El Salvador: Battling on Another Front

Battling on Another Front

In a move considered crucial to the future of his government, President Jose Napoleon Duarte last week announced a long-awaited plan to strengthen El Salvador's economy. He told the country, in a televised speech and press conference, that the program creates a "war economy" designed to halt the "gangrene" that has afflicted El Salvador, which now has 45% unemployment and 40% annual inflation.

The heart of the plan is a devaluation of El Salvador's currency, a measure recommended by U.S. officials but resisted by Duarte because it would raise & prices of essential imported goods. The government had kept down the...

Want the full story?

Subscribe Now


Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!