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LAA130723V7:Latin America Advisor.Qxd www.thedialogue.org Tuesday, July 23, 2013 FEATURED Q&A BOARD OF ADVISORS Will the Snowden Case Lead to Big Changes in Privacy Laws? Diego Arria James R. Jones Director, Co-chair, At their summit on July 12, tions on service providers turning over Columbus Group Manatt Jones Mercosur leaders issued a dec- data about customers in response to a gov- Global Strategies LLC laration condemning allegations, ernment request or notifying their cus- Genaro Arriagada brought to light by fugitive NSA tomers if they do so. As awareness of this Nonresident Senior Craig A. Kelly Q leaker Edward Snowden, that the United situation grows, there will likely be Fellow, Director, Americas Inter-American International Gov't States has monitored their citizens' elec- attempts to harmonize data privacy laws. Dialogue Relations, tronic communications. The leaders also Such actions should be resisted. Countries Joyce Chang Exxon Mobil called for the adoption of global standards have different priorities and should pursue governing information and communica- different privacy laws based on their Global Head of John Maisto Emerging Markets Director, tions technologies that protect citizens' unique needs. Privacy rules modeled off of Research, JPMorgan U.S. Education Finance privacy and the sovereignty of states, and the European approach put privacy ahead Chase & Co. Group they affirmed their support for free soft- of innovation, and the problems with these W. Bowman Cutter Nicolás Mariscal ware principles. Are clear multilateral laws have not diminished because of the Former Partner, Chairman, standards of behavior for respecting priva- E.M. Warburg Continued on page 2 Grupo Marhnos cy likely to materialize in the fallout from Pincus the Snowden revelations? What is the cur- Thomas F. Dirk Donath McLarty III rent state of communications privacy laws Senior Partner, President, and what sorts of policy changes would Aimara Capital LLC McLarty Associates bring them up to date to address modern Jane Eddy Carlos Paz-Soldan technological developments? How are Managing Director, Partner, these events affecting businesses in the Corporate & Govt. DTB Associates, LLP region that run communications networks Ratings Group, Standard & Poor's Beatrice Rangel and services? Director, Marlene Fernández AMLA Consulting LLC Daniel Castro, senior analyst at Corporate Vice the Information Technology & President for José Antonio Ríos Francis Arrives in Rio Government Relations, Chief Executive Officer, Innovation Foundation in Arcos Dorados Vadium Technology Inc. A Washington: "The recent NSA on First Foreign Trip as Pope revelations will hurt the trust that users Peter Hakim Gustavo Roosen President Emeritus, have for data stored in the cloud. While the Pope Francis arrived Monday in Brazil, Chairman of the Board, United States now has a sullied reputation which is home to more Catholics than Inter-American Envases Venezolanos Dialogue as a secure provider of cloud computing, any other country, on his first foreign trip Andrés Rozental Donna Hrinak the reality is that most developed countries as pontiff. An Argentine, Francis is the President, have mutual legal assistance treaties which first-ever pope from the Americas. See President, Rozental & Asociados Boeing Brazil and Senior Fellow, give their governments the ability to access story on page 2. data stored in other jurisdictions upon Jon Huenemann Brookings Institution Photo: Getty Images. request. In addition, there are few restric- Vice President, Everett Santos U.S. & Int'l Affairs, President, Philip Morris Int'l DALEC LLC Inside This Issue Shelly Shetty FEATURED Q&A: Will the Snowden Case Presidents of Colombia, Head, Latin America Lead to Big Changes in Privacy Laws? ..............1 Venezuela Meet in Effort to Mend Ties ..............3 Sovereign Ratings, Fitch Inc.-Start Content- Francis Arrives in Brazil Brazil's Government Cuts on First Foreign Trip as Pope................................2 Spending Amid Slower Growth............................3 U.S. Hopes to Restart Bilateral In Profile: Liliana Ayalde, Talks With Ecuador: Namm .................................2 U.S. Ambassador-Designate to Brazil ................3 Copyright © 2013, Inter-American Dialogue Page 1 of 4 Inter-American Dialogue’s Latin America Advisor Tuesday, July 23, 2013 NEWS BRIEFS Political News people, it is necessary to enter through the door of its immense heart," Francis said in U.S. Hopes to Restart Bilateral Portuguese Monday. "Allow me at this Talks With Ecuador: Namm Francis Arrives in Brazil point to knock softly on that door." The The U.S. government hopes to on First Foreign Trip as Pope papal visit coincides with the World Youth restart bilateral talks with Ecuador Day event, which begins today and lasts before the end of the year, U.S. Pope Francis arrived Monday in Brazil to through Sunday. This week, the pope will begin his first trip abroad as leader of the celebrate three public Masses and also Ambassador to Ecuador Adam E. world's Roman Catholics. The first-ever Namm said