CENTRAL AMERICA: THE REFUGEE DILEMMA

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September 1, 1984
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Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 utrecturate nt ~-- i' Intelligence 25 Central America: The Refugee Dilemma GI 84-10152 September 1984 Copy 3 6 4 Sanitized Copy Approved for Release 2011/02/03 : CIA-RDP85SO0315R000200080001-2 1 1 ' II Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 a`? `r~ Directorate of Secret s l~ it Intelligence s Central America: The Refugee Dilemma This paper was prepared b~of the Office of Global Issues and was coordinated with the Directorate of Operations -- Comments and queries are welcome and may be directed to the Chief, Geography Division, OGI, on Sanitized Copy Approved for Release 2011/02/03 : CIA-RDP85SO0315R000200080001-2 Secret G184-10152 September 1984 25X1 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 Central America: The Refugee Dilemma Key Judgments Information available as of 21 July 1984 was used in this report. Central American refugees represent a serious and growing dilemma. The diverse, sometimes conflicting demands of humanitarian concerns, security interests, national pride, and limited local domestic resources present complex issues that will be difficult to resolve: ? Although the outflow from Central America has slowed over the past year, the number of refugees is large and increasing. ? Even if many refugees repatriated, most would probably join the masses of displaced persons in their home countries, and the need for interna- tional assistance on a regional basis would remain high. ? Displaced persons, especially those in sensitive border zones, will contin- ue to be susceptible to subversion and to complicate counterinsurgency efforts. I ? Given their large numbers and the lack of absorptive capacity in host countries, refugees could become a'source of instability. ? As the capacity of Central American countries and southern Mexico to absorb refugees is filled, more and more refugees may seek to enter the United States. . ? We believe that Guatemala, El Salvador, and, increasingly, Nicaragua could produce major new outflows of refugees. Nicaragua's deteriorating economy, combined with the insurgency, has sparked a large-scale displacement of persons, and is creating new refugee outflows. Secret G184-10152 September 1984 Refugee Camps ? United Nations High Commissioner for Refugees (UNHCR)-sponsored refugee camp,-camp cluster, or resettlement site ^ Active resettlement site O Proposed resettlement site Population Density (persons per square kilometer) North Pacific Ocean 150 or more 75-149 50-74 25-49 Less than 25 . ' Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 I 9 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 Central America: The Refugee Dilemma Introduction Political turmoil and violence coupled with economic deterioration have spurred an unprecedented move- ment of people within and from Central America over the past five years. We estimate that Central America and Mexico are now burdened with more than 1.1 million displaced persons (DPs). This estimate in- cludes 800,000 who have been uprooted from their homes but remain in their native countries. Another 350,000 have fled to neighboring lands. In addition to these two groups, there are perhaps several hundred thousand economic migrants who have moved tempo- rarily or permanently from one country to another within the region. (See appendixes A and B.) This paper does not examine in depth the large migration to the United States, about which we have little information.) Sources of Refugees Nicaragua, El Salvador, and Guatemala are the three major sources of refugees in Central America. The political background against which the refugee situa- tion has developed in each of these countries has varied. During the past five years, El Salvador and Guatemala, with tough anti-Marxist regimes and records of atrocities both by rightwing death squads and leftist guerrillas, have produced the largest out- flows of refugees. However, an effective counterinsur- gency program and improvements in Guatemala's human rights performance have sharply reduced the flow from that country. And, in El Salvador, suppres- sion of the death squads and movement toward a more democratic political process have helped to reduce and even reverse the flow of refugees. On the other hand, a general deterioration of human rights conditions in Marxist Nicaragua during the past few years has resulted in that country's emergence as the region's most important generator of refugees. The numbers of internally displaced persons have remained stable in El Salvador and Guatemala but continue to increase in Nicaragua, according to