Uruguay guide
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| © New Internationalist |
Home to Latin America's first social democracy and cradle-to-grave welfare system, Uruguay has been the region's traditional leader in social indicators. Although the left wing government led by Dr.Tabaré Vázquez has further increased social spending, the proportion of the population below the poverty line remains stubbornly above 20%. The stresses of global recession may rouse Uruguay to address the unpredictable impact on its important agriculture sector of both climate change and runaway soya-planting by foreign corporations.
updated March 2009
Poverty in Uruguay
Classified as a "high-middle income country", Uruguay falls into an ambiguous position in the context of the Millennium Development Goals (MDGs). On the one hand there is low incidence of extreme poverty, especially since 2005 when the government made a determined effort to establish safety net welfare provision for the poorest families. At the same time, Uruguay struggles to distribute the benefits of its modern economy - in 2008 21.7% of the population remained below a poverty line based on essential household needs. As this figure was 29.7% in the MDG baseline year 1990, further inroads are required if the target of halving poverty by 2015 is to be achieved.
Uruguay is nevertheless making great strides towards the other MDGs, especially those related to education and health. Public spending on these two sectors has increased significantly under the government of President Vázquez, being scheduled to rise to over half of the national budget in 2009. Almost all children complete both primary and secondary schooling. Girl to boy ratios in education are practically even, as are women to men literacy rates. Uruguayan women have the highest labour force participation rates in Latin America.
However, inequalities between children of different socio-economic backgrounds have grown. There is a consistent pattern of higher poverty amongst families of African or mixed Spanish-indigenous descent.
Health in Uruguay
Having become almost dysfunctional in 2005, the health sector is undergoing reform. A 2007 law established a National Health Fund which is financed by contributions from employers, employees and the state. The objective is to provide universal coverage of basic care, inspired by the principle that access to health services is a human right.
Statistics for child health and survival show an improving trend. A contributory factor may be the dramatic advance in provision of safe sanitation during the MDG period. In 1991 44% of the population lacked access whereas today coverage is almost universal.
Although the prevalence of HIV/AIDS is low at 0.6% in 2007, the incidence of new infections has risen steadily since 1990. Over 50% of those in need are receiving antiretroviral treatment.
Climate Change in Uruguay
Concern about the impact of climate change in Uruguay has tended to focus on erosion of the coastline through rising sea levels. Already in some areas, land is receding at the rate of about one metre each year. Over 70% of the population lives in coastal regions.
Attention has been diverted by an exceptionally prolonged period of drought which by early 2009 prompted the government to declare a state of emergency. Farmers in the affected zone will receive food and financial support. Aggregate rainfall has halved over the past year with some areas receiving no significant rain at all. As hydropower is the country’s principal source of energy, the crisis is encroaching into the national economy as power shortages begin to bite.
Politics in Uruguay
Though Uruguay endured a military dictatorship between 1973 and 1985, the country has a stable democratic political system that dates back to the 1830s. In the annual Corruption Perceptions Index published by Transparency International, Uruguay is normally positioned amongst the 25 least corrupt countries. Until 2004, this political system centred around two parties: the liberal Partido Colorado and the conservative Partido Nacional, both parties founded in the 1830s.
Modern elections focus first on parliamentary seats and, if any one party secures more than 50% of the votes, then its leader becomes president. Otherwise there is a presidential run off election between the two most successful party leaders.
Years of poverty and unemployment brought on by the 1999 collapse of neighbouring Argentina's economy prompted radical change. Voters expressed their disenchantment by ending over 150 years of government by the two traditional parties. In the 2004 elections a left-wing coalition, Frente Amplio (Broader Front), led by Dr.Tabaré Vázquez, swept to victory, consistent with the success of leftist movements all over Latin America.
The most noticeable repositioning has come in foreign policy. Within hours of being sworn in, Dr. Vázquez re-established diplomatic relations with Cuba, and signed an energy deal with Venezuela's Hugo Chavez. In general however the president has advocated unsensational reforms especially in management of the economy.
Vázquez has retained high public ratings but he is constitutionally ineligible to stand again in the elections due in October 2009. The candidate most likely to lead Frente Amplio into the election is former agriculture minister, José Mujica. The coalition will face stiff opposition in the campaign, especially from Partido Nacional.
Human Rights in Uruguay
Today, Uruguay has a very good human rights record and a fair judicial system. Freedom of speech and the media are guaranteed by the Uruguayan constitution. Citizens have access to a wide range of perspectives in numerous private newspapers and broadcast media. The monitoring group, Reporters Without Borders, drew specific attention to Uruguay's advance in its 2007 report.
Sadly, this progress cannot erase the memory of the relatively recent history of human rights abuses under the military dictatorship that ruled from 1973 to 1985. These rulers largely defeated the Tupamaros (Uruguay's version of the Latin American urban guerrilla movement) but torture was widespread, and about 250 people are thought to have been killed.
