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Viewing cable 07BUENOSAIRES707, MEDIA REACTION; US CZAR TO OVERSEE WARS IN IRAQ AND

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Reference ID Created Released Classification Origin
07BUENOSAIRES707 2007-04-13 11:48 2011-08-25 00:00 UNCLASSIFIED Embassy Buenos Aires
VZCZCXYZ0009
OO RUEHWEB

DE RUEHBU #0707/01 1031148
ZNR UUUUU ZZH
O 131148Z APR 07
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC IMMEDIATE 7823
INFO RHMFISS/CDR USSOCOM MACDILL AFB FL//SCJ2//
RULGPUA/USCOMSOLANT
UNCLAS BUENOS AIRES 000707 
 
SIPDIS 
 
STATE FOR INR/R/MR, I/GWHA, WHA, WHA/PDA, WHA/BSC, 
WHA/EPSC 
CDR USSOCOM FOR J-2 IAD/LAMA 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: KPAO OPRC KMDR PREL MEDIA REACTION
SUBJECT: MEDIA REACTION; US CZAR TO OVERSEE WARS IN IRAQ AND 
AFGHANISTAN; IMF/WB SPRING MEETINGS; BIO-FUELS; BANCO DEL SUR; 
04/12/07; BUENOS AIRES 
 
1. SUMMARY STATEMENT 
 
Today's most important international stories are related to the 
White House's alleged attempt to appoint a "czar" to manage the wars 
in Iraq and Afghanistan; the IMF-WB Spring Meetings' conclusions 
about Argentina's economic performance; IMF Research Department 
Director Charles Collyns' statement that the development of 
bio-fuels could lead to a rise in food prices; and Argentina's 
decision to side with Hugo Chavez in the creation of "Banco del 
Sur," a new step toward the country's international isolation. 
 
2. OPINION PIECES AND EDITORIALS 
 
- "Bush seeks 'czar' to oversee wars... but no one wants to take the 
position" 
 
Hugo Alconada Mon, Washington-based correspondent for 
daily-of-record "La Nacion," writes (04/12) "For more than four 
years, the White House has ignored a very specific claim from the 
military, former government officials and academics. They wanted him 
to appoint a coordinator of military and civil operations in Iraq 
and Afghanistan. President George W. Bush ignored them, although in 
recent weeks he made a change of command and his staff started 
assessing candidates. Now, at least three of them turned down the 
offer because in their opinion it is too late or too soon. 
 
"... According to 'The Washington Post' (which was later confirmed 
by the White House), the presidential team's purpose is appointing 
an overseer of both wars - a 'czar', whose position surpasses all 
other areas of government (including the US Department of State and 
the US Pentagon), who will make decisions and only report to Bush. 
 
"... However, with a divided political panorama on Iraq and most of 
the US public opinion against the war, the thee four-star generals 
rejected the offer, for which the (US) military capability is well 
far from what it used to be in 2001." 
 
- "According to the IMF, Argentina's growth is high but also is 
inflation rate" 
 
Ana Baron, Washington-based correspondent for leading "Clarin," 
penned (04/12) "The IMF believes Economy Minister Felisa Miceli will 
not obtain a one-digit inflation rate, such as the 7 per cent 
promised in the budget. According to the World Economic Prospects 
report, inflation in Argentina will be 10.3% in 2007 and 12.7% in 
20008. It is one of the highest inflation rates and is only 
surpassed by the 21% of Venezuela. 
 
"The IMF has insisted that the price controls implemented by the 
Government will not be sufficient to put a brake on inflation 
increase... 
 
"... Yesterday, in the first day of activities of the IMF/WB Spring 
Meetings, analysts pointed out that the IMF wants to convey the 
message that interest rates should be increased to lower private 
consumption and public expenditure. 
 
"... While Argentina has the highest growth rate in Latin 
America..., the IMF believes that the international economic 
situation will not be so favorable for economies like that of 
Argentina in the next years, at least not as it has been so far. It 
predicts that the cooling down of the US economy will hit the 
region. 
 
"The IMF also warns about populist policies, which could undermine 
the investors' confidence. It insists on economic reforms and an 
efficient distribution of the benefits reaped by the country's 
growth." 
 
- "In line with Chavez" 
 
Ana Baron, Washington-based correspondent for leading "Clarin," 
writes (04/12) The IMF warned that bio-fuels production will 
increase the price of food. In its World Economic Prospects report, 
the IMF stated that bio-fuels could be a beneficial energy 
supplement on a small scale, but that its promotion on a big scale 
could be traumatic. 
 
"In line with Hugo Chavez and Fidel Castro, Charles Collyns, Deputy 
Director at the IMF Research Department, underscored that the use of 
crops for fuel will raise the price of food, and he predicted 
increases in soy, wheat and corn prices." 
 
- "The Southern Bank, a questionable project" 
 
Daily-of-record "La Nacion" editorializes (04/12) "The Argentine 
 
 
Government's support for Venezuelan President Hugo Chavez's project 
to create a Southern Bank is certainly questionable... 
 
"Every time the Venezuelan president has publicly put forward a 
project, he has done it to reach greater independence from the US 
clout... 
 
"... Clearly enough, Argentina should not support such an 
initiative, particularly if this means one more step towards 
international isolation. Proposals like this one are just attempts 
to substitute Inter-American institutions. 
 
"This trend to isolation would be complemented with a risky 
dependence on Venezuela, whose government has become the most 
accessible source of funding for the Kirchner administration... 
 
"International politics should not be based on circumstantial 
ideological affinity or on opportunistic gifts. The case of the 
Southern Bank is an opportunity to show a rectification and an 
expected resumption of a more cautious and advantageous 
international policy, like that of the governments of the region 
that do not support this proposal." 
 
To see more Buenos Aires reporting, visit our 
classified website at: 
http://www.state.sqov.gov/p/wha/buenosaires 
 
WAYNE