News briefing to July 23rd

Impressive turnout at 29th celebration of the Triumph proof of solid support for government
Opposition crank up anti-Daniel discourse: AMCHAM calls for dialogue
Ortega accepts FARC invitation to collaborate in peace process: Colombian government furious
Farmers protesting "unpayable" interest rates try to burn down micro credit institution
Mesoamerican forum summarizes achievements of first 18 months of FSLN government
"We're with Eduardo" Movement plan to denounce FSLN for use of state funds in celebration

Impressive turnout at 29th celebration of the Triumph proof of solid support for government
According to independent news sources over 300,000 people attended the celebration of the 29th anniversary of the triumph of the Popular Sandinista Revolution in the Plaza de la Fe, Managua, on July 19th. Both the Plaza de la Fe and the nearby Plaza de la Revolucion were filled with FSLN supporters as were the seven adjacent streets. This impressive turnout was interpreted by the pro FSLN and independent media as proof of solid support for President Daniel Ortega's government and as a devastating defeat for the opposition forces which have been unable to attract more than 15,000 - 20,000 people to each of the three recent protest marches they have organized to express anti government feeling.

Among the special invitees who spoke during the celebration were Venezuelan President Hugo Chavez, Honduran President Manuel Zelaya, Paraguayan President-Elect Fernando Lugo, Guatemala Vice-President Rafael Espada and Cuban Vice-President Esteban Lazo. Also present were Aleyda March and Aleyda Guevara, widow and daughter of the late guerrilla Ernesto "Che" Guevara, and Gonzalo Meza Allende, grandson of the late former president of Chile Salvador Allende, as well as relatives of "Los Cinco", the five Cuban citizens unjustly incarcerated in the USA. Lucia Morett and Marta Perez, two of the three survivors of the Colombian Army attack on a FARC (Revolutionary Armed Forces of Colombia) camp in Ecuador in March, were also present as special invitees. All three survivors of the attack have been given political asylum in Nicaragua.

Without exception the orators emphasized the importance of Latin American and Caribbean unity in the struggle to overcome the common social, economic and cultural problems which affect the region. Cuban Vice President Lazo for example said "only unity, peace and integration of the people will permit us to overcome the complex and difficult situation facing the world today." Paraguayan President Elect Lugo said that, with his party's recent electal victory, Paraguay has had "its own 19th of July" which "will allow the country to join the regional integration efforts" in order to improve the quality of life of its citizens.

During his speech Honduran President Zelaya said the "Sandinista Revolution is alive and kicking in Central America ... long live united Central America, united no one will overcome us," while Guatemalan Vice President Espada said "the solution for America is here, the solution is the unity of America." Zelaya's and Espada's presence and their words of support for Ortega and in favor of Central American unity were significant in demonstrating the very different regional position Ortega's administration enjoys now compared to the isolated position the FSLN government was perceived to hold within the region during the 1980s.

Venezuelan President Chavez gave a long and highly emotive speech during which he thanked Nicaragua "for the example you were, you are and you will be." He went on, "[Simon] Bolivar, our liberator, [our] father, once said the great day for our America has still not arrived. He died shortly afterwards. But today, I say, Daniel, Fernando, compañeros, fidelistas, guevaristas, I dare to say that ... the great day for our America has now arrived."

Chavez sent a message to the incoming government of the US "we want peace, we don't want war. All we want is respect of our sovereignty." He urged the people of Latin America to be "firm" in their "demand for respect" from foreign forces.

Daniel Ortega was the last to speak. He summarized the social spending and public investment made possible as a result of Nicaragua's membership of ALBA (the Bolivarian Alternative for the Americas) pointing out that this type of expenditure (electricity and transport subsidies among other expenditure) reduces the devastating impact the international financial crisis and soaring oil prices have the national economy. "The most conclusive proof that capitalism has failed," he said, "is that its own policies are what are causing the collapse of capitalism in the world."

During his speech he made posthumous awards in honour of Che Guevara and Salvador Allende. The Sandinista Front's maximum honour, the Augusto Cesar Sandino Order, was received by Guevara's widow Aleyda March and by Allende's grandson Gonzalo Meza Allende. The relatives of "Los Cinco" present at the event also received the Augusto Cesar Sandino Order. Ortega went on to pay tribute to the three survivors of the Colombian Army Attack of a FARC camp in Ecuador earlier this year, Lucia Morett, Marta Perez and Doris Torres.

