Centroamérica
A Road full of good intentions

By Luis Artiga
A Road Full of Good Intentions

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A premise that has stirred great debate in this Central American nation is the way that it has led the country during the current global crisis.

Every time a power from the State takes a position, without exception, it declares the good intentions of its actions. There is no question of the good intentions made by the powers of the State, however, from the perspective of a Freedom-meter, our obligation is to measure the results and based on that, decide if it is good or bad for the citizens.

During the past recent month, there are a few things that can be highlighted. The legislative power promoted and passed a series of reforms from the Financial Commission that are paving the way to ease bureaucratic processes and steps through the use of technology. This definitely and positively impacts the economic freedom and serves as a small driver for economic stakeholders that is crucial during times of crisis.

But not all is bliss. With one hand they make, and with the other they are capable of breaking down freedoms. Consequently basic principles are affected, such as equality under the law. A clear testament to this is the persistent bad habit of approving tax exonerations for a “few” preferred organizations that are based more on an emotional criterion than a rational one.

Lastly, two flags draw our attention. Firstly, the incorporation of a Constitutional amendment declaring the supply of water to its citizen as mandatory by the State, however this leaves the door wide open to potential vulnerabilities of private property. Very good intentions, but risky at best if you read the fine print.

Secondly, permanent political debt that places the country’s economic capability at risk by exacerbating the fiscal burden and compromising future generations.