Achievements and future prospects for Latin America.

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Photograph of Ahmed Correa Alvarez.

MADRID- Pamela Ledesma

Ahmed Correa Alvarez, an expert in the region that is from Cuba and is now residing in Ecuador. He is currently working for the Ecuadorian government in the analysis and innovation of education, selecting and giving out grants so that students without the financial means can study. Education is the key to getting in touch with the Latin American youth and providing opportunities for the future leaders of the world.

To be able to explain the current situation and complex dynamic of Latin America in terms of its political system we must look at some past elements beforehand. After the gas-run dictatorships were broken down and democracy was thought to have triumphed in Latin America many countries adopted a complex multiparty system. Since these multiparty systems are presidential and not parliamentary they could easily lead to crisis. According to Ahmed, the way to avoid a multiparty crisis is a complex and abstract task. Ahmed looks at two examples closely, Mexico and Spain to point out the crisis that can occur in any party system.

When observing a system like Mexico’s, where the traditional formations of parties play a critical role and fraud is part of the leading powers, usually tied to crimes, “there are little options left for a interior transformation, even for parties like PRD that present themselves as a left-wing party” argues Correa. On the other hand, when comparing multiparty systems from Latin America to the Spanish system that is coming out of a party crisis, and new “organizations like Podemos have generated a renovating process, sanctioning old parties and favoring new ones”.

What this means is that whether it is a strict two party system or a multiparty system, when there is enough social discontent and internal crisis the system reaches for new, healthier alternatives. Social manifestation is the key to any real change and that is true in Latin America’s multiparty system as well.

On the other hand, when focusing our attention on the future of Latin America, our eyes inevitably are turned towards the new tendency of the 21st century socialism. This is a regional, political transformation that is practiced by countries like Venezuela, Bolivia, Ecuador and Argentina. “It is a proposal, a new way of organizing politics and a response to the neoliberal model in the region while differentiating itself from the last century’s socialism”, states Correa.

We can think about the judgment of this model at a regional and more specifically at a national level. Ecuador, as an example, has already brought forth important results of social inclusion projects. Correa states several illustrative examples when looking at the benefits of this new model. For example, the rise in the investments in the public sector, groups that need the government’s attention the most, historically discriminated groups are now included in the public space. All these social factors stated before are now taken into consideration thanks to this new model.

Now, when contemplating if there’s indeed is a future to this doctrine, and the countries that have adopted this political stance, Correa pointed out two initial preoccupations.
1) To consider the real possibilities this movement has to create social organizations in an innovative and social manner. Correa states that, “this is not to be confused with capitalist practices of a welfare state, which is important, but has its limitations like, in some cases, putting the benefit of only certain social stratus before others, excluding others”.
2) The risks that the institution includes for certain processes like the bureaucracy and change between the relations between social agents and political leaders. This can be referred to the increment spending in the public space. If this happens, it implies “the denial of socialism and imposing a real possibility of failure and setbacks”, declared Correa.

Although the 21st century Socialist doctrine seemed to be an innovative, fresh doctrine, there are other key factors that could improve the future of Latin America, which should not be taken with a grain of salt. Multilateral, regional organizations are essential when looking towards a more successful Latin America. “ALBA could materialize efficiently things that governments have not been able, that’s what they’re here for” claims Correa. Multilateral organizations serve as political stabilizers; therefore, they’re necessary for any future advances in the region. As each day passes social workers, activists and the people of Latin America tackle these goals to get closer to becoming a prosperous region.

The stumps in the road to Latin American integration

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Photography of Xavier Muñoz Aray

“Eventually, countries should worry about taking better advantages of the traditional processes of integration, while strengthening new initiatives, so that all can engage in their respective areas to the international reality”.

MADRID – Valeria Michelle Larco

Latin America is a developing region known for its multiculturalism and plurinational nature. A history based on inequalities, disorganized growth and unstable governments have led to different challenges for the society and democracy in general. Xavier Muñoz Aray is an expert on the region and he talks about these problems that Latin America has to face nowadays. He was born in Guayaquil, Ecuador; he is an economist and has worked in the Peruvian consulate, today he works in the Ministry of International Relations of Ecuador as the first secretary of the Ecuadorian External Service.

The most important challenges that the region is dealing with is promoting human rights, reducing social inequalities, fighting against corruption and a responsible exploitation of non-renewable resources, he says. The political parties have to have a high level of representation of the population and that is why their role should be based on attending social concerns and necessities in a frame of a broad social debate.