US Embassy and other The Role of Nicaragua. Nicaragua is the current principal source of refugees in Central America and the only country of the region to officially force Secret People who have been forced from their homes by war or oppression are generally termed displaced persons or DPs. U they remain in their native countries, they are referred to as internally displaced persons. DPs who have fled across an international bordei are known as refugees. The. 1951 United Nations Conven- tion Relating to the Status of Refugees damned a refugee as a person who "...owing to religion, nationality, membership in a particular social group, or political opinion, is outside the country of his nationality (or habitual residence) and is unable, or, owing to such fear, is unwilling to avail himself of the protection of that country. ' In Central America, 25X1 political refugees are often difficult to distinguish from people who have left their homes primarily for economic reasons.F___1 25X1 Most of the estimates in this study have been derived from various reports of the United Nations High Commissioner for Refugees (UNHCR). Unfortunate- ly, not all of the UNHCR data are reliable, much being based only on estimates by host governments whose own sources and data bases are questionable. For example, for information on Guatemalan refu- gees in Mexico, the UNHCR relies solely on data provided by the Mexican Government-data which have shown wide, inexplicable variations over the past year. Other important sources of information on numbers of refugees used in this study include the US Embassy reports contained in the State Department's annual Country Reports on the World Refugee Situa- tion. However, these draw mainly on the same mate- rial as the UNHCR and suffer the same weaknesses. Occasionally, Central American refugee or immigra- tion officials will estimate the numbers in their own i countries, but the bases for their estimates or even their definition of "refugee" are seldom provided. Thus, all figures in this report must be used with 25X1 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85S00315R000200080001-2 The United Nations High Commissioner for Refugees (UNHCR) The UNHCR has programs in Mexico, Honduras, Costa Rica, and Nicaragua. It oversees, rather than manages, these programs, usually providing one rep- resentative and several observers in a host country. It also provides the funding for refugee'needs such as food, clothing, and shelter. Aid is indirect, being channeled through public or private organizations such as the Red Cross or World Relief. These, in turn, coordinate other relief efforts such as Caritas or Catholic Relief Service. The UNHCR's direct in- volvement in refugee programs is minimal. Some of the UNHCR-sponsored refugee camps in Honduras and Costa Rica have been used by leftist insurgents. Although there is no evidence of direct links between UNHCR officials and the guerrillas, the guerrillas reportedly have received aid from certain personnel of private relief organizations work- ing in the camps. For example, in 1983 small. bands of Guatemalan insurgents were using a UNHCR camp in Honduras as an operations base with the cooperation of two relief workers of the Caritas private voluntary organization. As a result, these workers were transferred, and a number of Guatema- lans were deported to Bolivia for resettlement. In 1982, a Costa Rican Government study indicated that a refugee camp for Salvadorans in Costa Rica had apparently been "taken over" by leftists, who used it for propagandizing and possibly for recruiting and training insurgents. The investigation also found that agitators in the camp had frequent contact with local relocation of selected nationals. Harsh treatment of opponents of the Sandinista regime-refugees cite murder and torture-the insurgency, plus the large- scale impressment of youth into military units to fight insurgent forces have led to a sizable flow of people from Nicaragua over the past two years. The figures Somoza's fall marked the beginning of an outflow of a diverse group including supporters of the former regime, disillusioned ex-Sandinistas, and persons who felt persecuted on racial and religious grounds.10n the basis of UNHCR and US Embassy reporting,'we estimate that more than 100,000 Nicaraguans'have Communists and made a number of trips to Nicara- gua. The UNHCR, which finances the camp, denied any knowledge of such activities and noted that the camp was actually administered by the Costa Rican Red Cross. Also denying any knowledge of insurgent use of the camp, the Red Cross withdrew from the project. Administration of the camp was then taken over by the Costa Rican Government In 1983, the UNHCR expended more than $23 million in assistance