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Reflections On The Continuing War Against The Poor By Carl Whitman
The reports of Witness For Peace Delegations returning from Central and South America continue to provide valuable first hand reports and interpretations of US policies, especially for local US citizens and members of Congress. In the 1980s, it was known that members of congress depended on reports from Witness for Peace (WFP) for accurate information on activities in the Contra War in Nicaragua. The Contra War was illegally funded by elements of the national government using money that was obtained by selling arms to Iran (the Iran-Contra Affair). Members of WFP delegations, and delegation coordinators living in the war zone, provided members of congress with first hand, reliable reports on what was happening on the ground. This was in a time when media reporting was becoming unreliable, often based on second-hand information. In the 1990s, after the election of Violetta Chimoro as president of Nicaragua (and the end of the Contra fighting), visiting WFP delegations observed that economic and social policies adopted by President Chimoro did not result in prosperity for Nicaraguans. Rather, visiting delegations heard reports from government officials that loans from the World Bank designed to help the economy, were much less than what the World Bank had led the country to expect. The bank had promoted loans to help develop exporting, increase the National Gross Product, thereby stimulating the economy. But when the revenues fell short, the government had to obtain one loan after another to avoid an impending financial crises. By agreement, the bank required the government to adapt its budget to IMF expectations, reduce its general expenditures and privatize its utility services. When the government obtained additional loans in successive years, there were: cuts in subsidies and financial support for family farms that were essential for the local food supply; reductions in health care and education; increased costs for electricity, telephone and water utility services. With each IMF approval, the payment of debt service to the World Bank was to be a first priority. Witness For Peace (WFP) joined the “Fifty Years is Enough” campaign to close or reorient the World Bank. Thus in 1995, with special organization and publicity, WFP mounted a demonstration in front of the World Bank's Washington headquarters during the bank's annual meeting. They challenged the practice of maintaining an accumulation of increasing debt owed the World Bank by poor indebted nations. David Korten, who had worked with US government development in the Pacific, came to the demonstration and spoke in Dupont Circle from his then new book, “When Corporations Rule the World.” He saw that development through lending money often helped large corporations, but didn't improve the lives of people. WFP observed a pattern in which the Bank, as an ongoing practice, awarded loans to countries even though they had corrupt governors who were known to hide loan money in personal Swiss bank accounts for their future benefit. When corrupt leaders left office, they left an indebted nation with its poor population burdened with debt service payments to the World Bank. These shady operations revealed that the bank was concerned about operating at a profit, at all costs. Its oft repeated aim “to reduce poverty,” was a business statement, suggesting its motives were pure, on par perhaps, with United Nation's idealism of “promoting economic well being and prosperity.” While the World Bank and the International Monetary Fund (IMF) were busy extending loans and overseeing Structural Adjustment Reviews of Nicaraguan and other national budgets, there developed international pressure to open up world trade and revise the aging General Agreement on Tariffs and Trade (GATT). This was promoted by large corporations seeking increased international trade. It was also promoted by large, prosperous trading nations. They held secret conferences and developed trade agreements that advocated “free trade” and eliminating existing treaties. This led to acceptance of the North American Free Trade Agreement (NAFTA) and the Central American Free Trade Agreement (CAFTA). WFP has protested that these agreements help the corporations, not the people. They have been especially hurtful to the peoples of Nicaragua and Mexico because of the provision that allows US governmental subsidies for agribusiness to grow corn and then sell it in Mexico and Nicaragua at below the cost of production. Local farmers raising corn can't compete. They become desperate, lose their farms, and then illegally seek work in the US. The important work of Witness for Peace delegations gives delegates a grass roots understanding of these situations. WFP reports, along with on-going grass roots support, helps change unfair trade policies that favor wealthy international corporations while assaulting the hardworking people of all countries involved. We protest the ongoing War Against the Poor. Carl has served on the Witness For Peace Board of directors, the New England Steering Committee and as New England Organizer

