VZCZCXYZ0000
PP RUEHWEB

DE RUEHMU #2329/01 2931211
ZNR UUUUU ZZH
P 201211Z OCT 06
FM AMEMBASSY MANAGUA
TO RUEHC/SECSTATE WASHDC PRIORITY 7950
INFO RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE
RUEAIIA/CIA WASHDC
RHEFDIA/DIA WASHINGTON DC
RHEHNSC/NSC WASHINGTON DC

UNCLAS MANAGUA 002329 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR WHA/CEN 
 
E.O. 12958: N/A 
TAGS: PGOV PREL ECON KDEM SOCI NU
SUBJECT: ALN PLATFORM FOCUSES ON EMPLOYMENT AND ENERGY 
EFFICIENCY 
 
 
¶1. (SBU) Summary: Nicaraguan presidential candidate Eduardo 
Montealegre's Nicaraguan Liberal Alliance (ALN) has created a 
campaign platform that focuses on creating employment -- with 
specific plans for women, youth, and small and medium 
enterprises -- and alleviating Nicaragua's periodic energy 
crisis by developing renewable fuel resources and conserving 
energy.  These proposals dovetail with Montealegre's campaign 
slogan: "the President of more and better jobs."  Beyond the 
"official" platform, Montealegre has made promises directed 
to specific audiences, such as Catholics and evangelicals and 
indigenous groups.  The ALN campaign promises have, for the 
most part, been consistent and uncontroversial, and seem to 
be swaying certain groups, especially young adults and 
evangelicals, in his favor.  End Summary. 
 
¶2. (U) The ALN has released a new development proposal every 
two to three weeks for the last several months, ultimately 
nine in total, in part to help voters associate with 
Montealegre his assigned "number nine" position on the 
ballot.  (Note: Only seven proposals have been released so 
far.  The final two will deal with health and education and 
will be summarized in septel.  End Note.)  The proposals are 
distinct but clearly concentrate on generating employment and 
plans to alleviate Nicaragua's dependency on energy imports. 
A summary of each follows: 
 
Creating Employment and Reducing Poverty 
- - - - - - - - - - - - - - - - - - - - - 
 
¶3. (U) The ALN plan proposes to consolidate or privatize a 
number of government agencies that deal with development to 
streamline the bureaucracy and use the savings to offer loans 
to small and medium enterprises at favorable interest rates, 
provide technical assistance, promote exports, and build 
infrastructure. 
 
Harvesting Energy 
- - - - - - - - - 
 
¶4. (U) To deal with Nicaragua's perennial energy crisis, the 
ALN proposes shift from a reliance on imported oil to 
renewable resources, especially plant-based sources that 
could generate additional employment.  Specifically, the plan 
promotes the production of ethanol from sugar cane and 
bio-diesel fuel from African palm.  The ALN claims that 
Nicaragua's dependence on imported fuel could be reduced by 
30 percent by cultivating sugar cane and African palm, the 
production of which would generate up to 75,000 additional 
jobs in rural areas. 
 
Creating Opportunities for Women 
- - - - - - - - - - - - - - - - - 
 
¶5. (U) To provide opportunities for poor women, the ALN 
offers a series of proposals directed to specific demographic 
groups.  To assist rural women, the ALN plans to provide 
programs dealing with financial services, technical 
assistance, country schools, product marketing, 
infrastructure and land titling.  The ALN also plans a 
special program in the cultivation of a variety of fruits and 
vegetables that would generate employment for 8,000 rural 
woman.  For rural and urban women, the ALN would promote 
training programs for the administration of small enterprises 
and technical training directed towards women. 
 
¶6. (U) The ALN also proposes to develop a program to promote 
of home enterprise through a special micro-finance program 
that would benefit 20,000 women.  To assist women with young 
children, an ALN government would develop increased access to 
pre-school and pediatric health clinics.  For urban women, 
the ALN plans to promote micro-enterprises through technical 
assistance and preferential access to credit. 
 
