For Immediate Release
Office of the Press Secretary
January 16, 2002
President Announces Step to Expand Trade & Create Jobs
Remarks by the President to the World Affairs Council National Conference
Organization of American States
Washington, D.C.
Fact Sheet U.S. - Central America Free Trade Agreement
6:30 P.M. EST
THE PRESIDENT: Well, thank you for that very warm
welcome. It's such a pleasure to be here tonight for this
gathering. I want to thank the World Affairs Council for
promoting citizen interest in global issues -- especially an interest
in our own hemisphere and its importance to our country.
Eldon, thank you very much for your fine
introduction. Back stage he was wondering whether or not I
could understand his accent. I said, that's not the problem,
the problem is can you understand mine? (Laughter.)
I want to thank Jerry Leach, as well. I want to thank
the leadership here at the OAS. Cesar, thank you very much
for your continued hospitality and leadership. It's good to
see my friend, Luigi, again. I want to thank Enrique
Iglesias, as well. I want to thank members of my Cabinet who
are here, in particular, Mel Martinez, the Secretary of Housing and
Urban Development. Thank you, Mel. (Applause.)
I'm pleased to see Roger Noriega, el Embajador de los Estados
Unidos a la OAS, for being here. Thank you,
Roger. (Applause.)
A new member of my team is Otto Reich, Assistant Secretary for the
Western Hemisphere. I appreciate Otto being
here. (Applause.)
And, of course, I want to thank members of my National Security
Council who are here, Condi Rice and John Maisto, for their sound and
solid advice. Thank you all for
coming. (Applause.)
In September of last year, I welcomed my good friend, the President
of Mexico, to the White House. Standing together on the
South Lawn, President Fox and I spoke of building a hemisphere of
freedom and prosperity and progress. That was five days
before the terrorists attacked the peace and security of the world --
murdering thousands of citizens from over 80 nations, including almost
every nation in this hemisphere.
Since the attacks, the United States has received
incredible sympathy and support from our neighbors and
friends. I've been in close contact with democratic leaders
such as Prime Minister Chretien, and President Fox, and President
Cardoso, President Lagos and President Toledo, to name a few. We've
been talking on a regular basis about our common interests. Democratic
leaders throughout the Americas have offered help and wisdom,
friendship, and even peacekeepers, and for that this country is very
grateful.
The nations of the Western Hemisphere are resolved. We
refuse to live in fear, so we will fight terror wherever it is
exists. And we're committed to building a prosperous and
free and democratic hemisphere. Nothing will distract us, nothing will
deter us, in completing this great work.
We meet, however, at a time when there are some who question the
path to prosperity and stability. Some wonder whether free
market reforms are too painful to continue. Some question
the fairness of free and open trade, while holding out the false
comfort of protectionism. And there is even greater danger
-- that some may come to doubt democracy itself.
Our answer to these questions and doubts must be clear and it must
be consistent: The hopes of all our peoples, everybody who
lives in this hemisphere, no matter where they live --lie in greater
freedom. Free markets and open trade are the best weapons
against poverty, disease and tyranny. And democracy is the
non-negotiable demand of human dignity.
The future of this hemisphere depends on the strength of three
commitments: democracy, security and market-based
development. These commitments are inseparable, and none
will be achieved by half-measures. This road is not always easy, but
it's the only road to stability and prosperity for all the people --
all the people -- who live in this hemisphere.
Our first commitment is to democracy and political
freedom. This is affirmed in the Democratic Charter of the
Americas, which holds this: only democracies can be part of
our inter-American dialogue and system. And these
governments cannot be democratic in name only. Citizens and
businesses must know that the town hall -- the alcaldia -- is free from
bribery, and cronyism and all forms of corruption. These old
attitudes and habits are a form of theft, stealing from people their
money and their trust, and their hopes for a better
life. For freedom and prosperity to come, corruption must
go. Freedom -- the freedom to vote, the freedom to speak
your mind, the freedom to worship and Almighty God, the freedom to own
your own property -- is the great idea of our time; it is the great
idea of all time. And by building governments that are more
open and honest and fair, we will make freedom more meaningful for all
our citizens.
Our second commitment is to security, security against acts of
terror. It is the great calling of the 21st century. And I
can assure you this nation will not tire, we will not
fade. We'll be resolute in our determination to rout out
terror wherever it exists -- in our neighborhood or neighborhoods
around the world. Security against the lawless violence of
drug cartels and their accomplishments -- accomplices. Our
citizens must know that they can exercise their freedoms in security
and in peace.
And that is why, for example, the United States, Canada and Mexico
are cooperating in unprecedented ways to build "smart borders" for the
21st century that ensure safety for ordinary people and trade, but
filters out terror and drugs.
And that is also why the United States remains committed to helping
nations like Colombia defend her democracy. Colombia and the
Andean nations are strengthening law enforcement, reducing illegal
crops, and expanding legitimate business opportunities as viable
alternatives to drug farming and drug trafficking. The
United States Congress and I recently approved $625 million to support
these efforts. America will help all nations in the region
in cutting off the supply of drugs. And just as importantly,
America will help the nations of the regions by reducing the demand for
drugs within our own borders. (Applause.)
