Leftists demand increased social spending on 15th anniversary of riots that caused then-president De la Rua to resign

Record ID: 162423

  • Title: Leftists demand increased social spending on 15th anniversary of riots that caused then-president De la Rua to resign
  • Date: 24th December 2016
  • Summary: BUENOS AIRES, ARGENTINA (FILE - DECEMBER 20, 2001) (ORIGINALLY 4:3) (REUTERS) **** WARNING CONTAINS FLASH PHOTOGRAPHY **** PRESIDENT FERNANDO DE LA RUA ARRIVING TO MAKE AN URGENT ANNOUNCEMENT TO ASK FOR PERONIST OPPOSITION TO JOIN HIM TO FORM A GOVERNMENT OF NATIONAL UNITY PRESIDENTIAL HELICOPTER CARRYING EX-PRESIDENT FERNANDO DE LA RUA TAKING OFF IMMEDIATELY AFTER HIS RESIGNATION
  • Embargoed: 8th January 2017 08:09
  • Keywords: riots protest rebellion Fernando de la Rua anniversary
  • Location: BUENOS AIRES, ARGENTINA
  • City: BUENOS AIRES, ARGENTINA
  • Country: Argentina
  • Topics: Conflicts/War/Peace
  • Reuters ID: LVA0065DTSAIR
  • Aspect Ratio: 16:9
  • Story Text: EDITORS PLEASE NOTE: EDIT CONTAINS GRAPHIC IMAGES IN SHOT #14
    EDITORS PLEASE NOTE: EDIT CONTAINS STRONG LANGUAGE SOME MAY FIND OBJECTIONABLE IN SHOT #8
    EDIT CONTAINS VIDEO THAT WAS ORIGINALLY 4:3
    Tens of thousands of leftist activists protested on Tuesday (December 20) to commemorate the 15th anniversary of Argentina's economic crash that led rioting and chaos. But demonstrators also took the opportunity to express their anger toward the economic policies of current president, Mauricio Macri.
    Protesters waved signs and shouted slogans against the 2001 economic crisis that started over a decade of financial trouble for the South American country.
    In 2001, unemployment soared beyond 20 percent, and reports surfaced of widespread hunger and malnutrition in a country that had long prided itself as being one of the world's breadbaskets.
    As a wave of riots and looting reached the capital and left dozens dead throughout the country including five in Buenos Aires, Menem's successor, Fernando de la Rua, resigned and fled the country on December 20, 2001.
    Leftist deputy Raul Godoy said it was important to remember those who stood up to bullets outside the presidential palace for their beliefs.
    "Fifteen years ago, thousands of youth, workers and leftists faced the repression of the (Fernando) De la Rua government, who couldn't break them and had to resign. In honour of them, we say, 'Long live the 2001 revolt!'"
    It was a period that would see five presidents in just two weeks.
    Before the crisis ended, the economy had shrunk by a fifth and thousands of young, educated Argentines had emigrated to their grandparents' ancestral homes in Europe. The government also stopped payment on more than $100 billion in debt, the world's biggest-ever sovereign default.
    The period eventually ushered in the leftist Peronist governments of Nestor Kirchner and then his wife, Cristina Fernandez, who jointly ruled the country from 2003 to 2015.
    But, with the center-right government of President Mauricio Macri in power, activists made comparisons between his economic reforms and the country's economic situation in 2001.
    The country continues to suffer through a prolonged economic recession nearly one year after Macri's center-right administration took office and instituted market-friendly reforms aimed at boosting Argentina's competitiveness and taming rampant inflation.
    Macri won office on promises of attracting foreign investment and reducing poverty, but the anticipated influx of investments has been slower than hoped, and some of the administration's austerity-minded policies, like reducing subsidies for home-heating natural gas, have contributed to inflation, limiting Argentines' purchasing power.
    He has largely maintained the generous social programs he inherited from Fernandez's previous populist administration, but his relations with unions and leftist social groups have been tense because of soaring consumer prices.
    In recent months, protesters have marched in Buenos Aires to pressure the government into increasing subsidies for the poor. More than 32 percent of Argentines live in poverty, the government said in September, up from private estimates of 29 percent last December, when Macri took office.
    Socialist Workers Movement leader Vilma Ripoll said fifteen years on, and they are still asking for jobs, an end to poverty and increased social benefits.
    "We come to demand the same things that we did in 2001. we come to demand an end to handing us over to imperialism, to misery, to hunger to layoffs. It is a government that did not fulfil any of its campaign promises, rather poverty grew to 1,700,00 people. There are 200,000 layoffs, workplaces closing," she said.
    Despite the slew of poor-economic data, Argentina saw a bright spot in November when the unemployment rate dropped to 8.5 percent. That was down from 9.3 percent unemployment in the second quarter, as the total number of unemployed Argentines fell by nearly 100,000 to 1.1 million. The drop in unemployment came a day after government figures showed economic activity shrank 3.7 percent in September compared with a year earlier.
    The government has projected a return to growth in 2017, which is crucial for Macri's coalition to avoid losing ground in legislative elections next year. While private economists agree the economy will rebound, they have cut their growth forecasts in recent weeks as indicators show continued sluggishness.
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