On the return to democracy, Uruguay had to decide between adamantly seeking out and punishing those responsible, or protecting the fragile government and not provoking the (still powerful) armed forces. Like most other Latin American countries that had lived through military dictatorships, Uruguay chose the latter by granting amnesty to all those accused of committing crimes under the dictators, as well as those committed by the left-wing guerrillas opposed to them. This blanket amnesty, now referred to as Ley de Caducidad, was implemented by President Sanguinetti in 1985, and then upheld by a referendum in 1989.
Uruguay has fallen behind Chile and Argentina in seeking belated accountability for the era of dictatorships. During the term of the present government, a persistent civil society campaign to annul the Ley de Caducidad has gained momentum. The law can be overturned only by referendum for which signatures of 10% of voters are first required. It appears likely that this threshold will be achieved in time for a vote to be included with the general election ballot in October 2009.
Since taking office, Dr.Vázquez has encouraged investigation into the disappearances of opponents of the dictatorship in the 1970s and 1980s. Proposals to compensate families affected by the trauma are also under consideration in parliament.
The Economy in Uruguay
Uruguay's economy is characterised by an export-oriented agricultural sector, an educated workforce, high rates of social spending, and a developed industrial sector. The economy lives in the shadow of dependence on its two giant neighbours, Argentina and Brazil. This was acutely illustrated in the period after 1999 when Uruguay's small economy was hit badly by Argentina's economic collapse. From 1998 to 2002, unemployment almost doubled, and about 10% of the country's three million citizens left to seek better opportunities overseas.
Uruguay's economy has recovered from the slump to the extent that debts to the IMF of over $1 billion were repaid in 2006 in advance of the due date. Dependence on Argentina in finance and trade has been significantly reduced. Unemployment has been steadily declining from nearly 20% in 2002 to under 8% at the end of 2008. Although inequality as measured by the Gini Coefficient has increased in this period, Uruguay is a more equal society than its peers in the Mercosur group.
Uruguay’s dependence on trade and commodity prices will doubtless create problems in the global economic recession. The country’s adherence to laissez-faire economics has allowed the agriculture sector to undergo radical transformation within the space of a few years. Soya planting has increased by a factor of 15 since 2003 and about a quarter of Uruguay’s farmland is now owned by a small number of foreign companies. The behaviour of these companies under severe stress is unpredictable. Degradation of the soil through the soya monoculture is just one potential outcome.
In a most unusual referendum held on the same day as the 2004 elections, Uruguayan voters resolved to amend the constitution to stipulate that access to drinking water should be a human right and its provision the responsibility of government. Privatisation of water and sanitation services is therefore prohibited in Uruguay. In a further move reflecting the regional mood, the government has rejected proposals to sign a free trade agreement with the US.
The OneWorld Uruguay Guide was first published in October 2005 with a text written by Volunteer Editor Chloe Oliver
Classified as a "high-middle income country", Uruguay falls into an ambiguous position in the context of the Millennium Development Goals (MDGs). On the one hand there is low incidence of extreme poverty, especially since 2005 when the government made a determined effort to establish safety net welfare provision for the poorest families. At the same time, Uruguay struggles to distribute the benefits of its modern economy - in 2008 21.7% of the population remained below a poverty line based on essential household needs. As this figure was 29.7% in the MDG baseline year 1990, further inroads are required if the target of halving poverty by 2015 is to be achieved.
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| One Laptop per Child in Uruguay © One Laptop per Child / Flickr |
However, inequalities between children of different socio-economic backgrounds have grown. There is a consistent pattern of higher poverty amongst families of African or mixed Spanish-indigenous descent.
Health in Uruguay
Having become almost dysfunctional in 2005, the health sector is undergoing reform. A 2007 law established a National Health Fund which is financed by contributions from employers, employees and the state. The objective is to provide universal coverage of basic care, inspired by the principle that access to health services is a human right.
Statistics for child health and survival show an improving trend. A contributory factor may be the dramatic advance in provision of safe sanitation during the MDG period. In 1991 44% of the population lacked access whereas today coverage is almost universal.
Although the prevalence of HIV/AIDS is low at 0.6% in 2007, the incidence of new infections has risen steadily since 1990. Over 50% of those in need are receiving antiretroviral treatment.
Climate Change in Uruguay
Concern about the impact of climate change in Uruguay has tended to focus on erosion of the coastline through rising sea levels. Already in some areas, land is receding at the rate of about one metre each year. Over 70% of the population lives in coastal regions.
|
| Uruguay adapts to drought with artificial lake © John Seb Barber / Flickr |
Politics in Uruguay
Though Uruguay endured a military dictatorship between 1973 and 1985, the country has a stable democratic political system that dates back to the 1830s. In the annual Corruption Perceptions Index published by Transparency International, Uruguay is normally positioned amongst the 25 least corrupt countries. Until 2004, this political system centred around two parties: the liberal Partido Colorado and the conservative Partido Nacional, both parties founded in the 1830s.