When referring to the socio-economic situation of the countries, democracy is always the one that has been affected by these irregularities. He defines democracy as a system centered on communal wills; this is why a high level of social convulsion and a general discontent is always a risk for this system. Nevertheless, nowadays governments have given more importance to the reduction of inequalities and promoting social inclusion especially from the countries that have adopted a new “socialist” tendency.

The left wing in Latin America and the rise of Socialism of XXI Century have changed the dynamic of the region. “I consider that as in economic issues, politics is cyclical”, Xavier says. The left wing here is not a generalized tendency and we need to recognize that Socialism of XXI Century has taken advantage of the deterioration of traditional political parties. It was also a new proposal that emphasized on the grating of human and social rights, which were historically forgotten. On the other hand, the governments that follow this tendency have been involved in confrontations with different media and opponents, which have led to a higher investment of resources trying to protect their image and levels of popularity.

At the same time these progressive changes in society are accompanied with an important approach of Latin American countries with China in terms of economy. As an economist, Xavier recognizes that “China is nowadays the economic power with higher projection, whereby this economical rapprochement is beneficial when talking about a huge market for Latin America”. However, the conditions established by China have not been the best for the region and that is why they have to be careful in the long term with the excessive indebtedness. In case of not applying responsible policies, this would have implied an unnecessary rupture of the relations with some traditionally creditors, without a substantial improvement of the credit or exchange conditions.

In effect, mainly by left wing governments, there has been a lot of criticism of the United States and the international lending agencies, according to the policies that were applied based on the Washington Consensus. That distanced speech has helped maintain their popularity. Currently, because of the crisis, these countries have been forced to accept less favorable financing conditions. Anyways, I don’t think there is a correlation between an improvement in the relationship with that country and agencies, and the fact that the democratic or economic environments are strengthened, the expert says.

One of the countries that have separated themselves from this tendency is Brazil, leaving their left wing ideology to the side to undertake a more pragmatic policy according to their international objectives. Brazil is an emerging power and with Mexico it is the most representative economy of the region, nonetheless and unfortunately the levels of corruption and crisis have stopped the economic growth of the country. Furthermore, despite having international prestige, Brazil suffers from severe internal social problems, which is again one of the main challenges of the region

At the same time, the normalization of the diplomatic relations between Cuba and the United States answers to a clear political will to overcome historical impasses. “This not only opens a new chapter in the relations between Cuba and the United States, but also with all Latin America. The antagonist position will attenuate and this could affect the speech of the countries that have criticized the United States for their management of their relation with Cuba”, says Xavier about the new prospects on the region.

As an overview of the situation, he stated that regional integration processes arise from the will of its members. Due to the size and political importance of Latin American countries in the world order, it is important to strengthen regional blocks. That is why today the traditional processes such as the Organization of American States (OAS), the Andean Community and Mercosur are going through difficult moments, mainly by the ideological differences of the members. The emergence of new initiatives such as UNASUR and CELAC are important, although they have failed to take off completely, and they are not even near to what the Andean Community and Mercosur have reached.

Watching Latinoamerica with Cesar Lajud

Madrid, Karen Santillan Rivero.

Interview to César Lajud Desentis.

¨The key for the developmente always will be the dialogue…

Degree in Economics, graduated from the National Polytechnic Institute of Mexico, account various post-graduate courses at the Instituto Tecnologico de Estudios Superiores de Monterrey, Mexico, Kenshu Center in Yokohama, Japan and the Ministry of Trade of Sweden. He has worked as Commercial Counsellor of Mexico in Spain, Venezuela, California, USA and Cuba. As well as Director at the National Foreign Trade Bank in defining strategies for international promotion. coordination and administration offices abroad. He has served as Consul General of Mexico in San Francisco, California, International Consultant and Director of Business Development at Microsoft. Now, he is professor of the UEM.

During this interview we talk about points of interest and about Latin America today, especially in economic and diplomatic issues and their views on recent actions by some countries as the United States.

