Posted on 03/06/2003 1:06:48 PM PST by Cincinatus' Wife
CARACAS, Venezuela - A central bank director warned President Hugo Chavez's government Thursday against using a new foreign exchange system to deprive newspapers of dollars needed to buy newsprint.
Domingo Maza Zavala said the government should consider the print media a priority when deciding who can buy dollars under the new system.
Chavez, who accuses Venezuela's main newspapers of supporting efforts to overthrow him, has said priority will go to importers of basics like food and medicine. "Everything else will have to wait," he said last week.
Maza Zavala said "it would be irrational" to delay granting dollars to newspapers.
"I think newspapers have the right to receive the material they need to function," he told local Union Radio. "Reading the daily press is a primary need for Venezuelans."
Newspaper owners - most of whom gave supportive coverage to a failed two-month strike to force early elections - have expressed concern that Chavez will use the exchange controls system to restrict freedom of the press, as past governments have done.
Chavez has threatened to deny dollars to businesses that participated in the strike, which began Dec. 2 and ended last month. He has not directly threatened to deprive newspapers of dollars, however.
The controls are meant to protect the bolivar currency, which dropped 25 percent against the dollar during the strike. The government pegged the bolivar at 1,598 to the dollar, but it's trading as high as 2,800 on the black market.
The new scheme requires Venezuelans to receive approval from a special government agency before buying dollars. It includes limits on the number of trips businessmen can make overseas. Venezuelans cannot use credit cards abroad and are limited in the amount of foreign currency they can take overseas.
The business community warns the controls will be detrimental to an economy that depends on imports for 60 percent of its raw materials. Because of delays in implementing the new rules, the government has not made any dollars available for two months.
The delays have begun to create scarcities in imported goods, including medicine, almost all of which is imported.
Yep, just like our beloved gun-grabbers want to let us keep our guns but not allow us to buy ammo, all while claiming that they're not infringing upon our rights.
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