Ortega dedicated a significant part of his speech to the situation in Colombia. He announced his decision to accept the recent invitation from the FARC secretariat to take part in talks with delegates of the organization in an attempt to create conditions for peace negotiations with the Colombian government.

Finally Ortega called on the Colombian authorities to "respect the International Court of Justice ruling" referring to the dispute between Nicaragua and Colombia over the maritime border the two nations share. If the Colombian authorities respect this ruling, "then we will have peace, we will have stability," he said.

Opposition crank up anti Daniel discourse: AMCHAM calls for dialogue
Independent sources estimated that between 15,000 and 20,000 people took part in the protest march organized by the NGO umbrella organization, the Civil Coordinator, in protests against President Daniel Ortega's administration on July 16. Among the crowd were representatives of NGOs like the Nicaraguan Center for Human Rights, CENIDH, and the Center of Constitutional Rights, as well as representatives of the main opposition parties and forces like Eduardo Montealegre, candidate to Mayor of Managua for the Constitutional Liberal Party (PLC) alliance, and Dora Maria Tellez, leader of the Sandinista Renovation Movement (MRS). The principle demands of the march were an end to what the organizers describe as Daniel Ortega's "dictatorial actions" and for the government to call a national dialogue without exclusions in order to overcome the economic crisis. Banners read slogans like "Democracy Yes, Dictatorship No," and "Enough Already," while protesters shouted "he [Ortega] should leave, he should leave."

Director of the National Council of Economic and Social Planning (CONPAS), Gustavo Porras, denied that there is a dictatorship in Nicaragua, the proof being that "they [the opposition] can protest without being repressed and the media can publish what they like."

On July 19 the MRS celebrated the triumph of the Popular Sandinista Revolution in Leon with a political rally at which the movement's leaders reiterated their now commonplace inflammatory comments about the Sandinista government, with former guerrillas Dora Maria Tellez and Henry Ruiz out and out threatening to topple the government. Referring to the recent cancellation of the MRS' legal status, Tellez said to the crowd, "if he [Ortega] doesn't respect the law, then the MRS won't either. ... If the government doesn't change, it will fall. ... Let democracy through or we'll topple it like we toppled Somoza," she threatened.

Ruiz agrees that Ortega is taking the country back to the times of Somoza, saying that a dictatorship does not just mean repression, "a dictatorship means the coercion of citizen's rights, the closure of spaces. ... Unity among the people is necessary because we cannot return to the days of dictatorship, and so we have no other choice than [to resort to the use of] arms and violence."

Over the stage was a blown up version of the now infamous poster with images of Daniel Ortega and Anastasio Somoza splattered with blood. The poster reads "Ortega and Somoza: the same thing," and is signed by Rigoberto Lopez, Anastasio Somoza Garcia's assasin.

The event was attended by 3,000 people according to independent sources, a figure which was sneered at by the pro-FSLN media in comparison to the massive event the FSLN hosted on the same day (see story number one). Retired general Hugo Torres, however, said that the "point of the celebration is not to mobilize large numbers of people, nor to praise Daniel Ortega, but to remember those who fell and the historic gesture of the people."

Meanwhile on July 21 President of the American Nicaraguan Chamber of Commerce (AMCHAM), Cesar Zamora, echoed the opposition's call for a national dialogue. Zamora confirmed that both AMCHAM and the Superior Council of the Private Sector (COSEP) maintain good relations and take part in permanent dialogue with the government but said that a dialogue between government, the opposition, the private sector and civil society is necessary in order to reduce the level of polarization in the country. Zamora said that as a result of external factors (the fall of the dollar and soaring fuel prices) Nicaragua faces a "very delicate situation" which "can only be overcome" if the different national sectors are unified. (Previously, on July 16, the Superior Council of Private Enterprise (COSEP) had also called for a national dialogue to overcome the economic crisis.) Finally Zamora said he is opposed to the call for Ortega's resignation.

Ortega accepts FARC invitation to collaborate in peace process: Colombian government furious
On July 16 during the celebration of the 29th anniversary of the liberation of Esteli, President Daniel Ortega announced his decision to accept an invitation from the FARC (Revolutionary Arned Forces of Colombia) secretariat to collaborate in an attempt to negotiate peace in Colombia. During his speech at the event Ortega read out a letter from the FARC leadership dated June 26 in which the request was made. "We respond to our brothers in the FARC that yes, we are willing to talk [with them] ... to contribute to peace in Colombia."