to Central American refugees, a figure that is expected to exceed $24 million this year. Specific figures for UNHCR programs are as follows: In addition, refugee maintenance depends on contri- butions by numerous private voluntary charitable organizations and government assistance in the form of services such as health care and schooling. We do not have reliable data on the costs of these types of fled to other Central American countries since the Sandinistas came to power in 1979. Some 19,000 Miskito and Sumo Indians have fled eastern Nicara- gua into Honduras. The largest exodus of Indians occurred from mid-1981 to early 1982, when the Government of Nicaragua brutally and systematically cracked down on Miskito resistance to clear a swath of territory along the northern border for security. In December 1983, more than 1,000 fled north with a local Catholic bishop. Since then, individuals, fam- ilies, and groups of a hundred or more have continued 25X1 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85S00315R000200080001-2 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 Secret Attacks.by insurgents on Nicaraguan ports have raised concern for the security of inhabitants. Follow- ing an attack on Corinto, in October 1983 they govern- ment announced its intention to relocate the entire population of approximately 20,000. Press reporting indicates that some 1,500 women and children were evacuated from Potosi early this year. Continued deterioration of Nicaragua's economy and internal security probably will increase the number of DPs, many of whom are likely to flee to Honduras or Costa Rica. Additional refugees could also be generated if the Sandinista government fails to fulfill its promise of open and honest elections in November. 25X1 Mocoron, in Honduras. once housed up to 10,000 Miskito Indians from Nicaragua. Most have been dispersed to other nearby sites, and the facility is now used largely as a reception center for those who continue tofee Nicaragua.) Although the plight of the Indians has drawn most international attention, most Nicaraguan refugees are ladinos, the Spanish-speaking mestizos who make up the dominant element of the country's population. About 83,000 have fled to both Honduras and Costa Rica. Many are campesinos, simple peasants trying to escape violence between government forces and anti- Sandinista insurgents: Some arrive in Honduras un- dernourished after a monthlong hike through the mountains. They complain of Sandinista mistreat- ment, severe religious persecution, and attempted Marxist indoctrination of their children. We think the As with other Central American countries, internally displaced persons have proved at least as troublesome as refugees in Nicaragua. We estimate from Embassy and press reports that internally displaced persons now total about 100,000. The Sandinistas resettled about 10,000 Miskito Indians from the Rio Coco area to detention centers inland from Puerto Cabezas during 1982, and they forced the relocation of resi- dents in northwestern and southern border areas in 1983. According to US Embassy reporting, in Sep- tember of last year the Sandinistas claimed that 65,000 Nicaraguans had been displaced by counter- revolutionary activities. A Red Cross official in Ma- nagua noted that the number of DPs was rising beyond the capacity of the Nicaraguan Government El Salvador. We estimate that some 220,000iSalva- doran refugees are now residing in other Central American countries or Mexico. UNHCR and other data indicate that approximately half are in Mexico, a third in Guatemala, and most of the balance j some 25X1 50,000, about evenly divided between Nicaragua, Costa Rica, and Honduras. The flow to Honduras was reversed in 1982 after Tegucigalpa relocated Salva- dorans from several camps along the border to a new site at Mesa Grande. Over the past year, there has been some additional voluntary repatriation from both Honduras and Nicaragua, although the total 'nobets remain small. The only significant refugee movement from El Salvador this year has been prompted by the forced recruitment policy implemented by the insur- gents. According to US Embassy reporting from Tegucigalpa, some 1,500 Salvadorans have fed to Honduras from insurgent-controlled areas near the northern border-and this was followed by voluntary repatriation to areas of El Salvador under the control 25X1 An estimated 450,000 Salvadorans have been inter- nally displaced by the insurgency, according to recent US Embassy reporting. They not only tax limited domestic resources and outside assistance, but also form a pool of potential supporters and recruits for insurgent forces as well as the government. Perhaps 10 percent of these internally displaced people live in an array of