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ARGENTINA: CARLOS MENEM RECOGNISES HIS PARTY'S LOSS IN ELECTIONS

(27 Oct 1997) Span/Eng/Nat Argentina's President Carlos Menem has conceded his party's loss in this weekend's congressional elections and said the results require "serene reflection." But a defiant Menem, speaking on national television, said he took comfort in the fact that the winning centre-left Alliance had embraced the principles of his economic policy. Meanwhile the jubilant Alliance party called the victory the end of an era. With 98 per cent of the precincts reporting early Monday, the two parties forming The Alliance had 45.7 per cent of the vote, compared to 36.2 per cent for the Peronists. It was the first time in the Peronist party's 51-year history that it lost a nationwide election while in office. And in a televised speech a stern-faced President Carlos Menem admitted his party needs to reflect on the defeat. But he also said he was pleased the opposition approved of his economic policy so much that they have adopted it. SOUNDBITE: (Spanish) "The greatest success of my administration has been that the opposition has recognised the merit of our economic policy and the solutions my government found for the country's structural problems. That is the historic payment of the electoral process which has just finished." SUPER CAPTION: Carlos Menem, president of Argentina Menem was defiant in defeat and said he would continue to govern in the same way and with the same policies. SOUNDBITE: (Spanish) "So today, at the end of the electoral process I'm here with the same creative calling and with the same management of our great national objectives. And I will continue like that until the last minute of the last our of the last day of my mandate." SUPER CAPTION: Carlos Menem, president of Argentina Newspaper headlines hailed a change in the politics in Argentina, and The Alliance claimed their victory marked the end of an era, and the start of a system of checks and balances in Argentine politics. The defeat, which wipes out the Peronists' working majority in the lower house, means the government will now have to work closely with the opposition to pass legislation in the final two years of Menem's administration. The Peronists are still in control of the Senate, which was not up for election. Menem's Peronists transformed Argentina's moribund economy with free-market policies, widespread privatisations and deregulation, attracting foreign investment to this country of 34 (m) million residents in droves. But despite their success, the Peronists never managed to shrug off a widespread perception of an administration tainted by corruption scandals and one lacking openness. The party has also been dogged by 16 per cent unemployment and accusations of social insensitivity. SOUNDBITE: (Spanish) "I think The Alliance won the result the people wanted, and it's a triumph of the people, of all the people in Buenos Aires. Q: And do you think government will change? I hope so. As they are representative I think they will change something." SUPER CAPTION: Vox Pop SOUNDBITE: (Spanish) "What can I tell you? All politicians promise and promise and we'll have to see if they keep them. I'm 87-years-old, many years to know what has happened and what is happening. There have been many promises that have never been kept. I think the country is growing and we're well-considered abroad. Of course there are many poor people who are suffering the consequences and that can't be solved in two days or two years. I think that's it." SUPER CAPTION: Vox Pop The monetary policy has been the engine behind Argentina becoming an important emerging market. Find out more about AP Archive: http://www.aparchive.com/HowWeWork Twitter:   / ap_archive   Facebook:   / aparchives   ​​ Instagram:   / apnews   You can license this story through AP Archive: http://www.aparchive.com/metadata/you...