IBOV 176,010.90 ▼ 0.36% IPSA 10,947.38 ▼ 0.70% IPC MEX 66,399.71 ▼ 0.17% MERVAL 3,291,246 ▲ 1.92% COLCAP 2,292.03 ▼ 0.29% BVL PERÚ 57,174.37 — — USD/BRL5.08▲ 0.06% USD/MXN17.40▼ 0.13% USD/CLP925.20▼ 0.15% USD/COP3,222▼ 0.42% USD/PEN3.39▼ 0.14% USD/ARS1,476▲ 0.34% USD/UYU40.15▲ 1.04% USD/PYG6,039▲ 1.28% USD/BOB10.65▲ 5.99% USD/DOP58.36▲ 0.10% USD/CRC447.49▲ 0.88% USD/GTQ7.62▲ 2.09% USD/HNL26.73▼ 0.01% USD/NIO36.62▲ 0.31% USD/VES725.63▲ 0.11% USD/PAB1.00— 0.00% USD/BZD2.00— 0.00% USD/JMD157.48▼ 0.01% USD/TTD6.76▲ 1.32% EUR/BRL5.82▼ 0.61% BRENT 85.35 ▲ 0.73% WTI 80.15 ▲ 1.02% IRON ORE 161.91 — — COPPER 6.34 ▲ 0.22% GOLD 4,042 ▼ 0.46% SILVER 57.27 ▼ 2.56% SOY 1,201 ▼ 0.56% CORN 469.00 ▲ 8.13% WHEAT 676.25 ▲ 7.13% COFFEE 324.50 ▼ 3.77% SUGAR 14.86 ▼ 0.13% ORANGE JUICE 140.45 ▲ 0.14% COTTON 82.13 ▲ 3.18% COCOA 5,917 ▲ 4.54% BEEF 230.33 ▼ 0.48% CATTLE 344.95 ▼ 1.10% LITHIUM 71.06 ▼ 0.73% PETR4 40.59 ▼ 0.17% VALE3 74.51 ▲ 0.68% ITUB4 43.14 ▼ 1.12% BBDC4 18.60 ▼ 0.16% ABEV3 15.57 ▼ 1.52% BBAS3 20.55 ▼ 0.19% B3SA3 15.69 ▲ 2.35% WEGE3 44.26 ▲ 0.14% PRIO3 57.50 ▼ 0.12% SUZB3 41.48 ▲ 0.90% RENT3 40.35 ▼ 0.47% AZZA3 18.66 ▼ 1.01% CSAN3 3.93 ▲ 1.03% RAIZ4 0.29 ▼ 6.45% PCAR3 2.62 ▲ 6.94% GMAT3 3.98 ▲ 0.51% PSSA3 55.22 ▲ 1.71% CVCB3 1.34 ▼ 2.90% POSI3 3.95 ▼ 1.00% SLCE3 13.50 ▼ 2.24% NATU3 8.67 ▲ 1.40% BRKM5 6.41 ▼ 6.15% RANI3 7.98 ▼ 0.37% CSNA3 5.24 ▲ 0.77% CMIN3 5.24 ▲ 2.75% USIM5 8.20 ▼ 0.36% GGBR4 24.20 ▲ 3.77% ENEV3 26.95 ▼ 0.81% CPFE3 46.83 ▼ 0.78% CMIG4 11.15 ▼ 0.45% EQTL3 40.33 ▼ 1.51% LREN3 14.10 ▼ 1.33% VIVT3 35.47 ▼ 0.14% RAIL3 14.07 ▼ 0.42% KLABIN 17.39 ▲ 0.40% RAIA DROGASIL 18.67 ▲ 0.38% RDOR3 36.01 ▼ 0.11% HAPV3 10.99 ▼ 1.79% FLRY3 16.51 ▲ 0.61% SMTO3 15.53 ▼ 3.66% UGPA3 31.10 ▲ 3.29% VBBR3 33.75 ▲ 1.35% BBSE3 40.71 ▲ 0.79% BPAC11 57.04 ▼ 1.57% CURY3 32.73 ▼ 2.56% AERI3 2.02 ▼ 2.42% VIVARA 23.52 ▲ 0.38% COMPASS 25.11 ▼ 0.36% VAMOS 3.12 ▼ 0.95% SANB11 27.00 ▼ 1.24% ASAI3 8.66 — 0.00% SBSP3 29.98 ▼ 1.19% WALMEX 49.61 ▲ 0.69% GMEXICO 200.02 ▲ 0.23% FEMSA 223.27 ▼ 2.64% CEMEX 22.64 ▲ 1.98% GFNORTE 183.98 ▼ 1.19% BIMBO 57.50 ▲ 2.02% TELEVISA 9.56 ▲ 0.74% AMX 22.80 ▼ 0.22% GAP 398.24 ▲ 0.75% ASUR 283.46 ▲ 2.85% OMA 234.61 ▼ 0.17% KOF 176.96 ▼ 1.69% GRUMA 280.76 ▲ 0.49% KIMBER 38.73 ▲ 0.75% SQM-B 66,050 ▼ 2.72% COPEC 6,126 ▼ 1.35% BSANTANDER 78.16 ▼ 0.61% FALABELLA 5,853 ▼ 0.37% ENELAM 84.80 ▼ 1.11% CENCOSUD 2,005 ▼ 1.72% CMPC 1,074 ▼ 2.63% BANCO CHILE 188.88 ▼ 0.33% LATAM AIR 25.40 ▲ 2.01% YPF 78,550 ▲ 1.00% GGAL 8,205 ▲ 3.73% PAMPA 5,240 ▲ 0.19% TXAR 671.00 ▲ 1.36% ALUAR 959.50 ▲ 1.11% TGS 9,750 ▲ 0.41% CEPU 2,344 ▲ 0.73% MIRGOR 16,975 ▲ 1.34% COME 45.63 ▼ 0.26% LOMA NEGRA 3,613 ▲ 2.26% BYMA 304.25 ▲ 1.08% TELECOM ARG 4,315 ▼ 0.40% ECOPETROL 15.98 ▼ 1.11% BANCOLOMBIA 81.55 ▼ 0.67% GRUPO AVAL 5.03 ▲ 1.62% CREDICORP 398.20 ▲ 1.52% SOUTHERN COPPER 181.54 ▼ 0.46% BUENAVENTURA 30.71 ▼ 1.03% MERCADOLIBRE 1,843 ▼ 1.64% NUBANK 13.88 ▼ 0.79% XP 16.87 — 0.00% PAGSEGURO 9.21 ▼ 0.75% STONE 11.28 ▼ 0.18% GLOBANT 31.98 ▲ 3.43% TECNOGLASS 45.67 ▲ 3.26% GAP AIRPORT 228.15 ▲ 0.97% ASUR 283.46 ▲ 2.85% OMA AIRPORT 107.90 ▲ 0.24% AMX ADR 26.11 ▼ 0.27% FEMSA ADR 128.77 ▼ 3.30% CEMEX ADR 13.07 ▲ 2.11% PETROBRAS ADR 17.86 ▼ 0.33% VALE ADR 14.67 ▲ 0.55% ITAU ADR 8.45 ▼ 1.17% SANTANDER BR 5.35 ▼ 0.74% AMBEV ADR 3.03 ▼ 1.94% CSN 1.04 ▲ 0.49% GERDAU 4.80 ▲ 4.12% LATAM ADR 54.87 ▲ 2.54% BTC 64,638 ▼ 0.49% ETH 1,919 ▲ 1.58% SOL 77.00 ▼ 0.98% XRP 1.11 ▲ 0.04% BNB 579.71 ▼ 0.35% ADA 0.16 ▼ 0.26% DOGE 0.07 ▼ 0.65% AVAX 6.69 ▼ 0.11% LINK 8.50 ▲ 1.87% DOT 0.84 ▼ 1.03% LTC 45.21 ▼ 0.49% BCH 222.91 ▼ 5.74% TRX 0.32 ▼ 0.43% XLM 0.19 ▲ 1.98% HBAR 0.07 ▲ 0.48% NEAR 2.06 ▲ 2.53% ATOM 1.54 ▼ 1.09% AAVE 96.18 ▼ 2.73% SELIC 14.25% EMBRAER 82.35 ▼ 0.17% EMBRAER ADR 64.90 ▼ 0.02% JBS 12.10 ▲ 2.28% JBS BDR 61.43 ▲ 2.81% MBRF3 15.40 ▼ 4.29% MBRFY 2.87 ▼ 8.60% INTER 5.62 ▼ 1.40% EGX 52,558 ▲ 0.50% USD/ZAR16.35▼ 0.16% USD/NGN 1,379 — 0.00% NIKKEI 66,633 ▼ 3.08% CSI300 4,787 ▼ 0.20% HSI 24,681 — 0.00% NIFTY 24,079 ▲ 0.11% KOSPI 6,814 ▼ 6.46% JCI 6,042 ▲ 0.04% USD/JPY162.07▼ 0.11% USD/CNY6.77▼ 0.03% DAX 25,000 ▼ 0.59% CAC 8,382 ▲ 0.19% FTSE 10,516 ▼ 0.13% MIB 52,411 ▼ 0.85% IBEX 19,276 ▼ 0.42% STOXX 642.71 ▲ 0.10% EUR/USD1.15▲ 0.45% GBP/USD1.35▲ 1.36% SPX 7,572 ▲ 0.38% DJI 52,659 ▲ 0.29% NDX 29,503 ▼ 0.28% RUT 2,976 ▲ 0.39% TSX 35,416 ▲ 0.27% VIX 15.67 ▼ 5.03% USD/CAD1.40▼ 0.11% US10Y 4.5450 ▼ 0.87% IBOV 176,010.90 ▼ 0.36% IPSA 10,947.38 ▼ 0.70% IPC MEX 66,399.71 ▼ 0.17% MERVAL 3,291,246 ▲ 1.92% COLCAP 2,292.03 ▼ 0.29% BVL PERÚ 57,174.37 — — USD/BRL 5.08 ▲ 0.06% USD/MXN 17.40 ▼ 0.13% USD/CLP 925.20 ▼ 0.15% USD/COP 3,222 ▼ 0.42% USD/PEN 3.39 ▼ 0.14% USD/ARS 1,476 ▲ 0.34% USD/UYU 40.15 ▲ 1.04% USD/PYG 6,039 ▲ 1.28% USD/BOB 10.65 ▲ 5.99% USD/DOP 58.36 ▲ 0.10% USD/CRC 447.49 ▲ 0.88% USD/GTQ 7.62 ▲ 2.09% USD/HNL 26.73 ▼ 0.01% USD/NIO 36.62 ▲ 0.31% USD/VES 725.63 ▲ 0.11% USD/PAB 1.00 — 0.00% USD/BZD 2.00 — 0.00% USD/JMD 157.48 ▲ 0.31% USD/TTD 6.76 ▲ 1.56% EUR/BRL 5.82 ▼ 0.61% BRENT 85.35 ▲ 0.73% WTI 80.15 ▲ 1.02% IRON ORE 161.91 — — COPPER 6.34 ▲ 0.22% GOLD 4,042 ▼ 0.46% SILVER 57.27 ▼ 2.56% SOY 1,201 ▼ 0.56% CORN 469.00 ▲ 8.13% WHEAT 676.25 ▲ 7.13% COFFEE 324.50 ▼ 3.77% SUGAR 14.86 ▼ 0.13% ORANGE JUICE 140.45 ▲ 0.14% COTTON 82.13 ▲ 3.18% COCOA 5,917 ▲ 4.54% BEEF 230.33 ▼ 0.48% CATTLE 344.95 ▼ 1.10% LITHIUM 71.06 ▼ 0.73% PETR4 40.59 ▼ 0.17% VALE3 74.51 ▲ 0.68% ITUB4 43.14 ▼ 1.12% BBDC4 18.60 ▼ 0.16% ABEV3 15.57 ▼ 1.52% BBAS3 20.55 ▼ 0.19% B3SA3 15.69 ▲ 2.35% WEGE3 44.26 ▲ 0.14% PRIO3 57.50 ▼ 0.12% SUZB3 41.48 ▲ 0.90% RENT3 40.35 ▼ 0.47% AZZA3 18.66 ▼ 1.01% CSAN3 3.93 ▲ 1.03% RAIZ4 0.29 ▼ 6.45% PCAR3 2.62 ▲ 6.94% GMAT3 3.98 ▲ 0.51% PSSA3 55.22 ▲ 1.71% CVCB3 1.34 ▼ 2.90% POSI3 3.95 ▼ 1.00% SLCE3 13.50 ▼ 2.24% NATU3 8.67 ▲ 1.40% BRKM5 6.41 ▼ 6.15% RANI3 7.98 ▼ 0.37% CSNA3 5.24 ▲ 0.77% CMIN3 5.24 ▲ 2.75% USIM5 8.20 ▼ 0.36% GGBR4 24.20 ▲ 3.77% ENEV3 26.95 ▼ 0.81% CPFE3 46.83 ▼ 0.78% CMIG4 11.15 ▼ 0.45% EQTL3 40.33 ▼ 1.51% LREN3 14.10 ▼ 1.33% VIVT3 35.47 ▼ 0.14% RAIL3 14.07 ▼ 0.42% KLABIN 17.39 ▲ 0.40% RAIA DROGASIL 18.67 ▲ 0.38% RDOR3 36.01 ▼ 0.11% HAPV3 10.99 ▼ 1.79% FLRY3 16.51 ▲ 0.61% SMTO3 15.53 ▼ 3.66% UGPA3 31.10 ▲ 3.29% VBBR3 33.75 ▲ 1.35% BBSE3 