1. (C) Summary: During a meeting June 26 with NEA Principal
Deputy Assistant Secretary Cheney, UAE President Khalifa bin
Zayed Al Nahyan offered his assessment of the situation in
Iraq, commented on the Iranian elections and discussed
Syria's involvement in the region, reform in the UAE, and
efforts to end human trafficking. Khalifa also expressed the
UAE's continued support for the Palestinian people, as well
as for Palestinian President Mahmoud Abbas, a position Cheney
said the U.S. shared. Cheney encouraged the Emiratis to
pursue political, educational and social reform and to take
positive steps to eliminate human trafficking. Khalifa said
it would take time to adopt reforms, but welcomed U.S.
proposals and cooperation on these issues. He emphasized
that his government was committed to stopping the trafficking
of underage camel jockeys. End Summary.



2. (C) NEA Principal Deputy Assistant Secretary Cheney called
on UAE President Sheikh Khalifa bin Zayed June 26. During a
cordial exchange, President Khalifa recalled that their
fathers, Vice President Cheney and the late Sheikh Zayed, had
known each other. PDAS Cheney noted that Sheikh Zayed had
been a long-time friend of the United States and said she was
honored to bring greetings to President Khalifa from the
President, the Vice President, and the Secretary. President
Khalifa said the UAE appreciated the historical friendly
relationship and looked forward to pursuing the development
of U.S.-UAE cooperation. Cheney saluted the UAEG for its
cooperation on Afghanistan and Iraq, counterterrorism and the
Mideast peace process. She also thanked the UAEG for its
support for the Palestinian people. President Khalifa said
it was vitally important to cooperate in the fight against
terrorism, and on Iraq and Afghanistan.



3. (C) President Khalifa and PDAS Cheney continued their
discussion in an adjacent parlor in a smaller group,
including the Deputy Prime Minister and MinState for Foreign
Affairs Sheikh Hamdan bin Zayed, Deputy Prime Minister Sheikh
Sultan bin Zayed, Minister of Presidential Affairs Sheikh
Mansour bin Zayed, the Ruler's Representative for the Eastern
Region of Abu Dhabi Emirate Sheikh Tahnoun bin Mohammed, UAE
Ambassador to the U.S. Al Asri Al Dhahri, and the Ambassador.
In the smaller meeting, Cheney and President Khalifa
discussed a range of issues and Cheney noted the UAE would
warmly welcome a visit by President Khalifa to the United
States.

IRAQ


--------------------------





4. (C) During the smaller meeting, President Khalifa said he
mourned the loss of American servicemen, Coalition partners,
and Iraqi security forces in fighting the insurgency in Iraq.
Khalifa questioned the disbanding of the Iraqi armed forces
and police, and noted that one of the consequences was that
former members of Iraq's military and police forces were now
terrorists. He said that this policy had made Iraq much more
"chaotic" as well as an attractive place for terrorists from
neighboring countries. Cheney responded that the violence in
Iraq was being caused by individuals, Iraqis and foreign
fighters, who do not want the Iraqi people to live in
freedom. She noted the tremendous progress being made by the
Iraqis in establishing a new government and training their
own security forces. She welcomed the UAE's involvement in
this training, and noted that the USG and Prime Minister
Ja'afri had been very pleased with the international support
shown for Iraq during the recent Brussels conference.
Khalifa agreed that it was important for the international
community to support the Iraqi government, and said it was
also important for the Iraqis to ensure stability and secure
the new political regime.



5. (C) PDAS Cheney asked for President Khalifa's views on the
roles of Syria and Iran in Iraq's internal affairs. Khalifa
said that he was not certain whether Syria had facilitated
infiltration into Iraq or if the border was simply too long
to patrol effectively. But, the Syrians he noted were making
life difficult. Cheney said that Syria's efforts to
destabilize its neighbors, including Damascus' support for
Palestinian Islamic Jihad, Hezbollah and terrorists in Iraq,
were troubling to the international community, and that the
Palestinians, Lebanese, and Iraqis had all asked Damascus to
stop this activity. President Khalifa said Iran was doing
the same, adding that Iran was an unstable country in its own
right and it did not want to have stable neighbors.



6. (C) Cheney also briefed Khalifa on the recent U.S.-EU
Conference on Iraq in Brussels. Khalifa agreed that
international support was crucial to Iraq's future security,
prosperity, and stability.

