The people of Ecuador are rising up to refound their country as a pluri-national homeland for all. This inspiring movement, with Ecuador's indigenous peoples at its heart, is part of the revolution spreading across the Americas, laying the groundwork for a new, fairer, world. Ecuador Rising aims to bring news and analysis of events unfolding in Ecuador to english speakers.

Friday, November 23, 2007

A green light to transform Ecuador

By electing a Constituent Assembly on Sept. 30, Ecuadoreans gave President Rafael Correa an ample majority, with which he has carte blanche to change the rules of the political-economic game. Although badly defeated at the polls, the right immediately stood on war footing to oppose the official project: a regulated economy, social redistribution, a participative democracy, regional integration, "21st-Century socialism". But the winds of change are blowing throughout the region.

By Hernando Calvo Ospina Progreso Weekly, 22-28 November, 2007

"Now is the beginning of the challenge of change," says Rocío Peralbo, a social communicator and well-known human rights militant. "All the conditions are favorable. We won't have anyone else to blame if we fail."

The history of Ecuador had not seen a triumph as overwhelming as that obtained by the Alianza País movement on Sept. 30. That day, the people who must draft a new Constitution were elected. Seventy percent of the voters placed their trust on the candidates who share the project with President Rafael Correa Delgado. With 80 representatives out of 130, they will have an absolute majority in the Constituent Assembly. Therefore, the chief of state can now "re-found the Republic" and activate a model of development that will break away from neoliberalism.

Alianza País began as a project in late 2005 "not as a group on enlightened people but as a group that fed from the struggles and efforts of many social and political sectors," says former Energy and Mines Minister and future president of the Constituent Assembly Alberto Acosta. In the November 2006 elections the movement took Correa, an economist and educator, to the presidency. "We went from being specialists in protest to enacting the proposal. With the presidency, we had to begin to build."

In his simple office in Carondelet Palace, a colonial-type building that is the seat of government, President Correa states: "We have begun a 'Citizens Revolution' that must take us to radical, deep and swift changes of the structures of this country, because the current ones don't work."

Taxi drivers, newspaper vendors, bootblacks, officer workers -- all of them have faith in the project led by the president. Ecuador is a country that has had eight presidents in 10 years; most of its citizens do not trust Congress, which they consider incompetent and corrupt. Aware of the Congress' discredit, Alianza País did not submit any candidates to the latest legislative elections, choosing to put all its bets on the Constituent Assembly.

The results for the Constituent Assembly were a decisive rejection of "partidocracy," as President Correa calls that parties that dominated the political scene. The vote reflected the collapse of those who have really been fiefdoms, groups directed by strongmen without ideological support. Monsignor Eugenio Arellano, who was born in Spain, has lived in Ecuador for more than 30 years, "always very close to the people." For that reason, he says he knows "what 90 percent of the inhabitants think."

"This new government has conveyed a very big hope to the people: to radically improve their living conditions." He says the Ecuadorean Church has taken a position: "We must support, accompany, become spokesmen for that hope." But, as the popular saying goes, "the road twists like a snake."

Ecuador is estimated to have 13 million inhabitants. The National Institute of Statistics and Census (INEC) says that in 2006 12.9 percent of the citizens did not have $1.06 a day to cover their nutritional requirements and thus landed in the group of "indigents." The average percentage of people who live in chronic poverty is 38.3. Sixty percent of the people are underemployed. According to the same source, inequality is enormous: the wealthiest sector's consumption level is 35.5 percent; the poorest sector's is 1.9 percent. Twenty-six percent of the families borrowed money to pay for medical care, buy food, pay for education, etc.

The immediate source of resources for the execution of the development projects espoused by President Correa is oil. Ecuador is the fifth-largest oil producer in Latin America. The oil history in this country has been a bit peculiar.

A coup d'état was carried out in 1972 by "nationalist army officers conscious of sovereignty and homeland," says Vice Adm. Gustavo Jarrín, at the time the Minister for Natural and Energy Resources. Oil exploitation, which at the time was in the hands of U.S. companies, was taken over by the State. Several foreign companies left, others accepted the officers' conditions, including the fact that exploitation contracts would thereafter last 20 years, not 50.

In 1973, Ecuador joined the Organization of Oil-Producing Countries (OPEC) and the United States suspended its military aid. Oil-derived revenues changed radically: the State began to receive 90 percent, instead of about 5 percent. The economy entered its golden age.

As Jarrín remembers it, the democratic system was reestablished in 1978, when the center-left candidate, Jaime Roldós, won the presidency. He died in a strange airplane accident on May 24, 1981. And in less than 30 years, the situation was reversed: 80 percent of the oil revenues went to the transnational corporations. "In several instances, the land ceded to the oil companies included churches and people's parks," Jarrín says.

Incredible, but legal," Acosta confirms. The Constitution said so: "Freedom of private investment." Acosta, Energy minister in Correa's first Cabinet, saw the impossibility of changing things within the current legislation. So, he resigned in June to lead the campaign for the Constituent Assembly. "The oil has not been a guarantee of development for Ecuador, even though it was a basic element of the economy."

In fact, the populations with the highest levels of poverty and cancer are in the oil-producing provinces. "The Amazonian jungle was destroyed and two native populations were wiped out by the actions of the transnational corporations (which acted like a demolition crew) and by the lack of dignity of our governments," Acosta says.

President Correa is intent on recovering the oil resources. As in Venezuela and Bolivia, foreign investors will be welcome if they hew to the national interests, "but an unbridled commercial opening will be rejected," Acosta says. "No country that behaved like that has been successful; to the contrary, it lost a lot."

Another strategic task is to seek regional sovereignty. "We have to bury that vision of opening up to the empire [the United States] and closing down to our neighbors. We have to fight for Latin American integration," Correa says. When asked what his role is in all that, the president answers: "I am just another 'laborer,' alongside presidents Hugo Chávez and Evo Morales. Although we can also count on the presidents of Brazil and Argentina, who are also in the same spirit."

Several concrete facts demonstrate that it is not a simple intention. For example, in August, Quito and Caracas signed an accord on energy integration that involves the construction of a refinery in Manabí, Ecuador. That facility will make it unnecessary for Ecuador to export its crude oil at the price set by the multinationals and import it refined, at the world market price.

"Integration is a social characteristic of the 21st Century," the president continues. "It is necessary and unavoidable. Perhaps many people don't realize it, but we are going through an extraordinary moment in this part of the world. We must contribute to build the Grand Homeland that was Simón Bolívar's dream." As can be imagined, this new discourse has not made conservative circles leap with joy.

Jorge Ortiz, a star journalist in the political programs on the Teleamazonas channel, has little doubt about the trajectory President Correa's project may take: "One of the greatest possibilities is that he will choose the 'Chavist' economic model, because he has already copied the invention of 21st-Century socialism, something nobody understands."

The most used technique to attack President Correa is to compare him with his counterpart Hugo Chávez. It is not gratuitous. The Ecuadorean press has for years stressed that the Venezuelan is a 'demon,' a 'madman,' a 'communist' who has impoverished and divided his people. There is no need for structural changes, Ortiz says. "Why not continue with the economic model that we had if it worked? It only requires strengthening."

In many of the interviews the president has given, the past does not exist. It seems like the country's problems began on Jan. 15, 2007, inauguration day. It is clear that the objective of some journalists is to back the president against the wall. But he disarms them with his academic training, an excellent memory and up-to-date information. He shows them they are deliberately lying, that they play with figures and facts. He drives them to despair. And they press on.

Ortiz maintains that the press acts toward President Correa as it did with the previous presidents. "The difference is that the others respected the criticism, while this man is viscerally intolerant," Ortiz says. "But his behavior is not visceral but cerebral, because he needs to discredit the role of the press to shirk the criticism and be able to destroy the existing democratic system."

Without being a "Correist," Rodrigo Santillán, former president of the National Journalists Guild and president of the guild's Court of Honor, recognizes that from the moment that Correa "began to talk about the need for changes in the nation's structures, attacks and insults rained from the most important means of communication."

Santillán says he felt ashamed "because two journalists who publicly insulted the president [during press conferences] were not taken before the Court of Honor but turned into heroes." The aggressiveness of one journalist was such that the president's security escorts had to remove him from the place.

Ecuador does not have public radio or television, a situation that the president plans to remedy. Meanwhile, every Saturday, the president travels to a different city and delivers to the people "a state of accounts." On every occasion, he invites two or three journalists to question him as a panel.

Rocío Peralbo says that, for the first time, communicators from alternative and provincial media are taken into account, "and that helped increase the unease toward the president." Correa's answer has been clear: "We are democratizing information. We have decided not to give more privileges to the usual privileged [journalists.]"

