Subject: A BAND-AID FOR A FAILED ECONOMY
Cecilia Rodriguez (El Paso, TX.): (915) 532-8382
Maria Jimenez (Houston, Tx): (713) 926-2785
U.S. aid package to Mexico is band-aid for failed global economic policies and a threat to peoples of both countries
By National Commission for Democracy in Mexico. 25 January, 1995
[Mexico]...a nation with 90 million people, a diversified economy,
a vigorous middle class, an amazing cultural continuity -- and 40
million human beings living in poverty.
The debate on the hill about the US aid package to Mexico has
deteriorated to two extremes. One position seeks to impose
political and economic conditions on Mexico thereby violating its
sovereignty and another perpetuates the lack of democracy which has
allowed the PRI government to impose austere economic measures.
These economic policies have been beneficial to entities like
Citicorp whose largest operations are now in Mexico, and whose
profits last year were $3.4 billion. This "modern miracle" of
global economics has made Mexico the largest debtor nation of Latin
America. The completion of this aid package will make Mexico's
foreign debt a total of $180 billion, 54.8% of its GNP for 1995.
The "aid package" is designed to recuperate losses for Mexican
and US investors. It is an abuse of power by a few who use public
institutions and monies in both countries to alleviate private
financial losses. The people of both countries will be burdened for
generations with unending public deficits, debt payments, shrinking
social welfare policies and lowered standards of living.
At the same time IT WILL NOT generate jobs or higher wages
for the people of Mexico. The debt service of the loan will be
shifted to the people of Mexico (calculated at $400 or more per
capita). The Mexican people are already burdened with austere
economic policies imposed by international financial institutions.
The extraordinary poverty created by these policies has
increased immigration from the rural areas to the cities and to the
United States. Yet both groups of politicians on Capitol Hill would
continue these economic policies, in complete disregard of their
impact on social and political issues.
The National Commission for Democracy in Mexico, an
independent non-partisan national network of concerned groups and
individuals asks the American people, and American Congressional
representatives to evaluate the US AID package under the following
- FULL RESPECT FOR MEXICAN SOVEREIGNTY
- Only the people of Mexico can determine Mexico's foreign
policy, economic policy, and domestic social policy. It is
precisely the intervention of the World Bank, the IMF and the
United States government which has created the unjust social system
which has now exploded into this economic crisis. No conditions
should be imposed about privatization, fiscal policy, national
policies for foreign investors, or foreign policy.
- NO TO THE PRIVATIZATION OF PEMEX
- The privatization which has been carried out in the past 6 to
8 years has done little more than create 27 billionaires and
concentrated 54% of the country's wealth in the hands of 36
families. The natural resources of Mexico belong to the Mexican
people; to the farmers, the working people, the housewives who are
now unable to survive on the 33 cents an hour Mexican minimum wage.
- FULL HUMAN AND CIVIL RIGHTS FOR MIGRANTS
- The people of the United States are all descendents of people
escaping poverty and injustice. The poverty and injustice created
by global economic policies in Mexico will continue to increase the
emigration of the Mexican people. The solution for the immigration
in general is decent salaries in Mexico and a society which
guarantees democracy, liberty, and justice for all. The solution is
not increased repression.
- A GENUINE DEMOCRACY FOR THE MEXICAN PEOPLE
- The political and economic crisis has been created by the
alliance of Mexican and US financial interests at the expense of
the large majority on both sides of the border. As long as the US
government continues to support the PRI, a party increasingly tied
to drug trafficking, corruption, and manipulation of Mexico's
political system, stability will remain out of reach. The people
of Mexico have the right to a pluralistic government determined by
their own free will; and not by the needs of foreign investors.
The best guarantee of stability in Mexico is a true democracy.