For several days beginning Wednesday Uruguay, as its neighbours, Brazil and Argentina will be ruled by a woman. Lucia Topolansky, Fist Lady but also Senator and third in the succession line will become interim president since her husband is off on an official trip to China and Europe, and Vice-president Danilo Astori will be attending the Alliance of the Pacific summit in Colombia.
Uruguay's main economic problem is high inflation, and policymakers will continue to use interest rates and bank reserve requirements to bring it under control, Vice President Danilo Astori said on Tuesday. Consumer prices in Uruguay rose 8.14% in the 12 months through April, far outside the country's official annual target range of 4 to 6%.
Argentine Foreign minister Hector Timerman said that relations with Uruguay are going through “a good moment”, contrary to recent statements from Uruguayan Vice-president Danilo Astori, and described as ‘false’ the information that two Falklands’ flagged fishing vessels had called into Uruguayan ports.
Paraguay made public in Geneva its support for Mexico’s candidate Herminio Blanco as the next Director General of the World Trade Organization. The other hopeful who reached the final round is from Brazil, Roberto Azevedo. On Tuesday it should be known who will succeed the current head Pascal Lamy as of next September.
Vice-president Danilo Astori admitted on Friday that economic-trade relations with Argentina continue to deteriorate and seriously question Mercosur and Uruguay must therefore speed the search for other alternatives.
Fitch Ratings in March joined two other major ratings agencies in giving Uruguay its coveted investment grade, a move that lowers the nation’s borrowing costs and opens up opportunities for new investors.
Uruguay’s Deputy Foreign minister Roberto Conde is scheduled to travel to Buenos Aires this week as part of President Jose Mujica’s administration efforts to rebuild bilateral relations with Argentina following his ‘coarse, jail-slang’ descriptions of president Cristina Fernandez and her late husband Nestor Kirchner, which were refuted as ‘unacceptable and denigrating”.
The economic-trade relations with Argentina are going through ‘their worst moment in a long time’, and the latest measures announced by the government of President Cristina Fernandez have a ‘very harmful effect’ on Uruguay, said Vice-president Danilo Astori on Friday.
Uruguayan Vice president Danilo Astori and members of the opposition ratified the country’s increasing concern about Mercosur which is “full of obstacles and problems” and is described as “sleepy and in state of lethargy”.
“The Uruguayan government is in deep crisis” admitted President Jose Mujica following an open clash between ministers that called for an urgent meeting of the cabinet and half way had to be adjourned on fears that recriminations could get out of control. A recess was ordered but the squabbling through the press continued and the exposed deep rift remains more than a challenge.