Colombia: The Problem of Illegal Narcotics and U.S. - Colombian Relations

Publication Date: May 1998

Publisher: Library of Congress. Congressional Research Service

Author(s):

Research Area: Social conditions

Type:

Coverage: Colombia

Abstract:

The United States has long been concerned with Colombia as a major producer and trafficker of the illegal narcotics entering this country: first marijuana, then cocaine, and now also heroin. Colombia's drug trafficking business has been dominated by two cartels during the two decades in which cocaine trafficking became a major activity: first the Medellin cartel, which dominated during the 1980s and then the Cali cartel, which dominated during the early 1990s. With the arrests of the major Cali cartel leaders in the mid-1990s, independent traffickers have filled the void.

The rise of the cartels had significant social, political, and economic effects in Colombia. During the 1990s, U.S. officials became highly troubled by the degree to which leaders of the drug-trafficking organizations had become accepted into the mainstream of Colombian life and allegedly influenced the political system through funds passed to politicians. Bilateral relations deteriorated significantly with the inauguration to a four year term in August 1994 of President Ernesto Samper, whose campaign received funds from drug lords.

In March 1996 and March 1997, the Clinton Administration “decertified” Colombia in the annual review of cooperation on counternarcotics efforts, faulting the administration of President Samper for insufficient efforts to control traffickers. Decertification led to the required cut-off of certain categories of aid which Colombia was receiving. These included Foreign Military Financing (FMF), International Military Education and Training (IMET) funds, investment guarantees for U.S. businesses through the Overseas Private Investment Corporation (OPIC) and trade financing for U.S. business through the EXIM Bank.

Decertification also required U.S. representatives to international financial institutions to vote against funding for Colombia; funding to Colombia continues through the World Bank and through the normal (i.e., nearly market-rate) lending accounts of the Inter-American Development Bank (IDB), but the threat of the U.S. veto has blocked funding to Colombia through the IDB's concessionary rate, local currency fund. The Administration has not invoked discretionary sanctions, which would curtail trade tariff preferences.

Nevertheless, bilateral counternarcotics efforts continue. Substantial funding has continued through the State Department's counternarcotics program, as permitted by the decertification. In mid 1997, the Clinton Administration authorized resumed FMF and IMET funding to Colombia's security forces, and now provides assistance to the Colombian National Police, the air force and the navy. Assistance to the Colombian army may be provided once the State Department scrutinizes information from the Colombian army on the human rights records of units which would receive the aid.