Costa Rica in Crisis
Internal Battles
Begin Within the Government
Ranks
The accord with the protestors
was signed, but before the ink
could dry, the battle within
government ranks broke out.
Transport Minister, Javier
Chávez, admitted yesterday that
they made a mistake in signing
the accord with the strikers and
protestors, that almost
paralyzed the country for more
than a week.
The decision will cost the
government about ¢3.000 million
colones in added expenditures
for the salary increase given
public employees
And, late yesterday afternoon,
in his last act, former Revenue
Minister, Alberto Dent,
announced a proposed financial
budget for next year.
Dent, right to the end, stuck by
his numbers, showing how the
salary increases will affect the
2005 budget, saying that it is
now the problem of his friend,
Ricardo Toledo, Minister for the
Presidency and President Abel
Pacheco's right hand man.
Following Dent's resignation,
the government's economic co-ordinator,
Ronulfo Jiménez, yesterday
announced his resignation as
well. Jiménez was to have left
his post on Oct. 1, but decided
to leave early following
President Pacheco's comments
that no one in the government is
indispensable.
Rumours floating at Casa
Presidencial the possible
resignation of at least one
other high ranking government
official, however, no details
were disclosed.
Meanwhile, Helio Fallas,
Minister of Housing, said that
the Banco Hipotecario de la
Vivienda (Banhvi) will lend the
government the ¢3000 million
colones it needs to pay the
salary increases.
Fallas was emphatic that the
money will not come from funds
destined to for "bonos" housing
bonds, but rather will come from
the Fondo Nacional del Vivienda
(Fonavi), a fund for various
other types of housing credits.
Fallas added that his ministry
is responding to the social
emergency the country finds
itself in. |