DP camps maintained by the government or private relief agencies. The quality of these camps 25X1 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 varies considerably. Most of the displaced live with relatives or in shantytowns throughout the country. Most are poor campesinos from rural areas of north- ern and eastern El Salvador. For most, life in the shantytowns, where the government is providing serv- ices such as water and facilities such as schools, may be an improvement over their situations before dis- placement. Getting these people to return to their original residences may be difficult even after peace is Guatemala. We estimate that some 120,000 political and economic refugees from Guatemala have moved to other Central American countries and Mexico since 1979. About 75,000 of these are former seasonal migrants who entered Mexico to harvest coffee and cotton and did not return to Guatemala. They are not recognized as refugees by the UNHCR. An addition- al 43,000 Guatemalans, some 42,000 of whom are in The insurgency in Guatemala expanded in 1980 after almost a decade of near dormancy. In 1981 the government began a major counterinsurgency effort, and two years of widespread combat led to an exodus of natives from areas where the fighting was most rebuilding villages was initiated by the military in 1982 and has significantly set back Guatemalan insurgents over the past two years. However, the insurgency has not been eliminated and some parts of the country remain only marginally controlled by government forces. Moreover, economic constraints intense. Over the past two years, the government, Host Countries through military and civic actions, has regained con- With the exception of El Salvador, every country trol of much of the contested area from the Rio Grande to the Panama Canal has they try to return Mexico. Mexico has a long tradition of sheltering those fleeing political persecution, and, in seeking to To improve its international image, the Government maintain its "revolutionary" image, it has become a of Guatemala has encouraged Mexico to establish a mecca for Latin American opposition groups. The formal repatriation program. According to Guatema- influx of a new type of refugee since 1979, however, la's Foreign Minister, the bottleneck in these negotia- has led to a tightening of immigration policies and tions is Mexican concern over the validity of Guate- threatens the country's open-door tradition. Mexican malan guarantees for the security of returning officials have discovered that it is one thing to admit refugees. To entice the refugees to return voluntarily, small numbers of professionals and intellectuals, but the Government of Guatemala is constructing. model something else to accept masses of peasants and An equally pressing problem for Guatemala is reset- can countries in Mexico range from 150,000 to tling an estimated 250,000 internally displaced per- sons. A major civic action program that includes 25X1 25X1 25X1 25X1 25X1 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 III' I Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85S00315R000200080001-2 250,000 persons. This is in addition to migrant work- ers from Guatemala. While trying to maintain its image, the Mexican Government is taking measures to cut down or reverse the flow, including: ? Imposing visa requirements on Central Americans. Relocating Guatemalan refugees farther from the border. ? Departing from international norms by terming Honduras. Security concerns and political consider- ations have made refugees a major issue in Honduras. Hondurans particularly distrust Salvadorans, and a special commission has been formed to review policy options. Honduras shelters about 60,000 refugees, of whom about 37,000 are participants in UNHCR programs. Nearly 18,000 Salvadorans reside in three camps sponsored by the UNHCR-Mesa Grande (10,000), Colomoncagua (6,600), and San Antonio (1,300). Nicaraguan refugees, some 42,000, are more scattered and ethnically diverse than Salvadorans. While thousands are now self-sufficient in Honduran society, many still need public and private assistance. Approximately 16,000 Miskito and Sumo Indians from Nicaragua have been resettled in a scattering of small towns in northeastern Honduras under the auspices of the UNHCR. An additional 3,000 who do not receive UNHCR assistance remain in some two dozen small settlements near the Nicaragua border. Over the past year, there has been an increasing influx of Nicaraguan ladinos. About 3,000 are nearly evenly divided between UNHCR-sponsored refugee sites in Jacaleapa and Teupasenti. A small number of Guatemalans have also sought refuge in Honduras; they are maintained in a UNHCR-sponsored camp at Costa Rica. Costa Rica, Central