EU suspends aid to Honduras
The EU External Relations Commissioner, Benita Ferrero-Waldner, said she regretted the fact that no negotiated solution to the crisis had been achieved since Zelaya was removed from office in June. Talks on resolving Honduras' leadership crisis broke off on Sunday after the interim government rejected a proposed compromise drafted by Costa Rican President Oscar Arias that called for allowing Zelaya to serve out his term.
"This is a crisis which Honduras can ill afford," Ferrero-Waldner said in a statement. "In view of the circumstances, I have taken the difficult decision to suspend all budgetary support payments." The move to freeze aid covering the 2007-2010 period was seen as an attempt to put pressure on the government led by Roberto Micheletti, who was sworn in as Honduras' interim president after a June 28 coup.
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