Our third commitment is to growing and stable economies where the
benefits of growth are widely shared; economies where small business
owners, and farmers and workers and investors are all able to build and
earn their own prosperity. We must foster policies that
reward, not punish, entrepreneurship, work and
creativity. We understand that sustained development depends
on market-based economies, on sound monetary and fiscal policies, and
freer trade in our neighborhood.
Recent events in Argentina do nothing to change this
reality. America is deeply concerned about the difficulties
facing our ally and our friend; and we're deeply concerned about the
effects of the economy on Argentina's great people. We share
ties of commerce and culture and family. America is
hopeful that Argentina will get through these tough
times. It was an encouraging sign that the President, on
taking office, expressed a desire to pursue a Free Trade Area of the
Americas.
Argentina -- and nations throughout our hemisphere -- need to
strengthen our commitment to market-based reform, not weaken
it. Shortcuts to reform only lead to more
trouble. Half-measures will not halve the pain, only
prolong it.
The United States is prepared to help Argentina weather this
storm. Once Argentina has committed to a sound and sustainable
economic plan, I will support assistance for Argentina through
international financial institutions. This assistance can
soften the impact of the crisis on the lives of the Argentine people,
and help their country return to growth and prosperity.
Success in the global economy comes to countries that maintain
fiscal discipline, open their borders to trade, privatize inefficient
state enterprises, deregulate their domestic markets, and invest in the
health and education of their people. And those who promise
painless protectionism or security through statism, assure a bleak and
stagnant future for their people.
Countries that stay on the hard road of reform are
rewarded. Just look at Chile. Chile has cut its
poverty rate in half over the last decade. It has cut its
child mortality rate by almost two-thirds since 1980. Mexico
withstood the setbacks of the mid-1990s, and its economy has grown by
more than 4 percent annually since 1996. Costa Rica's
emphasis on education and attracting foreign investment has transformed
its economy over the past decade. Costa Rica's exports of
computer products are now almost four times greater in value than its
banana exports, and nearly eight times greater than its coffee
exports.
My nation is no stranger to the difficulties of reform and
restructuring. A generation ago, our government made a
mistaken and failed experiment with wage and price
controls. Later, during the 1970s and 1980s, millions of our
workers were displaced as our industries adapted to the demands of a
new global economy. We've grown through the pains of
recession, inflation and unemployment by strengthening our commitments
to markets, by enacting sound monetary and fiscal policies, and by
embracing free trade. In the end, each of these challenges
made us stronger and more prosperous. With all its tests and
difficulties, a faith in freedom is never disappointed.
This belief in markets is justified within our borders, and beyond
them. Open trade and investment bring healthy, growing
economies, and can serve the cause of democratic
reform. From the success of NAFTA, we know these are facts,
not theories.
Acting on this belief, we went to Doha, and strongly support a new
global trade negotiations.
In this region, we are acting on a number of
fronts. We're working to build a Free Trade Area of the
Americas, and we're determined to complete those negotiations by
January of 2005. We plan to complete a free trade agreement
with Chile early this year. And once we conclude the
agreement, I urge Congress to take it up quickly. And I ask
the Senate to schedule a vote, as soon as it returns, on renewing and
expanding the Andean Trade Preference Act. (Applause.)
Today, I announce that the United States will explore a free trade
agreement with the countries of Central
America. (Applause.) My administration will work
closely with Congress toward this goal. Our purpose is to
strengthen the economic ties we already have with these nations; to
reinforce their progress toward economic and political and social
reform; and to take another step toward completing the Free Trade Area
of the Americas.
All of these efforts depend on one thing: Congress must
pass trade promotion authority. (Applause.) The
House of Representatives acted. In the Senate, the Finance
Committee has given its strong bipartisan approval. Now it's time for
the full Senate to approve trade promotion authority, so I can put it
to work for the good of America -- and all of the Americas.
Markets and trade, development and democracy, rely on healthy and
educated people. Therefore, we are also working to bring
better health care and greater literacy to the nations of our
hemisphere. The United States' funding for international
basic education assistance programs this year will be over 45 percent
higher than last year. And this spring, the first of our
regional teacher training centers will open in Jamaica. Additional
centers will be operating in South and Central America by year's end.
I have called upon the World Bank and other development banks to
increase the share of their funding devoted to
education. The Inter-American Development Bank has
significantly increased this share over the past year. All
the development banks should keep moving in the direction of making
sure our neighborhood is well educated.
I've also urged the World Bank to provide up to 50 percent of its
assistance to the world's poorest nations in the form of grants rather
than loans -- grants for education, for health,
for nutrition, for water supplies and for sanitation.
To this end, my next budget will include nearly $50 million
increase in aid to the World Bank programs that assist the poorest
countries. If the Bank demonstrates it can use the funds to
achieve measurable results and helps move forward reform,
I'm prepared to consider requesting increases over $100
million in each of my subsequent budgets. This would mean
that the amount -- the annual U.S. contribution to these World Bank
programs would be 30 percent higher than three years ago.
This hemisphere is on the path of reform, and our nations travel it
together. We share a vision -- a partnership of
strong and equal and prosperous countries, living and
trading in freedom. Together, we will defend that vision
against lawlessness and violence. We will assert it against
terrorism and protectionism. Especially in times of
adversity, we'll maintain our vision, because it unleashes the
possibilities of every society and recognizes the dignity of every
person. Together -- and I mean together -- we will build
and defend this hemisphere of liberty.
Thank you for coming. (Applause.)
END 6:50
P.M. EST
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