on a local radio station pope from the Americas, the 76-year-old this week, according to Dow Jones. Argentine pontiff was greeted at the air- The nations have had a strained port in Rio de Janeiro by President Dilma I learned that to have access relationship since early 2011 when a “ Rousseff and then rode in an open Fiat to the Brazilian people, it is WikiLeaks cable led to the mutual hatchback to the city's cathedral, expulsion of ambassadors, and they Bloomberg News reported. Huge crowds necessary to enter through the have clashed in recent weeks over lined the streets along the route, scream- door of its immense heart. the case of NSA leaker Edward ing and waving at Francis. "It's so exciting ” Snowden. The United States is to see the pope in our country," Antonio — Pope Francis Ecuador's top trade partner. Dantas, 24, a seminary student from northeastern Brazil, told the news service Peru's Central Bank Loosening as he balanced on a fire hydrant in order to Reserve Requirements catch a glimpse of the pontiff. "I hope he tour a slum and meet with young prison- brings a message of peace to all of us who ers. An additional 7,000 civil and military Peru's central bank announced make up the Catholic religion, but also police are on duty to provide security for Monday that it is relaxing reserve people of other religions." Among the Francis' visit, according to the security requirements for banks in order to messages of Pope Francis' visit are ones of secretariat of Rio de Janeiro state. Military encourage the use of the sol curren- humility and justice for the most margin- police told the O Globo newspaper that cy as economic growth in the alized people in Brazil, where crowds filled they found a small homemade bomb near Andean nation slows, Reuters the streets in massive protests over the past a shrine the pope is scheduled to visit. reported. The changes lower the month over issues including high taxes, Police officers also deployed tear gas average and marginal reserve rates poor public services and corruption. "I against protesters Monday outside the on accounts denominated in dollars learned that to have access to the Brazilian Guanabara palace, where the pontiff was and soles and take effect Aug. 1. The Featured Q&A central bank increased reserve Continued from page 1 requirements numerous times dur- ing the last year as the government NSA's surveillance. But while universal James Andrew Lewis, senior tried to reduce capital inflows that privacy rules should be avoided, univer- fellow and director of the were raising the sol. This year, the sal transparency rules are very much Technology and Public Policy currency has fallen 9 percent against needed. Companies should be required Program at the Center for the dollar. A to disclose on a regular basis details Strategic and International Studies: about the types and quantities of govern- "The Mercosur statement has two prob- Shareholders of Chile's CFR ment requests for user information they lems. First, it's a bit hypocritical since Approve Capital Increase receive. While businesses must follow the most countries engage in as much Shareholders of Chile-based phar- law of the land where they do business, domestic surveillance as their budgets maceutical company CFR on they should not be required to keep allow. What the United States does for Monday approved a capital increase silent about it. Transparency is the only foreign intelligence is no different than of approximately $750 million in way to hold governments accountable any other great power. Second, like many order to help pay for CFR's planned for their actions and ensure that users observers, Mercosur doesn't distinguish purchase of South Africa-based can trust third parties with their data. between 'monitor' and 'read.' The United Just as the economy cannot flourish States may monitor traffic but only reads Adcock Ingram Holdings, Reuters without trust in the offline world, nei- messages about terrorism, proliferation reported. The Chilean company bid ther can the digital economy flourish or transnational crime. It's like buying a $1.3 billion earlier this month to without it on the Internet." library but reading only the one book acquire all of the company's shares. Continued on page 4 Copyright © 2013, Inter-American Dialogue Page 2 of 4 Inter-American Dialogue’s Latin America Advisor Tuesday, July 23, 2013 meeting with Rousseff. Protesters threw Molotov cocktails amid demands for the In Profile resignation of Rio state's governor, Sergio Cabral, according to O Globo's television Liliana Ayalde, U.S. Ambassador-Designate to Brazil channel. Name Presidents of Colombia, Venezuela Liliana Ayalde Meet in Effort to Mend Ties In the News Colombian President Juan Manuel Santos The United States' ambassador-designate to Brazil is Liliana and his Venezuelan counterpart, Nicolás Ayalde, an expert in international aid and development. Ayalde Maduro, met Monday in an effort to presented her credentials to the Brazilian government in early mend the strained relations between the June and received its approval.
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