40.71 ▲ 0.79% BPAC11 57.04 ▼ 1.57% CURY3 32.73 ▼ 2.56% AERI3 2.02 ▼ 2.42% VIVARA 23.52 ▲ 0.38% COMPASS 25.11 ▼ 0.36% VAMOS 3.12 ▼ 0.95% SANB11 27.00 ▼ 1.24% ASAI3 8.66 — 0.00% SBSP3 29.98 ▼ 1.19% WALMEX 49.61 ▲ 0.69% GMEXICO 200.02 ▲ 0.23% FEMSA 223.27 ▼ 2.64% CEMEX 22.64 ▲ 1.98% GFNORTE 183.98 ▼ 1.19% BIMBO 57.50 ▲ 2.02% TELEVISA 9.56 ▲ 0.74% AMX 22.80 ▼ 0.22% GAP 398.24 ▲ 0.75% ASUR 283.46 ▲ 2.85% OMA 234.61 ▼ 0.17% KOF 176.96 ▼ 1.69% GRUMA 280.76 ▲ 0.49% KIMBER 38.73 ▲ 0.75% SQM-B 66,050 ▼ 2.72% COPEC 6,126 ▼ 1.35% BSANTANDER 78.16 ▼ 0.61% FALABELLA 5,853 ▼ 0.37% ENELAM 84.80 ▼ 1.11% CENCOSUD 2,005 ▼ 1.72% CMPC 1,074 ▼ 2.63% BANCO CHILE 188.88 ▼ 0.33% LATAM AIR 25.40 ▲ 2.01% YPF 78,550 ▲ 1.00% GGAL 8,205 ▲ 3.73% PAMPA 5,240 ▲ 0.19% TXAR 671.00 ▲ 1.36% ALUAR 959.50 ▲ 1.11% TGS 9,750 ▲ 0.41% CEPU 2,344 ▲ 0.73% MIRGOR 16,975 ▲ 1.34% COME 45.63 ▼ 0.26% LOMA NEGRA 3,613 ▲ 2.26% BYMA 304.25 ▲ 1.08% TELECOM ARG 4,315 ▼ 0.40% ECOPETROL 15.98 ▼ 1.11% BANCOLOMBIA 81.55 ▼ 0.67% GRUPO AVAL 5.03 ▲ 1.62% CREDICORP 398.20 ▲ 1.52% SOUTHERN COPPER 181.54 ▼ 0.46% BUENAVENTURA 30.71 ▼ 1.03% MERCADOLIBRE 1,843 ▼ 1.64% NUBANK 13.88 ▼ 0.79% XP 16.87 — 0.00% PAGSEGURO 9.21 ▼ 0.75% STONE 11.28 ▼ 0.18% GLOBANT 31.98 ▲ 3.43% TECNOGLASS 45.67 ▲ 3.26% GAP AIRPORT 228.15 ▲ 0.97% ASUR 283.46 ▲ 2.85% OMA AIRPORT 107.90 ▲ 0.24% AMX ADR 26.11 ▼ 0.27% FEMSA ADR 128.77 ▼ 3.30% CEMEX ADR 13.07 ▲ 2.11% PETROBRAS ADR 17.86 ▼ 0.33% VALE ADR 14.67 ▲ 0.55% ITAU ADR 8.45 ▼ 1.17% SANTANDER BR 5.35 ▼ 0.74% AMBEV ADR 3.03 ▼ 1.94% CSN 1.04 ▲ 0.49% GERDAU 4.80 ▲ 4.12% LATAM ADR 54.87 ▲ 2.54% BTC 64,638 ▼ 0.49% ETH 1,919 ▲ 1.58% SOL 77.00 ▼ 0.98% XRP 1.11 ▲ 0.04% BNB 579.71 ▼ 0.35% ADA 0.16 ▼ 0.26% DOGE 0.07 ▼ 0.65% AVAX 6.69 ▼ 0.11% LINK 8.50 ▲ 1.87% DOT 0.84 ▼ 1.03% LTC 45.21 ▼ 0.49% BCH 222.91 ▼ 5.74% TRX 0.32 ▼ 0.43% XLM 0.19 ▲ 1.98% HBAR 0.07 ▲ 0.48% NEAR 2.06 ▲ 2.53% ATOM 1.54 ▼ 1.09% AAVE 96.18 ▼ 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Coronavirus and Presidentialism: Potential Effects on Latin American Governments