On July 17 the Colombian government responded to the announcement by issuing an angry statement of rejection. In the note, signed by the Colombian Foreign Minister Jaime Bermudez, the Colombian government expresses its "most energetic protest" against Ortega's comments, saying that "any such meeting or exchange [between Ortega and the FARC] would have to be authorized by the Colombian authorized. ... The Colombian government does not authorize nor is it answerable [for any such exchange] ... with a terrorist organization, ... which would constitute a violation of the principal of not intervening in the internal affairs of other states."

The note went on to describe Ortega's use of the term "brothers" to describe members of the FARC as "a violation of the international consensus on the fight against terrorism." Finally the Colombian government said it planned to denounce the matter to the Organization of American States (OAS) given that they consider Ortega's expression to "violate the text and the spirit of the Inter American Convention on Terrorism."

Ortega responded to the Colombian note during his speech at the 29th anniversary of the Triumph of the Popular Sandinista Revolution on July 19th before a crowd of hundreds of thousands of Nicaraguans when he reaffirmed his intention to accept the FARC invitation "to talk about peace." In allusion to the official Colombian prohibition of such an encounter Ortega said, "we do not have to ask permission from anybody to participate in the struggle for peace."

On July 14 and 15 Ortega had visited Ecuador where he met with Ecuadoran President Rafael Correa to begin a process which aims to strengthen bilateral trade and cooperation relations. On July 15 the two were joined by Venezuelan President Hugo Chavez for what Correa described as a "mini" summit. During this meeting the issue of the Colombian civil war and the threat it respresents for the stability of the region would have been discussed at length and it is more than likely that Ortega's decision to meet with the FARC announced on July 16 had been agreed by the three men the day before in Ecuador.

Farmers protesting "unpayable" interest rates try to burn down micro credit institution
Violence broke out after police officers attempted to break up a protest outside the micro credit institution FUNDENUSE in the northern town of Ocotal on July 22. A group of small farmers and small business owners reacted angrily to police attempts to escort FUNDENUSE staff past the protesters physical blockade and into the office building. Protesters, armed with stones, machetes and homemade molotov bombs, attempted to set fire to the building while anti riot police used tear gas and rubber bullets against the crowd. Different media reports offer conflicting information about which (homemade bombs or tear gas and rubber bullets) were used first.

As a result of the violence three protesters and five police officers were injured. One protesters lost an eye after being hit by a rubber bullet while one police officer suffered a serious injury after being struck on the back by a machete. Two protesters were arrested as a result of the incident.

The protesters, all members of the Movement of Small Farmers and Small Business Owners of the North (referred to in this article as the Movement), demand that FUNDENUSE renegotiate the individuals debts they have with the institution, on which they are charged "unpayable" amounts of interests, said Omar González Vílchez, coordinator of the Movement. Recently, FUNDENUSE did renegotiate loans with 54 small farmers and merchants adding an extra 4 years onto the payment period and a six month grace period but crucially the renegotiation did not include a reduction of the 21.78% annual interest rate, a key demand of the majority of the members of the Movement. Vilchez said the members of the Movement, which represents over 500 individuals who owe money to different micro credit institutions in the Nueva Segovia region, demand that micro creditors lower the annual interest rate to 8%, the rate charged by financial cooperative ALBA-CARUNA which provides loans to small and medium businesses with funds made available by the commercial agreement between PETRONIC and PDVSA, the Nicaraguan and Venezuelan national oil companies.

Loans made by micro credit institutions tend to be short term loans with high interest rates and backed up by rigorous guarantees. Usually in the case of small farmers and merchants, the individual's house or plot of land is used as a guarantee. There are numerous examples accross Nicaragua of families who have lost their homes or land to micro credit institutions after failing to keep up with payments on relatively small loans. Despite ALBA-CARUNA's appearance on the national micro credit market within the last few months, micro credit institutions and banks have not taken steps to lower interest rates or provide fairer payment conditions to their customers.

Members of the Movement have led a constant campaign of protests and rallies in Nueva Segovia during the last few weeks which have included several disruptions on the Pan American highway. So far, however, the micro credit institutions have refused to meet their demand to lower interest rates.

On June 12, during the celebration of the liberation of the northern town of Jalapa, near Ocotal, President Daniel Ortega told the protesters to "stand firm, we support you." These comments have now provoked criticisms from the opposition who claim that Ortega is to blame for the violence and disruption in Ocotal.

