May 29 (<a href=quote.bloomberg.com>Bloomberg) -- Venezuelan government and opposition leaders signed an agreement to let an electoral board set the date for a binding referendum on President Hugo Chavez's rule.

The 19-point accord, brokered by Organization of American States Secretary General Cesar Gaviria after eight months of talks, pledges both sides to respect the right of an electoral board to set the date and opens the way for international observers to monitor the voting.

I'm happy,'' Chavez said in a televised speech. We will work so that this agreement isn't in vain.'' Chavez didn't sign the agreement or attend the signing ceremony.

A referendum may end two years of protests and strikes by the opposition demanding that Chavez resign or call early elections. Opponents agreed to a binding referendum after August, the midpoint of Chavez's six-year term, after a two-month national strike failed to force a non-binding vote in February.

Polls have indicated that Chavez, who was ousted by the military for two days last year during a failed coup attempt, would lose a referendum. After the strike crippled oil production and consumer spending, the economy fell 29 percent in the first quarter and unemployment rose to 20 percent.

The accord says that the OAS, the Carter Center and the United Nations may provide technical assistance before the vote and observe the referendum.

``This opens the possibility that in a short time Venezuelans can freely express themselves through a binding referendum,'' said Alejandro Armas, an opposition negotiator.

Hollow Accord?

Government officials said an agreement to have a referendum wasn't necessary since it is a constitutional right.

The agreement doesn't have anything to do with the referendum,'' said Vice President Jose Vicente Rangel, who represented the government at the signing. The referendum is carried out independently from the agreement.''

The accord is a watered-down version of an agreement Chavez refused to sign last month that set November 19 as the deadline for the referendum, analysts said.

We are particularly unimpressed by the mostly hollow accord signed today, despite all the hype,'' said Christian Stracke, an economist with New York-based economic research company CreditSights Inc. The accord offers few, if any, concrete details about how the two sides will proceed toward a referendum.''

Postponed

Congress last week postponed a vote to choose the five members and 10 alternates of the electoral board, which would administer the referendum.

Opposition congressmen said they objected to government legislators, who hold a narrow majority, picking three of the five board members.

The constitution requires about 2.5 million signatures, or 20 percent of the more than 12 million registered voters, to convoke a referendum. To oust Chavez, the number voting against him must exceed the total that voted him into office in 2000, when he got about 3.7 million votes.

One Venezuelan died and 15 were injured last week after gunmen fired on a march by Chavez opponents, the second death this month during a political protest.

Venezuelan must not let political violence spread,'' said Gaviria, a former president of Colombia. Because once it starts, it can take decades to stop.''

Last Updated: May 29, 2003 13:57 EDT

Venezuela Govt., Wary Foes Sign Pact to End Battles

Posted by click at 7:47 PM Story Archive June 4, 2003 (Page 5 of 6)

Thu May 29, 2003 01:55 PM ET By Pascal Fletcher

CARACAS, Venezuela (<a href=asia.reuters.com>Reuters) - Venezuela's government and opposition signed a pact on Thursday seeking to end their political conflict and smooth the way to a referendum on Hugo Chavez's presidency, but the road to a vote seemed cluttered with hurdles.

The accord recommended holding a referendum after Aug. 19 as the best way to end a crisis in the world's No. 5 oil exporter, where followers and foes of left-winger Chavez have been locked in bitter confrontation.

"This is a good agreement for all Venezuelans," said Organization of American States Secretary General Cesar Gaviria, who had spent more than six months coaxing the two sides into talking, often while violent clashes raged in the streets.

At least 50 people have been killed in political violence over the last 14 months. And a crippling opposition strike in December and January left behind a recession that could lead to still worse tensions.

Gaviria signed the pact in a Caracas hotel along with government and opposition representatives.

Although Vice President Jose Vicente Rangel signed on behalf of Chavez's government and praised the agreement, the document set no poll date and opposition leaders were skeptical that the populist president would submit to the referendum.

Under Venezuela's constitution, the opposition can call a referendum on Chavez's mandate after Aug. 19 -- halfway through his term -- only if they collect the signatures of at least 20 percent of voters.

But several important procedural steps need to be taken before the referendum can go ahead.

Opposition leaders fear that former paratrooper Chavez, who was elected in 1998, six years after failing to seize power in a botched coup, may still try to wriggle out of a referendum.

"This a president who permanently fails to keep his word," said Felipe Mujica of the Movement Toward Socialism party.

"LONG ROAD HEAD"

Opponents accuse Chavez of taking near-dictatorial powers after gaining political control of institutions like the National Assembly. They say he is trying to install Cuba-style communism in Venezuela.

Analysts said that while the accord, which commits both sides to avoiding violence, may help to ease tensions, it does not automatically guarantee a referendum.

"It's a small starting point ... but there's still a long road ahead ... There are a number of hurdles that need to be addressed and that could delay the process," Jose Cerritelli, an economist with Bear Stearns in New York, told Reuters.

