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7/11/09

Miami Herald: Honduras stands to lose more aid - Americas - by Lesley Clark and Trenton Daniel

For the complete report from the MiamiHerald.com click on this link

Honduras stands to lose more aid - Americas - by Lesley Clark and Trenton Daniel

The political crisis in Honduras has cost the disputed administration in Tegucigalpa nearly $20 million in U.S. aid -- and the price tag could rise if the dueling governments are not able to reach a solution. Some aid and international loans were suspended after the ouster of President Manuel Zelaya, and Secretary of State Hillary Clinton noted this week that much U.S. assistance ``is conditioned on the integrity of the democratic system.'' Several members of Congress and Latin American advocacy groups have called on Clinton to cut off all aid to the de facto government to send a strong message that military coups will not be tolerated. Analysts say the interim government could hope to ride out a potential cutoff in aid until elections in November, but analysts said the damage could be considerable as construction projects dry up and the government grows short of cash.

The United States last week said it was suspending some aid to Honduras while it determined whether the removal of Zelaya met the definition of a military coup under U.S. law, which cuts off all but humanitarian aid to the government of any country ``whose duly elected head of government is deposed by military coup or decree.'' Note EU-Digest:Looking at the events that took place as to the ouster of President Zelaya there should be no doubt that this was a military coup. It is important the US take the appropriate action to put "its money where its mouth is".

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