BERLUSCONI BACKS THE PRESIDENT'S JUNE 24 SPEECH ON

C O N F I D E N T I A L ROME 003240

SIPDIS

E.O. 12958: DECL: 07/02/2012
TAGS: PREL KPAL IT IS XF
SUBJECT: BERLUSCONI BACKS THE PRESIDENT'S JUNE 24 SPEECH ON
THE MIDDLE EAST

REF: ROME 3217

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CLASSIFIED BY: ACTING POL MC GARY ROBBINS FOR REASONS 1.5 (B) AND (D)


1. (C) SUMMARY: ACCORDING TO HIS DEPUTY DIPLOMATIC ADVISOR,
PM AND ACTING FM BERLUSCONI REACTED VERY POSITIVELY TO THE
PRESIDENT'S JUNE 24 SPEECH ON THE MIDDLE EAST. BERLUSCONI
AGREED THAT THE PA NEEDED A NEW LEADERSHIP, AND STRESSED THE
IMPORTANCE OF INSTITUTIONAL AND ECONOMIC REFORM FOR
PALESTINIANS. ON THE INTERNATIONAL PEACE CONFERENCE,
BERLUSCONI, WHO HAD EXPRESSED SERIOUS INTEREST IN HOSTING THE
CONFERENCE THIS SUMMER, HAS CONCLUDED THAT THE CURRENT
CLIMATE WAS NOT APPROPRIATE FOR HOLDING A SUCCESSFUL PEACE
CONFERENCE. END SUMMARY.

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ON THE PRESIDENT'S SPEECH AND ARAFAT
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2. (C) ON JULY 2, POLOFF MET PAOLO DIONISI, BERLUSCONI'S
DEPUTY DIPLOMATIC ADVISOR, WHO ACCOMPANIED THE ITALIAN PM ON
THE JUNE 26-27 G8 SUMMIT. DIONISI SAID THAT BERLUSCONI
PRAISED THE PRESIDENT'S SPEECH AS "STRONG AND ENGAGED" AND AS
THE FIRST PUBLIC CALL FOR A CHANGE IN PA LEADERSHIP. THE
METAPHOR BERLUSCONI USED IS ONE HE BORROWED FROM AVRAHAM
BURG, PRESIDENT OF THE ISRAELI KNESSET, WHOM HE HAD MET IN
ROME ON JUNE 19: "THE ISRAELIS ASK THEMSELVES WHETHER THEY
DON'T RUN THE RISK OF FALLING INTO A SITUATION WHERE THEY
NEGOTIATE THE SALE OF GOODS WITH THE OWNER OF THE SHOP, REACH
AN AGREEMENT ON THE COST WITH HIM, AND THEN HIS EMPLOYEES
REFUSE TO DELIVER THESE GOODS." BERLUSCONI STRESSED THAT THE
PALESTINIANS DESPERATELY NEEDED INSTITUTIONAL AND ECONOMIC
REFORMS. HE CALLED FOR A NEW PALESTINIAN LEADERSHIP AND FOR
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ELECTIONS TO BE HELD AS SOON AS POSSIBLE. MEANWHILE HOWEVER,
UNTIL A NEW PALESTINIAN LEADERSHIP WAS ELECTED BY THE
PALESTINIANS, THERE WAS NO ALTERNATIVE TO DEALING WITH ARAFAT
IN HIS CAPACITY AS THE ELECTED LEADER OF THE PA, STRESSED
BERLUSCONI.

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ON THE INTERNATIONAL PEACE CONFERENCE
--------------


3. (C) BERLUSCONI STILL BELIEVED IN THE IMPORTANCE OF AN
INTERNATIONAL PEACE CONFERENCE, AND WAS STILL WILLING TO HOST
IT AND PAY FOR IT. HOWEVER, BERLUSCONI NO LONGER FELT THAT
THE CURRENT CLIMATE WAS THE RIGHT ONE TO HAVE A SUCCESSFUL
CONFERENCE. HE FELT THAT THE PA DID NOT CURRENTLY HAVE THE
KIND OF RESPONSIBLE LEADERSHIP NEEDED FOR A SUCCESSFUL
CONFERENCE, AND REEMPHASIZED THE NEED FOR THE PALESTINIANS TO
ELECT A NEW LEADERSHIP AS SOON AS POSSIBLE.


4. (C) COMMENT: THE JUNE 26-27 G8 SUMMIT IN KANANASKIS MARKED
A METAMORPHOSIS IN BERLUSCONI'S POSITION ON ARAFAT (REF) AND
ON THE INTERNATIONAL PEACE CONFERENCE, WHICH HE HAD
PREVIOUSLY STAUNCHLY SUPPORTED AND OFFERED TO HOST. AMONG
THE LEADERS PRESENT AT THE G8 SUMMIT, BERLUSCONI APPEARS TO
HAVE EXPRESSED SOME OF THE STRONGEST SUPPORT FOR THE
PRESIDENT'S PLAN ON THE MIDDLE EAST. ALTHOUGH HE IS NOW
STEPPING BACK FROM HIS NEAR-TERM PLAN FOR AN ERICE
CONFERENCE, BERLUSCONI WILL CONTINUE TO SEEK OPPORTUNITIES TO
PLAY A HELPFUL, HIGH-PROFILE, ROLE. END COMMENT.
SEMBLER

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2002ROME03240 - Classification: CONFIDENTIAL