PARAGUAY POLITICAL AND ECONOMIC UPDATE, OCT 30 -

UNCLAS ASUNCION 001385

SIPDIS

STATE FOR EB/IFD/OIA
STATE PASS TO USAID FOR LAC/AA
STATE PASS TO USTR FOR LYANG
NSC FOR SUE CRONIN
TREASURY FOR OSIA MAUREEN WAFER
TREASURY FOR OTA WARFIELD, VAN KOCH, MILLAR
COMMERCE FOR ITA SARAH COOK
SOUTHCOM FOR POLAD DAN JOHNSON

E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON PA
SUBJECT: PARAGUAY POLITICAL AND ECONOMIC UPDATE, OCT 30 -
NOV 5



1. (U) Summary:
-- President Duarte Visits Japan
-- UNCHR Petitions Paraguay
-- Eye Patients Travel to Cuba for Treatment
-- Miami Vice in Paraguay

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President Duarte Visits Japan
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2. (U) On 10/31, President Duarte began a three-day official
visit to Japan. He met with Prime Minister Junichiro
Koizumi, who praised GOP reform efforts and recent
improvements to the Paraguayan financial and judicial
systems. During the visit, Duarte secured loans 200 million
dollars to upgrade one of the two Paraguayan hydroelectric
dam. The GOP also hopes to enter into negotiations for an
investment agreement with Japan as a result of talks during
the visit. COMMENT: VP Castiglioni told Charge President
Duarte was very pleased with Japan's increased assistance,
investment interest and, political effort, calling the trip a
great success.END OF COMMENT

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UNCHR Petitions Paraguay
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3. (U) On 11/02, The United Nations Commission on Human
Rights praised Paraguay's democratic advances since the end
of the military dictatorship in 1989. However, it petitioned
the GOP to redouble its efforts in the following areas:

-- Prosecuting individuals responsible for 56 cases of
torture recognized by the GOP to have occurred during the
military dictatorship.

-- Prohibiting the recruitment of minors for military
service, investigating complaints of conscript abuse, and
compensating victims of such abuse.

-- Ensuring the independence of the judiciary.

-- Eradicating domestic violence and sexual exploitation.

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Eye Patients Travel to Cuba for Treatment
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4. (U) On 11/2, 93 Paraguayan nationals who suffer from eye
problems, mainly cataracts, left for Cuba to receive free
treatment. All 93 reportedly hail from the conflictive
Department of San Pedro. Cuban Ambassador Adolfo Curbelo
Castellano said that the GOC would absorb the costs of air
fare and treatment, adding that the gesture was part of the
GOC's program to support Paraguayan people with limited
economic resources.

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Miami Vice in Paraguay
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5. (U) On 11/3, The production of the film Miami Vice
concluded in Ciudad del Este (CDE),230 miles west of
Asuncion. This event acquired national and international
attention because this is the first time that a production of
this kind has taken place in Paraguay. One of the films
cameramen reportedly was surprised to already find on sale on
the streets of CDE a pirated version of a movie that he
worked on earlier this year.
JOHNSON