America's only well- established democracy, has traditionally maintained an open-door policy. Until recently, its borders were only marginally controlled and its immigration laws only loosely enforced. Recent regional political ten- sions and the refugees they have created, are threat- ening the country's security and liberal traditions. We estimate that Costa Rica now has approximately 70,000 refugees. Some 20,000 of these-about evenly divided between Salvadorans and Nicaraguans-have officially registered as refugees; the 50,000 balance consists almost exclusively of Nicaraguans who have entered Costa Rica illegally or entered legally and simply overstayed their visa. Approximately 2,800 Costa Rica has placed relatively few refugees in camps: The two facilities for Nicaraguans-Tilaran (above) and Limon'(below)- are former construction camps. 25X1 refugees are maintained in three camps funded by the UNHCR: Tilaran, with 2,200 Nicaraguans; I Limon, with 300 Nicaraguans; and Los Angeles, with 300 Salvadorans. Economic constraints and the rising 25X1 number of refugees have made prompt integration Guatemala. Many thousands of Salvadorans and Nic- araguans have fled to Guatemala. The number of refugees in the country is unknown, but estimates range from 10,000 to 100,000. The UNHCR has estimated the Salvadoran refugee population alone at 70,000. According to US Embassy reporting many,of the Salvadorans are former seasonal migrants who remained in Guatemala after the harvest season Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85S00315R000200080001-2 rather than return to El Salvador. A recent defense attache report from the Embassy in Guatemala' linked the large numbers of refugees to high unemployment and increased crime in the capital. Guatemala has no assistance program for Salvadoran and Nicaraguan Nicaragua. Nicaragua hosts some 17,500 refugees from other Central American countries, mostly. Salva- dorans. In 1980 the first refugees came directly on ferries across the Golfo de Fonseca, but starting in 1981 most refugees have traveled overland through Honduras. The Salvadoran refugee situation. has re- mained relatively stable in Nicaragua during the past year, with a small outflow matching an equally minor inflow. Because Nicaragua integrates refugeesquick- ly into the general population, only one small refugee camp and processing center remain. Near Leon, it housed some 450 Salvadorans in 1983. About 3,000 Salvadoran refugees are receiving assistance from the UNHCR. The only other significant group of refu- gees in Nicaragua are approximately 50.0 Guatema- lans, of whom about 100 are receiving aid from the Belize. A sparsely populated country with undevel- oped land, Belize is culturally distinct from the major refugee-generating nations of Central America. Its 160,000 inhabitants are almost evenly divided be- tween creoles (blacks) and noncreoles (mestizos; Indi- ans, and others). Anything that threatens this balance is viewed locally with great concern. Consequently, the government's refugee policy has become a sensi- tive political issue. We estimate that there are 6,000 Salvadoran and Guatemalan refugees in Belize. Gov- ernment policy calls for their integration into society, preferably through land-development projects involv- ing joint participation with Belizean families. One such project involving some 250 Salvadorans is now under way near Belmopan. To offset concern a mong the creole population over the incorporation ofmore mestizos, the government agreed to establish with the UNHCR a land-settlement program for Haitians in southern Belize. In April the government announced a grace period in which illegal aliens should register and Panama. Panama is reluctant to receive refugees, although a small resettlement facility for Salvadorans has been established. Most Central American refu- gees in Panama probably have adequate skills to. sustain themselves without causing significant prob- lems. Public references to an immigration bomb by high-level Panamanian officials late last year was apparently intended to raise awareness of a potential 25X1 influx.) Refugee Problems Besides the heavy economic burdens refugees impose on their hosts and relief agencies, refugees present many other problems for both generating and receiv- Security Problems. Refugees create international se- curity concerns that contribute to regional tensions. The usual preference of refugees to remain close to their homelands makes their camps potential support bases for insurgents and, in some cases, targets for cross-border raids by government forces. A 1982 investigation of the Los Angeles camp in Costa Rica embarrassed government authorities when it was dis- covered that Salvadoran insurgents were using the facility