And the Winner is… Trump in Latin America

By Nicolás Comini*

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U.S. President Trump and Argentine President Macri meet in the Oval Office. / Official White House Photo by Shealah Craighead / Wikimedia / Creative Commons

Criticism of U.S. President Donald Trump’s policies toward Latin America ranges from mild to furious in the region and among many U.S. Latin America watchers, but that anger is not likely to drive greater regional unity and demands for a more balanced relationship.  Trump’s rhetoric – emphasizing sovereignty, nationalism, and protectionism – have long been popular concepts in many countries of the region.  During Latin America’s recent “turn to the left,” for example, political leaders embraced a developmentalist emphasis on using tariffs and non-tariff trade barriers to give domestic industries an advantage in national economic expansion strategies.  But the U.S. President’s statements have generally infuriated not only the left as reflecting bias on an array of issues, such as immigration, but also the right.

  • Trump’s policies contradict the prescriptions that Washington has been advocating – and most conservative politicians have embraced – for Latin America for many years. Those prescriptions have emphasized free trade but touched on other issues as well, such as the shift (symbolic and material) of resources from traditional national defense to the “war on drugs.”  Trump’s “America First” approach undercuts his natural allies in Argentina, Brazil, Mexico, and elsewhere.  It has also given their leftist opponents a sense of legitimization of their anti-Americanism speeches, something that is surging also because of Washington’s new policies toward Cuba.
  • The U.S. summary abandonment of the Trans-Pacific Partnership (TPP), conservatives’ last great hope for deeper trade integration with the United States, left them angry. According to the ECLAC, 73 percent of all FDI in Latin America in 2016 came from the United States (20 percent) and the European Union (53 percent).  Individuals with strong anti-Communist credentials in Colombia, Chile, and Peru are all flirting with joining China’s Regional Comprehensive Economic Partnership (RCEP).

Regional organizations show no sign of providing leadership in how to respond to U.S. policy.  UNASUR is fading rapidly, in part, because it was labeled by the new conservative governments as too Bolivarian and anti-American.  Something similar is happening with the CELAC.  MERCOSUR is struggling, in part, because of the political tumult in Brazil.  Indeed, most governments are trying to remain friends with Washington, prioritizing bilateral agendas in detriment of regional (multilateral) institutions and mechanisms.

The surge in resentment toward Washington – within and among Latin American countries – is unlikely to lead to increased regional unity.  Internally, the left and right may agree that Trump is harming their interests, but their reasons are different and prescriptions for dealing with it are far apart.  On a regional basis as well, the current context accelerates the atomization of the region – and threatens to expand the bargaining power of the great powers of the United States, China, Germany, or Israel.  Although China is making inroads, in the end the United States has, and will retain, the greatest influence in Latin America – and the lack of efficient regional decision-making will prolong that situation.  Latin American fragmentation will create an image of acquiescence – and President Trump will think he is not doing so badly in the region.

October 18, 2017

* Nicolás Comini is Director of the Bachelor and Master Programs in International Relations at the Universidad del Salvador (Buenos Aires) and Professor at the New York University-Buenos Aires.  He was Research Fellow at CLALS.

Colombia: Did Pope Francis Sway Opponents of Peace Accord?

By Ana Isabel Rodríguez Iglesias*

Composite image of Santos, Uribe, and Pope Francis

Ex-president Álvaro Uribe (bottom left) continues to be at odds with current president Juan Manuel Santos (top left) over the government’s peace accords, despite Pope Francis’s call for putting peace above politics. / Santos: UNESCO/ Christelle ALIX / Flickr / Uribe: Centro Democrático / Flickr / Pope Francis: Mazur / Catholic News / Flickr / All: Modified / Creative Commons

Pope Francis’s recent visit to Colombia included a powerful message to the people, but overcoming the country’s deep polarization and high level of uncertainty around implementation of the government’s peace accords with the FARC will remain difficult as national elections next May 2018 approach.  Massive crowds assembled peacefully and homicides plummeted during his visit, and he is credited with facilitating a ceasefire between the government and the country’s other leftist insurgency, the Ejército de Liberación Nacional (ELN), in force from October 1 to January 12.  The Pontiff’s reflections about peace, forgiveness, and reconciliation were seen in Colombia not only as a prayer but also as a political message to both the Catholic Church hierarchy and the country’s political leaders to unify behind a commitment to peace.