Earlier this year, while looking away from the relationship between the press and economic powers, in coordination with the principal communications media in Ecuador, some international organizations that advocate freedom of the press protested against the president's decision not to grant interviews to specific journalists.

Again, the president spoke concretely: "If they have insulted me and manipulated my words, as a person and president I exercise my freedom of expression to tell them that I will no longer [grant them interviews] in the name of freedom of the press."

Another reason for annoyance, according to former minister Acosta, is that for the first time a government "does not have an incestuous relationship with the press. Although we are not the only country in the world where this happens, it has been routine to see media owners be appointed members of the Defense Board as a reward."

Six of the seven Ecuadorean television channels are dominated by banking groups or dependent from financial clans. It is not difficult, therefore, to mistake freedom of expression for freedom of business. Bishop Arellano says that "the social class formed by 100 or so families, the same class that has held de facto power, has created public opinion and generated a kind of social philosophy to its own advantage, inasmuch as it owns the mass information media."

"Democracy is good," the president says,"until the danger arises that it will impinge on the interests of the oligarchical sector; until a government attempts to redistribute the nation's wealth. At that moment, the press becomes aggressive. Therefore, the great communications media and the journalists are not responsible for the country's ills but have contributed a lot to them."

For his part, Santillán "knows" that the U.S. Embassy in Quito "acts discreetly, but it acts. It increased its flirtation with the great media, and they are happy. Soon, the campaign of demonization against the president will become massive. It will be the first step toward an attempt to destabilize [the government.]"

Seen from Washington, the determination of the Ecuadorean government could become insubordination. "We hope that the United States, as well as the European Union or any other country, will respect us, and that no nation will try to dictate the policies we need to follow or attempt any kind of intervention" the president says.

More than an action by the United States against the current government, what's most worrisome is the internal war in Colombia. In addition to the estimated half-million Colombians who live permanently in Ecuador (hundreds of thousands of them displaced by the war), hundreds arrive daily seeking temporary refuge. The social problems on the border occasionally heat up, although this government and its Armed Forces have acted cautiously and humanely.

Ever since Correa assumed the presidency, he has said he will not get involved in that civil war and that he will not consider the Revolutionary Armed Forces of Colombia (the guerrilla group known as FARC) as a terrorist group. He has repeated that his government is ready to contribute to the search of a peaceful solution to the conflict. But he continues to say categorically that "the Plan Colombia, implemented by Bogota and Washington, is militaristic and violent and has not served to solve the grave situation but to worsen it."

President Correa not only has asked his Colombian counterpart Alvaro Uribe not to carry out the fumigation of coca plantations near the border but also has denounced him to the world and has warned that he would take the case to international courts. Government and independent commissions have recognized the grave effects that those poisons have on humans, water, animals and plants. "Colombia is a brother country, but we must limit the Plan Colombia," he says.

The preceding is already grave. There is some concern that the Colombian government will agree to become Washington's Trojan horse, to assist in an attempt to destabilize the Ecuadorean government. We mustn't forget -- and this is public knowledge -- that on several occasions Washington did the same against the government of President Chávez.

If the government didn't enjoy an 80-percent approval rate, a coup would have been attempted a long time ago, some observers say. But Vice Admiral Jarrín, who remains in contact with military leaders, assures us that "I have not perceived the slightest intention on their part to engage in a putschist adventure."

It is true that the government is gaining sympathy among the men in uniform by taking measures that benefit the soldiers as citizens. Soldiers and policemen have been mistreated in their work and lives.Besides, important projects of national development are being turned over to the Corps of Engineers, which is something private and foreign businesses do not like. The president defends the ability of those professionals but also argues that, logically, part of the money invested in them will revert to the state.

Until now, "everything has favored the speculative financial capital, not the real generators of wealth," the president says. "In Ecuador, the contradictions have been such that, while the productive sector -- which generates wealth -- was in crisis, the financial sector -- which manages the producers -- was setting historical records for revenue."

"The problem," Correa continues, "is that there is many a deceitful businessman who does not pay taxes, exploits his workers, disrespects the environment, etc. They are the ones who fear our project for a new State, and those who prefer the destabilization of a government that they cannot dominate."

Journalist Jorge Ortiz sees the future with pessimism and fears a catastrophe. "We shall see moments of great confrontations, especially because President Correa has become a man who generates hatred, rivalry and division among Ecuadoreans."

Bishop Arellano proposes another explanation for the coming difficulties. "That minority of privileged people is intent on interrupting this life project. For that reason, it will attack, because its unbounded privileges will be affected. These people are like a baby removed from his mother's breast: he cries."

Hernando Calvo Ospina is a Colombian journalist and writer who lives in France. This article was first published in Le Monde Diplomatique.

Ecuador Congress Fights Opponents

Quito, Nov 22 (Prensa Latina) Ecuadorian Congress Leader Jorge Cevallos will submit to the General Attorney's Office a resolution to investigate citizens openly calling for its disbandment.

The measure, passed Wednesday by 62 votes, embraces a strategy to counter massive demand by political and social movements to disband Congress once the Constituency Assembly is set up.

The rule calls to declare any citizen critical of congress, including President Rafael Correa and Congressman Alberto Acosta, a threat to national security and punishable by four to eight years in jail.

The supporters of the resolution were Renovador Institucional, Sociedad Patriotica, Union Democrata Cristiana, Socialcristiano, Dignidad Group majority, one for Izquierda Democratica (ID) and several independent parties.

The opponents were the rest of ID, Pachakutik, Roldosista, Socialista, Red Democratica and Movimiento Popular Democratico, that walked out during the vote.

The measure is viewed as a legislative effort to secure survival despite growing unpopularity and denouncement of corruption.

Defense Minister Wellington Sandoval reaffirmed support of his institution for the Assembly and rejected the Congressional calls for support.

Ecuador for More Chinese Investment

Beijing, Nov 22 (Prensa Latina) Ecuadorian President Rafael Correa affirmed Thursday that relations with China are at a very good moment and announced his country's intention to attract more Chinese investments.

"Ecuador could be China's doorway to Latin America," the president stated, and reiterated the idea that the airport of the current US base of Manta could be used to welcome Chinese passenger planes in the future.

Correa also pointed out that his country, committed to putting the socialism of the 21st century into practice, can take advantage of the socialist experiences in China and those of its Communist Party.

Correa, who began his China visit on Monday, met with his counterpart, Hu Jintao, and the president of the National People's Assembly, Wu Bangguo, and attended the signing of 14 agreements and memorandums.

Ecuador plans oil talks with China, slams tribunals

BEIJING, Nov 22 (Reuters) - Ecuador's president on Thursday condemned international arbitration as a biased tool of the rich world, as some of the country's foreign investors say they may turn to tribunals over a disputed tax on oil earnings.

The comments by Rafael Correa would likely dim hopes by foreign companies such as Spain's Repsol to overturn a windfall tax and help alleviate millions of dollars in losses.

The leftist president shocked investors in October by raising the tax to 99 percent from 50 percent of the extra oil revenues generated by companies above a contractual price.

Visiting China for the first time since his election, Correa said the two countries would set up a special working group to discuss the tax but in the long term he would like to see Latin American tribunals deciding similar spats.

"(We aim to) construct regional tribunals to discuss any problem within Latin America, knowing that justice will be applied," he said.

"With an institution which is a cheerleader for transnational capital, which is financed by this capital and is in debt to these countries where the capital is -- what guarantee of impartiality are we going to have?"

Last month, Ecuador also said it wants companies to switch to new deals that give the state all of the oil they extract and the companies a service fee payment instead.

Since then one firm, U.S.-owned City Oriente, has already filed an arbitration claim. Repsol is considering similar action and Chinese industry executives said the country's state oil firms may also turn to the courts.

An international tribunal has sided with City in the spat, ordering Ecuador to temporarily halt demands to charge the controversial windfall tax, according to court documents released by the company on Wednesday.

But the Ecuador attorney general's office has refused to recognise the tribunal's jurisdiction in this case and has not assigned defence lawyers. And Correa also said that he did not trust international tribunals.

Energy and Mines Minister Galo Chiriboga said Beijing and Quito hoped the working group had set a year-end target for reaching an agreement, and had signed two more deal covering the upgrading of two refineries in Ecuador and increasing recovery rates at the country's mature fields.

But Correa also said he thought there was room for improvement in ties between the two countries, particularly in managing a flow of Chinese products across the Pacific.

"Cooperation between China and Ecuador are at this moment very good but they can improve a lot," he said.

"We have a huge trade deficit with China. For China that is not interesting, it's just $500 million but for us it is a lot and increasing," he added.

