Humala evokes the 1979 military constitution in his oath

Off to a radical start.

Humala evokes the 1979 military constitution in his oath. Lima-Ollanta Humala, a leftist roots retired military, on Thursday became the new president of Peru, a country that boasts one of the highest growth rates in the world but still carries a large social deficit.Humala ruled Peru for the next five years after swearing before Congress with Bible in hand and before the eyes of 10 Latin American presidents and the Prince of Spain.During his oath, Humala evoked the 1979 Constitution of a military government, not the current 1993 as amended by former President Alberto Fujimori.This provoked a strong protest Fujimori legislators shouting "Let him go" just minutes after he placed the presidential sash.The new president, which dramatically slowed their nationalist ideas throughout the campaign that led to the presidency, succeeds Alan Garcia, who completed his second term after having ruled Peru between 1985 and 1990.

English Translation of Humala’s Inauguration Speech

In a public declaration signed a few weeks before the second round, Humala promised to respect the constitution and freedom of the press. Both the ministers of defense and the interior will be civilians. He will defend the separation of powers. His main thrust will be policies with sustained growth and inclusion: economic, social, ethnic, geographic and cultural, especially of the most poor. In this thrust he will have the support of Toledo who had made the redistribution of the benefits a key part of his program.

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Consider Humala's promise on the inaugural dais to abide by the national constitution—not the current one, but the prior version, drafted in 1979. The reference was a swipe at the 1993 charter written during the tenure of AlbertoFujimori, the divisive dictator who closed congress and ruled with an iron hand.Humala has a point. Though drafted by legislators and approved by a national referendum, the current constitution was heavily influenced by Fujimori. (His opponents boycotted the election of the constituent assembly that wrote the charter). But it also sanctioned economic liberties—privatization and rolling back state interference in the market—that untethered the economy and transformed Peru from a chronically dysfunctional nation into a model for Latin America.The result has been the most spectacular jag of growth in the region. Surfing the commodities boom, Peru's economy has expanded for the last 12 consecutive years, with low inflation and nearly $47 billion in international reserves. With jobs in mining and construction on the rise and better social spending, the number of Peruvians living in poverty has dropped from nearly half to 31percent, in a decade. And another $42 billion in foreign investments are reckoned to be in the works in mining alone.
 

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PNE Opinion:

Humala signed a promise not to change the constitution. So why the deliberate and unnecessary agitation? Unless he plans on breaking that promise. Humala also outlined a socialist redistribution plan that will definitely hurt small businesses, infrastructure projects and lose jobs. Humala's plan would make even Barack Obama blush. Seems Humala is interested in starting a political war and economic upheaval rather than governing through constitutional incremental change. Although, I must admit, the stick in the eye approach to governing would seem appropriate for a man of Humala’s limited abilities.

And the condescending and dismissive treatment, by the TV news creeps (Nicolás Lúcar, etc.), of Congresswoman Martha Chavez came off as astoundingly chauvinistic. I guess Perú media has not moved past adolescence. They still have a lot of pimples!


Looks like we are off to a radical start. Pray for us!

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Alejandro Toledo: "Without us, Humala cannot do anything."

Alejandro Toledo: "Without us, Humala cannot do anything." Toledo visibly angry with Humala’s rejection, blames other’s (not himself) for his miserable failure to attract voters. Toledo defiles the honorable and amicable PPK with the label of “traitor.” Toledo was used and made a fool and now he is throwing a tantrum illustrative of his boorish manner and mentality. It is a shame to see a divide develop between these two “anything to win” egomaniacs, because Toledo and Humala deserve each other.

Nicolás Lúcar picking winners on Punto Final?

Why would a person lacking integrity who makes a pact with another person lacking integrity expect that pact to be fulfilled with integrity? Narcissistically fueled stupidity perhaps? Neither Humala nor Toledo have remained true to their original representations or principle beliefs. Humala, for pure political gain, changed campaign positions more than the deceptive chameleon changes colors. And Toledo (whom Humala said should be overthrown for being anti-democratic), for pure political gain, backed away from every dire warning he espoused about the extreme dangers of a Humala presidency. Liars expecting liars to keep promises is always horrifyingly amusing when it pertains to people who can make life altering decisions for millions.

These two ethically challenged men teamed up to defeat the honest, consistent, coherent and intelligent campaign message of Keiko Fujimori and class-act supporters Luis Castañeda and Pedro Pablo Kuczynski. It ended up a case of two conniving, despicable and coreless personalities winning the votes of the gullible and ignorant to defeat quality leadership appealing to the intelligent and informed percentage of Perú’s population. Now we have a president-elect who even the most optimistic observers say, “We must wait and see how he governs.” This rather than a president-elect that would have immediately moved the economy forward with the doubtless confidence and support of the producers of Perú’s recent and fabulous economic advancement and poverty reducing success story. A disappointing situation indeed.