Modern elections focus first on parliamentary seats and, if any one party secures more than 50% of the votes, then its leader becomes president. Otherwise there is a presidential run off election between the two most successful party leaders.
Years of poverty and unemployment brought on by the 1999 collapse of neighbouring Argentina's economy prompted radical change. Voters expressed their disenchantment by ending over 150 years of government by the two traditional parties. In the 2004 elections a left-wing coalition, Frente Amplio (Broader Front), led by Dr.Tabaré Vázquez, swept to victory, consistent with the success of leftist movements all over Latin America.
The most noticeable repositioning has come in foreign policy. Within hours of being sworn in, Dr. Vázquez re-established diplomatic relations with Cuba, and signed an energy deal with Venezuela's Hugo Chavez. In general however the president has advocated unsensational reforms especially in management of the economy.
Vázquez has retained high public ratings but he is constitutionally ineligible to stand again in the elections due in October 2009. The candidate most likely to lead Frente Amplio into the election is former agriculture minister, José Mujica. The coalition will face stiff opposition in the campaign, especially from Partido Nacional.
Human Rights in Uruguay
Today, Uruguay has a very good human rights record and a fair judicial system. Freedom of speech and the media are guaranteed by the Uruguayan constitution. Citizens have access to a wide range of perspectives in numerous private newspapers and broadcast media. The monitoring group, Reporters Without Borders, drew specific attention to Uruguay's advance in its 2007 report.
Sadly, this progress cannot erase the memory of the relatively recent history of human rights abuses under the military dictatorship that ruled from 1973 to 1985. These rulers largely defeated the Tupamaros (Uruguay's version of the Latin American urban guerrilla movement) but torture was widespread, and about 250 people are thought to have been killed.
On the return to democracy, Uruguay had to decide between adamantly seeking out and punishing those responsible, or protecting the fragile government and not provoking the (still powerful) armed forces. Like most other Latin American countries that had lived through military dictatorships, Uruguay chose the latter by granting amnesty to all those accused of committing crimes under the dictators, as well as those committed by the left-wing guerrillas opposed to them. This blanket amnesty, now referred to as Ley de Caducidad, was implemented by President Sanguinetti in 1985, and then upheld by a referendum in 1989.
Uruguay has fallen behind Chile and Argentina in seeking belated accountability for the era of dictatorships. During the term of the present government, a persistent civil society campaign to annul the Ley de Caducidad has gained momentum. The law can be overturned only by referendum for which signatures of 10% of voters are first required. It appears likely that this threshold will be achieved in time for a vote to be included with the general election ballot in October 2009.
Since taking office, Dr.Vázquez has encouraged investigation into the disappearances of opponents of the dictatorship in the 1970s and 1980s. Proposals to compensate families affected by the trauma are also under consideration in parliament.
The Economy in Uruguay
Uruguay's economy is characterised by an export-oriented agricultural sector, an educated workforce, high rates of social spending, and a developed industrial sector. The economy lives in the shadow of dependence on its two giant neighbours, Argentina and Brazil. This was acutely illustrated in the period after 1999 when Uruguay's small economy was hit badly by Argentina's economic collapse. From 1998 to 2002, unemployment almost doubled, and about 10% of the country's three million citizens left to seek better opportunities overseas.
Uruguay's economy has recovered from the slump to the extent that debts to the IMF of over $1 billion were repaid in 2006 in advance of the due date. Dependence on Argentina in finance and trade has been significantly reduced. Unemployment has been steadily declining from nearly 20% in 2002 to under 8% at the end of 2008. Although inequality as measured by the Gini Coefficient has increased in this period, Uruguay is a more equal society than its peers in the Mercosur group.
Uruguay’s dependence on trade and commodity prices will doubtless create problems in the global economic recession. The country’s adherence to laissez-faire economics has allowed the agriculture sector to undergo radical transformation within the space of a few years. Soya planting has increased by a factor of 15 since 2003 and about a quarter of Uruguay’s farmland is now owned by a small number of foreign companies. The behaviour of these companies under severe stress is unpredictable. Degradation of the soil through the soya monoculture is just one potential outcome.
In a most unusual referendum held on the same day as the 2004 elections, Uruguayan voters resolved to amend the constitution to stipulate that access to drinking water should be a human right and its provision the responsibility of government. Privatisation of water and sanitation services is therefore prohibited in Uruguay. In a further move reflecting the regional mood, the government has rejected proposals to sign a free trade agreement with the US.
The OneWorld Uruguay Guide was first published in October 2005 with a text written by Volunteer Editor Chloe Oliver
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