Mesoamerican forum summarize achievements of first 18 months of FSLN government
The Mesoamerican forum of social movements, political parties and ALBA member country government representatives held a summit in Nicaragua between July 16 and 18. 634 delegates from 61 international (Latin American and Caribbean) organizations and 51 national organizations attended the summit which consisted of meetings both in Managua and Leon. In the final declaration of the summit regional social movements and left wing parties and governments were called on to reject the Association Agreement between the European Union and Central America which was described as "inhumane." These same organizations were urged to work towards strengthening existing founding new regional integrationist programs within the continent.

On July 16 the Organizing committee of the forum presented a summary of the achievements of the first 18 months of President Daniel Ortega's administration in order to inform those present of what has been happening in Nicaragua given that "all this information has been hidden or distorted by the right wing press."

In the introduction the document described Nicaragua as one of the most impoverished countries of Latin America along with Bolivia and Haiti, as well as having been subjected to more military, political, administrative and ideological intervention by foreign forces than any other other country in the region. It was also stated that Nicaragua is again the victim of a high intensity war, this time a "media and ideological war".

Among the economic and financial achievements mentioned by the Mesoamerican forum were; having reduced the number of conditions imposed by the International Monetary Fund (IMF) from 160 to 30; having increased per capita GDP, the level of investment and exportations and the value of the international reserves at the same time as having reduced Nicaragua's external debt; significantly reducing government and public official's salaries; carrying out a very favorable renegotiation of the internal debt created by the illicit issuing of CENIs (Negotiable Investment Certificates); taking action to recuperate unpaid taxes owed by multinationals including Union Fenosa, Barcelo and Exxon Mobil; diversifying trade links by establishing or revitalizing commercial agreements with, among other countries, Venezuela, Cuba, China, Taiwan, Iran and Brazil.

Among the improvements in basic services of water, transport and electricity mentioned by the Mesoamerican forum were; investing resources made available as a result of bilateral agreements with Venezuela, Taiwan and Cuba to overcome the daily 12 hour power cuts which began during the previous administration; connecting 10,426 homes in rural areas to the national electrical grid; providing potable running water for 217,000 people who previously did not have access to this service; maintaining the subsidy on public transport in Managua and introducing discount price gasoline for all public transportation in order to keep prices down.

In terms of health care the achievements mentioned were; a reduction in the maternal mortality rate from 90.4 (in 2006) to 79.4 (in 2007) for every 100,000 live births; a 37% increase in the number of surgeries carried out in the public health system (from 111,194 in 2006 to 151,034 in 2007); a reduction in the number of deaths from respiratory diseases from 35.2 (in 2006) to 30.2 (in 2007) for every 100,000 people affected; a reduction in the number of deaths from diarrea from 81 (in 2006) to 61.4 (in 2007) for every 100,000 people affected; a reduction in the number of cases of malaria from 4.32 (in 2006) to 1.81 (in 2007) for every 10,000 inhabitants; 25,000 Nicaraguans have been operated as part of Mission Miracle since January 2007.

In terms of education it was noted that the illiteracy rate has been reduced from 22% to 13% as a result of the National Literacy Campaign, that all fees in public schools have been prohibitted and that an extra 3,371 new teachers have been integrated into the Nicaraguan public education system.

Among the agricultural and food security achievements were; over 20,000 rural families benefitted with the food production bonus as part of the "Zero Hunger" program; 218,404 small and medium farmers given low interest rate credit for production of basic food; the reactivation of the National Basic Food Company (ENABAS) which has established direct commercial links between small and medium farmers and consumers in impoverished urban settings which has impacted on the national market to keep prices of basic food down, as a result of this basic foods like dairy products, basic grains and meat are cheaper in Nicaragua than in the rest of Central America.

Among the infrastructural achievements mentioned were; the rebuilding of the road Sebaco - Matagalpa - Jinotega (which is essential for getting Nicaraguan coffee to market) and the road Masaya - Mombacho - Granada - Nandaime (the most densly populated part of country outside Managua), as well as essential repairs to the Rio Blanco - Bilwi road; essential repair work on ports Corinto, Bilwi and El Rama.

"We're with Eduardo" Movement plan to denounce FSLN for use of state funds in celebration
On July 21 the "We're with Eduardo" Movement (MVE), announced plans to denounce the Sandinista party (FSLN) to the Comptroller General because, according to Maria Sequeira, MVE coordinator in the National Assembly, "the use of state funds for the celebration of the 29th anniversary of the revolution ... was evident." Lawyer and MVE deputy Carlos Garcia is currently working on the accusation although he did not reveal the date he plans to present it to the Comptroller's Office.