Thursday, November 22, 2007

Hu Jintao Holds Talks with Ecuadorian President Correa

Ministry of Foreign Affairs of the People's Republic of China, 20 November, 2007

On the afternoon of November 20, 2007, Chinese President Hu Jintao held talks with Ecuadorian President Rafael Correa at the Great Hall of the People. Both sides exchanged in-depth views on developing China-Ecuador relations featuring long-term stability, equality, mutual benefit and all-round friendship and reached broad consensus.

During the meeting, Hu said since the establishment of diplomatic ties in 1980, bilateral relations have been developing steadily, bringing tangible benefits to both peoples. Recent years have witnessed increasing high-level exchanges, frequent dialogue and contacts and fruitful cooperation in all areas, he said, adding that the two countries have also conducted sound coordination and cooperation on multilateral occasions and some major issues. Hu expressed gratitude for the adherence of Ecuador to the one-China policy and its staunch support of China's just position on the Taiwan question.

Correa said China has a time-honored history and is full of vigor and vitality and it has made enormous achievements in embarking on the path of development suitable to its national realities. Ecuador shares brotherly friendship with China, he said, expressing hope that both sides will show mutual understanding and learn from each other so as to push bilateral ties for new progress. He reaffirmed Ecuador would adhere to the one-China policy.

Hu put forward a four-point proposal to consolidate and advance bilateral friendly cooperative relations. First, maintain high-level exchanges and deepen political trust. He said China would encourage the bilateral cooperation between the governments, parties and legislative organs to promote all-round development of state-to-state relations. Second, expand economic and trade cooperation and seek common development. Hu said China would encourage more Chinese entrepreneurs to invest in Ecuador and participate in economic construction there. He also voiced the hope to enhance cooperation on agriculture, energy resources, infrastructure construction, finance and quality control. China welcomes Ecuadorian businesses to promote products and expand market in China. Third, deepen personnel exchanges and build up friendship between both peoples. Hu urged both sides to expand cooperation on education, culture, public health, science and technology, tourism and sports to cement the social basis of bilateral ties. Fourth, strengthen multilateral cooperation and safeguard common interest. Hu said China would like to maintain consultation with Ecuador in the multilateral arenas including the United Nations, the World Trade Organization and the Organization of American States, as well as on key issues involving countries' development interests. China is ready to conduct political consultations and cooperation with Andean Community to promote a just and reasonable international order, he added.

Echoing Hu's proposals on consolidating and advancing China-Ecuador friendly cooperation, Correa said Ecuador attached importance to Asia, closely watched China's development, and handled the bilateral relations from a strategic perspective. He emphasized that the two countries are highly complementary in economy and enjoy huge potential for cooperation. The president noted Ecuador would like to promote reciprocal cooperation and give full play to its role in linking South America and China together. He suggested both sides maintain consultation in the international affairs to push forward Ecuador-China ties.

Following the talks, the two heads of state jointly attended a signing ceremony of cooperation agreements concerning economy, technology and other areas.

Prior to the talks, President Hu Jintao hosted a welcoming ceremony for Correa's visit at the North Hall of the Great Hall of the People. Vice Chairman Xu Jialu of the Standing Committee of the National People's Congress, State Councilor Tang Jiaxuan, Vice Chairman of the National Committee of the Chinese People's Political Consultative Conference Abdul'ahat Abdulrixit, Vice Chairman of the Central Committee of the China Democratic National Construction Association Chen Changzhi and Vice Foreign Minister Dai Bingguo attended the ceremony.

Ecuador Leader Denies "Populism"

Beijing, Nov 21 (Prensa Latina) Ecuadorian President Rafael Correa on Wednesday repudiated populism accusations by some political sectors against the political movement he heads.

"Neoliberals call populism anything they do not understand or do not want to understand," said Correa during a lecture at the auditorium of China's Social Sciences Academy.

Correa sustained the Ecuadorian popular movement won with 70 percent of votes, in 21 of the 22 provinces, something which has not happened in decades.

The president recalled neoliberals have said that continental development has been free of interference, but they forget the nearly 50 years blockade against Cuba or the coup and assassination attempt against Hugo Chavez en Venezuela.

In China, Correa Defends Socialism

Beijing, Nov 21 (Prensa Latina) Ecuadorian President Rafael Correa criticized in this capital Wednesday the effects of neoliberalism in his country, and defended the 21st century socialism projects getting ahead in the region.

The statesman, on a state visit to China, delivered a magisterial lecture today"s afternoon at the auditorium of the Chinese Academy of Social Sciences (CASS), entitled “Towards the 21 Century Socialism.” Correa stated that neoliberal policies, formulated by the so-called Washington agreement, have been applied in Latin America since the late 1980s with disastrous effects for economies and societies of the continent.

Latin America is not the poorest region of the world like Africa is, but it is the most irregular, because some people live in absolute poverty, while others live better than in Switzerland, he said.

Fundamental rights like education and health have been turned into goods, bases to create human talent destroyed and social cohesion shattered with the weakening of the central state.

The speech to Chinese academics, professors, CASS researchers and Latin American ambassadors, was one of the main activities of today"s agenda, in addition to the opening ceremony of the Tourism and Trade Forum between the two countries.

The Ecuadorian head of State met Tuesday with Chinese President Hu Jintao, and attended the signing of 14 bilateral accords and memorandums of understanding on oil, mining, railroads, tourism, health, agriculture and other sectors.

Wednesday, November 21, 2007

Ecuador protests mishandling of president at US airport

QUITO (AFP) — Ecuador's foreign ministry said Tuesday it had lodged a formal protest to the government of the United States over the treatment last week of President Rafael Correa by immigration officials at Miami's International Airport.

Correa refused to be searched as if he were an ordinary passenger by US screening officials, who apparently were unaware he was a head of state heading to Riyadh for the summit of the Organization of the Petroleum Exporting Countries (OPEC).

The ministry said in a statement it had lodged the "strongest protest" before the US government "for the lack of basic manners shown Ecuador's head of state by immigration authorities" at Miami's airport.

Earlier Tuesday, US Ambassador to Quito Linda Jewell expressed regret over the incident, in comments published by Quito daily El Comercio, but said US officials had not received advanced notice of Correa's layover at Miami.

The foreign ministry refuted that however, saying that "the Ecuadoran Embassy in Washington had notified the (US) State Department of the president's layover," and that the department had acknowledged in a response.

Correa, 44, a leftist, anti-American president friends with Venezuela's firebrand leader Hugo Chavez, promised to treat American dignataries passing through Ecuador the same way he was treated in Miami, his press secretary said after the incident.

After taking office in Decmeber, Correa vowed to end his country's joint anti-drug program withe US military before his mandate ends in 2009.

Ecuador seeks to boost ties with China

People's Daily Online, 21 November, 2007

President Hu Jintao and his Ecuadorian counterpart Rafael Correa yesterday sought to increase bilateral trade and cooperation and hold more political dialogues.

To expand business cooperation, Hu urged more Chinese enterprises to invest in Ecuador and welcomed Ecuadorian companies to tap the Chinese markets.

"Since China and Ecuador established diplomatic ties in 1980, bilateral relations have grown steadily, benefiting peoples of the two countries greatly," Hu said during his talks with Correa, who is on a weeklong visit to China.

Hu encouraged cooperation in areas such as energy, education, healthcare, science and sports, as well as consultations within the framework of multilateral organizations such as the UN and the WTO.

Praising China's achievements, Correa said: "China is an ancient and energetic country. It has made huge achievements because it has been insisting on a development mode that is based on its own conditions."

"We regard China as a brotherly country and we will continue to learn from each other to take our bilateral ties to a new level," he said, and reiterated Ecuador's adherence to the one-China policy.

After the talks, Hu and Correa officiated at the signing ceremony of a series of agreements in areas such as trade and business, agriculture, energy and mining.

Chinese enterprises have put in $1.8 billion in Ecuador, the highest in Latin America. Bilateral trade, too, has been continuing smoothly, with the volume exceeding $699 million in the first nine months of this year.

Ecuador's main exports to China are farm goods, wood, metal and fish. But the single largest export commodity is banana. China's exports to Ecuador include garments, toys, shoes and TV sets.

Correa reached Beijing on Monday, and will visit Shanghai and China's ancient capital of Xi'an, too, during his weeklong stay.

Correa will meet top legislator Wu Bangguo and Li Changchun, a member of the Standing Committee of the CPC Political Bureau, today.

He will address the Chinese Academy of Social Sciences and attend the opening ceremony of the China-Ecuador tourist and trade gathering and an exhibition on Ecuadorian Contemporary Art in Beijing, too.