  • Divisions within the Church over the peace process will be difficult to heal. While many clergy have allied the political elite and its more conservative views about the FARC guerrilla movement, many others, such as the Archbishop of Cali, have supported approval of the resulting accords and their implementation.  The Conference of Bishops encouraged participation in last December’s plebiscite, but has remained neutral – despite the Pope’s prodding.  When President Santos and former President Uribe, a strident opponent of the accords, met with Francis in the Vatican in December, the Pope pushed hard for them to find common ground, but they left the meeting without white smoke emerging from the chimney.

Not surprisingly, Santos and Uribe don’t appear any closer to agreement after the Pope’s visit either.  Santos deeply thanked the Pope for his support of the peace process and after his departure, echoed the Pope’s main call to “to build bridges,” to “deactivate hatred,” to renounce vengeance, and to “reconcile ourselves in a fraternal encounter.”  Francis didn’t meet with Uribe (and there’s no indication that the former President requested a meeting) and spent his time in Antioquia meeting with the poor.  Uribe and his Centro Democrático party reiterated their discrepancies with the agreement.  In a public letter to the Pope, the former president said he had never opposed peace, but he forcefully rejected the political character of the war and, claiming the FARC was merely a narcoterrorist organization, and he denied their eligibility to participate in Colombian democracy.  “The legal authorization they have received to spend illicit money on their political activities, and other points, constitute incentives for crime,” he said.  Parties aligned with Uribe in opposition to the accords – Cambio Radical and the Conservative Party – have also tried to delink the Pope’s message about peace from the peace agreement itself.  They advocate a new peace agreement.

Even though the Pope hasn’t helped the two presidents mend fences yet, his concept of peace has resonated with the country’s social and political movements, ethnic groups, victims, and intellectuals.  A nascent coalition of left-leaning minority parties, called Ni-Ni’s, could give voice and organization to them and – perhaps in the future – bring some pressure to bear on opponents of the accords to come toward the middle.  Congressional elections next March and Presidential elections two months later guarantee that implementation of the peace accords will remain front and center in Colombian politics.  The national debate may be politically satisfying to some, but it will essentially preclude the sort of renegotiation that Uribe’s forces demand while also forcing delays in important national reconciliation measures.  Even if he wanted to, Santos doesn’t have the authority to jettison one of the measures most neuralgic for his opponents – the idea that a Truth Commission will bring to justice military officers accused of abuses during Uribe’s presidency and politicians linked to paramilitary forces – and, even if he could, it would not guarantee a strong enough consensus to plow ahead with the peace plan.  Pope Francis may have sown the mustard seeds of a popular movement to press conservatives to compromise, but many challenges remain.

 September 26, 2017

* Ana Isabel Rodríguez Iglesias is a Ph.D. Candidate in International Politics and Conflict Studies at the University of Coimbra (Portugal) and a CLALS Fellow.

Colombia: Pope Francis Appeals Directly to the People

By Christian Wlaschütz*

Pope in Popemobile with people surrounding him.

Pope Francis in Colombia last week. / Christian Wlaschütz

By appealing directly to the Colombian people to open their hearts to the hard work of forging lasting peace during his visit last week, Pope Francis avoided direct confrontation with opponents of the peace process but put new pressure on them to cease obstructionism and allow full implementation of the accords.  Since the Congress approved the revised version of the peace agreement between the government and the FARC in December 2016, there has been important progress on the formal level of the implementation of the peace accords.  The FARC surrendered its weapons and started its transformation from military group to political party of the same name.  However, as the country prepares to enter a new phase – with the launch of transitional justice processes under the Special Jurisdiction for Peace and the Truth Commission – peace remains a concept that has still not achieved public enthusiasm.  As I have argued previously (here and here), one of the reasons is that common people do not perceive the relevance of the peace process for themselves and lack a sense of participation in it.  The Pope’s five-day visit, concluding last Sunday, seemed intended to address exactly these challenges.