The National Assembly, where Chavez supporters hold a slim majority, must first appoint a new National Electoral Council to set a poll date and verify the signatures collected. This could involve intense political infighting.

Chavez, who survived a coup last year, has also called for a check of the electoral register, which he says is full of errors.

Critics say these requirements could give him a chance to try to block the poll through legal maneuvers.

"But if Chavez tries to stall, he at least gets kicked in the teeth by international opinion," said Robert Bottome of Caracas-based VenEconomy consultants.

CAF says approves $300 mln financing for Colombia

Posted by click at 7:45 PM in Colombia

Reuters, 05.29.03, 12:49 PM ET    CARACAS, Venezuela, May 29 (Reuters) - The Andean Development Corp., or CAF, the financing arm of the Andean community, said on Thursday it had approved $300 million in financing for the Colombian government.

The Caracas-based multilateral lender said in a statement the financing would go to Colombian President Alvaro Uribe's programs to promote competition, social investment and efficiency in public administration in the Andean nation.

In 2002, CAF agreed to approve $3.5 billion in financing for Colombia though 2006.

Venezuelan sides to sign pact--Referendum on Chavez possible

Posted by click at 7:43 PM in Democratic proposals

Thursday, May 29, 2003 Posted: 1637 GMT (12:37 AM HKT)

CARACAS, Venezuela (CNN-AP) -- Opposition leaders said they would sign Thursday a political pact laying ground rules for a possible referendum on Hugo Chavez's presidency but voiced concern that there was no guarantee the vote would take place.

Leaders said they were disappointed by the agreement brokered by the Organization of American States after six months of talks designed to bring stability to a country rattled by a short-lived coup and a long, crippling strike.

The signing ceremony was scheduled to be witnessed by OAS Secretary-General Cesar Gaviria and diplomats from six countries who helped broker talks: the United States, Chile, Mexico, Brazil, Spain and Portugal.

The largest opposition party, Democratic Action, said it was not convinced the pact would prevent Chavez from delaying a referendum. The party vowed more street protests to ensure the vote occurs.

"We warn that a rogue government like Chavez's does not mean to honor any agreement," the party said in a statement late Wednesday. "The agreement by itself does not guarantee the realization of a recall referendum against Chavez. That's clear. It's clear the only thing that can guarantee it is popular pressure."

Other opposition parties and Venezuela's largest business association, Fedecamaras, had similar reservations. But they agreed it would put international pressure on Chavez to play by the rules.

President applauds agreement

The deal stipulates that current electoral laws cannot be amended by the Chavez-dominated Congress. To deter political violence, it requires authorities to disarm the population ahead of balloting and obliges the government to finance the vote.

On Tuesday, Chavez applauded the agreement, saying it would compel what he called a "fascist, coup-plotting" opposition to respect the constitution. Refusing to quit during the two-month strike, Chavez often noted that Venezuela's constitution allowed a referendum halfway through a president's term. That's August, in his case.

A two-month strike -- organized by Fedecamaras and Venezuela's largest trade union ended in February without achieving its goal of forcing early elections or Chavez's resignation. The protest almost paralyzed the world's No. 5 oil exporter, costing Venezuela US$6 billion. The economy shrank 29 percent in the first three months of 2003.

Opponents argue Chavez can no longer govern a country bitterly divided by those who fear he is becoming increasingly authoritarian and those who consider him a champion of the poor. They say they have the 2.5 million signatures required to petition for a referendum.

Election authorities must be named, signature and voter rolls verified, ballots printed and a date chosen before a referendum can be held.

Gaviria said Wednesday a referendum could be held in November if all those requirements were met.

The pact also provides for referendums on the terms of other elected officials. Chavez supporters want to revoke the mandates of several opposition legislators in a bid to increase the government's slim majority in Congress.

The revoking referendum in the Venezuelan Constitution

Posted by click at 7:38 PM in Democratic proposals

El Universal

The revoking referendum is one of the most polemic points included in the agreement achieved by government and opposition at the Negotiation and Agreement Table. It is widely considered a way out of the current crisis facing Venezuela. The voting should be made as provided for in article 72 of the Venezuelan Constitution, which reads as follows:

Article 72: All magistrates and holders of other offices filled by popular vote are subject to revocation.

Once half of the term of office to which an official has been elected has elapsed, a number of voters constituting at least 20 percent of the voters registered in the appropriate constituency may file a petition for calling a referendum to revoke such official's mandate.

When a number of voters equal to or greater than the number of those who elected the official votes in favor of revocation, provided that a number of voters equal to or greater than 25 percent of the total number of registered voters have voted, the official's mandate shall be deemed revoked, and immediate actions shall be taken to fill the permanent vacancy pursuant to the Constitution and the law.

The revocation of the mandate for bodies shall be made in accordance with laws.

During the term to which the official is elected, only one petition to recall his/her mandate may be filed.

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