Source: China Daily

Ecuador assembly to start reform debates Nov. 29

QUITO, Nov 19 (Reuters) - An Ecuadorean court said on Monday a government-controlled assembly will start to review Ecuador's constitution on Nov. 29, allowing President Rafael Correa to press on with his leftist agenda.

Correa, a former economy minister, wants the assembly to shut down the opposition-dominated Congress, call early presidential elections and curb the powers of traditional political parties that many Ecuadoreans blame for chronic instability.

The president's Alianza Pais party won a solid majority of the assembly's 130-seats, according to official results from a vote at the end of September.

"We will officially give the credentials to assembly members today and the assembly will have to be established on Nov. 29 in accordance the body's statute," Electoral Court judge Andres Leon said.

The process to propose changes to the constitution will last six months.

The leftist president has spooked foreign investors with his drive to increase state control over the key oil industry and has debt-holders on the edge with pledges to restructure the country's $10.34 billion foreign debt.

But the U.S.-educated economist remains highly popular among Ecuadoreans with his call for deep reforms.

Constitutional changes approved by the assembly must be ratified in a referendum next year. The government block is discussing if the assembly will take over Congress powers while it debates a draft constitution.

Correa's Alianza Pais, a new party looking to push through his far-reaching socialist proposals, has 80 seats while the Patriotic Society party of toppled President Lucio Gutierrez has 18 seats and vows to counter Correa in the assembly.

The PRIAN party, led by Correa's former presidential rival and businessman Alvaro Noboa, has eight seats. Noboa, a banana mogul and the country's wealthiest man, says he fears Correa's reforms will damage the economy and scare off investment.

Ecuador's Correa wins control of constituent assembly, official results show

IHT, Nov 19, 2007

QUITO, Ecuador: Ecuador's leftist President Rafael Correa will control more than 60 percent of an assembly writing a new constitution for the politically unstable nation, according to official election results Monday.

Correa's new political movement, Pais, won 80 of the assembly's 130 seats in the Sept. 30 vote, the Supreme Electoral Tribunal reported.

Correa has called on the assembly to dissolve Congress and says the new constitution will take power away from Ecuador's traditional political elite, which he blames for the country's problems.

Correa's strongest opposition is the Patriotic Society Party of former President Lucio Gutierrez, who was ousted in April 2005 amid massive street protests. It won just 18 seats.

The assembly could begin to meet as early as Nov. 29.

Correa, Ecuador's eighth president in the last decade, wants to increase the number of four-year consecutive terms allowed from one to two, but he denies that he seeks to stay in power indefinitely.

Correa is a close ally of Washington foe Hugo Chavez, who is seeking extensive changes to his own country's constitution in Venezuela.

Monday, November 19, 2007

Ecuador seeks to boost co-op through official visit to China

QUITO, Nov. 18 (Xinhua) -- Ecuadorian President Rafael Correa, who begins an official visit to China on Monday, will seek to boost political dialogue, trade and cooperation through talks with his Chinese counterpart Hu Jintao, Ecuador's Foreign Ministry said on Sunday.

"Both sides plan to sign bilateral agreements, covering areas including mining, hydrocarbons, environment, culture, railways, sports, tourism, trade, finance and animal hygiene," the ministry said.

President Correa will seek Chinese investment in a major airport in the Ecuadorian Amazon, where construction is planned to start in 2008, the ministry said.

Ecuador is seeking and enlarging cooperation with and investment from China, the ministry said.

"The diplomatic relations between the two countries, since established in 1980, have witnessed more progress," the ministry added.

During his one-week visit, Correa is scheduled to meet some other top Chinese officials as well.

Ecuador has received 1.8 billion U.S. dollars of investment from China, making it the leading recipient of Chinese investment in Latin America. In the first nine months this year the bilateral trade volume has topped 669 million dollars.

Ecuador's main exports to China are farm goods, wood, metal and white fish. The single largest export category is bananas. China's exports to Ecuador include clothes, toys, shoes, and televisions.

After visiting China, Correa will travel to Indonesia on Nov. 25 for an official visit at the invitation of Indonesian President Susilo Bambang Yudhoyono.

Ecuador: An Unethical Congress

Quito, Nov 18 (Prensa Latina) The Ecuadorean Congress"s derogation of emergency decrees aimed at meeting the people"s social needs shows the unethical stance taken by deputies opposed to change in the country.

That decision, in addition to boycotting the national government, suspended the allocation of extra funds to education, health, agriculture, electricity and security, which had been unattended for years.

It shows the true intentions of a political sector that insists on the neoliberal model, which regards Ecuador"s permanent social commotion as normal.

Ecuadorean President Rafael Correa said the Parliament, which owns impunity and is blind and deaf to popular demands for change, ratified in the latest elections, was "dying".

Correa noted that the derogation of the decrees was an insult to the people"s awareness and dignity by "a desperate Congress that is dying and wants to take the country with it." He noted that the Constituent Assembly, after being established on November 29, must dissolve that legislative body, which seems to prefer "paying the debt rather than education and health for our children." According to Correa, the lawmakers tried to destroy his government"s work over the past ten months, during which, for the Ecuadorean history, children under the tenth grade of basic education received free books.

The decrees allowed the government to allocate funds to repair and equip hospitals, and to hire 4,000 medical professionals to improve healthcare services in the country, he noted.

Supplies of cheap urea for the agricultural sector and the reconstruction of roads are in danger after the Parliament"s decision this week, the head of State underlined.

New emergency decrees would be signed to replace the ones that were derogated by an opposition that was defeated at the polls on September 30.

Ecuador for Greater OPEC Geopolitical Role

Ecuador for Greater OPEC Geopolitical Role

Riyadh, Nov 18 (Prensa Latina) Ecuador s president Rafael Correa gave Sunday his support to the proposal of his Venezuelan peer Hugo Chavez for strengthening the geopolitical role of the Organization of Petroleum Exporting Countries (OPEC) during the third summit of the bloc that ends today.

Correa said that "trying to deny that vision is to deny reality," he affirmed and added "We need a political vision to take adequate public policies, adequate collective policies, in order to manage adequately a strategic resource such as oil." As for the idea of considering a revision of the currency used by OPEC for its crude transactions, he approved analyzing that issue.

"If we continue operating in a weak currency as the dollar, which has recently fallen sharply, we would be transfering our wealth to the countries with more stable currencies," he said.

As much as I consider that just prices "has been a debate for centuries" in economical science, he asserted producers should have an adequate compensation, above all if the main consumers are the rich countries.

"What should be sought is a compensation for poor oil importing countries so as not to increase their poverty," assured the Ecuadorean Executive.

Also, Correa advanced that Ecuador will present a proposal to create a special tax on consumer countries, which will serve to study the effects of oil on the environment and global warming "and above all compensate the poorest countries so they can fight that phenomenon." The summit is attended by delegations of the 13 member countries of OPEC which represent about 40 percent of world oil production.

Ecuador's Correa favours non-dollar oil pricing

By Simon Webb

RIYADH, Nov 18 (Reuters) - Ecuadorian President Rafael Correa favours pricing oil in currencies other than the U.S. dollar, he said on Sunday.

"I'm completely in favour of pricing our oil in a stronger currency," he told a press conference in Riyadh, held during a summit for the heads of state of the Organization of the Petroleum Exporting Countries.

The fall in the value of the U.S. dollar was cutting the value of the country's oil, he added.

Despite oil's rise to a record price of $98.62 per barrel this month, Correa said in real terms the price was below its high in the 1980s. The weakness of the dollar has eroded some of the benefits of high oil prices to producing countries, Correa said, though he did not say which currency he thought oil should be priced in.

The Ecuadorean leader also backed a call of his leftist Latin American ally, Venezuelan President Hugo Chavez, for OPEC to take a bigger role on the world's political stage. Chavez made the call in a speech to the group's state leaders on Saturday.

"To try to deny OPEC's political vision is denying reality," he said.

Oil-swelled coffers have already fuelled rising political influence for big producers such as Venezuela and Iran. Chavez has used his nation's windfall oil cash to export his socialist vision through Latin America. The world's richest nations should pay for programmes to protect the environment in the poorest countries, Correa said.

"It annoys us ... all this moralising 'don't cut down your trees' from the first world, when they've already done it," he said. "If Europe wants to breathe pure air from Amazon countries then the Amazon countries shouldn't have to pay for it."

ECO TAX

He proposed the creation of a special environmental tax on the world's oil consuming countries to fund environmental initiatives in the developing world. OPEC could coordinate the spending of the tax, Correa said.

Correa also reiterated his plan for developed countries to pay Ecuador to leave oil in the ground in its rainforest, saying rich nations should pay $350 million a year not to drill at the Ishpingo-Tambococha-Tiputini (ITT) field.

