IKN

BLAME CHAVEZ FOR THIS
HUMANITARIAN DISASTER

Honour amongst thieves. This afternoon at its cabinet meeting, Peru’s 17 ministers of state decided to reject the pay rise given to them late last week by Presidential emergency decree. Or in other words, Peruvians kicked up such a fuss about this barefaced crime that the ministers collectively decided that they couldn’t get away with it.

Freeze, suckers! Chávez takes approximately four nanoseconds about deciding between cutting cheap fuel aid for US citizens and cutting aid for….errr…Venezuelans. Y’know that if Venezuela carried on spending the way did with crude at $100 it would also be frowned upon as too much public sector burden. Some you lose, some you draw, eh? Anyhow, betcha can’t wait for the first “Chávez Froze My Grandmother!” headline out of New Hampshire.

Argentina started its “plan zero” easy credit plan for new cars today. Just in time (geddit?) too, as auto production was announced today as down 47% in December YoY. Phunny phactoid; originally the first person on the list for the new car on cheapo credit was the 21 year old son of the Minister of Environment and Development, Homero Bibiloni. When the press got wind he struck his name off the list. Only in Argentina……..

Ecuador has shrinking reserves. At end 2008, international currency reserves stood at U$4.472Bn. El Comercio does the math and notes the important bit; that’s down U$1.538Bn in the month of December. Ouch. Not good.