for rest, recreation, and recruiting. More recently, high-level Costa Rican officials have ex- pressed concern over the influx of Nicaraguan refu- gees, fearing that some may be anti-Sandinista guer- . rillas while others may be saboteurs or terrorists 25X1 Sanitized Copy Approved for Release 2011/02/03 : CIA-RDP85SO0315R000200080001-2 Similarly, Guatemalan insurgents have been using some of the refugee camps in Mexico for sanctuary and for funneling supplies to Guatemala. Guatemala's frustrations with the failure of Mexican authorities to halt these activities have probably spurred occasional actions by its security forces against some of the Sanitized Copy Approved for Release 2011/02/03 : CIA-RDP85SO0315R000200080001-2 camps despite numerous denials. According to a US Embassy report from Mexico City, a UNHCR source has confirmed incursions in December of last!year and January of this year, the latter involving a brief overflight of one camp in which two handgrenades were dropped. 0 25X1 25X1 Internal Relocation Problems. To reduce security problems, UNHCR policy is to locate refugee camps at least 50 kilometers from the border of the~generat- ing country. This is a frequent irritation to host governments, which, for domestic political consider- ations, usually prefer that the camps remain'in fron- tier regions. In Costa Rica, for example, the 'govern- ment has long sparred with the UNHCR over where Nicaraguan refugees at the Tilaran camp should be relocated. Both agree that they should be settled on land where they can quickly become self-sufficient- that is, on functioning agricultural estates-but there are few such facilities for sale in increasingly land- scarce Costa Rica. In 1983 the government leased a farm to resettle some refugees, but the UNHCR refused to approve the site because of its proximity to the Panama border. 25X1 Honduras is the only country to relocate a sil able number of refugees. In late 1981 and 1982, with the cooperation of the UNHCR, about 10,000 Salvadoran refugees were moved from the central portion of the border with El Salvador to a new camp at Mesa Grande. Some 7,000 additional refugees in the area preferred to return to El Salvador. About 8,000 Salvadoran and 450 Guatemalan refugees in! Hondu- ras remain along the borders of their homelands. UNHCR insistence on sites where they can become self-sustaining and have access to a significant mar- ketplace has caused serious delays. In January the government announced a plan to transfer all1refugees from Colomoncagua and El Tesoro to the Aguan Valley of northern Honduras. In mid-July, the plan was suspended because of concern that Salvadoran refugees would be receiving better treatment than Honduran peasants and that the new location might attract more refugees. Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 .ecrer Guatemala views the return of refugees from Mexico as an important part of improving its international image. According to Embassy reporting, Guatemala's Foreign Minister stated in March that Mexico's intransigence could affect bilateral cooperation in the Contadora negotiations. Both the Guatemalan Gov- ernment and the UNHCR have pressed the Mexicans to move the camps. In April, Mexico announced its intention to relocate the refugees near Campeche more than 100 miles from the border. The schedule has not been made clear; however, several thousand refugees were relocated in June and early July. Mexico has publicly stated that it will not force either repatriation or relocation. However, other information indicates that the relocation, in which there is consid- erable military involvement, is being forced in some cases. Some Guatemalan refugees prefer to remain near their homeland and fear movement to a possibly hostile new environment. Church leaders in southern Mexico have accused the government of brutality, claiming that Mexican soldiers attacked one camp, killing three refugees-a charge the government Mexico probably hopes that many refugees will return home voluntarily. Reports from the Embassy in Gua- temala City indicate that a few refugees have volun- tarily returned to Guatemala from Mexico since the relocation began. Competition for Land and Jobs. Local resentment against any preferential treatment of refugees is a sensitive issue for host countries. In Honduras, the government's announced intention to transfer Salva- doran and Guatemalan refugees to Yoro department triggered petitions and protests by natives. Until recently, on the other hand, little popular concern was expressed over the influx of Nicaraguan Miskito Indians'in eastern Honduras. This year, some articles have appeared in the native press on the deforestation Miskito resettlement is causing and on how Honduran Miskitos of the