Photography of Cesar Lajud

In relación of the Nicaragua Canal, he said that the first thing to consider is that the process of building the next canal of Nicaragua, certainly should have a positive impact on the economy of the región and the country in particular, obviously this process on the other hand allow the investment matures has been done in the Panama Canal : ¨(…)I think that the space could capture in terms of market the Grand Canal is also interesting, there’s space for both possibilities, it would be complementary to what already exists, there will be a great competition with the old canal, first insist the process of construction and development after consolidation, surely this will greatly help the industry shipping industry to have greater opportunities and more alternatives to cross the Atlantic to the Pacific and vice versa.¨ (..)

Cesar Lajud talk me about the agreements between Nicaragua and Rusia in the military aspect and said that ¨(…)countries are sovereign to sign agreements with whom consider wise¨(…)  , I think that as the Chinese president is doing in some Latin American countries, certainly he said that  there will be interests of both countries on cooperation in the matter, somehow¨ it’s like when you have alternatives to provide you with a product, is the same in the arms industry,¨ the Russian suppliers could be interesting for them.

He wrote recently an article really interesting about Venezuela and the risks  of the economic collapse, he said that in this article Venezuela have to do with the economic develop life in the short and medium term of Venezuela and one of the central proposals is the need to seek agreements for overcoming the problems currently Venezuela, as are the inflation on the one hand and on the other the exchange rate is too los and the problem of economic growth that also has to do.

¨(…)With that I want to tell you that when I raised the need for agreement I´m referring to the social sectors, the government, the business sector a number of concrete actions are allowed to address the shortage, the rise in commodity prices, increasing in the interest rates by the government, the actual possibility of easier access to foreign exchange by enterprises and the general population. What I insist on is that through dialogue can solve many things.¨(…) explained Lajud.

Moreover, on the American sanctions against Venezuela, there is there an internal decisión by the United States which considers the country on that list, that is not nice, if your time comes Venazuela and is bringing to Cuba the same list,  is internal sovereign decisión of the United States that tells you that it is not the best posibes relations and there is a significant need to find points of convergence and the internal case also outward.

During the interview he talked too about the new relations between U.S and Cuba and the economic changes after this, and he says that ¨It’s a very positive for both countries step is a step of great importance to the increased trade to increased economic relations and investment and other very important thing that there is a significant Cuban population in Florida, as that will open eyes on both sides of the Caribbean that allows greater flow of people, trade and economic exchange achieve better results for both countries. No doubt that is a significant step, as Obama also said: ¨(…) I do not like this law, which I have more time, I mean the law is older than I (….) It is also a way of seeing things,  it is an anachronistic and the blockade is also surely , the restoration which hopefully short term, allow better communication between the two countries.

One of the last questions was about Colombia and the recently atack of las FARC to some military elements of Colombia, Cesar Lajud says that, ¨what is happening in Colombia certainly has noticed President Santos, the best way to resolve this issue which has quite a few years and that is a tragedy for all that in a war no one wins, certainly the dialogue is very important, so much so that have had an important dialogue in Colombia constantly, even in these days the FARC said lifting the ceasefire in general, which can generate high fighting, I’ll tell you that in the military forcé and armed struggle lose all the population the government and even the FARC.

Cesar  Lajud concludes the interview saying  ¨ I always think that the best solution is dialogue.¨

Overview of Colombia by Holman Jiménez Ardila

“If the countries of Latin America do not cooperate as if they were only one, they are intended to succumb and be weakened versus other economies: the United States, China, India, Japan and the European Union”

 MADRID – Amanda Aguirre Alexandrova

Holman Jiménez Ardila is one of the four children of a Colombian family who had immigrated to Spain. In his country of residence he works as responsible of special programmes and communication in the Ibero-American organization of Social Security (OISS).

Photography of Holman Jiménez Ardila

Photography of Holman Jiménez Ardila

When Holman was asked about his country, he described it as a wonderful place to live in. Colombia has many peculiarities, the society is divided in several races and all of that makes the country more attractive and interesting. One sister and two brothers of him still live there but he had to move because as he claimed:

“As you can deduce from my testimonies, Colombia is a very beautiful country, however, it is very difficult to live there at this time in the last decades”.

Along the interview the main issues we have touched are the one of the drug trafficking and the political situation of the country (specially about the relation between the government and FARC).