That would be about half of what Ecuador could make if it developed the field and the country would go ahead with development in June if it got no response from rich nations.

Ecuador became OPEC's 13th member at the summit, rejoining after leaving the group in 1992. Rejoining has been a key plank of Correa's oil policy since he took office last year.

Correa said he had an aggressive plan for development of the country's oil and gas sector including plans to talk to Chinese firms about developing the ITT field on a scheduled trip to China.

He did not detail what type of contracts Ecuador may use for the field. Ecuador is shifting contracts away from agreements that give international companies a share of output to deals that use the companies as service providers.

Correa stunned foreign oil investors when he said last month he might take away all the extra profit foreign oil companies have been raking in as a result of surging prices.

He said a consortium of Brazilian state oil firm Petrobras and China's Sinopec was interested in the field.

A new refinery that Ecuador plans to build on its coast with Venezuela's state oil company PDVSA would export oil products to China and Asia as well as supplying the domestic market.

Friday, November 16, 2007

Ecuador President Lambasts Congress

Quito, Nov 15 (Prensa Latina) Ecuadorian President Rafael Correa asserted on Thursday that the national Congress is digging its own grave by abolishing the emergency decrees that provide more resources to sectors such as education and health.

The legislators acted from "hate and political calculation," by their approval yesterday to stop works to rebuild roads, schools and hospitals, Correa told national media.

"Our homeland will judge them. They are only burying themselves in shame and indignity," he said.

The president, who advocates dissolving the Legislature once the Constituent Assembly is established on November 29, repeated that it is dying.

Government Minister Gustavo Larrea also criticized the decision, noting that abolition of the emergency decrees is a blow to actions taken by the Executive, but it's the people who are most affected by the deputies' lack of sensitivity, he said.

"We are going to study the legalities, but the government can decree emergency in those sector again," he said

Ecuador lawmakers vow to stay, challenge assembly

By Alonso Soto

QUITO, Nov 15 (Reuters) - Ecuadorean lawmakers vowed on Thursday to stay in office in a last-ditch attempt to challenge a government-controlled assembly that plans to shut down Congress and implement far-reaching constitutional reforms.

Leftist President Rafael Correa has called Congress "shameless" and wants the popular assembly to dissolve the legislature in a move to curb the influence of traditional elites who many Ecuadoreans blame for political instability.

Congress voted on Thursday to delay its year-end recess and keep working while the assembly rewrites the constitution during a 6-month debate expected to begin later this month.

The move could stir tensions with Correa, who has clashed with Congress over some key bills since his election last year. Opposition lawmakers say Correa, an ally of Venezuelan President Hugo Chavez, wants to build up authoritarian power in South America's No. 5 oil producer.

"We are going to continue working because that is the only way we can counter the government's planned coup against the legislature," said opposition lawmaker Luis Almeida. "We will only leave if they force us out with bayonets."

Ecuador's lawmakers have been involved in toppling three presidents in the last decade.

Foreign investors fear the new assembly will pave the way for Correa to advance with his leftist agenda, hurting the Andean country's economy and its capacity to repay debt. He has rattled Wall Street with talk of a foreign bond renegotiation.

Alberto Acosta, a left-winger close to Correa and the government's pick to lead the 130-member assembly, said the assembly will take over congressional powers.

"When we get into office lawmakers will have to go home, without pay or immunity," Acosta told Reuters in a telephone interview. "The country will change."

Acosta said the assembly could vote on future bills proposed by Correa or a smaller assembly commission could take the role of Congress.

In another show of defiance, Congress on Wednesday voted to eliminate a series of emergency decrees ordered by Correa to bypass controls in order to inject millions of dollars into social projects.

Ecuador President Heads East

Quito, Nov 15 (Prensa Latina) Ecuadorian President Rafael Correa travels Thursday to Saudi Arabia to formalize his country"s return to the OPEC and will visit later China and Indonesia, to expand political and trade links.

Also included is the Third Summit of Heads of State from the Organization of Petroleum Exporting Countries (OPEC) in Riad on November 17-18.

The presence of the South American statesman in that event confirms Ecuador"s interest of joining the oil nations" poster, which abandoned in 1992 with a $4.7 million debt.

According to Ecuadorian Oil Minister Galo Chiriboga, that debit will be paid in three-year term.

Ecuador"s entrance to the OPEC is a very important step, because the country could have access to information, and learn what the other nations are doing in trade.

After the summit, the head of State will move Monday to Beijing, to meet with his Chinese counterpart Hu Jintao, Peoples" National Assembly Permanent Committee president Wu Bangguo, and China"s Communist Party Political Bureau Permanent Committee member Li Changchun, as well as visit Shanxi and Shanghai.

Later, the Ecuadorian governor will go to Jakarta, Indonesia, November 25, to analyze with his counterpart Susilo Bambang Yudhoyono possibilities to expand trade links.

Correa is expected to return Quito November 28, a day before of the creation of the Constituent Assembly in the city of Montecristi.

Correa’s Approval Soars After Vote in Ecuador

(Angus Reid Global Monitor) November 14, 2007 - Following the Constituent Assembly election in Ecuador, Rafael Correa is enjoying a high level of public support, according to a poll by Cedatos/Gallup. 72 per cent of respondents approve of their president’s performance, up nine points since September.

Correa, a former finance minister, ran for president as an independent leftist under the Alliance Country (AP) banner. In November 2006, Correa won the presidential run-off with 56.69 per cent of the vote. He officially took over as Ecuador’s head of state in January and vowed to change the country’s Constitution. Correa’s party nominated no candidates to the National Congress.

In April, Ecuadorian citizens participated in a referendum to enact a Constituent Assembly. The president’s proposal was backed by 82 per cent of all voters. An election to choose the assembly’s 130 members took place on Sept. 30. Correa’s supporters—running under the Movement Country (MP) banner—secured 69 per cent of the vote and 80 seats, enough to enact changes without seeking compromises with political opponents.

The assembly is due to begin its work on Nov. 29, and has six months to finish a draft. The proposed body of law must be ratified in a nationwide referendum.

On Nov. 9, Correa said he wants the Constituent Assembly to effectively shut down Congress, call for early presidential and legislative elections, and limit the scope of traditional political parties, which have been widely blamed for toppling three presidents in ten years. Correa also expressed his views on the possibility of changing the law to allow for presidential re-election in Ecuador, saying, "The government’s position is very clear. (...) We believe in alternating democracy, we believe the people should have the right to re-elect their government if it is a good one."

Polling Data

Do you approve or disapprove of Rafael Correa’s performance as president?

Oct. 2007

Sept. 2007

Aug. 2007

Approve

72%

63%

56%

Disapprove

25%

32%

37%

Source: Cedatos/Gallup
Methodology: Face-to-face interviews with 1,288 Ecuadorian adults, conducted from Oct. 26 and Oct. 30, 2007. Margin of error is 5 per cent.

Wednesday, November 14, 2007

Bank of the South charter to be signed in Buenos Aires

MercoPress, November 13, 2007

The foundation charter of the regional development Bank of the South will take place in Buenos Aires on December 9 and will be signed by the presidents from Argentina, Brazil, Bolivia, Ecuador, Paraguay, Uruguay and Venezuela, confirmed Ecuadorian president Rafael Correa.


The ceremony has been scheduled for Buenos Aires and not in Venezuela as originally scheduled, taking advantage of the presence of the South American leaders at the inauguration ceremony of Argentina’s president Cristina Fernandez de Kirchner, which will take place December 10.

The draft of the Bank of the South charter was finished early October in Rio do Janeiro during a summit of regional Economy and Finance ministers. The new multilateral institution is considered as an alternative to the International Monetary Fund and the World Bank and seeks to satisfy development credits demand.

The founding members of the Bank of the South which is considered the brain child of Venezuela’s president Hugo Chavez are Argentina, Brazil, Bolivia, Ecuador, Paraguay, Uruguay and Venezuela. Colombia has applied to become a member however Chile and Peru have opted out. The initial capital of the bank has been agreed at seven billion US dollars.

“The Bank of the South will be capitalized with contributions from the region to finance development projects, our development projects, not development projects geared by remote control by countries from out of the region, not World Bank projects which have bankrupted us and on top we owe them money”, said President Correa.

The Bank of the South headquarters will be located in Caracas, Venezuela with regional offices in Buenos Aires and La Paz, Bolivia. The new foundation date ceremony was agreed at the recent controversial Ibero-American summit held in Santiago de Chile and will be the last main regional event to the headed by Argentina’s president Nestor Kirchner.

