Presidential Office defends aid policy

loan

Chen Shui-bian thanked Congress for approving Taiwan's US$5 million loan to Honduras on Tuesday and expressed his hope that it would ratify the free-trade agreement signed between the two countries in May.

Acknowledging Bain's interest in running for president, Chen Shui-bian drew laughter when he said he wondered whether the congressional building or City Hall was closer to the presidential office.

Alvarez is also interested in running for president, and Chen Shui-bian had wished him good luck in achieving his dream when he visited City Hall earlier.

Chen Shui-bian received a round of applause when he spoke in Spanish, saying "your home is my home," "Honduras is my home," "Viva Honduras" and "Viva Taiwan."

Meanwhile, in Taiwan, Chinese Nationalist Party (KMT) presidential candidate Ma Ying-jeou (馬英九) yesterday lashed out at Chen Shui-bian's pledge to help Honduras build a US$300 million hydroelectric power station.

caution

"Many countries in the world criticize our diplomacy as `checkbook diplomacy.' We therefore really need to be careful when we offer foreign aid," he said when approached for comment at a pomelo farm in Yunlin.

Ma, who is in Yunlin as part of his "long stay" program, urged the government to do some careful thinking before promising foreign aid since the nation had been hit by several disasters and needed relief funds.

KMT Legislator Ting Shou-chung (丁守中), who spoke on behalf of the KMT caucus, said that the aid Chen promised Honduras would be better spent on taking care of local fruit farmers.

Additional reporting by Flora Wang