MEDIA REACTION ON DEBT FORGIVENESS, DECEMBER 22,

UNCLAS TEGUCIGALPA 002575

SIPDIS

DEPT. FOR WHA/PD; IIP/G/WHA DIPASQUALE; AND IIP/T/ES
DEPT. FOR PM AND EB/TRA
DEPT. FOR WHA/EPSC, WHA/PPC AND WHA/CEN

E.O. 12958: N/A
TAGS: OIIP KPAO PGOV MASS EAID HO
SUBJECT: MEDIA REACTION ON DEBT FORGIVENESS, DECEMBER 22,
2005



1. On 12/22 an editorial in Tegucigalpa-based moderate daily
"El Heraldo," titled "Debt Forgiveness and our Future."
"The main success of the outgoing government is the
forgiveness of our external debt as a result of the great
sacrifices made by the majority of the people to achieve an
agreement with the IMF."

"We didn't see sacrifices by the government: there were no
significant reductions in state expenses, their income
increased due to excessive profit from fuel commerce, and
they made sure that the salaried middle class didn't benefit
by increasing the base for income taxes."

"It is necessary that the new administration adopt all the
necessary measures to reduce State expenses, except for the
expenses toward health, education, security and the fight
against poverty. If not, in a few more years we will be
back on the Highly Indebted Poor Countries' list, defeating
the efforts made by this current government and the
sacrifices made by the people. We cannot continue to count
on international sympathy and commiseration."
Ford