In relation to the drug trafficking, he says that it is a big problem in the region because the dealers and those who grow the drugs are breaking the rules and in many cases they are involved in armed attacks and violence. In fact, Jiménez Ardila thinks that the government is the main responsible for those incidents: “ It is a very complex issue because there are farmers fully financed thanks to the cultivation of cocaine, marihuana, etc. There is not a real planning of the government that supports the change of growing and that backs-up the countrymen. A real agrarian reform is needed (…) In my opinion, the drug trafficking represents a great burden for society (it buys the conscience of politicians, the police, judges, entrepreneurs, etc.), because it is the beginning of a huge number of violent attacks, it destroys societies and it attempts on the life of the global population” One of the main case of violence in this field, known by Homan, is the case of Luis Carlos Galán, a politician murdered by the Medellín cartel. Finally, the interviewed concluded that Colombia should follow the steps of Bolivia, a country that has legalize the production of drugs and, in that way, it has reduce the drug trafficking.

Jimenez Ardila sees the last episodes occurred in Colombia in relation to the ceasefire between the government of Colombia and FARC in a sceptical way and he stated, “I think peace is too far away from Colombia”. To end this long-lived confrontation transparency is required “the government of my country in the last decades has practiced a double standard”. Holman thinks that the problem with FARC is not going to be solved until a real democracy exists in Colombia and also, until a real participation of the Colombian population on the management of the State happens”. The reintegration of the guerrilla members in the political life constitutes a delicate issue. On the one hand that might assure a balance of ideologies and balance in the approach. On the other hand there are some cases of reintegration as the one of the major of Bogotá who is an ex-combatant of FARC, but they are not working fine. “Choosing the right people of FARC that should participate in politics in Colombia is a sensitive topic –said the interviewed but the only thing that is sure is that this people can not have blood on their hands.”Another shocking point is about the protection of people threatened by the guerrilla. There are not any national policies to protect them. Instead of that, there are some NGO’s working on this issue as ICRC (International Committee of the Red Cross), explained Holman.

“Evidently it is necessary the international community to get involved in this issue, but not only through announcements of the heads of state and the heads of government. What is essential is to have a real commitment leaded by the UN, the OAS (Organization of American States), etc. to create a commission that supports the peace process and that is really engaged with serious claims.” Holman Jiménez Ardila ensures that the genocides that have took place in Colombia and the violation of Human Rights that have never been judged must be judged also by the international community to have fair trials that may help in the duty of finishing with this armed conflict in Latin America.

AUTONOMY IN LATIN AMERICA

Finally emphasizing on the area of autonomy and sovereignty of the region Holman has a clear idea “The autonomy is something fundamental at the time of preserving sovereignty, therefore, the autonomy of a region has to be its guarantee of sovereignty”. Most of the countries of Latin America still depend on the economies of the EU and the US and Holman Jimenez Ardila assures that “If the Latin-American states do not advance and do not adjust their management model for guaranteeing the optimization of their resources with efficiency and quality. In that way, the social models would be improved and the population would be able to self-manage their own resources. Only then, we are going to notice the reduction of poverty, the reduction of inequality and the social justice improvement.”

Spanish Cooperation in Latin America and the Caribbean

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Fernando Rey and Juan Carlos I. Photo taken by Mr. Rey.

MADRID-María Murillo Luque

Fernando Rey Yébenes, the Assistant Coordinator General of AECID, the Spanish Agency for International Development Cooperation that reports to the Ministry of Foreign Affairs and Cooperation through the State Secretariat for International Cooperation and Ibero-America, born in Priego de Córdoba (Spain),agreed to be interviewed via E-mail from Bogotá.

Mr. Rey started his connection with issues related to economy, social situation and development in South America in 1986, when he was a student in ETEA, the Faculty of Economics of the University of Córdoba (Spain).

“In my second year of university, some university friends and I decided to create the Standing Seminar for Latin America (SEPAL), as a place for debate and reflection on the Latin America and the Caribbean situation” Mr. Rey said about his first link to this issues. This Standing Seminar was supported by professors from the Centroamerican University (UCA) of Managua and El Salvador, as well as the University of La Habana.

When Mr. Rey finished his years of college, the Etea Foundation, that received funds from the Inter-University Cooperation from AECID, opened a call for UCA-ETEA-ESADE Convention to coordinate inter-university cooperation between these three educational institutions in addition to lecturing finance at UCA Managua to students in the fourth year of degree. “From 1994 to date, I have applied my knowledge of business administration, management of the Spanish Cooperation in Latin America”, Mr. Rey says, who have lived in countries such as Nicaragua (1994-1995), Guatemala (1996-2000), Perú (2000-2007) and Colombia (2007-2015).