Under the motto “Let’s make the First Step,” Pope Francis emphasized the importance of reconciliation, peace, truth, justice, and the “culture of encounter” on a spiritual level that transcends the struggles of daily politics.  Millions of Colombians, regardless of political affiliation, turned out to hear Francis’s non-partisan message of peace.  In Villavicencio, a center of armed violence during the war, 6,000 victims and former combatants publicly attested to their path from suffering towards active involvement in society.  Having found healing, forgiveness, and repentance, many now work as psychologists, human rights defenders, or social leaders.  Millions around the country watched the event on TV and saw that reconciliation is not an easy path – one without justice or truth – but includes these elements.  In Cartagena, the Pontiff emphasized two other essential components of peace: social justice and human rights.

Francis managed to combine gestures, massive events, and declarations to emphasize Colombia’s opportunity to leave the violent past behind and open a new chapter of history.  His key message – that it is possible to live together in peace – reached many millions.  In encounters with the poor, indigenous, Afro-Colombians, victims of conflict, and people with special needs, he drove home that social inclusion is a prerequisite for real change.  He emphasized that the peace process “is not a process for minorities,” but rather all of society.  Changing the political dynamics around the peace accords will take time, but the Pope has clearly invited detractors to change their attitude and support the process.  One news commentator hinted at the sort of awareness that would require.  Reporting on Francis’s visit to San Francisco, one of the most marginalized sectors of Cartagena, she said, “This is a Cartagena that we do not know. Thanks to this visit we see the other Cartagena.”  Maybe Colombians will also see the “other Colombia” now.

September 14, 2017

Christian Wlaschütz is a political scientist, independent mediator, and international consultant who has lived and worked in Colombia, in particular in conflict zones in the fields of transitional justice, reconciliation, and communitarian peace-building.

Colombian Peace Process: Difficulties Ahead  

By Ana Isabel Rodríguez Iglesias*

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A sign indicating one of the Transitional Local Zones for Normalization, where many FARC members have relocated and surrendered arms. / UK Mission to the UN / Lorey Campese / Flickr / Creative Commons

Implementation of the Final Peace Agreement in Colombia is showing important progress – particularly regarding the demobilization and disarmament of the Revolutionary Armed Forces of Colombia (FARC) – but the government has been slow delivering services and facilities in the demobilization zones, ensuring fair application of the amnesty law, and providing credible security guarantees.  Some 6,900 FARC members have relocated to the 20 Transitional Local Zones for Normalization and six Transitional Local Points for Normalization, surrendering 7,132 arms to the UN verification mission – more per demobilized member than in any other Disarmament, Demobilization, and Reintegration (DDR) process in the world.  In addition to expressing concerns about government services, FARC leaders are increasingly anxious for the security of demobilized members as well as residents of zones they previously occupied.

  • The expansion of organized illegal armed groups, including successors of the paramilitaries, and the emergence of new illegal groups made up of FARC dissidents (estimated to be 5-10 percent of FARC members) and guerrillas from the Ejército de Liberación Nacional (ELN) threaten security in large expanses of the countryside. Those groups are filling the void left by the FARC and gaining control over drug trafficking routes previously dominated by the guerrillas as well as illegal mining operations.  A steadily increasing number of human rights defenders and social leaders – 186 in 2016-17 – have been killed while making property claims under authorized restitution processes, socializing the peace agreements, and confronting mega-extractive projects.
  • The National Substitution Program of Illicit Crops is also in question. By June, nearly 80,000 families in 13 departments signed agreements to voluntarily eradicate coca fields in return for assistance starting new projects.  When agreements are not reached, however, the security forces enter affected areas by force, deepening residents’ apprehensions about the voluntary nature of the agreements.  (In a U.S. Senate hearing last week, U.S. State Department officials said the Trump Administration is not supporting the crop substitution program because the FARC, which has influence in the areas, remains designated as a Foreign Terrorist Organization under several U.S. laws.)

