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Wednesday, June 6, 2012
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Nature of the Case

Request for investigation brought before the World Bank Inspection Panel, requiring the WB to instruct the Government of Argentina to review its budgetary allocations awarded to social programs within the framework of the Special Structural Adjustment Loan, No. 4405-AR (63991). Alleged violation of General Comment No. 12, and as recognized under Article 11 (right to food and to adequate nutrition/adequate standard of living).

Enforcement of the Decision and Outcomes

The appeal before the Panel and the petition for the retention of payments unleashed strong pressure on the World Bank and Government of Argentina. Following this finding of the Panel, the Bank persuaded the Government to provide an additional US$3 million to the Pro Huerta program, nearly doubling its budget. In addition, the Ministry of Social Development had decided to allocate another US$1.5 million in lottery revenues to the Pro Huerta program. The Panel was informed by all concerned that the total funds allocated to Pro Huerta would be adequate to fund its operations for the fiscal year. Because the potential harm claimed by the claimants appeared to have been averted, both by their own actions in submitting the request and by the subsequent favorable reaction of both the Argentine authorities and Bank Management, the Panel did not recommend a formal investigation.

After the 2001 crisis, the Pro-Huerta Program continued being implemented in the poorest zones of the city.  To this day, the program helps alleviate the needs of the country’s indigent, while promoting civic participation and reinforcing ties within communities.

Significance of the Case

The Pro-Huerta case is an example of a somewhat unconventional strategy (Panel Request) that led to successful results in the protection of ESCR. The intervention of the Inspection Panel of the World Bank had a decisive impact on the national priorities, and prevented the Government from shirking its social commitments: as highlighted by CELS, “after the profound social crisis that Argentina went through especially since 2001, Pro Huerta helped to alleviate subsistence needs, promote participation and strengthen community ties.” (CELS, La Lucha por el Derecho, 2008). It was also used as a model for a similar program in Haiti. (IICA. Program for Fresh Food Self-sufficiency in Haiti: Pro-Huerta 2005-2008)

Groups Involved in the Case

CELS