MercoPress. South Atlantic News Agency

Former vice-president candidate to replace Bielsa

Carlos Alvarez, former Argentine vice-president of the ousted Fernando de la Rua administration is mentioned as the candidate to replace Rafael Bielsa in Foreign Affairs if he manages to be elected Deputy for the city of Buenos Aires.

Joaquin Morales Sola, one of the most prestigious Argentine political analysts put forward Mr. Alvarez name in his weekly La Nacion column, although President Kirchner's Cabinet Chief Alberto Fernández said "ministerial changes" would be taking place following the results of the coming October mid term elections.

"It's very hard to articulate changes in the cabinet without first knowing the political scenario that emerges from October", emphasized Mr. Fernandez, the caustic spokesperson for President Kirchner. However Mr. Morales Solá wrote that Mr. Alvarez has received no formal offering but has been invited to prepare for Foreign Affairs.

Mr. Alvarez actually resigned as vice-president before the collapse of the De la Rua administration in December 2001 following strong claims of Congressional corruption allegedly involving payments to Senators to vote for a labour flexibility bill.

Apparently President Kirchner and Mr. Alvarez talk about politics every three/four months and share the idea of reforming the Argentine political system replacing the current catch-all domineering Peronist movement by a two parties system, centre left and centre right, which happens to be the Argentine president's basic proposal for this coming election, including the dispute with his former sponsor, Eduardo Duhalde, paradigm of the "old politics".

Mr. Alvarez, originally Peronist, likes to identify himself as centre left and faced hard times after formally abandoning politics since he was never granted a vice-president pension and lives of a United Nations contract and writing for foreign publications.

Mr. Morales Solá says that President Kirchner is counting Mr. Bielsa will be elected Deputy and then president of the Lower House.

Consulted by the press about his possible successor Mr. Bielsa said he was not aware of names but if Alvarez is chosen it would make him "extremely happy; he's an extraordinary fellow and his line of thinking is most challenging".

But if all happens as planned a new complicated situation will be created, argues Mr. Morales Solá, since Economy Minister Roberto Lavagna would have liked to move to San Martín Palace after having weathered the worst financial storms under caretaker presidents Duhalde and Kirchner.

Mr. Lavagna who is the architect of the successful bond swap which helped Argentina overcome the default and return to international money markets apparently is a bit disappointed with the current political situation which has Mr. Kirchner and Mr. Duhalde in open confrontation.

According to Mr. Morales Solá he was betting on a last minute compromise between the two strong Peronist leaders, whose convergence in the last three years granted him the necessary political support to act both domestically and internationally.

"There are no projects for the future. It's going to be hard enough to keep the economy far from these (political) disputes", allegedly Mr. Lavagna confided to his closest aides.

Mr. Morales Solá concludes that Mr. Lavagna has only two options after October, go home or remain in the Economy ministry with a great difference: a furiously divided ruling coalition and the absence of Mr. Bielsa with whom he had an excellent working relation.

Given Mr. Lavagna's international economics knowledge, all global trade and tariffs affairs were decided as a team with Mr. Bielsa.

When asked about Mr. Lavagna's future, Cabinet Chief Fernandez replied, "I see him in the Ministry toiling for the same I'm toiling. Economic policy is finding its way back to course and should not be part of the Argentines political discussions".

Foreign Minister Rafael Bielsa said yesterday he would be happy to be succeeded by former vice-president Carlos Chacho Alvarez, even though he has no confirmation that this might happen. Alvarez "is a great guy, with a very interesting way of thinking".