Monday, Dec. 20, 1982
An Interview with Miguel de la Madrid
An Interview with Miguel de la Madrid "We are going to have a couple of very difficult years "
In the tastefully decorated colonial house that served as his transition headquarters, Miguel de la Madrid Hurtado discussed the challenges of his presidency with TIME Mexico City Bureau Chief James Willwerth and Reporter Laura Lopez. The new President was relaxed but forceful as he outlined the priorities for his six-year term: economic revival, the battle against corruption and close relations with the U.S. Excerpts from the interview:
Q. What specific changes do you have in mind?
A. In a dynamic society like Mexico the people always want changes, [but] not in the fundamental principles of our system. I have summarized those principles in seven fundamental themes. One general theme is revolutionary nationalism, and the others are integral democracy, egalitarian society, moral renovation, decentralization of national life, all this through a system of democratic planning. The Mexican people want changes within a process of deliberate planning. They want a change of style. One other theme that is important: development, employment and combating inflation. What concerns the people of Mexico most right now is our financial and economic crisis.
Q. What will you do to take Mexico out of this crisis?
A. The financial and economic crisis that Mexico is living through is truly grave. This comes about because we have structural imbalances in our economy that we must correct. There is a critical lack of internal savings, also an imbalance in our balance of payments. Another structural imbalance is the lack of efficiency of large sectors of the Mexican productive system. This is all reflected in our society in a very serious social inequality.
Q. Has Mexico spent too much money in the past three years?
A. I think there has been a serious imbalance in public financing. This is an imbalance that we must correct.
Q. Is it also fair to say that Mexico borrowed too much money?
A. I believe that the rate of growth of the Mexican foreign debt has been excessive. We need to resort a great deal less to foreign indebtedness.
Q. That may mean putting between 1 million and 2 million people out of work in the next two years. What will happen to these people?
A. This is the most important short-term economic challenge. We must have more efficient development in economic terms and also in social terms. The political problem is to bring about a proper balance.
Q. What are you going to do about the nationalized banks?
A. We are going to keep the banks nationalized (this decision is irreversible) and we will make use of this new instrument with seriousness, professionalism, efficiency and honesty.
Q. How do you see the Mexican-U.S. relationship changing as a result of Mexico's economic problems?
A. I have seen good will manifested on the part of the American Government to help Mexico in moments of crisis. That would seem to me to be a very intelligent attitude on the part of the U.S. The relationship between Mexico and the U.S., although it has its difficult aspects, will continue fundamentally to be good. We are neighbors, partners and friends, and I am sure the relationship will have a positive and fruitful tone during my administration.
Q. Do you plan any changes with regard to Mexico's use of oil?
A. Mexico will continue using its petroleum to support its general development strategy. But I would like to avoid the thinking that petroleum is the center of all Mexican development. Mexico has agricultural and livestock resources. It has forests, fishing, mining, attractive tourist resorts and industry. We are already a very complex country and we must develop our country within a framework of proper balance. In taking a decision with respect to production and export of petroleum, we will examine two situations. First, the cost-benefit relations for the Mexican economy. Second, to see that our participation in the international oil market does not contribute to lowering prices.
Q. In your campaign, you made much of the issue of corruption. What specific plans do you have to deal with this?
A. I am going to promote a new system of legal responsibility for public officials, including constitutional and legal reforms. I am going to update the [list of] crimes that public officials can [be indicted for committing]. I am going to promote the establishment of a general comptroller under the direct dependency of the executive branch. I am going to forbid government officials to simultaneously own private businesses. A very important program of moral renewal will be to strengthen the judiciary branch, and particularly the police.
Q. Your government faces potential problems of social unrest in the next two years. What will you do about it?
A. We are going to have a couple of very difficult years. These are not the first difficult years we have had in the history of Mexico. The Mexican political system has the necessary strength to absorb the problems of the economic and social crises.
Q. Do you plan any changes in Mexico's foreign policy?
A. There will be no substantial changes. In the area of Central America, we will be greatly concerned with looking for peaceful solutions and negotiations in the current conflict. We don't want hostilities with anybody.
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