area are being overwhelmed. Accord- ing to Embassy reporting, arrivals are now held at the Mocoron reception center rather than quickly reset- tled.l Fear of social unrest in southern Mexico has led to close government control of assistance to refugees to assure that they do not enjoy higher living standards than the natives. In the spring of 1982, a leading expert on the Indians of southern Mexico told Embas- sy officers that local resentment was not widespread; he attributed this to the popular perception that the situation was temporary, but cautioned that tolerance would not last in view of the competition for land. This appears to have been a major consideration in the decision to relocate the Guatemalan refugees far awayF_____1 25X1 Health Hazards. The outbreak of disease and the threat of epidemics are recurring concerns. The Gov- ernment of Costa Rica declared a health emergency along its northern border area in the fall of 1982 because of malaria among Nicaraguan refugees. Also Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85S00315R000200080001-2 culosis at that time, the Mexican Government's public health coordinator in Chiapas blamed Guatemalan refugees for a worsening local health situation and the fact that almost 20 percent of the state's population had tuber- Outlook Central America could generate many more refugees together with all of the interrelated problems they create. Depending on political and military develop- ments in the region, any of the current principal source countries could produce sizable outflows. The most immediate threat of an exodus lies in Nicaragua, where the insurgency has focused on sparsely settled portions of the country rather than the more densely populated western core. In El Salvador and Guatema- la, the potential remains for a return to widespread insurgency and increased political repression. Should this occur, or should one or both of the countries fall to insurgent forces, a massive outflow of refugees For the near future, most Central American refugees are likely to remain in their host countries and to present a multitude of regional problems. The con- flicting demands of border security, refugee desires to be near their homeland, and domestic political stabil- ity in the host countries will continue to create tensions. The governments sheltering large refugee populations lack the financial and technical resources to support these groups in a manner that would lead to economic self-sufficiency. Thus, a greater need for international assistance and innovative diplomatic ini- tiatives can be anticipated. Central American refugees will continue to be of direct concern to the United States for more than purely humanitarian reasons. The refugees contribute to political instability in the region and heightened tensions between neighboring countries. Continuing political upheaval may turn today's refugee within Central America into tomorrow's illegal immigrant in I Sanitized Copy Approved for Release 2011/02/03 : CIA-RDP85S00315R000200080001-2 Sanitized Copy Approved for Release 2011/02/03 :CIA-RDP85S00315R000200080001 2 Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85S00315R000200080001-2 Secret Appendix A Estimates of Central American Refugees in Mexico and Central America a From In Total Mexico Guatemala Honduras Nicaragua Costa Rica Panama Belize El Salvador 10,000 b 70,000, 17,900 17,000 10,000 1,300 5,000 131,200 (0) (0) (All) (400) (300) (300) (250) (19,150) Guatemala 118,000 500 500 1,000 120,000 (42,000) (All) (0) (0) (42,500) Nicaragua 42,000 60,000 102,000 (19,000) (2,500) (21,500) Total 128,000 b 70,000 60,400 17,500 70,000 1,300 6,000 353,200 (42,000) (0) (37,400) (400) (2,800) (300) (250) (83,150) Note: Figures in parentheses indicate the number of refugees in UNHCR refugee camps or resettlement projects. ? Estimates are as of 21 July 1984. Excludes an estimated 90,000 Salvadorans in Mexico who are largely economic rather than political refugees. 11 Secret Sanitized Copy Approved for Release 2011/02/03: CIA-RDP85SO0315R000200080001-2 The general economic picture in Central America has payments,problems. Economic activity within the been bleak for the past five years. Large foreign debts, region has declined nearly 20 percent, and unemploy- coupled with declining production and deteriorating ment has risen to unusually high levels. See 'the table. terms of trade, have caused severe balance-of- Population Population Change in Per Capita Unemploy- Balance of Public (millions) Growth GDP Change in ment Payments Foreign Debt (percent) (percent) GDP (percent) (million (billion US $) (percent) US $) Guatemala 7.9 2.9 -2.0 -4.9 20 -283 1.4 13 - Secret i1 Sanitized Copy Approved for Release 2011/02/03 : CIA-RDP85SO0315R000200080001-2