Mexico forgives $341 million USD in Cuban bank debt

In a separate statement the island government denies a move towards capitalism

Guadalajara -
Mexican internal revenue and budget planning secretary Luis Videgaray, a key member of the Institutional Revolutionary Party administration of president Enrique Peña Nieto, has announced that his country will forgive 70% of the $487 million dollars Cuba owes to the Banco Nacional de Comercio Exterior (Bancomext) under a 15 year old loan agreement.

Videgaray is secretary of the powerful Hacienda y Crédito Público, which manages the nation's financial life.

In a press interview yesterday the secretary said that Cuba has agreed to retire the remaining 30% of the debt over a 10 year period.

Bancomext is a 75 year old export credit agency which extends financing to small and medium size exporters of Mexican goods and purchasers of those goods. In September China announced that it would loan the export bank $500 million dollars, to promote trade between the two countries. Enrique Peña Nieto picks up some cash in St. Petersburg.

Today the chanceries of Mexico and Cuba announced the strengthening of commercial and financial ties between the two nations and the signing of several accords reflecting a wide array of agreements. Cuban Foreign Minister Bruno Rodríguez thanked Mexico for its support on Tuesday's overwhelming United Nations' vote condemning the U.S. economic embargo of the island. During the debate Mexico said it "firmly rejected" the punitive measure. U.N. condemns U.S. embargo of Cuba for 22nd time.

In other statements Rodríguez emphasized that Cuba does not intend to move towards capitalism or even a transitory, pre-capitalistic economy. He again called the American embargo "genocide and a massive, flagrant and systematic violation of human rights," which he said has cost the island more than a trillion dollars in economic damages since 1962.

Apr. 12, 2012 - In Havana, Mexican president Felipe Calderón condemns U.S. embargo of Cuba

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