But to somehow act surprised or indignant, at the acrimonious dealings between two scoundrels, as (unproclaimed Humala supporter) Nicolás Lúcar did in his highly prejudiced presentation on the Punto Final broadcast last night (July 24, 2011), is laughing in the face ludicrous. Nicolás Lúcar frame this back-stabling political dust-up as purely Toledo’s ill-mannered and unrealistic expectations of Humala. He did this without the slightest mention that Humala used Toledo (whose campaign plan was completely at odds with his own) on the campaign trail and stage to disingenuously siphon off Toledo’s voters with promises of political inclusion and influence. That's why Toledo is understandably angry about Humala's now dismissive attitude toward Toledo's "Perú Posible" party. I certainly have no problem with choosing sides, but I have a large disdain for ideological partisans presenting themselves as unbiased journalists. Maybe in the end Ollanta Humala will turnout to be okay, but I don’t think playing Russian Roulette with Perú’s future is the optimal choice. 

OPINION BY PNE

Also read related post, "Strange Bedfellows Indeed"

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Time To Support Perú, But ...

 It is time to support Peru, but observers should keep an eye open to authoritarian temptation

We have yet to pass the start-line and it's a long way to the finish.

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The following are excepts from Carlos E. Ponce’s Article "Is Ollanta Humala the New Autocrat Apprentice?" I think it is a good read for anyone interested in Perú’s future direction. I like Humala’s opening moves, he appears to be distancing himself from his lifelong authoritarian radicalism, but he is not even president yet and it is much too early to “write a blank check.” It is difficult to derive a history of leadership abilities and integrity from a man who is in every sense a wild card.  

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He (Humala) comes from the military and he has no government, business, academic or administrative background, so for him the democratic game will be really hard to play. Humala will try for sure to change the constitution in two years to seek for social changes (maybe reelection) and he will be also tempted to reduce the influence of other political parties, including Toledo’s, in his administration. He will have the inclination, as Alberto Fujimori did, to instigate a confrontation with the Parliament to gain control.

Civil society will be a key factor in controlling Humala’s behavior, but it is also time to motivate youth movements to participate in politics and in civil society organizations. Youth will continue to be a countering force in Venezuela and other Alba Countries. Young people are also a critical force in countries on the fence between the two realities, and they will be important to keeping Peru free and democratic and force Humala to keep his promises of a true democratic ruling. Youth movements can become a force for positive change—a voice to hold Humala to his promise that he wants more freedom and democracy, not less.

The Peruvian elected president had a meeting with President Barack Obama and promised to respect free trade, now he will have the challenge to fulfill his words. But his actions distanced himself of such promises when he also visited the long lasting tyranny of the region. When Ollanta Humala made a suppressive trip to Habana to meet Raúl and Fidel Castro and Hugo Chávez he is just mapping his way to a new autocracy in the Americas. He is supporting tyranny and autocracy in Cuba and Venezuela. He is just trying to play a game of power, but it is not a good game for an apprentice.

It is time to support Peru, but not with a blank check. Observers should keep an eye open to authoritarian temptation in and leader’s appetites to seek unending presidential terms or to follow the example of Cristina and the late Nestor Kirchner of Argentina. His trip to Cuba is a strong message of the new times for Peru.

When Gambling, "Keep Your Eyes On The Cards."

CLICK HERE FOR REACTIONS FROM INVESTORS AND FINANCIAL ANALYSTS TO HUMALA'S  PICKS.

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Impressing Investors

Julio Velarde to remain as head of Peru's Central Reserve Bank

from living in Peru

Peru’s President-elect Ollanta Humala has stated that the head of the country’s Central Reserve Bank, Julio Velarde, will remain in office. Current President Alan Garcia commented by saying it was a “wise decision” that would give Peru "immediate trust in international markets."

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PNE Opinion:

This is a good decision. It points to a more measured approach, rather than the radical rhetoric of Humala’s past campaigning. As for Congressman Javier Diez Canseco’s comment, that this move was only to reassure investors, reassuring investors is just fine with me. As will be any future decisions by Huamla that show deference to the investment and business community. I don’t care what the reason is, what I care about is that Humala’s agenda remains controlled by real world circumstances and ramifications. If at any time that changes it will negatively impact, not only my opinion of Humala’s leadership, but also the opinion of the world investment community. This is a hopeful sign that Humala not only understands that fact, but that he is willing to yield to it. The only path to opportunity and a prosperous future, for all residents of Perú, is through continued foreign investment.

