The Reagan administration, abandoning President Carter's policy of using financial pressure against human rights violators, will support loans to Argentina, Chile, Paraguay, and Uruguay. The Carter administration policy of opposing World Bank or Inteer-American Development Bank loans to Latin American human rights violators or abstaining on votes had been a symbolic gesture. Despite US opposition, $438.8 million in loans to the four countries was expected to be authorized this month, most for Argentina.
A State Department spokesman said the Reagan administration believes "more will be gained for human rights by recognizing improvements than by the continued public condemnation implicit in negative votes o r abstentions on . . . loans."