Peruís New Ambassador Defends President Toledo Against Corruption Charges by Michael Coleman Nobody said developing a democracy was easy, and the president and people of Peru are still struggling to get past the hardest part. Peruvian President Alejandro Toledo, who is entering the fourth year of a five-year term, took office with a pledge to crack down on corruption, a frequent scourge of fledgling democracies. But in recent months the presidentís own administration has become mired in allegations of corruption, and many of the nationís 28 million people are impatiently awaiting the economic opportunities that Toledo promised would accompany the move toward democracy. Peruís new ambassador in Washington, Eduardo Ferrero Costa, staunchly defended his president against corruption allegations in a recent interview with The Washington Diplomat, assuring the people of his homeland that the roots of democracy are gradually taking hold and that one day, democracy will provide the economic fruit the people of Peru so desperately desire. Costa, a former ambassador and permanent representative to the Organization of American States, is a lawyer, professor, expert in international affairs, and author and editor of 19 books. Heís also an impassioned and eloquent champion of Peruís democracy, as well as his embattled president. During a 60-minute interview at his sprawling residence situated on 20 acres of rolling woodland in Northwest Washington near the Maryland border, Costa said Peruvian President Toledoís government is more committed to reducing poverty, battling corruption and nurturing democracy than any leader in the nationís modern history. ìFor him, itís basicóitís one of the main guidelines of his policy,î Costa said. ìBut there are challenges in a democracy, especially a democracy in a developing country.î The ambassador pointed out that more than half (52 percent) of Peruvians live in poverty. ìThat means when President Toledo won the democratic election, there were many societal expectations, and it is impossible to satisfy all of those societal demands in the short term.î But a restless population isnít the only problem plaguing Toledo. He is facing a growing list of corruption charges, including allegations that his wife failed to declare significant income, that he accepted a bribe from a Colombian company, and that his party, Peru Possible, forged some signatures in his 2000 drive for election. Toledo has denied the charges against him, but his popularity has plummeted. A recent poll had him at just an 8 percent approval rating. The corruption charges and growing perception that this administration has been engaged in shady dealings is hard for a population that grew weary of former President Alberto Fujimoriís own scandals. Some of Toledoís political opponents have called for his resignation, but Costa said the charges against the president himself are baseless and politically motivated. A special panel of prosecutors appointed by Toledo to investigate corruption eventually turned its sights on key members of his own administration, as well as members of Toledoís family. Toledo denounced the allegations and flirted with the idea of canceling some of the investigatorsí contracts, but he recently extended the contracts, perhaps in part as a show of good faith in the fight against corruption. ìOne of President Toledoís biggest priorities in the government is the fight against corruption,î Costa said. ìHe is a very honest man and he has contributed to put many people in jail who were corrupt.î Costa added that Toledo comes from humble beginnings and is committed to protecting and preserving equal opportunities for people like himself. Although a majority of Peruvians are poor, the national economy is on an undisputed upsurge. The nationís gross domestic product grew by more than 4 percent over the past three yearsóthe strongest growth in all of Latin America. ìIn general, our macroeconomic growth is very good for Peru,î Costa explained. ìWe have this growth, we very low inflation, we have an important amount of reserves in foreign currency, we have increased our exports, and our national budget deficits are very small nowÖ. However, it is insufficient to tackle all of the social problems we have.î Costa said the primary challenges Peru faces are a lack of adequate education, health care and decent paying jobs. The fundamental deficiencies in quality of life have prompted many Peruvians to pine for the ways of authoritarian political regimes. A recent U.N. survey of all Latin American countries, including Peru, found that fewer than half of the respondents supported democracy, with the majority preferring another form of government if it could help solve their economic problems. Costa downplayed the significance of the report. ìNobody can show an authoritarian regime or a dictatorship are going to solve their problems, so itís a misguided question,î he said of the survey. ìBut in general terms, it is true that it is one of the biggest problems of democracy that the population doesnít see immediate solutions to their needs.î Costa said one of the most important issues on the table for Peru and other Latin American countries is the passage of a bilateral free trade agreement under a proposed Free Trade Area of the Americas. ìIt will be a tool for expansion of foreign trade to the United States,î he said. Currently, U.S. interests invest about $10 billion annually in Peru. But that number would probably surge if a more permanent trade agreement were established. The current trade agreement expires in 2006. ìYou would have better incentives to invest in the country,î Costa said. ìWe think with a permanent free trade agreement, we will have more American investment. If we have more investment, we will have more jobs. If we have more jobs, we will be in a better condition to tackle poverty.î The Bush administration has been supportive of the proposed permanent free trade agreement, but Democratic presidential contender John Kerry has been less receptive to the idea, expressing some reservations about a lack of labor standards. ìWe hope that John Kerry [will support the agreement], but up to the moment, the Democrats have been more concerned with a bilateral free trade agreement,î Costa explained. The ambassador also said the agreement would solidify other areas of cooperation between the United States and Peru, including the fights against drug trafficking and terrorism. ìIt will contribute to the promotion of democracy and human rights and to the common efforts and concerns of both of our countries.î Michael Coleman is a freelance writer in Washington, D.C.