Ecuadorean President Announces Changes

Quito, Nov 11 (Prensa Latina) Ecuadorean President Rafael Correa said on Saturday that contracts with mining companies will be renegotiated and changes will be made in Petroecuador, because the country is not developing as it needs.

"The companies do not pay royalties for mining concessions," Correa said on his regular radio program on Saturday, broadcast from Santiago, Chile, where he attended the Ibero-American Summit.

He pointed out that most mines are not working, so agreements will be reached on "five or six projects that are already being exploited."

"Deep changes must be made. Reviewing all those mining concessions" that do not contribute to the State, he stressed.

The president noted that the government would not allow anyone to rob the national economy, because there are 4,000 contracts to exploit mineral resources in Ecuador.

The Constituent Assembly will be the appropriate framework to approve a new mining law that will establish how much the State will be paid for allowing them to exploit underground resources, Correa stressed.

Regarding the state-owned company Petroecuador, he pointed out that some changes will be made, because "I feel that they are not in a hurry" to guarantee quality and to speed up the construction of a new refinery.

He noted the country's needs to refine its own crude oil "to consume our own byproducts and export the surplus byproducts with an added value."

Correa said that the Esmeralda refinery is being remodeled to improve efficiency, and a new oil-processing plant will be built.

The president called to work rapidly so that Ecuador can benefit from high oil prices that will continue to increase for the next five or six years, due to the current international situation.

Ecuador to revoke non-producing mining concessions

SANTIAGO (Reuters) - Hoping to inject life into the country's lackluster mining industry, Ecuador President Rafael Correa said in an interview with Reuters on Saturday he would revoke concessions on properties that are not being exploited.

Correa also said he plans to renegotiate current terms with companies that are exploring for minerals in the Andean country.

Ecuador is in the heart of mineral-rich South America, but it has little real mining output, in part because speculators have bought up thousands of concessions and are holding them in the hopes of selling them at a higher price in the future.

"There are five or six companies that are producing, and we'll negotiate with them, but we will revoke the concessions from the rest of them," Correa said on the last day of a three-day summit of Latin leaders in the Chilean capital Santiago. He did not mention the companies by name.

Mining concessions in Ecuador are currently cheap to hold, subject to a low and renewable annual ownership fees.

Ecuador is also working to establish contracts between the government and mining companies that will set royalties at a referential price for the mineral extracted, but as with oil deals, mining firms will have to share part of their windfall revenues if metals' price rise in the market.

Mining companies currently have no contracts with the government and do not pay royalties.

Canadian companies such as Corriente Resources, Iamgold Corp and Aurelian Resources are exploring for gold and copper in Ecuador.

Friday, November 09, 2007

The CONAIE and the President: The need to be on the same path ...

from Bolpress, 5 November, 2007

by Kintto Lucas

The mobilisation of 10,000 indigenous, on Monday October 22 in Quito, again proved that the CONAIE (Confederation of Indigenous Nationalities of Ecuador) remains the social organisation with the largest convening power and the unique ability to mobilize in Ecuador, and placed into the debate the need for the Constituent Assembly to be transformed into an opportunity for participation and a bridge between the indigenous movement, the different social movements and the national government, without the loss of any autonomy.

To maintain their strength and their consistency, the CONAIE and its subsidiaries, particularly the Ecuarunari (the largest organisation of the Confederation, which brings together the Kichwa peoples of the Ecuadorian sierra) need to mark their independence from party structure, while allowing its militants the freedom to join any sector that matches its proposals, pledging to defend those proposals where they are found, as with the Landless Movement of Brazil, the Central Workers of Uruguay or the piqueteros in Argentina. This would imply a definitive separation from Pachakutik, which would be healthy for the movement and would support the suggestion that their leaders have pointed to the need for "de-indigenise."

Thus the CONAIE, Ecuarunari and the organisations, nationalities and peoples who comprise it, can be consolidated as a social movement that influences politics, with the autonomy, political independence and freedom to point out any errors or deviations of the government, but compromising a transformational project, a project that can break out in a pivotal moment in the Constituent Assembly if it is coupled with mobilisation and organisation.

The proposed constitution drafted by the CONAIE is the only comprehensive project for a rupture with the old system, not revolutionary or anything like it, but still a break. The committee that drafted the CONESUP (Higher Education Council) lost that sense when the proposals of the most progressive commissioners were amended by commissioners defending the status quo in the economic area, as I saw through emails that arrived coincidentally in my in-box. Some of these commissioners will now be in the Assembly representing Alianza País. The other proposals from organisations and guilds are only partial and sectoral.

The Constitution of the CONAIE is an important contribution to the Assembly. During the last decade in Ecuador and Latin America, first the proposals for resistance which emerged in the social movements and then the actual outbreaks, were taken over by political movements. The defence of water and the fight against the FTA are just a few of these. To reinvent these institutions a more horizontal relationship is necessary , with more openness between social movements and the government. The Assembly can be a bridge for that. Without the social movements, governments representing a rupture revolve about themselves, as noted by Antonio Negri, and without the relationship with such governments movements can be isolated.

But beyond the Assembly, it is necessary to put aside mistrust and rancor of the old doubts between the CONAIE and president Rafael Correa. The mobilization of Monday 22 was the first step, because in an indirect way the indigenous organisation supported Alberto Acosta and the government’s assembly representatives committed to a transformation of the country, and clearly the President himself, beyond any word out of context.

However, the President, in his radio show on Saturday the 27th, returned to outlining his criticisms of the CONAIE as if it were an enemy. Beware of those filling the head of the president who are from quarters who would profit from the destruction of CONAIE, which is not going to happen! Beware of maintaining a grudge for past differences!

The CONAIE has had many mistakes, but as long as some important government officials helped Jaime Nebot in his campaign, the CONAIE was mobilised. And while other important government officials advised Leon Febres Cordero, the CONAIE struggled against the Agrarian Act of Sixto Duran Ballén first, and for the departure of Abdalá Bucaram later. The various leaders of the CONAIE have committed many mistakes, but as long as some important government officials gave legal support to Jamil Mahuad, the CONAIE was mobilised in the streets against the robber-banks. The CONAIE has made serious errors such as giving in to pressure from Pachakutik and did not go with the government in the elections for national assembly members, but while some people closely related to the government believed the IMF was a sensible institution that still had the confidence of Lucio Gutierrez, something that the president
should remember, the CONAIE maintained its autonomy criticizing Gutierrez's trip to Washington. The CONAIE has undoubtedly done wrong, but while some important government officials said that there should not be mobilisations against the FTA until the negotiations are completed, the CONAIE came out into the streets and highways to stop the FTA and reverse the contract with Oxy . The CONAIE was wrong far too often, but while some not very close to the government raised their voice in protest over the privatisation of water in Quito, the CONAIE was supporting the Coalition for the Defence of Water from the outset. The leaders of CONAIE have been ethnocentric many times, but some officials and associates of the government got rich off projects on behalf of the Indians, or politically negotiated on their behalf. The CONAIE has had many flaws, but while some key government officials joined (in some cases more, in others less) the long dark night of neoliberalism, the CONAIE maintained its resistance.

So we could goon, but I do not mean merely to reminisce over certain things from the past that are not necessarily used to build the future. The key is to build bridges, achieve unity, not diminish ourselves.

The other day, before the indigenous people who filled the Agora of the Casa de la Cultura, Luis Macas handed the proposed Constitution of the
CONAIE to assembly represenatives from Alianza Pais. There were even assemblymen that once distanced themselves from the CONAIE, but nobody brought up the general errors of the past. That should be noted. Errors, discrepancies, mistakes, and they were all good enough to have the necessary humility to recognize not only to lay the blame on others.

Many years ago, Raul Sendic, one of the great revolutionaries of this America, said, referring to some colleagues, "we are on the same path, and should be, even though differences remain. Only those who can not be found on this path are with the traitors. The only thing that can not be overcome is treason, and there is no question that we are not talking about this."

The President, who is a fundamental element of cohesion, must become an element for unity with the CONAIE, although some people do not like it. It is the largest social organization in the country (and it is not a virtual invention like "the citizenry") and it may give real support to the struggle for changes in difficult times, although for now everything is fine.

Luis Macas, who has been a key leader in building the CONAIE, should also put aside any differences, any personal rancour, and reach out to the President as some did on the 22nd. Beware of turning the head of Macas or any other leader against the President.

We need to understand that we are living a historic moment that must be taken hold of. We need a gesture of greatness from both sides, from all sides. And maybe we need to start by measuring the words and not get carried away by rumours.