By · April 12, 2020 · 6 min read

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RIO DE JANEIRO, BRAZIL – Although the spread of the novel coronavirus in Latin America and the response of the countries are diverse, a common approach to the strategy pursued by the various governments is evident. In particular, there is a strong emphasis on presidentialism.

Presidents have monopolized the administration of the agenda, which in today’s uncertain moment has provided security and leadership (with a few exceptions). Leaders are investing much of their political capital, prioritizing the new health agenda during the coronavirus threat.

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What characterizes the Latin American case is the fact that this commitment to centralize the discourse on the presidential figurehead is made at the expense of state structures that, from an inefficient operation in some cases, endanger the presidential system. Political developments will be important to observe should some of the countries have their state institutions overloaded, as was the case in Italy.

It is important to note that, although there is a clear inclination towards increased presidentialism, this does not imply that all countries will follow the same formula. In some cases, social leadership capacity and strategic decision-making are prioritized, but in others, solutions more concerned with sustaining the economy are noted, which leads them to downplay the coronavirus. That said, an analysis of each case’s communication strategy in the context of the pandemic is worth exploring:

Although the spread of the novel coronavirus in Latin America and the response of the states are diverse, a common approach to the strategy pursued by the various governments is evident. In particular, there is a strong emphasis on presidentialism.
During the spread of the novel coronavirus in Latin America there is a strong emphasis on presidentialism. (Internet reproduction)
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– Alberto Fernández, in Argentina: He is committed to a centralized discourse aimed at uniting Argentinians against the coronavirus. “I assure you that I will take the lead to guarantee what we have proposed”. He seeks consensus with governors, mayors and legislators from all political sectors.

– Sebastián Piñera, in Chile: He took the initiative and leadership in the fight against the pandemic, albeit in a tone that points to a reassessment of Chilean infrastructure and institutions, saying that “Chile is much better prepared than Italy to face the coronavirus”.

– Iván Duque, in Colombia: He invested in quick actions and a simple speech, speaking of this threat as “the moment to gather all of our strength, our solidarity and assert the resilience that has always marked us and, above all, to have great faith in who we are as a nation”.