IRAN


--------------------------





7. (C) Commenting on Iran's presidential elections and the
victory by Mahmoud Ahmadinejad, President Khalifa told PDAS
Cheney that the conduct of the elections was questionable and
that the results may have been falsified. Perhaps, Khalifa
opined, Rafsanjani's loss at the polls was "what the regime
(in Iran) wanted." Rafsanjani had made diplomatic,
conciliatory gestures toward the West to resolve disputes, he
said. Other than the fact that Ahmadinejad had served as
mayor of Tehran, Iran's president-elect was "unknown on the
international stage" and little known to the UAEG, Khalifa
said. However, he commented that it did not matter who was
elected president in Iran because "real power" in Iran lies
with the religious leadership, the "so-called guides of the
revolution."

ASSISTANCE AND SUPPORT FOR THE PALESTINIANS


--------------------------





8. (C) President Khalifa and PDAS Cheney also discussed
international efforts to assist the Palestinians. Cheney
said that in addition to its other ongoing assistance, the
U.S. would be providing $50 million to the Palestinian
Authority for projects in Gaza as part of Quartet Special
Envoy for Gaza Disengagement Wolfensohn's $100 million fund
raising effort. She said that Wolfensohn would be invited to
the G-8 Summit at Glen Eagles to brief the G-8 leaders on his
plans. She also noted that he would be returning to the West
Bank and Gaza July 8, and that A/S Welch would also be
traveling to the region then for discussions with the
Israelis and Palestinians. Cheney also pointed to ongoing
coordination efforts between the USG and the PA to ensure
funds are directed to immediate needs in the Palestinian
area. Khalifa welcomed the briefing and said the UAE was
"fully committed" to decisions taken at various summit
conferences regarding assistance for the Palestinians, and
that the UAE also would continue its bilateral assistance
program with the Palestinian Authority, a recent example of
which was the construction of the Sheikh Zayed City in Gaza.



9. (C) Khalifa also told Cheney that Mahmoud Abbas had called
him after his June 21 meeting with Prime Minister Sharon to
say that the first talks between the Israeli and Palestinian
leaders in over four months had not gone as well as he had
hoped, but that they "accomplished a few things." Khalifa
described Mahmoud Abbas as "a friend to all, including Arab
countries and the U.S." He added that he viewed Mahmoud
Abbas as a "key figure" and "a man of moderation." Cheney
said the U.S. appreciated this and agreed that it was
important to support Mahmoud Abbas. The U.S. would devote
"time and effort" to demonstrate that support.

REFORM, TRAFFICKING IN PERSONS


--------------------------





10. (C) PDAS Cheney then shifted the conversation to
bilateral concerns, and noted that the USG welcomed and was
grateful for the critical cooperation with the UAE in
Operation Enduring Freedom, Operation Iraqi Freedom,
counter-terrorism, and a range of other issues. She briefed
President Khalifa on Secretary Rice's recent trip to the
region, including her speech in Cairo on reform issues.
Cheney praised UAE,s efforts on education reform and said
she was pleased with her visits to the all-women,s Zayed
University campus and the Abu Dhabi Men's College (Higher
College of Technology) in the company of Education Minister
Sheikh Nahyan. Cheney said the USG was interested in working
with the UAE on a range of reform issues, including
political, economic, educational reform and the empowerment
of women. President Khalifa said the UAE was moving ahead
with reform and development, but told Cheney that the U.S.
was hundreds of years ahead of the UAE. Change would
therefore take time, he said, but the UAE was trying to do
its best and would welcome U.S. proposals and cooperation.



11. (C) PDAS Cheney also discussed human trafficking and
mentioned that she appreciated the government's invitation to
her to visit one of the two Camel Jockey Rehabilitation
Centers in Abu Dhabi emirate (septel). She said she would
report the steps the UAE is taking to address its trafficking
problem when she returned to Washington. Khalifa said the
UAEG believed that the camel jockey issue reflected the
plight of desperately poor parents, mostly from Pakistan.
The UAE was committed to working on the human trafficking
issue and in rehabilitating the children. "We will end this
practice," Khalifa asserted.



12. (U) This message was cleared by PDAS Cheney.
SISON