The other day, at the end of the act in the Agora, and during conversation with Alberto Acosta (the most-voted-for candidate and future president of the Constituent Assembly) he was approached by people from the indigenous base of some communities who told him "we have confidence in you, Alberto, that you will continue defending the poor as when you were with us. " Acosta, after greeting them, replied: "I remain with you compañeros
. I am not in Pachakutik, but I remain with you compañeros." We noticed a gesture of appreciation by those mashis. It was a gesture of greatness from both sides. We need many gestures of greatness, and we need to put many things to one side to find the path.

Kintto Lucas is the author of the book “Rafael Correa. A stranger in the Carondelet”, among others

Ecuadorean president's popularity soars in poll

By Alonso Soto and Mario Naranjo

QUITO, Nov 8 (Reuters) - Ecuadorean President Rafael Correa's popularity shot up in October, bolstering his mandate as a government-controlled assembly gears up to overhaul the country's constitution and forge ahead with his leftist agenda, a survey showed on Thursday.

The Cedatos Gallup poll showed Correa's popularity at 72 percent, one of his highest ratings since taking office in January and also one of the top ranking among Latin American leaders.

"We have never seen anything like this in Ecuador ... such a recovery," Cedatos' head pollster Polibio Cordoba told Reuters, adding that their previous poll showed Correa's popularity at 56 percent in August.

While attending a summit of Latin leaders in Chile, Correa said he favors allowing presidents to stand for re-election in his volatile Andean country.

Correa told Chile's Megavision that his government's "position is very clear... we believe in alternating democracy, we believe the people should have the right to re-elect their government if it is a good one."

He did not say if he planned to stand for re-election in late 2010.

His party won a large majority of seats in September on a 130-member assembly to rewrite the constitution, potentially clearing the way for changes to a law that currently prohibits his re-election for a consecutive term.

Correa says he wants the assembly to shut down Congress, call for early presidential and congressional elections and curb the powers of traditional political parties widely blamed for toppling three presidents in a decade.

However, analysts say Ecuador's weak economic performance this year with a flagging trade balance and dropping oil output could hurt the charismatic leader's popularity in 2008.

Correa has spooked foreign investors with his aggressive drive to rework oil deals and pledge to overhaul the country's foreign debt.

The Cedatos poll interviewed 1,288 people in five major cities across the country between Oct. 26 and 30. The survey has a margin of error of 5 percentage points.

PetroEcuador Asks to Revoke City Oriente Contract

By Stephan Kueffner

Nov. 8 (Bloomberg) -- PetroEcuador, the state-owned oil company, said it asked the energy ministry to rescind the contract of the last U.S. oil company operating in Ecuador, saying it has refused to comply with a windfall profit levy.

City Oriente, owned by U.S.-based City Investing, owes the government $28 million for windfall oil profits, PetroEcuador president Carlos Pareja told reporters today in Quito. City Oriente produces 2,800 to 3,000 barrels a day in Ecuador, while the country as a whole pumps about 500,000.

The government and private oil companies split profits 50- 50 once the price of oil exceeds a threshold, under terms of a revenue-sharing law passed last year by the country's previous administration. Venezuela, Bolivia and Ecuador have redrawn contracts with oil companies to benefit from prices nearing $100 a barrel.

``This company, despite our requests, hasn't complied with a single payment since April 2006,'' Pareja said. ``There's nothing else for us to do other than to seek the rescinding of its contract.''

City Oriente can keep its contract if it makes the payments, Pareja said. The energy ministry will make the final decision about whether to revoke the accord, and there's no deadline, he added.

Officials from City Oriente weren't available for comment, according to a worker in the company's Quito offices who isn't allowed to give her name.

City Oriente said in November that it considers the law unjustified and is seeking international arbitration with the World Bank's International Center for Settlement of Investment Disputes.

Contract Conflict

The windfall law ``constitutes a unilateral modification of our participation contract,'' City Oriente said in a statement to the government, according to a document provided by PetroEcuador today. ``City Oriente won't carry out the payment of the notified sums until the conflict is resolved.''

Most other oil companies in Ecuador have made at least some windfall payments, Pareja said. The country's producers include PetroEcuador, Chinese-owned Andes Petroleum Co., France's Perenco SA, Repsol YPF, Spain's largest oil company, and Brazil's Petroleo Brasileiro SA.

Repsol owes Ecuador $2 million in overdue payments, Pareja said. He said he isn't seeking to revoke Repsol's contract to operate in the country as it has made some windfall payments.

A call to Repsol's media relations office in Madrid, made after the close of regular business hours, wasn't immediately returned. E-mails sent to three press officials listed on Repsol's Web site also weren't immediately returned.

99% Decree

President Rafael Correa, who took office in January, decreed last month that the state will take 99 percent of windfall profits in the future. While the 99 percent rule went into effect in mid-October, companies won't have to made payments at that rate until mid-December, Economy Minister Fausto Ortiz said at a separate event earlier today.

Correa's government wants to renegotiate contracts with the oil companies amid a surge in prices on international markets. Ecuador has offered to rescind the 99 percent rule if companies agree to new service contracts under which Ecuador would own the oil and they would get a fee for extracting it.

If City Oriente loses its contract, it will mark the exit of all U.S.-owned oil countries from Ecuador after Occidental Petroleum Corp. lost its contract in the middle of last year. Ecuador isn't singling out U.S. oil companies, Pareja said.

Occidental still owes Ecuador $31 million for the period the law was in force before the cancellation of the contract, he added.

To contact the reporter on this story: Stephan Kueffner in Quito at skueffner@bloomberg.net

Ecuador to Improve Public Education

Quito, Nov 5 (Prensa Latina) Ecuadorian President Rafael Correa signed four decrees on Monday to reform and improve Ecuador's education system.

A government source said Correa okayed 12,000 new teaching positions, with screening beginning immediately, a new National Education Program, changes to education legislation and a census at education centers.

The statesman called neoliberal policies harmful to current public expenses when there is a shortage of teachers and doctors and called for salary improvements.

The government also plans a legal reordering and reinforcement of the Decennial Education Plan, which freezing since 1998 led to the deterioration of basic education.

Education Minister Raul Vallejo said the measures will help improve quality and restore state leadership in the field.

Ecuador says assembly to eliminate oil funds

QUITO, Nov 3 (Reuters) - Ecuadorean President Rafael Correa on Saturday urged an upcoming government-controlled assembly to scrap oil saving funds and ease the locks on central bank reserves to boost public investment.

"These funds... will have to be dissolved by the assembly," said Correa during his weekly radio address. "The (central bank) reserves have no use in a dollarized economy."

Correa said those funds would be used to boost national production. He did not say whether he wanted to dissolve all four saving funds that gather more than $1 billion and are earmarked mostly for energy and infrastructure investment. The central bank said last week its dollar reserves rose to $3.9 billion.

The 130-member assembly is expected to start a 6-month debate for constitutional changes later this month.

Correa also reiterated his plans to overhaul the economy ministry and turn into a treasury ministry to solely handle the national budget and public credit.

It is not clear if the overhaul would undermine the influence of Economy Minister Fausto Ortiz, a pragmatist respected by foreign investors who are nervous about government pledges to restructure the country's foreign debt.

Friday, November 02, 2007

Toward a ‘citizen's revolution’: President Correa's 21st-Century socialism

By Hernando Calvo Ospina

From Progreso Weekly, 1 November, 2007

On Sept. 30, elections were held in Ecuador to elect the people who will draft a new Constitution. The Alianza País organization, led by President Rafael Correa Delgado, won more than 70 percent of the votes; the runner-up received barely 7 percent. It was an overwhelming triumph, something never before seen in the history of Ecuador.

With 80 of the 130 representatives, Alianza País will have an absolute majority in the Constituent Assembly. With that advantage, the chief of state will be able to "refound the republic" and initiate a model of development that will break away from neoliberalism.

Economist Alberto Acosta, former Minister of Energy and future president of the Assembly, says that Alianza País began to toddle in August 2005 "without being enlightened." The party "fed from the struggles and efforts of many social and political sectors. It was not the exclusive creation of Correa, who had just resigned from the Ministry of the Economy."

In the November 2006 elections, Correa was elected president. In January 2007, the economist and lecturer took office. "We went from being specialists in protests to introduce proposals. With the presidency came the duty to build," Acosta says.

And the foundations for that construction will be "21st-Century socialism." It is a type of socialism that, according to Acosta, "it is not the socialism that had rooted its responses in manuals. We don't start from dogmatic visions. If we write a manual, it will be for the purpose of changing its pages every time we need to. It will be corrected constantly, because we do not believe in a definitive truth. Our task will be a permanent construction of democracy. That's how 21st-Century socialism must be constructed."

