Nicaragua Calls Cut in U.S. Aid “Unjust” / Venezuela to help Nicaragua after U.S. rebuff

[Better Believe It]

June 14, 2009

Nicaragua Calls Cut in U.S. Aid “Unjust”

MANAGUA – The top economic adviser to Nicaraguan President Daniel Ortega denounced the United States decision to cancel part of the aid it gives the Central American country via the Millennium Challenge Account.

“It is an incorrect and unjust decision,” Bayardo Arce told the press.

“Incorrect because according to the Americans themselves the best program that the Millennium Challenge Account has in the world is in Nicaragua,” he said.

The United States cut a portion of the Millennium Challenge aid it sends Nicaragua due to irregularities in recent municipal elections, Washington’s ambassador to Managua said Thursday.

Robert Callahan told a press conference at the embassy that the United States was cutting $62 million out of total of $175 million in MCA aid.

He said the decision to partially cancel the assistance was made Thursday in Washington by the board of directors of the Millennium Challenge Corp, chaired by U.S. Secretary of State Hillary Clinton.

Arce said that the decision is also “unjust” because U.S. officials never conducted their own investigation into the charges of electoral irregularities.

“I’ve never seen any mission from the Millennium Challenge Account in Nicaragua examining the electoral process to be able to say that the electoral process last November was faulty,” he said.

Please read the complete article at:

http://www.laht.com/article.asp?ArticleId=337107&CategoryId=23558



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Venezuela to help Nicaragua after U.S. rebuff
CNN
June 14, 2009

CNN) -- Venezuela has promised to give Nicaragua $50 million to replace money that the United States said this week it would withhold from the Central American country, Nicaraguan President Daniel Ortega Saavedra said Saturday.

Venezuelan President Hugo Chavez promised the aid after Ortega learned that the United States was canceling $62 million of aid that was to have come from the Millennium Challenge Corporation, a U.S.-government-funded anti-poverty fund set up by former President George W. Bush.

Ortega expressed disappointment in President Barack Obama for the decision. "He expresses good will, but in practice, he has the same policies as President Reagan," Ortega told a crowd of supporters in Managua's Plaza of the Revolution.

Ortega called this week's decision not to follow through on the payment "disrespectful."

"The United States had given its word to the people of Nicaragua and in particular to the people of the cities involved in the program," he said.

Please read the complete article at:

http://www.cnn.com/2009/WORLD/americas/06/14/nicaragua.venezuela/index.html

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[Vidar]

1. Nicaragua is better off with Venezuelan support. Far fewer strings attached.