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Tripping in Russia

Brother of Peru's president-elect speaks about controversial trip

 

"Ollanta had no knowledge of the trip. Even I only found out about the agenda when I arrived in Europe. I think he only found out when the news broke in the media," the younger Humala said.

He said that he deeply regretted not consulting with Humala's transition team before making the trip. "I acted in an imprudent manner, it's true, but there was nothing under-the-table or unethical," said Alexis.
From Living in Peru

Peru's Humala falls in poll before inauguration

His rating plummeted 29 points to 41 percent just days before his July 28 inauguration, according to the survey, which appeared in El Comercio newspaper. The previous Ipsos Apoyo poll, which came out on June 19, had Humala at 70 percent.
From Reuters

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End of the Free Market? Let's hope not!

If you love freedom do not flush!

 From Living in Peru 

Opinion: Is it the end of the free market?

In his opinion piece Alfredo Barnechea throws out examples of successful government owned companies like Norwegian Statoil. This is really a misnomer and false representation. Statoil is state own in name only. Statoil is in reality an investor owned company with huge barriers between its operations and government influence. It is much more aligned with privately held companies than government run companies. Gazprom is also investor owned and Sonatach is a 100% owned subsidiary of ‘Sonatrach International Holding Corporation,' which is itself owned by the Sonatrach Group.

Now let's compare the history of a Peruvian government owned company. Here in Perú the one mine I hear brought up over and over again, as an example of an environmental disaster within Perú, is the La Oroya polymetallic smelter (now owned by Doe Run Mining). Nearly 90 years old, the government owned La Oroya mine for 23 years, during which time the pollution grew to unmanageable levels. The mine was then sold in a “too little too late” attempt to clean it up. It was established by the American Cerro de Pasco Corporation in 1922, was nationalized and became the property of Centromin in 1974 and was then privatized in 1997 when Doe Run bought it for US$247 million. It consists of a copper and lead smelter and zinc refinery.

When Doe Run bought La Oroya, it took over Centromin's PAMA, (Programa de Adecuación y Manejo Ambiental or Environmental Remediation and Management Program), an environmental contract requiring environmental remediation measures. The measures required new sulfuric acid plants, elimination of fugitive gases from the coke plant, use of oxygenated gases in the anodic residue plant, a water treatment plant for the copper refinery, a recirculation system for cooling waters at the smelter, management and disposal of acidic solutions at the silver refinery, an industrial wastewater treatment plant for the smelter and refinery, a containment dam for the lead mud near the zileret plant, a granulation process water at the lead smelter, an anode washing system at the zinc refinery, management and disposal of lead and copper slag wastes, domestic waste water treatment, and domestic waste disposal.

Because of the difficulty, and potential impossibility of the task, Doe Run Peru has been indemnified by Centromin (and guaranteed by the Peruvian Government) against any environmental liability arising out of Centromin's prior operation. Doe Run's original commitment to this program was US$107 million but it is now expected that it will cost at least US$244 million. The cleanup process continues today.

SOURCE

We should all fear the end of free markets. What would then ensue, if such an event were to occur, is an explosion of government corruption and totalitarian rule. This occurs anytime that so much power is centralized and competition is removed. Throughout history Government has failed miserably at irradiating poverty and offering equal opportunity to all citizens. Government, by it’s very nature, creates nothing efficiently and can only rob from those that do and give it to those that don’t. That is a huge mistake that only serves to more deeply ingrain poverty. The only way to drastically and permanently reduce poverty and financial inequality is to stop demonizing and start enlisting the expertise of free enterprise businesses, though refundable tax credit incentives, to get involved and tackle these problems directly. Government ego and control is the impediment not the answer. It is insanity to expect the non-producers that occupy the majority of government positions to produce that which they never have accomplished themselves.

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UNFREE TRADERS

COMING AND GOING

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Peru's Humala talks about meeting with Obama

President Obama joked with the newly-elected Humala that “the best phase of a presidency is the election campaign, because afterwords is when the problems come.” 

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That was no joke! That is a reality check on Obama's  egocentric psychological make-up. Both Obama and Humala have at times said publicly they want to kill the hard fought and won (by the previous administrations) "free trade agreement" between the USA and Perú. They have something in common there. I just hope Humala (unlike Obama) at least takes responsibility for any failed policy decisions and is not the miserable leader that Obama has been. Ideally Humala will only have to deal with Obama until the US Presidential election in 2012. Obama is a far left ideologue campaigner that was never up to the breadth nor challenge the US Office of the President presents. America has suffered the consequences. I want to see Perú do better.

