While politics in Haiti remains volatile, the reality for millions of its citizens is dire. After the 2010 earthquake, countless foreign companies swooped in the hope of making money from misery. This is the clear definition of disaster capitalism.
Two recently reports highlighted the immorality of this situation.
As Americans were gearing up for last week’s Super Bowl championship, Haiti’s president Michel Martelly was on a plane to the World Economic Forum to recruit players interested in what one businessman dubbed “the Super Bowl of Disasters” – Haiti’s devastating 2010 earthquake. The Irish-owned cell phone company Digicel footed his trip there, and hosted a regional business tour complete with a gala ball before his return to a country still reeling from crisis conditions in housing, jobs, and basic rights.
Haiti’s status as prime-time jostling space for prospective investors is not new. Many a corporation, lobbyist, and consultant has seen Haiti’s losses as their gain, leveraging humanitarianism for profit. Plenty of the $1.1 billion in disaster aid has gone not to desperate Haitians but to inside-the-Beltway contractors. Often the very same corporations have wrested financial and political gain from the wars in Iraq and Afghanistan, the countries hit by the 2004 tsunami in the Indian Ocean, the Gulf Coast after Hurricane Katrina, New Orleans after the ensuing flood of 2005, and lots of other places.
The same deals have been cut over Haiti in the past, too, particularly during periods of political instability.
The earthquake has provided a fresh wave of opportunity. In the first year after the earthquake, the US government awarded more than 1,500 contracts worth $267 million. All went to US firms except 20, worth $4.3 million, which went to Haitian businesses. Among the American corporations that received contracts, we’ve seen everything: many millions going to companies that had had previous contracts cancelled for bad practices, that had paid out as much as eight-figure settlements for violence happening under their watch, that had been investigated by Congress for gaming the system, or that had been the subject of federal reports accusing wastage of funds. We’ve seen corporate executives and members of Congress going through a revolving door and leveraging both sides for contracts. We’ve seen public funds given without any competition or transparency, quite a few to friends of the Clintons and other well-placed insiders.
Local labor and production, which are critical elements in economic recovery, have been trumped for American business profits. According to federal procurement data, among contracts which provide products (as opposed to services), 77% were for products manufactured in the US. They don’t list which, if any, of the remaining 23% involve any Haitian materials or labor.
Two months after the earthquake, companies gathered in a luxury hotel in Miami for a “Haiti Summit” to discuss post-earthquake contracting possibilities. The meeting was sponsored by the International Peace Operations Association (IPOA), but these were no peaceniks. Their members are predominantly private mercenary companies that enforce ‘security’ in war and disaster zones for the US government because, unlike elected entities, they can completely avoid public scrutiny and accountability. They included such companies as Triple Canopy, which took over Blackwater’s contract in Iraq. One of the corporate representatives at the Summit described the outlook: “Their infrastructure is pretty much destroyed, communications are destroyed, there’s a lot of opportunities there for companies, particularly US countries [sic] because of the close proximity.” The Summit was apparently worthwhile, as US government paid out more than $10 million to the industry for “guard services,” and almost $20,000 for riot shields and suits.
Two years after the earthquake, and despite the proposals written, the consortiums organized, and the foreign delegations entertained, the University of the State of Haiti (Université d’Etat d’HaÃ¯ti or UEH) still has not seen any “reconstruction,” and the proposal for a university campus that would unite all 11 faculties remains a 25-year-old “dream.”
Today, the majority of the 13,000 students at the UEH’s faculties in the capital are jammed into sweltering sheds, struggling to hear the professor who is shouting, hoping to drown out the other professors shouting in the surrounding sheds.
The fact that the Haitian government and its “friends” have not financed the reconstruction – and a sufficient operating budget – of the oldest and most important institution of higher learning in the country represents more than a “peril” to Haiti’s future. These choices – or at least, these omissions – offer perfect examples of the global orientation of the “reconstruction,” which is centered on the needs of the national and international private sector, and which favors “quick-fixes” to Haiti’s urgent problems, rather than lasting solutions over which Haitians can have some say. Finally, these omissions represent contempt for the public interests of the entire nation.