No doubt the decline in homicides and kidnappings – a reduction of 50 percent since 2002 – represents significant progress.  The government has created a Special Unit to dismantle irregular groups engaged in violence, as stipulated by Point 3.4.4 of the Final Agreement, but its continued denial that the attacks on social leaders and human rights defenders are part of a systematic practice (as the Ombudsman has asserted) or are politically motivated has hurt the credibility of its commitment to full implementation.  Likewise, weak support for the crop substitution program – coupled with the lack of long-term state presence to provide security and social services – will complicate the achievement of lasting peace in areas from which the FARC has withdrawn.  Multiple reports by Fundación Ideas para la Paz indicate that the FARC has encouraged families to embrace the plan, but U.S. allegations that the former guerrilla organization illicitly manipulates peasants for political advantage does not help to normalize the post-FARC reality in Colombia.  In the same vein, the Trump Administration’s criticism of people protesting forced coca eradication and its suggestion that police should confront protesters threaten to keep the process off balance.  For demobilized FARC, for residents of formerly FARC-held territory, and even for peasants who resisted the guerrillas’ war, successful implementation of the peace accord requires ensuring their personal safety and giving them a fair chance at achieving economic security.

August 7, 2017

* Ana Isabel Rodríguez Iglesias is a Ph.D. candidate in International Politics and Conflict Studies at the University of Coimbra (Portugal) and CLALS Fellow.

Colombia’s Peace Accord and the Prospects of the War System

By Nazih Richani*

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A FARC demobilization zone is visited by the UN Security Council Field Mission. / UK Mission to the UN / Lorey Campese / Flickr / Creative Commons

The Colombian peace accord has achieved another historic landmark, but the process has been anything but easy – and continues to face serious impediments.  The Revolutionary Armed Forces of Colombia (FARC) have deposited 60 percent of their weapons in UN containers to be destroyed, a watershed in the history of Colombia, as the 53-year-old insurgent group enters a new phase.  A coalition of political and social groups, however, continues efforts to stymie implementation of the accord.  It includes large landowners, cattle ranchers, agribusinesses, ultra-right religious groups, and extractive multinational corporations.  Its leading spokesmen are former President Álvaro Uribe and former Attorney General Alejandro Ordóñez, who are spearheading a vigorous campaign arguing that President Juan Manuel Santos and his government conceded too much to the FARC, compromising private property rights, the prevailing land-tenure system, and the country’s Christian values.  (The official line of the Colombian Catholic Church, which has strongly conservative factions, has been “neutral” on the peace accord, although Pope Francis has expressed strong support for it.)

These forces have flexed their muscles before.  They were instrumental in mobilizing opposition to the referendum on the accord last October, which forced the government to incorporate their demands by making the language of the accord clear that property rights and the agribusiness-extractive-rentier economic model remained dominant.  The opposition remains on the offensive, this time using the Public Prosecutor’s Office and the Constitutional Court.  While Public Prosecutor Nestor Humberto Martínez was going after FARC money, alleging that the rebels did not declare all their assets, the Constitutional Court challenged the “Fast-Track” process by which passage of bills related to implementation of the peace accord could be accelerated by reducing the number of parliamentary debates and the time required for approval.  This opened the door for the opposition coalition in parliament to challenge the accord repeatedly with protracted debate and amendments.  Its main goal has been to prevent any change in the rural land tenure system and block the inclusion of the FARC in the political process.

The opponents’ ability to tip the political balance against the accord is likely to grow as Colombia prepares for its presidential election in May 2018.  The Santos government, the left, and center-left have already looked weak while trying to make even modest reforms necessary to create conditions for a lasting peace and facilitating a transition from a war system political economy to a different one.  The paramilitaries, including old groups that remained operative after the formal demobilization of 2005-06 (such as the “Urabeños,” mutated from the former United-Defense Forces, AUC); the drug cartels and organized crime; the dramatic expansion of coca plantations; and mining of dubious legality are important components of the “old” war system that are still potent and fuel the reactionary coalition.  The exit of the FARC (and possibly the National Liberation Army, ELN, as well) are certain to change the composition and political economy of the war system that has shaped Colombia for more than four decades, but new actors (the Urabeños and others) are emerging and mutations are taking place.  These forces will persist and wield considerable power as long as Colombia is not willing or capable of addressing the countrys need for agrarian reforms and pursuing sustainable economic development based on a more equitable distribution of wealth and income.

June 27, 2017

* Nazih Richani is an Associate Professor of Political Science and Director of Latin American Studies at Kean University.  In 2014, the State University of New York Press published a revised and updated version of his 2002 study entitled Systems of Violence: The Political Economy of War and Peace in Colombia.

