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Viewing cable 06GUATEMALA106, AMBITIOUS BUT VAGUE AGENDA FOR REMAINDER OF BERGER

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Reference ID Created Released Classification Origin
06GUATEMALA106 2006-01-20 16:21 2011-08-26 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Guatemala
This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS SECTION 01 OF 02 GUATEMALA 000106 
 
SIPDIS 
 
DEPT PASS USTR 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: ECON EFIN ETRD EINV PGOV EAGR GT
SUBJECT:  AMBITIOUS BUT VAGUE AGENDA FOR REMAINDER OF BERGER 
PRESIDENCY 
 
 
1.  (SBU) At a press conference on January 10, Guatemalan 
President Berger and Vice President Stein presented their plan 
of government for 2006 through 2008.  Berger and his economic 
team followed up with more details at a January 17 event 
hosted by the Guatemalan American Chamber of Commerce 
(AmCham), where Berger spoke along with the Ambassador.  The 
program's three pillars: social development, democratic 
security, and jobs; will be supported by improving 
transparency and infrastructure.  The plan stresses the 
government's ongoing concern for the critical issues of 
security and job creation, but lacks details.  The 
announcement of the plan came as polls showed a steep decline 
in Berger's approval rating since the beginning of his term. 
End Summary. 
 
The 2006  2008 Agenda 
---------------------- 
 
2.  (U) Social Policy: Berger pledged to "rehabilitate the 
social fabric," making reference to family and public 
security, productivity, and new investments in health and 
education infrastructure, including the opening of 300 low- 
cost pharmacies.  He seeks to strengthen community and family- 
level participation in Guatemalan development, and outlined an 
affirmative action program to recruit 300 young indigenous 
employees for the public administration. 
 
3.  (U) Democratic Security: Acknowledging that crime and 
security continue to be the administration's Achilles heel, 
Berger pledged to support the justice sector and the 
penitentiary system (including the construction of four new 
prisons).  He challenged Congress to approve new security 
laws, and referenced a work program that targets vulnerable 
youth in gang-infested areas. 
 
4.  (U) Job Creation: The Berger administration will promote 
investment and increase competitiveness through support for 
small and medium businesses, rural development, and efficient 
registry and protection for property rights.  It will build on 
Guatemala's excellent macro-economic indicators to expand 
access to credit for small businesses.  Berger's team also 
mentioned policies that support migrants, national statistics 
and youth employment. 
 
The plan will be supported by: 
------------------------------ 
 
5.  (U) Infrastructure: Development of plans for potable 
water, environmental health, the national airport, energy 
sector reform, and the highway system.  The airport plan 
includes renovating the country's five largest airports, with 
$65 million programmed for the capitol's La Aurora.  Energy 
sector reform will focus on alternative sources of energy such 
as geothermal, hydroelectric and wind, along with efforts to 
attract a Mexican-backed heavy crude refining facility and new 
petroleum exploration projects.  Infrastructure improvements 
will support the "three pillars" of social development, 
security and jobs, through increased investment and improved 
international competitiveness. 
 
6.  (U) Transparency: The focus will be on promoting 
transparency through social auditing and strengthening the 
executive's transparency mechanisms, with an emphasis on 
bringing municipalities into centralized procurement systems. 
New social alliances and institutional reforms are to increase 
participation and transparency in government operations. 
 
7.  (U) At the January 10 press conference, Vice President 
Stein went on to describe a five-part security plan, covering 
issues as varied as indigenous family security to improved 
lighting in urban areas, with a focus on 150 high-risk 
neighborhoods.  He challenged Congress to support justice 
sector reform legislation; and committed to improve civil 
intelligence capabilities, increase and improve the national 
police, and redesign the penitentiary system.  He also 
announced the creation of a fourth Deputy Minister of 
Government to support criminal investigations in the court 
system and Public Ministry.  Berger backed up these 
initiatives during his AmCham speech, emphasizing his 
determination to confront the security problem, which he 
feared could jeopardize Guatemala's development by stifling 
investment. 
 
Comment: Big goals, but will action follow? 
------------------------------------------- 
 
8.  (SBU) The GOG's announcement focused on increased security 
and employment - areas that consistently top polls of citizen 
concerns.  However, with its grandiose language and broad 
scope, it reads more like a campaign speech than an actual 
plan of action.  The focus and ambition of the plan is 
laudable, but it includes few new tangible specifics.  There 
are several notable exceptions, such as airport improvements, 
which have a timetable, financing, and detailed plans.  It 
remains to be seen if the relevant cabinet members will 
follow-up this announcement with more specific, action- 
oriented plans to turn this broad vision into a reality.  With 
just two years left, the Berger administration will need to 
produce results to assure that a like-minded administration 
comes to power in the 2007 elections.  Progress can easily be 
derailed as key officials, policymakers and congressmen begin 
jockeying for position in anticipation of the elections. 
 
 
DERHAM