Eduardo Frei Montalva - Administration

Administration

Frei's administration began many reforms in Chilean society. "Promoción Popular" (Social Promotion), "Reforma Agraria" (Agrarian Reform), "Reforma Educacional" (Education Reform), and "Juntas de Vecinos" (Neighborhood Associations) were some of his main projects. He also took measures to rationalize drug supply.

On September 4, 1964, having one of the highest turnouts in Chilean history, Eduardo Frei Montalva was elected President of the Republic of Chile. He took office on November 4 of the same year.

The Frei presidency did much to tackle poverty, as characterised by the growing share of wages as a proportion of GNP. By the end of the Frei presidency, the wage and salaried sector received close to 51% of GNP, compared with 42% at the end of the Alessandri presidency. This positive redistribution of wealth was encouraged by government policies, particularly in the rural sector, where wages rose by 40% in real terms. Between 1964 and 1970, total enrolment in education increased by 46%, while around 250,000 houses were built, mostly for the poor.

Frei's administration also introduced a wealth tax and carried out a property tax reassessment in order to make the taxation system more progressive. Taxes as a percentage of GNP increased 12.8% in 1964 to 21.2% in 1970. The social reforms introduced by Frei’s government led to a huge increase in public expenditure, which rose as a proportion of GNP from 35.7% in 1965 to 46.9% in 1970. Expenditures on education, agriculture, and housing rose went up considerably, with spending on housing increasing by 70% in real terms in 1965 alone.

In 1965, he started a presidential tour through France, the United Kingdom, Federal Republic of Germany, Italy and the Vatican. During this time, he also visited countries in Latin America such as: Argentina, Brazil, Uruguay, Colombia, Peru, Ecuador, and Venezuela; places where he delivered important speeches on international issues.

On his return, he initiated important plans involving housing, education, reforestation, land reform, health, and the nationalization of copper. The Comisión Nacional de Cultura (National Culture Commission), the Consejería Nacional de la Promoción Popular and the Juntas de Vecinos (“Neighborhood Committees”) were also created.

One area of reform given high priority by the Frei Administration was the fostering of networks of local, self-help organisations (especially among the “unorganised” residents of the shantytowns), which was placed under a national supervisory council. As a result of the government’s actions, Mothers’ centres, sports associations, youth clubs, residents’ committees, and parents’ groups proliferated, with an estimated 20,000 units of this type in existence by 1970, according to government figures. Half of these new units were mothers’ centres, with an estimated membership of 45,000 women, and the government claimed to have distributed 70,000 sewing machines to these centres. According to Frei, these measures had given “a new form of life and hope” to hundreds of thousands of people.

Improvements were also made in areas such as housing, education and medical care. Between 1964 and 1970, around 260,000 houses were constructed (around a third by the state housing corporation CORVI) and about 200,000 housing solutions were claimed (referring to the provision of sites for self-help housing projects). The number of hospitals (and beds) doubled under the PDC, and spending on education as a proportion of public expenditure rose from one-seventh to one-fifth. Around 3,000 new schools were built throughout the country, and by 1970 95% of children in the relevant age group were covered by primary education.

Much attention was also given to improve social and economic conditions in the countryside. Both rural unionisation and agrarian reform were accelerated, with the government starting to expropriate estates in a serious way. The agricultural minimum wage was also raised to the same level as its urban equivalent, and an agrarian reform law signed by Frei in July 1967 made all farms of more than eighty “basic” hectares liable to expropriation. The Frei Administration had thus made a major start to land reform, a policy continued by the Allende Government.

During his administration 8 workers were killed in El Salvador mine and 11 squatters in the Massacre of Puerto Montt. His Minister of the Interior, Edmundo Pérez Zujovic was politically blamed for the deaths. On 21 October 1969 the Tacnazo insurrection, occurred--a brief non-violent demonstration of the Tacna artillery regiment in Santiago, led by General Roberto Viaux.

In 1966, the Andean Group, officially created through its Declaration, signed in January 1965. However, the group culminated with the famous speech delivered by Eduardo Frei Montalva in Plaza Bolívar, Bogota. The same year the pacts on Chilean copper are signed.

In January, 1967 the National Congress refused his constitutional permission to travel to the United States where he had been invited by President Lyndon B. Johnson. In April, he participated in the Meeting of Presidents from American countries, carried out in Montevideo, Uruguay.

In 1970, he was awarded with the Doctor Honoris Causa title by the Pontificia Universidad Católica de Chile. On November 4, he left office, handing over the Presidency to Salvador Allende.