Saving Energy and Jobs 
- - - - - - - - - - - - 
 
¶7. (U) The ALN proposes to alleviate Nicaragua's recurring 
energy crisis by exchanging incandescent lightbulbs for 
florescent lightbulbs.  This program would be directed at 
households that consume less that 150 kw/hour (about 85 
percent of households in Nicaragua).  The government would 
provide low wattage florescent bulbs free of charge to 
low-income families, who would be able to save on their 
monthly electricity bill.  The government would initially 
need to spend $4.5 million to buy the lightbulbs, but would 
recuperate the investment in three months through savings on 
energy imports and subsidies.  The ALN predicts the energy 
 
savings would prompt the Free Zone factories to hire more 
workers. 
 
Sustaining the Creation of Employment 
- - - - - - - - - - - - - - - - - - - 
 
¶8. (U) The ALN's fifth proposal follows on the previous 
proposals plan to increase employment by making the energy 
sector more efficient.  In addition to providing florescent 
lightbulbs, the ALN would also develop hydroelectric power in 
the Matagalpa River Basin and create smaller hydroelectric 
plants in rural municipalities with no access to the national 
power grid. 
 
Creating Employment Opportunities for Young People 
- - - - - - - - - - - - - - - - - - - - - - - - - - 
 
¶9. (U) According to the ALN, the key to increasing employment 
opportunities is to increase foreign and national investment 
and provide young people with the technical training and 
education necessary to find employment.  The ALN proposes to 
grant tax breaks to companies that hire young people new to 
the job market, support technical training, and develop a 
national curriculum for English language instruction.  The 
party would also focus on attracting investment in 
information technology and work with the private sector to 
develop physical and telecommunications infrastructure in 
Nicaragua. 
 
¶10. (U) At the university level, the ALN promises to support 
new entrepreneurs and match new graduates with employers 
through a "My First Job" program.  To capture young minds in 
the area of policy development, the ALN would promote student 
internships at think tanks devoted to public policy research. 
 
Generating Employment through Small and Medium Enterprises 
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 
 
¶11. (U) The ALN promises to support small and medium 
enterprises (SMEs), the primary engines of job growth in 
Nicaragua.  The ALN would create "entrepreneur centers" in 
the universities, and technological institutes dedicated to 
developing skills required by SMEs.  A National Council of 
SMEs would coordinate with technical institutes and NGOs to 
direct training programs.  The ALN would also create 
financial support mechanisms to promote SME development and 
help SME owners complete the steps needed to found a 
business.  The ALN estimates that the promotion of SMEs could 
generate 150,000 additional jobs. 
 
Other Proposals 
- - - - - - - - 
 
¶12. (SBU) In addition to the "official" ALN proposals, 
Montealegre has made other promises on the campaign trail 
primarily directed at specific geographical/interest groups. 
A representative selection of Montealegre's pronouncements on 
key issues follows: 
 
- Anti Abortion: Like all of the other candidates except 
Edmundo Jarquin, Eduardo Montealegre came out strongly 
against "elective" abortions.  He told reporters about his 
daughter who was born prematurely at 26 weeks, but today is 
in good health.  "My position will always be to defend human 
life," he said. 
 
- Support for the Police: The ALN proposes to increase police 
presence in rural areas and increase salaries and benefits 
for lower-ranking officers. 
 
- Creation of Religious Liaison: To promote dialogue with all 
religious groups in Nicaragua, the ALN would create a 
religious liaison office to meet with members of all 
denominations.  Montealegre acknowledged in a communiquQ that 
"the government does not treat all religions equally." 
 
- Improved Local Transport: Montealegre promised voters in 
the district of Waspam (North Atlantic Autonomous Region) 
that the ALN would dredge the Rio Coco and improve roads in 
the region to alleviate transportation problems. 
 
- Indemnification for Sandinista Atrocities: Montealegre told 
Atlantic Coast indigenous groups that an ALN government would 
compensate them for atrocities committed by the Sandinistas 
during the 1980s civil war (he was not specific about what 
they would receive). 
 
¶13. (SBU) Comment: The ALN campaign platform speaks to the 
compelling national and social issues of the time (the energy 
crisis, unemployment) and complements Montealegre's claim to 
be the "Employment President."  The proposals are 
uncontroversial and have not generated a backlash from the 
competing political parties, the development community, or 
civil society.  The ALN's focus on employment and specialized 
training and job assistance for youth has made Montealegre 
the candidate of choice for many young people. 
TRIVELLI