July 9, 2011, Additional thoughts sparked by this PHOTO LINK posted by "jorcaryvan" at Peru-N-English Discussion Group:

I fear Ollanta for the same reason I feared Obama. They both make unbelievably big promises. That alone demonstrates
their deep lack of understanding of job of president and the structural economic barriers that must be overcome to institute effective change that does not harm the economy. I, along with many others that have common sense and a pragmatic intellect, predicted Obama's failure. Obama was never really prepared to govern. He just wanted to get elected and would promise the Moon on a stick if that’s what would get the votes. Obama is a theorist, a professor, not a pragmatist. Theorists can write books with good intent about how it should be, pragmatists do not over promise and get the job done effectively. It’s a huge difference. How many times has Ollanta changed his platform? That by itself is an enormous red flag that boosts the odds of his failure. It reveals his weakness. My practice is to never trust anyone who keeps offering me a plan until they find one I like. Because they obviously have not thought through any of the plans. And, I expect results not the Moon on a stick!

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Local Loca Motion

LocaMotion

Lima Mayor Susana Villarán, who has not one substantive accomplishment to her credit that will benefit the majority of Limenians (30% approval rating) and who has stopped construction on or renamed and reprioritized all the beneficial infrastructure projects set in motion by the very popular and effective previous mayor Castañeda, never fails to dumbfound. She does so with her penchant for an excruciating lack of common sense, profound disconnect from reality, her delusional self-aggrandized image and her elitist ideological disdain for the majority’s desires and preferences. Her absurdness is nearly comedic if not for the reality that Lima is in the hands of a fool. 

Mayor Susana Villarán: The recently completed Electric train damages society and divides the communities like the Berlin Wall.

The upshot here is that the new electric train, which was approved in every district before its construction, is now about to be inaugurated by outgoing president Alan Garcia. Mayor Susana Villarán, a Catholic, is still angry about the statue of Christ on Morro Solar that a Brazilian company donated and President Alan Garcia partially funded. Currently she is spitefully using the power of the mayor's office to push legislation that would have a gay pride plaque posted on the statue. But that’s not enough. She wants to exact revenge by robbing from Garcia the leading role in the inauguration of the new electric train constructed under his watch. Though there was exhaustive district and public input, Villarán now calls it the Berlin Wall? The train is in operation but she says that some handrails and access points are not completely finished. She adds that there should be no inauguration until all the work, which is already scheduled, is finished. Translation: That means she wants Humala (who has had absolutely nothing to do with the train) to take the leading role in the inauguration. This is one unpleasant and bitter lady!  

One more comment on the mishmash of cerebral misconnections present in this woman’s head.

She called the statue of Christ on Morro Solar exclusionary expression. Then she is publicly thrilled by leading the gay rights parade (which is fine if that is her propensity) that represents less than 10% of the population of Lima saying this, “I won this election cleanly, I won with my personal convictions, and my conviction is that everyone has a right to be in Lima and express themselves,” she said. “Nobody is going to dissuade me from serving the people of Lima.”

So ostensibly she is looking out for the rights of minority gays “to be in Lima and express themselves,” but did not (as a Catholic or the people’s representative) attend nor support the inauguration of a statue of Christ that represents the rights of the majority faithful “to be in Lima and express themselves.” Is that “serving the people of Lima?”


Now I know much of this is buffoonish and painfully hilarious. But meanwhile as she is chasing this irrelevance and fighting vindictive moonbat ideological battles the work of the people is not getting done. And that’s a big problem because there is much that seriously needs to be addressed in this city. Let’s hope that Villarán is not a Peruvian presage of a dreadful period of failed leadership descending on all of Perú. 

Moonbat Serenade: Duet

Question: Since Mayor Villarán has called a halt to many of ex-Mayor Castañeda’s badly needed infrastructure projects for Lima, where’s all the money that was to be allocated for those projects going? What is it being spent on? Because Villarán is doing nothing visibly tangible.   

Comic Relief 

Is Villarán “Chilindrina?”

 Villarán orgullosa de ser ‘Chilindrina’ Cardinal Juan Luis Cipriani, calls Susana Villarán “Chilindrina” and she’s proud of it!? Sometimes the truth provides the best comedy.  

Sadly Lima’s Mayor Susana Villarán isn’t even marginally capable of performing the duties of mayor. She is an abject failure. 30% approval in 6 mos. says it all.

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