A Not So Picture Perfect Paraguay.

Author:Bustos, Sergio R.

YOU WOULD THINK A LATIN AMERICAN country whose president was forced into exile, whose vice president was assassinated and whose capital is reeling from days of rioting--all in the same month--would be poised for some serious economic changes. Not so, says international rating agency Standard & Poor's: "Paraguay's current political crisis will not materially damage economic policy."

The report was issued in late March, the same month that Vice President Luis Maria Argana was assassinated and only days after President Raul Cubas fled to Brazil to avoid impeachment proceedings at home. The political storm prompted a weekend of rioting, leaving six people dead and hundreds injured in a country that is home to about 6 million people, and where democracy is barely a decade old.

Paraguay's new president, Luis Gonzalez Macchi, has vowed to extradite Cubas and Line...

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