http://www.iht.com/articles/ap/2007/01/14/america/LA-GEN-Venezuela-Iran.php

 

Iran, Venezuela agree to finance third countries to oppose U.S. domination 

 

 

CARACAS, Venezuela (AP) — Venezuelan President Hugo Chavez and Iran's Mahmoud 
Ahmadinejad said they were ready to spend billions of dollars (euros) financing 
projects in other countries to help thwart U.S. domination.

The anti-U.S. presidents whose efforts to extend their influence have alarmed 
Washington met Saturday in Venezuela's capital, the first stop on Ahmadinejad's 
tour of Latin America that will also see him visit newly elected leftist 
leaders in Nicaragua and Ecuador.

The oil-rich nations had previously announced plans for a joint US$2 billion 
(€1.55 billion) fund to finance investments in Venezuela and Iran, but Chavez 
and Ahmadinejad said Saturday that the money would also be used for projects in 
friendly third countries.

"It will permit us to underpin investments ... above all in those countries 
whose governments are making efforts to liberate themselves from the (U.S.) 
imperialist yoke," said Chavez.

"This fund, my brother," Chavez said referring to Ahmadinejad, "will become a 
mechanism for liberation."

"Death to U.S. imperialism!" he said.

Ahmadinejad called it a "very important" decision that would help promote 
"joint cooperation in third countries," especially in Latin American and 
African countries.

It was not clear if the leaders were referring to investment in infrastructure, 
social and energy projects — areas that the two countries have focused on until 
now — or other types of financing.

Before his meeting with Ahmadinejad, Chavez said in his state of the nation 
address that he had personally expressed hope to Thomas Shannon, head of the 
U.S. State Department's Western Hemisphere affairs bureau, for better relations 
between their two countries.

Chavez said he spoke with Shannon on the sidelines of Nicaraguan President 
Daniel Ortega's inauguration earlier this week, saying, "We shook hands and I 
told him: 'I hope that everything improves.'"

Chavez — a close ally of Cuban leader Fidel Castro whom Washington sees as a 
destabilizing influence — has pledged billions of dollars (euros) of help to 
the region in foreign aid, bond buyouts and preferentially financed oil deals.

Iran, meanwhile, is allegedly bankrolling militant groups in the Middle East 
like Hamas and the Islamic Jihad, as well as insurgents in Iraq, in a bid to 
extend its influence.

Ahmadinejad's visit Saturday — his second to Venezuela in less than four months 
— comes as he seeks to break international isolation over his country's nuclear 
program and possibly line up new allies in Latin America.

After Venezuela, Ahmadinejad will visit newly elected leftist governments in 
Nicaragua and Ecuador that are also seeking to reduce Washington's influence in 
the region.

Bolivian President Evo Morales, another critic of U.S. policy, said he plans to 
meet with Ahmadinejad while both are in Ecuador Monday.

Chavez and Ahmadinejad have been increasingly united by their deep-seated 
antagonism to Washington. Chavez has become a leading defender of Iran's 
nuclear ambitions, accusing the United States of using the issue as a pretext 
to attack a regime it opposes and promising to stand with Iran.

Ahmadinejad, meanwhile, has called Chavez "the champion of the struggle against 
imperialism."

On Saturday, he congratulated Chavez on his December re-election and said the 
Venezuelan people were wise to choose "a person as important on the world 
stage, a person so wise as Hugo Chavez."

The increasingly close relationship has alarmed some, and critics of Chavez 
accuse him of pursuing an alliance that does not serve Venezuela's interests 
and jeopardizes its ties with the United States, the country's top oil buyer. 
Venezuela is among the top five suppliers of crude to the U.S. market.

Both countries are members of the Organization of Petroleum Exporting 
Countries, Chavez said Saturday that they had agreed to back an oil production 
cut in the cartel in order to stem a recent fall in crude prices.

"We know today there is too much crude in the market," Chavez siad. "We have 
agreed to join our forces within OPEC ... to support a production cut and save 
the price of oil."

The two governments, which already plan to jointly produce everything from 
bricks to bicycles and develop oil fields in Venezuela, signed another 11 
accords Saturday to explore further opportunities for cooperation in areas like 
tourism, education and mining.

Ahmadinejad is set to travel to Nicaragua to meet on Sunday with Ortega, a 
former Marxist guerrilla. On Monday, he travels to Ecuador for the inauguration 
of President-elect Rafael Correa, another outspoken critic of the 
administration of U.S. President George W. Bush and Washington's policies in 
Latin America.



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