Peru’s “New” Drug Strategy: Déjà Vu?

By Paul Gootenberg*

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“Peru’s national drug control agency just released a four-year counter-drug strategy in April that warns of the urgency to reverse the ongoing surge in cocaine production.” / Editora Perú / Creative Commons

Peru, with a capacity to produce about 350-450 tons of cocaine a year, has been approaching Colombia as the world’s top exporter since around 2011, but its new drug strategy is not likely to reverse that trend.  Most Peruvian coca now comes from the Valle de los Ríos Apurímac, Ene y Mantaro (VRAEM), and most cocaine flows towards Brazil not the United States.  Peru’s national drug control agency, DEVIDA (National Commission for Development and Life Without Drugs), just released a four-year counter-drug strategy in April that warns – again – of the urgency to reverse the ongoing surge in cocaine production but offers few compelling or new ideas on what to do.  The report notes the “high risk for Peru that our country will repeat the cases of Colombia and Mexico” in violence, corruption, and other costs of a massive illicit narcotics trade.  The strategy has some serious flaws, however.

  • Although the report touts itself as a “Plan Integral,” military spending and eradication far outstrip “alternative development.” Coca “supply control” is the core of the program, though development efforts (mainly with cacao) are offered. Peru’s plan is mechanically sequenced – Pacification, Eradication, Services, and Development – and its rigid militaristic strategy draws criticism.  The latter seems basically directly against VRAEM peasants.  In 2014, a similar plan was announced to eradicate “50 percent” of the VRAEM coca in just one year, but nothing occurred because of the risky security environment.
  • The sources of some key data are unclear. The report cites UN information but apparently without taking into account the substantial flow of cocaleros and cocaine traffickers deeper into Amazonia, near the Brazilian and Colombian borders.  It generally treats the VRAEM, Peru’s main producing area, as an isolated containable “world apart” – poised for national “recuperation.”  Security threats in the area, including guerrillas, actually made holding off eradication since 2014 a wise move – it would have pushed cocaleros into the arms of guerrillas – but the new report fails to consider any blowback from its plan.
  • It glosses over the shortcomings of Peru’s security services to carry out what remains a heavily security-based strategy. It makes the startling admission that only 1.5-2.0 percent of VRAEM cocaine and 3-8 percent of cocaine nationally is seized – one of the lowest interdiction rates in the world.  (Colombia’s improved intelligence enables it to grab about half of cocaine in-country, and even weak Bolivia does better policing illicit cocaine.)  The ease of smuggling in Peru is directly related to the open corruptibility of Peru’s police, military, and politicians.  But except for money laundering, DEVIDA’s report barely addresses the corruption problem.
  • Peru, unlike Colombia and Bolivia, has never questioned the UN/U.S. international drug regime, nor does this report. But Peru should expect little overseas eradication aid in the Trump era, raising big doubts about the sustainability of a long-term program.

As Colombians learned after decades of drug war against coca growers, including Plan Colombia, forced eradication is one of the most inefficient and futile ways to combat drugs. Studies by Colombian economist Daniel Mejía show that the marginal cost of eliminating a kilo of cocaine from markets by aerial spraying is a whopping $247,000 – far more than a kilo’s price on the street.  Eradication also provokes violent conflict and propels growers to new areas, and Peru has many tropical basins ripe for raising coca.  Effective intelligence to hit labs and intermediary layers of cocaine trades pays bigger dividends.  So does enlisting cocalero unions on the side of the state – to self-police as in Bolivia (now with the region’s least illicit cocaine) and Colombia (where the 2017 peace accord now recognizes cocalero rights).  Peru marginalizes cocaleros, precluding the sort of socio-political strategy needed for success.  All in all, DEVIDA’s strategy makes it interesting to see whose plan will produce the best results by 2021 – Peru’s, Colombia’s, or Bolivia’s?

June 13, 2017

* Paul Gootenberg is Chair of the Department of History at Stony Brook University and author of Andean Cocaine: The Making of a Global Drug (University of North Carolina Press, 2008).

Who Really Benefited from the Commodities Supercycle – and Who Loses with Its End?