“My career in International Cooperation has always been linked to the AECID and has gone from the bottom-up” Mr. Rey claims.

FRY EN NARIÑO 2

Fernando Rey in Nariño (Colombia). Photo taken by Mr. Rey.

As the Assistant Coordinator General of the Technical Cooperation Office (OTC) of AECID, distributed throughout the whole world in 23 Offices, his job involves several activities such as “Support in general for the work of the Coordinator of the Spanish Cooperation in Colombia and its replacement in case of absence or illness. Management of financial resources allocated by AECID Cooperation programs or management, monitoring and control of the bilateral cooperation programs” among others.

“We have coordinated an executed funds from Official Development Assistance (ODA) of Spain for approximately 235 million euros over the past 5 years in Colombia, a human resource of about 22 people” Mr. Rey claims about the objectives reached in the past five years.

Taking into advanced the fact that Mr. Rey has lived in different countries of Latin America, I decided to ask him if Spanish Foreign Policies are applied in the same manner or if they are modified according to the place. “Foreign Policy Cooperation of Spain is defined globally for the IV Master Plan for Spanish Cooperation 2013-2016, developed by Central government, regional governments, local authorities, NGOs.. This Plan is taking as a model for the 23 offices of AECID and also each country counts with a National Development Plan that is adapted to each of them”. Mr. Rey explains that in the case of Colombia, AECID is carrying out negotiations with the Colombian State that are totally different from the rest of the countries such as Peru, Ecuador, Venezuela or Bolivia. Also, it is important to take into account that the existence of an internal armed conflict for more than 50 years of operation in Colombia and high indicators of inequality within the country, make the policy of cooperation agreed with the Colombian State different from other countries in the region.

Focusing now in development issues, the water sector is of the main objectives of the Country Partnership Frameworks to improve in the next four years, supporting the participation of user organizations in monitoring the management of water and sanitation, and promoting community participation in watershed management. According to that, Mr. Rey says: “In Colombia, additionally, the sector foresees actions with vulnerable population caused by forced by the violence of armed conflict or natural disaster displacement, especially those resulting from climate change, through watershed management and incorporation of management risks associated with water resources”. “To date seven projects are co-financing (together with Colombian institutions), amounting to 58.7 million euros from Spain, reaching approximately 300,000 holders”. All these intervention are contributing to achieving the MDGs by Colombia in 2015.

The armed conflict that is now occurring in Colombia (FARC) not only has an impact in the harm of people, it also has an impact in economy and social issues. The negotiation process between the Colombian government and the FARC, which takes place in Havana from November 2012, has an Agenda based on 6 points. The end of the conflict, illicit drugs and victims among all.

“Estimating a cost for the post conflict in 45,000 million dollars (Senator Roy Barreras, President of the Peace Commission of the Senate), Colombia would be able to face the cost because of its economy. Also international funding would provide a special value in the first moments” Adds Mr. Rey.

The signing of the Peace Agreement in Colombia would also have its own effects. As Mr. Rey mentioned, “It would affect the achievement of the MDG’s goals and also a considerate GDP growth in 1 or even 2 points”. He also mentioned that the Donor group in Colombia is concern about the existence of trafficking drugs and the illegal mining could still occurring even if it is possible to sign this agreement.

Going back to the armed conflict, and taking into account the latest news about the end of the cease-fire established in December 2014, previously violated by FARC in April 2015, I asked Mr. Rey, which were their expectation to the end of the conflict, “Coordinated international community in the Cooperative Group is supporting the Government of Colombia to find a peaceful solution. We are preparing for an upcoming peace agreement and willing to meet the requirements of the Government of Colombia arising from the negotiations in Havana. Colombia is living a historic moment in the peace negotiations, and I personally hope that this process will culminate a lasting peace agreement.” He finally said adding a last quote: “As the negotiating parties established, nothing is agreed until everything is agreed”.

Venezuela violates the Declaration of Human Rights

“The last episode of threats and violence in Venezuela against Leopoldo López proves that the government of Nicolás Maduro is violating the Human Rights”

Leopoldo López in a demonstation against the Venezuela's government

Leopoldo López, a politician and economist born in Caracas, was the leader of the opposition against the Chavez government in 2006. Currently López is imprisoned since 2014, accused of terrorism, murder and burning of public buildings. According to this situation, Amnesty International, and other organizations based on the conservation and protection of Human Rights around the globe, condemned the acts for being politically motivated.

