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Latin America No Longer Smiling on U.S. Aid

MEXICO CITY (By Pablo Bachelet, McClatchy) August 27, 2006 — The Bush administration is facing deep suspicions and strong reluctance as it adds tens of millions of dollars to U.S. democracy-building programs in Latin America, an important region where leftist, populist and anti-Bush sentiments increasingly dominate politics, officials say.

"A new political class … has come to power, or is coming to power, and they see a lot of this (U.S. aid) with a great deal of suspicion," said Christopher Sabatini, who until recently ran the Latin American programs for the National Endowment for Democracy (NED), a congressionally funded group that gives grants to pro-democracy programs.

Cold shoulder from Chavez

Supporters of socialist President Hugo Chavez in Venezuela have stopped attending political-training seminars arranged by U.S.-based institutions, for example, and pro-Chavez lawmakers are pushing a bill that would make it much harder for nongovernmental groups to accept U.S. funding.

In the past, NED and its main beneficiaries like the International Republican Institute (IRI) and the National Democratic Institute (NDI), worked well with what Sabatini called "more traditional civil society organizations and leaders, many of them Harvard-trained technocrats."

But new groups have emerged from the fringes of Latin America society, like indigenous Bolivian groups with a long history of grievances against the ruling elites and the urban poor from Buenos Aires' industrial districts. Increasingly, they have challenged the U.S. agenda that promotes political stability and more open economies.

More than $2 billion in aid

The Bush administration, in keeping with its pledge to push for democracy around the world, has quadrupled worldwide aid for pro-democracy programs to more than $2 billion a year, says Thomas Melia, deputy executive director of Freedom House, which organizes exchange visits for pro-democracy activists in Latin America.

U.S. government agencies contacted by The Miami Herald for official aid totals said any such numbers are only rough approximations because funds are being poured over multiple accounts into a complex web of groups and government agencies.

The web spans from specialized sections of the State Department and the U.S. Agency for International Development (USAID) to the Pan-American Development Foundation of the Organization of American States and nonprofit groups like the Carter Center, the Solidarity Center of the AFL-CIO and the U.S. Chamber of Commerce's Center for International Private Enterprise.

The biggest single winner appears to be NED, which hands out grants directly to foreign groups. Its congressional funding rose from $59 million in 2005 to $74 million this year — plus $10 million to 15 million for specific programs ordered by lawmakers, such as $2 million for groups in Venezuela, NED officials say.

So far this year, NED has awarded grants in Latin America totaling $7.9 million, and expects to at least equal last year's record of $10.9 million.

In 2004, NED gave out $6.7 million in the region.

USAID is biggest donor

The biggest government donor is USAID, which has a $176 million democracy-and-governance budget for Latin America in 2006, with Haiti ($33 million) and Paraguay ($27 million) topping the list of beneficiaries.

But there have been questions about who benefits from the programs.

The International Republican Institute, linked to the Republican Party, has denied allegations that it urged opponents of ousted Haitian President Jean-Bertrand Aristide to reject a compromise with his government, and came under attack from the Venezuelan government when it blamed a 2002 coup against Chavez on his "repressive" ways.

Chavez's Fifth Republic Movement later stopped sending its members to political training seminars in Caracas arranged by the IRI and the NDI, leaving the seminars to politically neutral or anti-Chavez groups.

 


 

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