By Carlos Monge*

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Latin American governments and business associations have tended to overstate the benefits of extractive industries during the commodities supercycle that ended in 2014-15.  Resource-rich Latin American countries did experience high rates of economic growth and diminished poverty and inequality during the boom years.  On the surface, this would appear to strengthen arguments that – despite their negative environmental impact – extractive industries are the key to progress, especially in resource-rich areas.  Nevertheless, a closer look at data from household surveys in Bolivia, Chile, Colombia, Ecuador, and Peru shows that things are a bit more complicated.

  • The inequality gap between individuals, as measured on the GINI Index, has narrowed, but the gaps between groups of the population have not evolved evenly. For example, the National Resource Governance Institute (of which I’m regional director) recently completed a study of the performance of social indicators during the supercycle that concluded that the poverty gap between urban and rural populations has increased in all countries.  (The report is available in English and Spanish.)  In Peru and Chile, the gap increased more in territories where extractive territories are located, while in Colombia, Bolivia, and Ecuador less so.  The gap between indigenous and non-indigenous populations increased only in extractive territories in Ecuador, decreasing in both extractive and non-extractive settings in the rest of the countries considered.  Regarding gender, in all five countries the gap between men and women increased slightly in non-extractive territories and decreased a bit more in extractive ones.

This report establishes correlations between the increase in extractive activities, the availability of extractive rents, and patterns of inequality reflected in social indicators, but it does not establish a causal relation between such variables.  For example, the data show that urban populations in Peru’s extractive regions have benefited more than rural ones – which some very preliminary research shows is probably because urban centers provide extractive projects with the goods and services they need, while less sophisticated rural areas do not.  At the same time, rural populations have to compete with the extractive projects for those same urban goods and services, and with local governments for the labor force that the public sector contracts to develop infrastructure projects that are paid for through increased revenues delivered by the extractive sector.  This is what we have called the “Cholo Disease.”  A variation of the “Dutch Disease,” it reflects a loss of competitiveness resulting not from large exports of raw materials causing the currency to appreciate, but rather from increases in the cost of labor and of urban goods and services consumed by campesinos.  However, a more definitive explanation regarding exactly how this happens in Peru and in other countries certainly needs further research.

While our data clearly show the impact of mining and hydrocarbons extraction and the resulting expenditure of extractive rents on the poverty gaps between urban and rural populations, men and women, and indigenous and non-indigenous populations, further investigation into the causes and consequences is needed.  The end of the supercycle has already meant a fall in growth rates and extractive revenues, leading to a worrisome rebound in poverty rates.  We are still unable to answer, however, the question of how broadly it will impact the substantial segments of Latin America’s population that emerged from poverty but remains in a vulnerable position – and how it will aggravate poverty gaps among individuals and between groups in extractive and non-extractive territories.

May 16, 2017

* Carlos Monge is Latin America Director at the Natural Resource Governance Institute in Lima.

Latin America: End of “Supercycle” Threatens Reversal of Institutional Reforms

By Carlos Monge*

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By Eduardo Ballón and Raúl Molina (consultores) and Claudia Viale and Carlos Monge (National Resource Governance Institute, América Latina), from Minería y marcos institucionales en la región andina. El superciclo y su legado, o las difíciles relaciones entre políticas de promoción de la inversión minero-hidrocarburífera y las reformas institucionales, Reporte de Investigación preparado por NRGI con colaboración de la GIZ, Lima, Marzo del 2017. See blog text for high-resolution graphic

Policies adopted in response to the end of the “supercycle” have slowed and, in some cases, reversed the reforms that moved the region toward greater decentralization, citizen participation, and environmental protection over the past decade.  Latin American governments of the left and right used the commodities supercycle to drive growth and poverty reduction at an unprecedented pace.  They also undertook institutional reforms aimed at improving governance at large.

  • Even before demand and prices for Latin American energy and minerals began to rise in the early 2000s, some Latin American countries launched processes of decentralization (Colombia and Bolivia); started to institutionalize mechanisms for citizens’ participation in decision making (Colombia and Bolivia); and built progressively stronger environmental management frameworks (Colombia and Ecuador). Peru pressed ahead with decentralization and participation at the start of the supercycle, and when it was in full swing, created a Ministry of the Environment.
  • Implementation of the reforms was subordinated by governments’ overarching goal of fostering investments in the extractive sector. Indigenous consultation rights in Peru, for example, were approved in the second half of 2011, but implementation was delayed a year and limited only to indigenous peoples in the Amazon Basin.  President Ollanta Humala, giving in to the mining lobby, claimed there were no indigenous peoples in the Andes and that no consultations were needed around mining projects.  Local pressure forced a reversal, and by early 2015 four consultation projects on mid-size mining projects were launched.