Last week, López, was able to upload a video that become viral hours later. In this video, recorded in Ramo Verde prison, he encouraged the population to take part in a national demonstration as well as he informed that Daniel Ceballos, the ex-mayor of San Cristóbal, and him were going to start a hunger strike in order to manifest themselves because of the situation of the country.

Once the video came viral, Ceballos was taken into prison and López transferred punishment cell where some cruel acts have occurred. López has been humiliated and beaten in prison by order of the government.

Violation of Human Rights has been occurring in this case. As we can see, there is no possibility of freedom of expression on the part of population because if population express statements against the government, they are directly sent to prison. If a person encourages others to demonstrate themselves in order to try to improve things, they are kicked and humiliated. If Human Rights are not respect by the sphere of politicians and governments, it is impossible to expect the rest of the population to do it, so the peaceful solution to problems would never take place.

Indeed before being arrested López said:

“We are facing an unfair justice which doesn’t judge according to the Constitution and the Law”

According to the situation that the political prisoner is living, he wrote a letter which is posted on his twitter account in which he explains the main reasons why he is not eating: as a protest against the government and also because of the treatment received by the political prisoners in jail.

El Tiempo, a Colombian newspaper claims that the inter-American Commission on Human Rights has given the 19th April precautionary measures to Leopoldo López and Daniel Ceballos because they consider that the life of those men are in danger. Two of the most important articles of the Human Rights Declaration that are being violated are the one that defends the freedom of speech and the Article 5 which talks about the tortures. In the international panorama, the UN has asked for the liberation of Leopoldo López because they say he vas arrested under an arbitrary arrest.

The case of Leopoldo López is only one of the huge numbers of people arrested in Venezuela under the jurisdiction of the government of Nicolás Maduro but is an eye-catching example to observe how this country is nowadays violating the Declaration of Human Rights. International commitment is needed to stop those kinds of acts and to establish limits to the Venezuela’s government.

An alternative to the outdated Panama Canal

This past December the construction of a new, modern canal to make front with the Panama canal has been announced  The Nicaragua Canal, a transatlantic alternative canal has been to move forward in the next five years.

The creation of the canal has been assigned to HKND, a Chinese company specialized in construction and infrastructure. The designated budget for the project is of US $ 50,000 million, for the creation of a 278km canal. The principal aim is to connect the Caribbean Sea, the Atlantic Ocean to the Pacific through Nicaragua and facilitate trade.

For the past 100 years the Panama Canal has been one of the key means for the development of international trade. However, with the new demands of world trade, the realization of a larger, modern route, an alternative waterway is necessary, to meet the needs of a globalized world.

This canal will attract many advantages, among them, larger ships will be able enter the area for the global transportation of goods. The route is estimated to save up to 900km on the way from coast to coast, compared to the Panama Canal.

Dr. Telémaco Talavera, spokesman of the Commission of Grand Interoceanic Canal of Nicaragua urged to the U.S and the nations of Europe to join the BRICS on the construction of the canal:

“I would say that not only can join, I would say to be joined in this initiative because we really can not live in the world of confrontation.”

Location proposal for the Nicaragua canal (BBC Mundo)

This jointed project will change the geopolitical balance and future of Latin America and the BRICS. The overall goal is to strengthen the role and the relationship the of BRICS, especially Russia and China, this will allow these countries to create an effective front against the Panama canal.

The dispute for the control of the Western Hemisphere and trade has led to a speculative reaction of the US government. The US embassy in Nicaragua expressed their dissatisfaction of the construction of the canal.

This past February the defense military, gave Russian warships permission to patrol the waters of the Caribbean Sea. “As for the military agreements we have signed today are a continuation and legal registration of our traditionally friendly relations,” said Sergey Shoigu.

The United States has had the control of Suez and Panama canal and has historically been the superpower of the area. The new ties between Russia and Nicaragua and the presence of China could be seen as a threat to the position the United States has traditionally held in the area. The U.S. embassy in Nicaragua expressed their concern and skeptical position towards the construction of the project.

“The lack of information and transparency that has existed, and continues to exist, over many of the important aspects of this project” stated the U.S. embassy in Panama.

The negotiation between HKND and state of Nicaragua agreed that Nicaraguan government will receive minority share and receive revenue of some of the profits produced by the canal.