PRESIDENT PACHECO COMMENTS ON CAFTA-DR

UNCLAS SAN JOSE 001740

SIPDIS

WHA/CEN
EB FOR WCRAFT
E FOR TSMITHAM
WHA FOR WMIELE
WHA/EPSC FOR KURS
H FOR JHAGAN
STATE PASS TO USTR FOR JYOUNG, CPADILLA, AMALITO

E.O. 12958: N/A
TAGS: ETRD ECPS ECON PREL PGOV SOCI CS
SUBJECT: PRESIDENT PACHECO COMMENTS ON CAFTA-DR

REF: (A) SAN JOSE 01639
(B) SAN JOSE 01455
(C )SAN JOSE 01713
(D) SAN JOSE 01720
(E) SAN JOSE 01722


1. (U) On August 3, 2005, during his first weekly press
conference held since CAFTA-DR was approved and signed by
President Bush, Costa Rican President Abel Pacheco
officially congratulated the U.S. government for ratifying
the United States-Central America-Dominican Republic Free
Trade Agreement(CAFTA-DR) and remarked on the efficiency of
the U.S. Congress. At the same time, President Pacheco
insisted that, in Costa Rica's case, there is no hurry to
approve the agreement and it is necessary to take the time
to analyze CAFTA-DR and to not make hasty decisions.


2. (U) "I am happy that George W. Bush ... signed CAFTA-
DR. It is enviable how American democracy works," said
President Pacheco. He added that "throughout history,
Costa Rica has been prudent, and I prefer to wait until the
clouds clear ... I will wait on the opinion of the
Commission of Eminent Persons who are studying the
agreement." (Ref A)


3. (U) Pacheco added, "I always have said that in Costa
Rica we will sign CAFTA-DR at the appropriate moment, and
it is the Legislative Assembly that will make the
decision." He continued "...why do you push me regarding
how long it will be until I send CAFTA-DR to the Assembly?
I don't understand. Throughout history we have seen that
when we rush to judgment, things turn out badly." When
asked about mounting pressure from various business and
political groups (Refs C, D, and E),he retorted "What is
the hurry? We will go slow."


4. President Pacheco reiterated his requirement that the
Legislative Assembly approve the Fiscal Reform package
prior to his sending CAFTA-DR to the Assembly (Ref B).
KAPLAN