailed during the Seventies, and which ended at the outbreak of the armed conflict during the Eighties". This is clearly demonstrated on Chart 1. With it, it is possible to observe that the economic structure of the country tends to be a strong concentration of income. The periods with a greater tendency towards the concentration of income are both the year of the coup d'état (1979) and the beginning of the new century (2002). In 1979, the poorest 20% of the population obtained only 2% of the national income, whereas the wealthiest 20% of the population obtained 66% of the national income. In 2002, the situation is not so different: 2.4% of the national income goes to the poorest 20% of the population, and 58.3% goes to the wealthiest 20%. Because of these characteristics, it is important to wonder if the reconstruction of the economic apparatus that has been carried out in the last years through the ARENA administrations has been effective enough to resolve the problem of poverty in El Salvador.

 

Chart 1
Income distribution per home

Year The poorest 20% The wealthiest 20%
1961 6 61
1969 4 51
1979 2 66
1992 3.2 54.5
2002 2.4 58.3

Source: The Report on the Human Development of El Salvador 2003

The statistics seem to show the opposite perspective of this whole matter. This can lead us to think that the economic measures that were implemented after the Eighties have taken the economy to the old situation that characterized it throughout the last century: the concentration of the income. Based on these facts, it is necessary to reflect on the following words expressed by the Superior University Council of the UCA after the events of October 15th : "El Salvador has been, like so many other countries of the periphery, not only an economically dependant nation, but one that has been thought and organized to benefit minorities, those minorities that enjoy their power and their wealth, and keeping most of the people in a situation of domination and misery" (See ECA, # 373-373, October-November,1979). Therefore, it is important to make an effort, especially from the government, to prevent the economy from working in the benefit of just a few, so that that motto that affirms that "El Salvador is a country of opportunities" becomes a reality. The people have a long way to go to build a society that guarantees a welfare for all.

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