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IMF and Guatemala: Do you see the Road?

Luis Figueroa - 12/25/2005

An old joke tells the story of the meeting of two Latin American presidents (but frankly they can be from almost any other continent). The meeting takes place at their countries' border and they begin a conversation. "What´s up?", asks the President of country A to his colleague of country B. - "Everything OK, man", answers President from country B. "How about commissions?", asks the first one. "Well enough. Do you see that road?", says President B. "Yes!", answers the president from county A. - "Well, you see", says President B, "20% in my bank account". "So you see that airport?" asks again the President of country B. "Yes!", answers that of country A. "Well, you see", comments President B, "20% in my bank account".

Alter two more examples, the President of country B, asks that of country A, "And you, how about your commissions? And president A answers "Well enough. Do you see that road?" And the President of Country B puts on his glasses, sees the empty horizon, he does not see any road and asks -"What road?" And the Prez of country A, answers "Well, my man, 100 % in my bank account".

Why is it that corrupt politicians can do such things? Part of the answer is given to us by Frédéric Bastian in his essay "The State." While asking what is the State?, he answers: "All that we know about it is that it is a mysterious personage, and certainly the most solicited, the most tormented, the busiest, the most advised, the most blamed, the most invoked, and the most provoked in the world".

But alas! The unfortunate state, like Figaro, knows neither to whom to listen nor where to turn. The hundred thousand tongues of press and rostrum all cry out to it at once: Organize labor and the workers, Root out selfishness, Repress the insolence and tyranny of capital, Make experiments with manure and with eggs, Furrow the countryside with railroads, Irrigate the plains, Plant forests on the mountains, Establish model farms, Establish harmonious workshops, Feed the babies, Instruct the young, Relieve the aged, Send the city folk into the country, Equalize the profits of all industries, Lend money, without interest, to those who desire it, Improve the breed of saddle horses, Encourage art; train musicians and dancers, Restrict trade, and at the same time create a merchant marine, Discover truth and knock a bit of sense into our heads, The function of the state is to enlighten, to develop, to increase, to fortify, to spiritualize, and to sanctify the soul of a nation." [1]

Is it understood? Corrupt politicians can be so because we give them the opportunity to be corrupt. The other part of the answer has to do with the fact that we ask them do mess with us and others, and with the fact that we give them money to do it. We refuse to believe that the same politicians that we criticize for being corrupt, inept and insensitive are the same politicians that we want to take care of important things.

I am reading that that International Monetary Fund made a positive evaluation of Guatemala´s economy. [2] And I think of Peru, or Nicaragua, drawn by huge debts. And I hope that the IMF´s veredict does not turn in a green light for politicians and groups of interest that need financing for their particular fantasies. Not in Guatemala, and not in the region.

It is a good opportunity to remember what Graham Hancock said in "Lords of Poverty" [3]: "the bureaucracies I refer to are those that administer the West´s aid and then deliver it to the poor of the Third World in a process that Bob Geldof once described as a perversion of the act of human generosity." And also the wise words of Kiraitu Murungi, minister of Justice of Kenya: "What the donors do is like raping a woman who is willing". [4]