These reformist policies have suffered setbacks since the decrease in Asia’s and particularly China’s appetite for Latin American energy and minerals has caused prices to fall – and the value of exports, taxes, and royalties, and public incomes along with them.  The latest ECLAC data show a decline in economic growth and a rebound of poverty both in absolute and relative figures.  The gradual fall in the price of minerals starting in 2013 and the abrupt collapse in oil prices by the end of 2015 reversed this generally favorable trend.

The response of the governments of resource-dependent countries has been “race to the bottom” policies, which included steps backward in fiscal, social, and environmental policies.  Governments’ bigger concern has been to foster investments in the new and more adverse circumstances.  In this new scenario, the processes of decentralization, participation, and environmental management have been negatively impacted as local authorities and citizens’ participation – as well as environmental standards and protocols – are perceived by companies and rent-seeking public officials as obstacles to investments.

  • Peru’s Law 30230 in 2014, for example, reduced income tax rates, weakened the oversight capacity of the Ministry of the Environment, and weakened indigenous peoples’ claim public lands.

The correlation between the supercycle years and the progress and regressions in reforms is clear. (click here for high-resolution graphic).  During the supercycle – when huge amounts of money were to be made – companies and government were willing to incorporate the cost of citizen participation, decentralization and environmental standards and protocols.  But now, governments are desperate for new investments to overcome the fall in economic growth and extractive rents, and extractive companies are not willing any more to assume these additional costs.  Those who oppose the “race to the bottom strategy” are fighting hard to restore the reforms and to move ahead with decentralization, increased participation, and enhanced environmental management, to achieve a new democratic governance of the territories and the natural resources they contain.

April 7, 2017

* Carlos Monge is Latin America Director at the Natural Resource Governance Institute in Lima.

Colombia Reconciliation: A Multi-faceted Task

By Christian Wlaschütz *

U.S._Special_Envoy_for_the_Colombian_Peace_Process_Bernard_Aronson_Addresses_Conflict_Victims,_Ex-_Combatants,_and_At-Risk_Youth_Speak_About_a_Job-_Training_Program_at_the_Escuela_Taller

Last September, a U.S. delegation addressed conflict victims and ex-combatants in Cartagena, Colombia, as part of a transnational effort to encourage the peace process. Many Colombians are distrustful of the “transnational justice” provisions of the peace accord. / The U.S. State Department / Wikimedia / Public Domain

The term “reconciliation” is now omnipresent in Colombia’s post-conflict strategies – and helps attract tens of millions of dollars in aid – but its meaning is still vague.  The intention is more than rebuilding interpersonal relationships and bringing former enemies together to embrace in public.  Political reconciliation is predominantly about social change, and in Colombia that means mending relations between the state and its citizens.  Pablo de Greiff, a Colombia human rights advocate now serving as a UN Special Rapporteur, highlights the importance of “civic trust,” by which he means the realistic expectation that state actors have to act within the law’s boundaries.

Congressional debate on aspects of the peace accord has already demonstrated broad discord on and aggressive resistance from multiple sectors of society.