– Martín Vizcarra, in Peru: He has focused on daily press conferences in which he seeks to convey confidence, security and leadership, but also on Peruvians’ closeness and unity, which can be seen in statements like “To speak about health means all Peruvians are committed and united in fighting the coronavirus, it is the government’s job to provide the measures and guidelines, but the job of fighting it is everyone’s”.

– Andrés Manuel López Obrador, in Mexico: Although there is centralization in his role, he initially decided to downplay the risk of the coronavirus, which can be observed in statements such as: “There are those who say that because of the coronavirus we shouldn’t hug. But we must hug, nothing happens; like this. No confrontation, no procedures”. Although the passing of time has forced this position to change, he continues to show a milder stance than the others. His new messages are statements like, “It’s best to stay home. We’re going to endure this, we’re going to keep this isolation that’s going to help us greatly”.

Impact on approval

As a global overview of the perception of the presidents in the region, the Mitofsky survey is noteworthy, conducted between March 22nd and 25th in several Latin American countries, which enables assessing how the coronavirus affects presidential approval.

In this respect, it is noted that in some cases, such as Argentina and Peru, the emergence of the coronavirus has translated into an improvement in the presidential image. This improvement is, at least in the first instance, related to what, in theory, is known as the Rally Around the Flag phenomenon, associated with the presence of a common cause that unites the population under one leadership (in this case, the common cause is the coronavirus and the leadership is the presidential one).

However, this phenomenon is not widespread, because there are also cases of deterioration of the presidential image in times of coronavirus, as occurs in the Mexican case, where the performance of López Obrador is approved by about 48 percent of the population, which would be his worst rating since he began his term in office.

This proves that the way in which different governments approach the pandemic has a direct impact on the image of their leadership. In this sense, one can see how, according to Mitofsky’s study, the trust people have in the government in each country is reproduced almost identically to the approval of the presidential figure in the context of the coronavirus.

The paradox of greater and better state

Just as no government in Latin America is immune to the pandemic, neither are the politics and debates regaining strength in the region.

In addition to the consideration that, given the current context where daily political disputes are minimized, as partially observed in the Argentine case between kirchnerists and anti-kirchnerists, it is noteworthy that the paradoxical need in the region to have a bigger and better state is amplified.

Speaking of a larger state implies consolidating its role in sectors it has not reached to date, or has done so inefficiently, and this concerns historically neglected sectors in the region, such as health infrastructure, and vulnerable population groups.

However, discussing a better state raises a question for politics itself, surrounding the transparency with which one works and particularly in relation to the costs that politics generates for society.

Post-Pandemic

As long as the pandemic remains a risk, the main assessment factor for a good or bad management will be the health aspect: that is, how well or badly the government works to protect its inhabitants from the spread of the novel coronavirus.

In this context, it seems that the main indicator has to do with the number of confirmed infections and the number of deaths in the country, which, in cases where these indicators are out of control, as in Ecuador, it is probably difficult to contain the deterioration of the presidential and government image.

Now, it is also true that the coronavirus will not last forever. And on that front lies the question of what will happen in the image of Latin American politics, when the economy is the benchmark for better or worse management. The region will face strong economic repercussions, which will have both internal and external factors.

In cases like Colombia and Chile, the link between society and politics appears to be critical, crossed by social protests and challenges to the national political and economic systems.

In this context, what would happen if these presidents, so engaged with the presidential leadership, were to suddenly frustrate the expectations generated in society regarding their pledge to overcome the crisis together?

That is when the fragility of institutions in Latin American countries, marked by inefficiency and corruption, will most likely become evident once again (considering only the controversy in Argentina regarding the claim of millionaire purchases at excessive prices should suffice).

While in principle, the investment in presidentialism seen in Latin America is appropriate in the management of the crisis, the truth is that, in the face of a scenario of uncontrolled healthcare, firstly, or economic, secondly, the strategy poses great risks for the region’s leaders.

This scenario becomes even more relevant if we consider that 2021 will be an electoral year in countries such as Mexico and Argentina, which will hold parliamentary elections, and in cases such as Peru and Chile, where there will be presidential elections. The way each country will emerge from the crisis triggered by the coronavirus will undoubtedly shape the future.

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