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POLITICS

Chavez calls Merkel a political descendent of Hitler

Venezuelan President Hugo Chavez on Sunday sharply attacked German Chancellor Angela Merkel ahead of her Latin America visit, calling her a political descendent of Adolf Hitler and fascism.

Chavez calls Merkel a political descendent of Hitler
Venezuela's President Hugo Chavez. Photo:DPA

The leftist leader slammed Merkel for recent comments saying the Venezuelan leader was not the voice of Latin America and calling on Latin American leaders to distance themselves from Chavez.

“She (Merkel) is from the German right, the same that supported Hitler, that supported fascism, that’s the Chancellor of Germany today,” Chavez said in Caracas.

Merkel is to make her first visit to Latin America next week, travelling to Brazil on Wednesday. She will attend an EU-Latin America summit in Peru. On May 20, the German leader is to visit Colombia and Mexico.

In an interview with the Spanish service of news agency dpa on Saturday, Merkel she had observed a “leftist populism” in some countries in Latin America. “I don’t believe that state-run economies can tackle urgent problems better and in a more sustainable manner. Our experiences in Europe show that,” Merkel said. She also called for more efforts to tackle poverty in Latin America. The EU should support countries to eliminate social inequalities, she added.

Chavez said he could confront Merkel about the statements if he attends the upcoming summit of heads of state from Europe and Latin America in Peru. “Maybe I’ll say something to her and she’ll get mad and say ‘why don’t you shut up?'” he said, in a reference to a row with Spanish King Juan Carlos last November in Santiago de Chile.

At the time, Chavez had tried to interrupt a speech by Spanish Prime Minister José Luis Rodríguez Zapatero at an Iberian-American summit, prompting a strong admonition by King Juan Carlos who said, “Why don’t you shut up?” The spat triggered a week-long crisis between Madrid and Caracas.

On Sunday, Chavez praised Brazilian leader, Luiz Lula da Silva, for making clear to “our blue-blooded friends in Europe” they need not fear Latin America’s Left.

Chavez, who famously called US President George W Bush “the devil” at a UN assembly, is notorious for his inflammatory remarks. On Sunday, he called Colombian President Alvaro Uribe a “liar” who “shouldn’t even run a corner store.” In the past, he has called US Secretary of Defence Donald Rumsfeld “one of the dogs of the devil” and then-President of Mexico Vicente Fox the “lap-dog of the empire.”

ECONOMY

‘Turning point’: Is Germany’s ailing economy on the road to recovery?

The German government slightly increased its 2024 growth forecast Wednesday, saying there were signs Europe's beleaguered top economy was at a "turning point" after battling through a period of weakness.

'Turning point': Is Germany's ailing economy on the road to recovery?

Output is expected to expand 0.3 percent this year, the economy ministry said, up from a prediction of 0.2 percent in February.

The slightly rosier picture comes after improvements in key indicators — from factory output to business activity — boosted hopes a recovery may be getting under way.

The German economy shrank slightly last year, hit by soaring inflation, a manufacturing slowdown and weakness in trading partners, and has acted as a major drag on the 20-nation eurozone.

But releasing its latest projections, the economy ministry said in a statement there were growing indications of a “turning point”.

“Signs of an economic upturn have increased significantly, especially in recent weeks,” Economy Minister Robert Habeck said at a press conference.

The ministry also cut its forecast for inflation this year to 2.4 percent, from a previous prediction of 2.8 percent, and sees the figure falling below two percent next year.

READ ALSO: Can Germany revive its struggling economy?

“The fall in inflation will lead to consumer demand — people have more money in their wallets again, and will spend this money,” said Habeck.

“So purchasing power is increasing, real wages are rising and this will contribute to a domestic economic recovery.”

Energy prices — which surged after Russia’s 2022 invasion of Ukraine — had also fallen and supply chain woes had eased, he added.

Several months ago there had been expectations of a strong rebound in 2024, with forecasts of growth above one percent, but these were dialled back at the start of the year as the economy continued to languish.

‘Germany has fallen behind’

But improving signs have fuelled hopes the lumbering economy — while not about to break into a sprint — may at least be getting back on its feet.

On Wednesday a closely-watched survey from the Ifo institute showed business sentiment rising for a third consecutive month in April, and more strongly than expected.

A key purchasing managers’ index survey this week showed that business activity in Germany had picked up.

And last week the central bank, the Bundesbank, forecast the economy would expand slightly in the first quarter, dodging a recession, after earlier predicting a contraction.

German Economics Minister Robert Habeck

Economics Minister Robert Habeck (Greens) presents the latest economic forecasts at a press conference in Berlin on Wednesday, April 24th. Photo: picture alliance/dpa | Michael Kappeler

Despite the economy’s improving prospects, growth of 0.3 percent is still slower than other developed economies and below past rates, and officials fret it is unlikely to pick up fast in the years ahead.

Habeck has repeatedly stressed solutions are needed for deep-rooted problems facing Germany, from an ageing population to labour shortages and a transition towards greener industries that is moving too slowly.

“Germany has fallen behind other countries in terms of competitiveness,” he said. “We still have a lot to do — we have to roll up our sleeves.”

READ ALSO: Which German companies are planning to cut jobs?

Already facing turbulence from pandemic-related supply chain woes, the German economy’s problems deepened dramatically when Russia invaded Ukraine and slashed supplies of gas, hitting the country’s crucial manufacturers hard.

While the energy shock has faded, continued weakness in trading partners such as China, widespread strikes in recent months and higher eurozone interest rates have all prolonged the pain.

The European Central Bank has signalled it could start cutting borrowing costs in June, which would boost the eurozone.

But Habeck stressed that care was still needed as, despite the expectations of imminent easing, “tight monetary policy has not yet been lifted.”

In addition, disagreements in Chancellor Olaf Scholz’s three-party ruling coalition are hindering efforts to reignite growth, critics say.

This week the pro-business FDP party, a coalition partner, faced an angry backlash from Scholz’s SPD when it presented a 12-point plan for an “economic turnaround”, including deep cuts to state benefits.

Christian Lindner, the fiscally hawkish FDP finance minister, welcomed signs of “stabilisation” in the economic forecasts but stressed that projected medium-term growth was “too low to sustainably finance our state”.

“There are no arguments for postponing the economic turnaround,” he added.

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