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Chávez Goes Over the Line, but Pulls Back

 

 

Venezuela's President Hugo Chavez has taken over from Fidel Castro the mantle of Latin America's leading opponent of the United States, which remains the largest customer for Venezuela's oil.

Mr. Chavez, a former colonel first elected in 1998 on a populist platform, has carried out a series of steps that he says are reshaping his country's economy to match his vision of "21st century socialism." He has sought to counter American influence in the region, seizing control of the oil assets of American and European energy companies, and in other ways consolidating state control over the economy and nationalizing telephone and electricity companies. He proclaimed a "Bolivarian revolution," named for the hero of Latin American independence, and proclaimed the United States to be a threat, in part because of its indirect support for a coup that briefly ousted him in 2002. Yet despite the increasingly heated rhetoric - Mr. Chavez proclaimed President Bush to be "the devil" in an address to the United Nations - the business ties between the two countries remained strong through his first term. After Mr. Chavez's reelection in 2006, he took a harder line toward foreign ownership, and direct foreign investment in Venezuela plunged by $543 million that year. Venezuela's economy was buoyed by historically high oil prices and its $25 billion in reserves, but a budget deficit began to widen as growth slowed.

While Mr. Chavez is popular with a majority of voters, Venezuelan society remains deeply polarized. His supporters credit him with channeling oil revenues to the poor through an array of social welfare programs. Critics, however, say his government is adopting measures that limit freedom of expression and lacks transparency in dealing with private industry. Alliances with leftist governments in Latin America, like Cuba and Bolivia, and outside the region with Iran and Belarus point to continuing political tension with the United States.

General Information on Venezuela

Official Name: Bolivarian Republic of Venezuela
Capital: Caracas
Government Type: Federal republic
Chief of State: Hugo Chavez, president
Population: 26.02 million
Area: 352,143 square miles; slightly more than twice the size of California
Languages: Spanish (official), numerous indigenous dialects
Literacy: Total Population: [93%] Male: [93%]; Female: [93%]
GDP Per Capita: $7,200
Year of Independence: 1811
Web site: Asambleanacional.gov.ve (In Spanish)

CARACAS, Venezuela (By Simon Romero, NYTimes) June 10, 2008 — President Hugo Chávez of Venezuela started this month as the most prominent political supporter of Colombia’s largest rebel group and a fierce defender of his own overhaul of his nation’s intelligence services. But in the space of a few hours over the weekend, he confounded his critics by switching course on both contentious policies.

In doing so, Mr. Chávez displayed a willingness for self-reinvention that has served him well in times of crisis throughout his long political career. Time and again, he has gambled by pushing brash positions and policies, then shifted to a more moderate course when the consequences seemed too dire.

And while Mr. Chávez has been accused of speaking like an autocrat and of trying to rule like one, his recent actions confirm that Venezuela’s democracy, however fragile it may seem at times, still serves as a check on the president’s wishes.

Few issues illustrated the resilience of dissent in Venezuela like the debate around Mr. Chávez’s intelligence law, which would have abolished the secret police and military intelligence and replaced them with new intelligence and counterintelligence agencies. Drafted in secret and enacted through a presidential decree, the breadth of the law shocked Mr. Chávez’s political opposition.

The law would have forced judges in Venezuela to support the intelligence services and required citizens to cooperate with community-monitoring groups, provoking widespread fears that the government wanted to follow Cuba in creating a societywide network of informants whose main purpose was to nip antigovernment activities in the bud.

Henry Rangel Silva, the head of the secret police, appeared on state television to defend the law, but ended up making matters worse when he acknowledged that his spies were already tracking political candidates, a revelation that appeared to reinforce concerns that the aim of the intelligence overhaul was to quash challenges to Mr. Chávez’s rule, which is settling into its 10th year.

The uproar in reaction to the law was intense, coming from human rights groups, news organizations, Roman Catholic leaders and, of course, editorial cartoonists who immediately labeled the law with a name that stuck, “the Getsapo Law,” a play on the words Gestapo and sapo, which literally means frog in Spanish but in Venezuelan slang translates as snitch.

With regional elections scheduled this year, Mr. Chávez may have wanted to limit the potential damage of the backlash to his Socialist party’s candidates. But he may also have recognized a good time to withdraw a law that, in his own words, had passages that were “indefensible.” Mr. Chávez convened a commission to rewrite the most polemical parts of the law.

“Chávez has incredible political instincts,” said Fernando Coronil, a Venezuelan historian at the University of Michigan. “He has shown to have had, with few exceptions, the pulse of the country, to read its changing political mood better than anyone else.”

That said, Mr. Chávez has seemed tone deaf to that mood at times. In December, voters narrowly rejected his broad constitutional overhaul that would have vastly expanded his powers. But Mr. Chávez has proved astute enough to know when his policies do not find enough support, as when he recently withdrew a Socialist-inspired school curriculum and an increase in bus fares.

Indeed, the national temperament is now much less buoyant than in December 2006, when voters re-elected Mr. Chávez to a six-year term, and his handlers may have recognized the shift. Despite record oil prices, economic growth is slowing and inflation is soaring. The nationalization of telephone, electricity, oil and steel companies has scared off foreign investment. While shortages of some items have eased, many basic food items remain in short supply.

Amid these woes, propaganda billboards with the president’s image have become much less ubiquitous on the streets of Caracas than just six months ago, as if to deflate his cult of celebrity a bit.

Mr. Chávez’s shift in his policy on the Revolutionary Armed Forces of Colombia, or FARC, to the point of calling on them to end their guerrilla war, suggests a similar ability to recognize when some of his gambles are not paying off. Claims have mounted in recent weeks that Mr. Chávez’s government tried to provide financing and arms to the FARC, accusations adamantly denied by Venezuela.

But in the face of the recent killing of several FARC commanders, coupled with Colombia’s capture of a Venezuelan military officer accused of providing ammunition to the FARC, Mr. Chávez may have recognized that his call for other countries to recognize the guerrillas as a legitimate force was potentially isolating for Venezuela, especially if proof emerged of military or financial support for the rebels. That could have serious economic consequences, including American sanctions on trade, a thorny issue for both countries given Venezuela’s position as a leading supplier of oil to the United States.

Some of Mr. Chávez’s critics say he may have had his international standing in mind, with the FARC increasingly viewed as a marginalized force both militarily and ideologically. “Chávez’s change of tactics is a way for him to buy his way out of a situation in which Colombia presents a case against him in a venue like the Organization of American States,” said Diego E. Arria, a former Venezuelan envoy to the United Nations.

 

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