Southern Cone

BRICS nations plan new development bank

The BRICS group of five nations—Brazil, Russia, India, China and South Africa—held its sixth annual summit this year from July 14 to July 16 in Fortaleza in the northeastern Brazilian state of Ceará and in Brasilia, the Brazilian capital. The main business for the five nations' leaders was formalizing their agreement on a plan to create a development bank to serve as an alternative to lending institutions like the International Monetary Fund (IMF) and the World Bank, which are largely dominated by the US and its allies. Although the project will need approval from the countries' legislatures, the BRICS leaders indicated that the group's lending institution would be called the New Development Bank, would be based in Shanghai and would be headed for the first five years by a representative of India. The bank is to start off in 2016 with $50 billion in capital, $10 billion from each BRICS member. The BRICS nations will maintain control of the bank, but membership will be open to other countries; in contrast to the IMF and the World Bank, the New Development Bank will not impose budgetary conditions on loan recipients.

Brazil: indigenous lives not worth a traffic sign

Public prosecutors in Brazil have called on the government to pay 1.4 million reais ($ 630,000) in compensation to a Guarani indigenous community and to install road signs, after eight Guarani were run over and killed. For decades the Guarani of Apy Ka'y community in Mato Grosso do Sul were forced to camp on the side of a perilous main road after they were evicted from their land, which is now occupied by a vast sugar cane plantation. Last year they reoccupied a part of their territory, but the road remains a serious threat. Five of the hit-and-run victims were relatives of the community's leader, Damiana Cavanha, who has been campaigning for the’ ancestral land to be returned. The youngest victim was four years old. Damiana believes they are being deliberately targeted by vehicles belonging to the ranchers occupying their land.

Brazil: campesino protesters occupy banks

Some 3,000 campesinos, including children and seniors, some with musical instruments, staged sit-ins on June 26 in the states of Goiás, Bahía and Piauí at 18 branches of Brazil's two largest state-owned banks, the Banco do Brasil and the Caixa Económica Federal. The day-long protest, organized by the Popular Campesino Movement (MCP), targeted budget cuts in the government's popular low-income housing program, My House My Life; MCP leaders said 950 campesino families had been dropped from My House My Life's National Rural Habitation Program (PNHR). The group demanded an increase in housing construction for the rest of this year, payment for projects already in progress, and improvements in the PNHR for next year. "The campesino families are struggling for a dignified life and don't accept having to wait more time for reform, enlargement [of the program] and construction of housing," the MCP said in a statement. "Waiting longer means increasing the exodus from the countryside and increasing the problems of rural life."

Brazil: US turns over documents on military abuses

During a visit to Brasilia on June 17, US vice president Joe Biden presented Brazilian president Dilma Rousseff with 43 declassified US State Department documents referring to abuses committed under the country's 1964-1985 military dictatorship. The handover of the documents, which will go to Brazil's National Truth Commission (CNV), was part of an effort to mend relations with Brazil after revelations in 2013 that the US National Security Agency (NSA) had been spying on Brazilian government agencies and on President Rousseff herself. The NSA revelations led to Brazil's cancellation of a planned state visit to the US in September 2013 and to the US manufacturer Boeing Co's loss of a $4 billion fighter jet contract with the Brazilian air force. (Reuters, June 17)

Chile: judge confirms US role in 1973 killings

Chilean investigative judge Jorge Zepeda has ruled that US intelligence agents shared responsibility for the killing of US journalist Charles Horman and US graduate student Frank Teruggi by the Chilean military in the days after the Sept. 11, 1973 coup that overthrew leftist president Salvador Allende Gossens. "US military intelligence services played a fundamental role in the murders of two US citizens in 1973, providing the Chilean military with information that brought [them] to death," Zepeda concluded in his report, which the Associated Press wire service cited on July 1. This was the first official confirmation of suspicions by Horman and Teruggi's families and friends that the US shared in the responsibility for the killings, the subject of the 1982 film "Missing."

Chile: Bachelet promises new Mapuche policy

Chilean president Michelle Bachelet announced a new policy for the country's indigenous communities on June 24, We Tripantu, the last day of the June 21-24 New Year celebrations observed by the Mapuche, the largest of the indigenous groups. The new policy includes the creation of an Indigenous Affairs Ministry; a Council of Indigenous Peoples to develop proposals and oversee negotiations; designated seats in Congress for indigenous groups; a commission to establish an official version of indigenous history acceptable to all sides; and a continuation of an existing program through which the government buys territory in the south-central Araucanía region and transfers it to Mapuche communities that claim it, with the goal of ending land disputes and occupations that have troubled the region in recent years.

Chile: HidroAysén dam project is scrapped

Chile's environment, energy, agriculture, mining, economy and health ministers voted unanimously at a June 10 meeting to terminate plans for the $8 billion HidroAysén hydroelectric project, a complex of five dams that was to be built on the Baker and Pascua rivers in the Aysén region in southern Patagonia. Environmentalists and many area residents had vigorously opposed the project since it was first proposed in August 2007. HidroAysén supporters said the dams were necessary to meet energy requirements for the country, which currently gets about 40% of its power from hydroelectric projects. But Socialist president Michelle Bachelet, who began her second term on Mar. 11, has indicated that her government will push instead for more use of alternative sources and for the importation of liquefied natural gas. The companies behind the project—the Spanish-Italian electric energy consortium Endesa-Enel, which owns 51%, and the Chilean company Colbún S.A.—have 30 days to appeal the ministers' decision.

Brazil: homeless win some in the World Cup

The governments of Brazilian president Dilma Rousseff and São Paulo mayor Fernando Haddad reached an agreement on June 9 with the Homeless Workers Movement (MTST) ending the threat that the group's protests would disrupt the June 12 opening game of the 2014 World Cup soccer championship. Officials agreed to build some 2,000 housing units in vacant private land where about 4,000 homeless people had set up an encampment, "The People's Cup," near the site of the first game, São Paulo's Arena Corinthians. The land occupation started a month earlier as a protest against the allocation of money to sports events rather than inexpensive housing. The MTST also won greater flexibility in the implementation of a federal housing program and a commitment to create a federal commission to prevent forced displacements of homeless people. In exchange the MTST in effect agreed to end its mobilizations, which were the largest of the protests that swept São Paulo in previous weeks.

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