POST-CONFLICT ANGOLA FUNDING SHORTFALLS

UNCLAS ROME 002125 SIPDIS FROM U.S. MISSION IN ROME LUANDA FOR USAID DIRECTOR HELLYER, DWYER USAID FOR AA/DCHA WINTER, DCHA/FFP LANDIS AND NOVICK STATE FOR PRM/MLANGE, IO/EDA KOTOK, AF/C AND AF/S USDA/FAS FOR CHAMBLISS GENEVA FOR USAID/KYLOH NSC FOR JDWORKEN E.O. 12958: N/A TAGS: EAID EAGR AORC PREF AO WFP SUBJECT: POST-CONFLICT ANGOLA FUNDING SHORTFALLS REF: LUANDA 0493 ¶1. ON MAY 27, 2004, AT THE SECOND ANNUAL SESSION OF THE EXECUTIVE BOARD, MIKE SACKETT, WFP'S REGIONAL DIRECTOR FOR SOUTHERN AFRICA, CONFIRMED THAT PER REFTEL, AN INCREASINGLY SERIOUS FUNDING SHORTFALL IN ITS ANGOLA PIPELINE ARISES FROM THE LACK OF FINANCIAL SUPPORT FROM DONORS. ¶2. SACKETT ALSO REPORTED THAT, DESPITE HIS RECENT PERSONAL APPEAL TO THE GOVERNMENT OF THE REPUBLIC OF ANGOLA (GRA) OFFICIALS IN LUANDA AS WELL AS PAST GRA REPRESENTATIONS, MOST RECENTLY IN OCTOBER 2003, WHEN THE GRA PLEDGED $7.5 MILLION, THE GRA HAS NOT MADE ANY FINANCIAL CONTRIBUTIONS TO THE PROTRACTED RELIEF AND RECOVERY OPERATION (PRRO),WHICH BEGAN IN APRIL 2004. ¶3. NO DONOR CONTRIBUTIONS HAVE BEEN MADE SINCE APRIL ¶2004. THE "RETURN AND RESETTLEMENT" PRRO IS RESOURCED AT ABOUT $36 MILLION OF THE $253 PLANNED PROJECT SCOPE, OR LESS THAN 15% OF THE TOTAL, WITH MAJOR DONORS CONTRIBUTING AS FOLLOWS: -- USG, $25.4 MILLION; -- JAPAN, $3.7 MILLION; -- CANADA, $1.8 MILLION; -- GERMANY, $1.2 MILLION; AND -- NORWAY, $1 MILLION. OTHER DONORS ARE SWITZERLAND ($880 THOUSAND),FINLAND ($730 THOUSAND),NETHERLANDS ($300 THOUSAND),IRELAND ($77 THOUSAND) AND KOREA ($60 THOUSAND),BUT NEITHER THE UNITED KINGDOM NOR THE EUROPEAN UNION HAS CONTRIBUTED TO THIS PRRO. ¶4. COMMENT: THE US MISSION CONSIDERS THAT WFP, OTHER UN AGENCIES, AND BILATERAL DONORS MUST MAINTAIN UNRELENTING PRESSURE ON THE GRA TO FULFILL ITS ANNOUNCED COMMITMENTS TO WFP'S HUMANITARIAN OPERATION IN ANGOLA. BUT CLEARLY, THE GRA ALSO THIS YEAR CONTINUES TO REQUIRE GENEROUS INTERNATIONAL DONOR SUPPORT, PARTICULARLY IN ASSISTANCE EFFORTS AIMED AT RETURNEES AND RESETTLEMENT. REGRETTABLY, THE DWINDLING OF DONOR COMMITMENT MAY JEOPARDIZE POST-CONFLICT RECOVERY AND RESETTLEMENT. HALL NNNN 2004ROME02125 - Classification: UNCLASSIFIED