In his simple office in Carondelet Palace, the colonial building that is the seat of government, President Correa explains what 21st-Century socialism is, "when applied to the particularities of Ecuador."

"We favor a citizen's revolution, with a radical, profound and swift change in the political, social and economic structures," he says. "This country's political institutionality has run out of steam. A Congress that, according to polls, has a 3-percent credibility rating, is not representative. The groups that still call themselves 'political parties' are only feudal, caudillist organizations without the slightest ideology.

"This country cannot continue to live within the economic standards of the past 20 years, caused by the policies imposed by Washington, which have been disastrous for Ecuador and Latin America. Among other effects, in our country those policies have translated into more than 2 million émigrés in recent years," the president says. And he goes on.

"I couldn't care less how the government of the United States, the Europeans or any other country view our changes. I care even less what the transnational corporations think. What's important to me are the Ecuadorean people, the rulers and owners of this country. I hope that no nation, no matter how powerful, will try to dictate what policies we must follow.

"Nor shall we accept that the Colombian government continue to fumigate forests along our border, because that is noxious for our citizens, plants, animals and water. And don't try to draw us into the fratricidal internal conflict afflicting that sister nation. We refuse to get involved in that problem, but if we can in any way help to solve it, we'll be ready.

"We have said clearly that the Plan Colombia, a strategy devised by Bogotá and Washington, is militaristic and violent; that it has been incapable of ending the war. We are the recipients of the negative effects of that plan, beginning with the large number of Colombians who are obliged to seek refuge in our territory.

"I continue. To advance that citizen's revolution, we need a 21st-Century socialism. Many people told us to call it 'humanism.' We said no, because we are not impressed by that word. It is through socialism that we shall seek justice, equity, a productive economy that generates jobs.

"Our project is called that because it coincides with the scientific socialism of Marx and Engels. For example, here, the people must rule, not the market. The market must be a good servant, not the master. The human being can no longer be treated as just another tool for production, for the purpose of accumulating capital.

"The market economy has emphasized the creation of merchandise and its value. It cares not for the needs of the human being, or the price to be paid for the environment, etc.

"The importance of collective action is another point of coincidence with classic socialism. We must overcome the fallacy of individualism as an engine of society, where, by an act of magic, [the capitalists] turned selfishness into a slogan of social virtue and competition as a way of life.

"That's how they forced us to compete, even among the nations of the so-called Third World. That's absurd. It forced us to cheapen our export products, but to do so we had to lower the working conditions, accept labor flexibilization, reduce wages, etc. So, who came up the winner? The so-called First World: foreign capital.

"We differ from classical socialism. For example, today it is very difficult to talk about the nationalization of all the means of production. But we do have to democratize them. Yet, it is necessary to nationalize the means of production that are strategic to the nation's economy and therefore must not fall into private hands.

"One of the worst mistakes of classical socialism is that it was not very different from the concept of development espoused by capitalism. It offered us a faster, more equitable road, but that road reached the same concept of industrial development and increased production. Look at the competition between the Soviet Union and the United States, as to who produced more.

"However, it gave us a different alternative for sustainable development that considered other dimensions, such as articulation with nature. That's one of the challenges of 21st-Century socialism: to submit a different proposal for development.

"Another difference will surely shock several traditional socialists. We must talk about principles, not about models. In this, classic socialism was overbearing and arrogant. It always sent us to look at such-and-such a page in our search for truths and solutions. It gave us a catechism. And that's a grave error.

"We must adapt to the situations of each country, without pre-established models. I say this as an academician. I believe that any attempt to pigeon-hole within simplistic laws processes as complex as the advancement of society is bound to fail.

"We have the great advantage and obligation to build as we advance," Correa concludes. "We cannot allow a resurgence of indisputable definitions or dogmas. We must not lose the essence of our strength -- creativity."

Hernando Calvo Ospina, a special correspondent for the monthly Le Monde Diplomatique, conducted this and other interviews. Based on them, the magazine this month will publish a wide-ranging report on the political situation in Ecuador. It will be available in the various international editions of Le Monde Diplomatique:

http://www.monde-diplomatique.fr/int/

Thursday, November 01, 2007

Ecuadorean President: Zero Illiteracy by 2009

Quito, Oct 31 (Prensa Latina) Ecuadorean President Rafael Correa announced on Wednesday the government´s intention to wipe out illiteracy by 2009, in the year that marks the bicentennial of the First Cry of Independence.

Leading a gathering at Independence Square, on occasion of Ecuador's Coat of Arms Day, Correa stressed the interest to declare the nation free from illiteracy within two years.

He noted that high school graduates involved in this educational task have the enormous responsibility to "step up the educational revolution demanded by the people."

He announced that a wage policy oriented to the best teachers' performance is being devised, as they should earn better salaries."

Ecuador's president rails against Halloween for encouraging 'consumerism'

IHT, 31 October, 2007

QUITO, Ecuador: President Rafael Correa called on Ecuadoreans to reject Halloween on Wednesday, railing against the holiday for encouraging consumerism.

Halloween "has been deformed by consumerism, including in the United States and other English-speaking countries," said Correa, who calls himself a Christian leftist.

"These promoters of insane and senseless consumption lead human beings to supposedly need things they don't require," Correa said at a ceremony for National Shield Day, commemorating the country's coat of arms — which he urged Ecuadoreans to celebrate instead.

"We will not fall for these attempts to make us foreign," said Correa, a close ally of Venezuelan President Hugo Chavez. "Let's love what's ours and reject ridiculousness like Halloween."

In Mexico, Catholic Church officials earlier this week criticized the holiday as part of a pagan "culture of death," urging parents to keep children from wearing Halloween costumes and dress them as Biblical characters instead.

Ecuador Assembly Leads Revolution

Ecuador Assembly Leads Revolution

Quito, Oct 31 (Prensa Latina) The Constituent Assembly will be the starting point of the people's revolution being encouraged by the government of Ecuadorian President Rafael Correa.

When inaugurating the Eloy Alfaro architectonic complex Tuesday, Correa highlighted "it will headquarter an Assembly that will allow the people to have a sovereign, democratic Constitution."

"The Assembly will enable to radically change structural institutionality in the country, so that the people's revolution can advance rapidly," the president stressed in Montecristi, Manabi province, where the facility is located.

"Nothing will stop the radical constitutional reform," he asserted, and warned of attempts "trying to disarticulate the popular process," which will draw up Ecuador's 20th Constitution in Montecristi.

Correa called for the Assembly members to take advantage of this unrepeatable historic opportunity, and "not to be led to the trap of those who are trying to split us apart."

"Let's march with decision, with our hands clean and our minds clear to accomplish the mission," the president sustained.

Ecuador's Correa vows radical reforms in assembly

By Alexandra Valencia

MONTECRISTI, Ecuador, Oct 30 (Reuters) - Ecuador's President Rafael Correa on Tuesday vowed a radical overhaul to curb elites he branded "pillaging pirates" as he inaugurated the site for an assembly that will rewrite the constitution.

Riding on top of an auburn horse, the left-wing leader was greeted by cheering crowds in coastal Montecristi, where the government-controlled assembly will soon start debating the draft for a blueprint for the unstable Andean country.

"The assembly will bring changes from the root, radical reforms ... so this country can finally advance freely," Correa told thousands of backers outside the towering glass and metal building that will host the 130-member assembly.

Correa's Alianza Pais party in September won the majority of seats needed to pass constitutional changes in the assembly, expected to start its six-month debate next month.

His lopsided win has worried investors and opposition leaders who fear the former economy minister will use his strong mandate to follow the path of his close ally Venezuelan President Hugo Chavez and push for a socialist nation.

Correa has not wasted any time and in October announced a grab of nearly all the extra oil revenues generated by oil firms, a move that shocked investors, who also worry about his promises to restructure the country's foreign debt.

"The country will never again be the victim of pirates... who use their own kind of democracy to crush our people," Correa said.

A U.S.-educated economist, Correa says he wants the assembly to curb the powers of traditional political parties he blames for Ecuador's chronic instability, and calls for early congressional and presidential elections next year.

His opponents fear he will use the assembly to tilt South America's No. 5 oil producer on an authoritarian path.

But Correa's folksy style and aggressive stance against the elites many see as corrupt and against foreign companies have won him strong support among Ecuadoreans who have ousted three presidents in political upheaval in less than a decade.

The luxurious assembly building contrasts sharply with the dusty roads of Montecristi, a poor hamlet know for making Panama hats and as the birth place of Eloy Alfaro, a revolutionary leader who inspired Correa.

"The country will improve as the president says," said Luis Anchundia, a 20-year-old laborer who helped build the assembly site that cost the government around $4 million. "But we still have to wait to see if assembly members fulfill their roles."