Reflections On The Continuing War Against The Poor
By Carl Whitman

The reports of Witness For Peace Delegations returning from Central and South America continue to provide valuable first hand reports and interpretations of US policies, especially for local US citizens and members of Congress. In the 1980s, it was known that members of congress depended on reports from Witness for Peace (WFP) for accurate information on activities in the Contra War in Nicaragua.
The Contra War was illegally funded by elements of the national government using money that was obtained by selling arms to Iran (the Iran-Contra Affair). Members of WFP delegations, and delegation coordinators living in the war zone, provided members of congress with first hand, reliable reports on what was happening on the ground. This was in a time when media reporting was becoming unreliable, often based on second-hand information.
In the 1990s, after the election of Violetta Chimoro as president of Nicaragua (and the end of the Contra fighting), visiting WFP delegations observed that economic and social policies adopted by President Chimoro did not result in prosperity for Nicaraguans. Rather, visiting delegations heard reports from government officials that loans from the World Bank designed to help the economy, were much less than what the World Bank had led the country to expect.

The bank had promoted loans to help develop exporting, increase the National Gross Product, thereby stimulating the economy. But when the revenues fell short, the government had to obtain one loan after another to avoid an impending financial crises. By agreement, the bank required the government to adapt its budget to IMF expectations, reduce its general expenditures and privatize its utility services.
When the government obtained additional loans in successive years, there were: cuts in subsidies and financial support for family farms that were essential for the local food supply; reductions in health care and education; increased costs for electricity, telephone and water utility services. With each IMF approval, the payment of debt service to the World Bank was to be a first priority.
Witness For Peace (WFP) joined the “Fifty Years is Enough” campaign to close or reorient the World Bank. Thus in 1995, with special organization and publicity, WFP mounted a demonstration in front of the World Bank's Washington headquarters during the bank's annual meeting. They challenged the practice of maintaining an accumulation of increasing debt owed the World Bank by poor indebted nations.
David Korten, who had worked with US government development in the Pacific, came to the demonstration and spoke in Dupont Circle from his then new book, “When Corporations Rule the World.” He saw that development through lending money often helped large corporations, but didn't improve the lives of people.

WFP observed a pattern in which the Bank, as an ongoing practice, awarded loans to countries even though they had corrupt governors who were known to hide loan money in personal Swiss bank accounts for their future benefit. When corrupt leaders left office, they left an indebted nation with its poor population burdened with debt service payments to the World Bank. These shady operations revealed that the bank was concerned about operating at a profit, at all costs. Its oft repeated aim “to reduce poverty,” was a business statement, suggesting its motives were pure, on par perhaps, with United Nation's idealism of “promoting economic well being and prosperity.”

While the World Bank and the International Monetary Fund (IMF) were busy extending loans and overseeing Structural Adjustment Reviews of Nicaraguan and other national budgets, there developed international pressure to open up world trade and revise the aging General Agreement on Tariffs and Trade (GATT). This was promoted by large corporations seeking increased international trade. It was also promoted by large, prosperous trading nations. They held secret conferences and developed trade agreements that advocated “free trade” and eliminating existing treaties. This led to acceptance of the North American Free Trade Agreement (NAFTA) and the Central American Free Trade Agreement (CAFTA).

WFP has protested that these agreements help the corporations, not the people. They have been especially hurtful to the peoples of Nicaragua and Mexico because of the provision that allows US governmental subsidies for agribusiness to grow corn and then sell it in Mexico and Nicaragua at below the cost of production. Local farmers raising corn can't compete. They become desperate, lose their farms, and then illegally seek work in the US.

The important work of Witness for Peace delegations gives delegates a grass roots understanding of these situations. WFP reports, along with on-going grass roots support, helps change unfair trade policies that favor wealthy international corporations while assaulting the hardworking people of all countries involved.

We protest the ongoing War Against the Poor.

Carl has served on the Witness For Peace Board of directors, the New England Steering Committee and as New England Organizer