US embassy cable - 03TEGUCIGALPA2941

UNCLAS TEGUCIGALPA 002941 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV, ECON, PINR, HO 
SUBJECT: RUMORS OF POSSIBLE RESTRUCTURING OF HONDURAN 
GOVERNMENT MINISTIRES 
 
 
1.  In an effort to decrease government spending, and meet 
the specifications of the recently negotiated IMF agreement, 
the GOH has announced that there will be "changes" within 
various government ministries.  As such, President Ricardo 
Maduro appears to be planning to streamline the GOH by 
restructuring certain departments, and in some cases 
eliminating certain ministries altogether. 
 
2.  It is rumored that the Ministry of Culture, Arts, and 
Sports and the Honduran Institute of Science and Technology 
will be absorbed by the Ministry of Education.  (Note: The 
Minister of Culture position is currently held by Mireya 
Batres, President Maduro's ex-fiancee.  End Note.)  Also, it 
is rumored that the Ministry of International Cooperation 
(SETCO) will be absorbed by either the Ministry of the 
Presidency or the Foreign Ministry. 
 
3.  Other possible changes within the GOH include fusing the 
National Agrarian Institute, the Ministry of Agriculture and 
Livestock, and the Ministry of Natural Resources and 
Environment into one separate entity, as it once was.  Also, 
it is rumored that the Honduran Foundation for Social 
Investment (FHIS) will be eliminated, with the Ministry of 
Government taking over certain duties performed by FHIS. 
Other potential targets of the restructuring effort include 
the fusion of the Central Bank and the National Commission of 
Banks and Insurance, as well as combining the duties of the 
Office of Procurement, the National Telecom Commission, and 
the Office of Licenses and Commissions. 
 
4.  Rumors also continue of impending changes in President 
Maduro's cabinet.  After two years in office, President 
Maduro may possibly exchange some "technical" ministers 
(technocrats) for more "political" ones (politicians).  The 
following individuals are rumored in the press to be on their 
way out for a wide array of reasons:  Minister of Public 
Works Jorge Carranza; Minister of Government Jorge Ramon 
Hernandez Alcerro; Minister of Finance Arturo Alvarado; 
Minister of Education Carlos Avila; Minister of Health Elias 
Lizardo; Minister of Culture Mireya Batres; Minister of Trade 
Norman Garcia; Minister of International Aid Coordination 
Brenie Matute; the National Electric Company's Angelo 
Botazzi; and Hondutel's Arturo Valenzuela.  Possible reasons 
for dismissals vary from minister to minister, but include 
government reorganization, a desire to run for political 
office, political scapegoating, and lack of political skills. 
 
5.  COMMENT:  Currently, any specifics about the 
restructuring process or cabinet changes are only rumors. 
President Maduro appears to have decided that certain 
adjustments will help fulfill the IMF agreement and create a 
less bureaucratic, more efficient government.  However, the 
President has not yet spoken publicly about possible changes. 
 It does seem that the targets of the realignment will be the 
ministries whose work is on the periphery of the most 
pressing political issues.  Post notes that several of the 
potentially affected ministries have told EmbOffs that their 
ministries will not be eliminated.  END COMMENT. 
Palmer