DR1: Fernandez Criticizes Neo-Liberalism

During his talk at the seminar "International experience and lessons learned" held at the Hilton Hotel, President Leonel Fernandez harshly criticized the neo-liberal economic model because it does not address people's basic needs. Fernandez pointed out that the Dominican Republic should be cautious in applying formulas from international organizations and that he privatized many state enterprises because of necessity, not because he approved of the economic model. The President suggested that in order to "correct the failures" of the neo-liberal economic model, many nations should get together and learn how to "reform the reforms" that were launched during the 1990s. According to the chief executive, the problem was that many countries, including the Dominican Republic, went from a system where the government had a predominant role in commerce and industry, to one where the growth of devel! opment was dependent on the free market economy. He cited the poor showing that the democratic system has earned during surveys throughout Latin America, mainly because of poor economic and social results. He said that "the lack of satisfaction shown by the people has to do with the fact that the development models that we have applied in Latin America, excepting the case of Chile, have not reduced poverty." Speaking to an audience that included representatives from various international financial and aid organizations, Fernandez said that the Dominican Republic had to be "cautious of economic recipes that come from overseas." Also speaking at the seminar were Niki Fabiancic of the United Nations Development Program, CEPAL secretary general Luis Machinea and Ernesto Ottone from Chile.