  • Causing most tensions are the “transitional justice” and “special jurisdiction” provisions, which deal with allegations of rights abuses by both the FARC and the state. It is the centerpiece of efforts to achieve political reconciliation but is also the most hotly contested.
  • Even more difficult will be overcoming the widespread distrust of citizens toward the political system, as expressed by the huge rates of abstention in momentous decisions such as the peace plebiscite in October (63 percent). This distrust is caused by a sense of a lack of representation, a lack of government efficiency, and, more generally, the perception that political actors lack the will to change a system that suits the needs of a privileged elite.
  • The assassination of dozens of social leaders so far this year further fuels citizen distrust, as it reminds them of the initial phase of the extermination of the Patriotic Union – the last attempt to transform the FARC into a political actor some 30 years ago. The violence has raised questions about the state’s willingness or ability to protect civilians who are committed to social change.  It further fuels fear that the territories evacuated by the FARC will simply be taken by other armed actors.
  • Corruption poses a vexing challenge. The peace accord seems to leave open the possibility that corruption will be within the mandate of the Truth Commission, but the result is unclear.  Corruption gets to the root of the armed conflict and its persistence.  It includes the use, or abuse, of public money for private benefit.  For people in rural areas and those who live in marginalized areas of the major cities peace has simply no tangible meaning when there is no basic health system because the social insurance company collapsed because of the flow of resources into private pockets.  The same applies to education and the public transport system, most notably in Bogotá.

In an almost prophetic intervention at the Congress in late November, Todd Howland, the representative of the UN High Commissioner for Human Rights, stressed the urgency of implementing the peace accord in areas previously controlled by the FARC, where 2 million citizens depend on social investment and measures to increase security in these areas.  In a country characterized by enormous estrangement between the citizens and the state, reconciliation depends on representatives being willing to pursue policies based on people’s needs.  The result of this responsiveness is new trust.

March 28, 2017

Christian Wlaschütz is an independent mediator and international consultant who has lived and worked in Colombia, in particular in conflict zones in the fields of disarmament; demobilization and reintegration; and reconciliation and communitarian peace-building.

Local Ownership in Peacebuilding, Colombian style

By Angelika Rettberg*

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“Colombian peace is our American peace.” / urban_lenny / Flickr / Creative Commons

Amid the increased political juggling in Colombia as the government’s peace deal with the Fuerzas Armadas Revolucionarias de Colombia (FARC) has advanced, one key lesson is that the nature of “local ownership” will have an impact on its success or failure. After the razor-thin victory of the agreement’s opponents in the referendum on October 2 propelled the country into uncertainty, its proponents – buttressed by the informal deadline created by the Nobel Peace Prize being awarded to President Juan Manuel Santos on December 10 – tried a different track. Instead of calling for a new referendum, as many expected, the government appears to have learned its lesson about the perils of direct democracy and sent the new agreement to Congress, where it was approved by an undisputed majority in both houses. A Constitutional Court ruling on December 13 gave Congress fast-track authority to approve required changes in the law, paving the way for implementation. Meanwhile, FARC fighters have begun moving toward the more than 20 camps in which complete disarmament is expected to conclude by June 2017.

The country’s shifting approach to the accord has been caused by uneven local ownership. As scholars and practitioners alike underscore, broad participation in transitional countries must be involved in order to achieve sustainable peace. To avoid difficulties such as those experienced by Guatemala, where many felt the agreement was imposed by international actors, societies need to feel that agreements and the resulting commitments have been developed bottom-up, or at least with domestic actors. The Colombian process was touted as one “by Colombians for Colombians.” International participation was intentionally kept to a low profile and key players in the negotiations were all Colombians. But when the results of the October referendum temporarily pushed the country back to square one – “Nada está acordado” – it became clear that local ownership in this case had a broader meaning: Paradoxically, submitting the agreement to the popular will did not cause collective responsibility behind it to surge but rather gave a boost to people’s sense that they had the democratic right to reject the deal altogether. Similarly, despite the actions of Congress and the Constitutional Court, debate on how the agreement will be translated into action is taking place within and among the domestic institutions, including the Presidency, Congress, the courts, and several control organisms.

Colombia’s peace deal has powerfully posed the question not of whether to include popular opinion in peace deals, but how to do so in the most constructive way. The result will be very much a reflection of the Colombian people’s and their institutions’ capabilities to negotiate and establish priorities and to design policy accordingly. After all, peace is a public policy. The Colombian case thus holds many lessons for peacebuilding in general, and for the potential tensions and dilemmas needed to balance peace, majoritarian democracy, public opinion, and justice. The agreement itself may turn into a moving target as different sectors on all sides of the debate seek to steer implementation toward their interests. Regardless of what happens, the quality of “local ownership” will be central to determining the shapes and contents – and the durability – of Colombian peace.

December 22, 2016

* Angelika Rettberg is a Professor of Political Science at La Universidad de los Andes in Bogotá.