DEVELOPMENT AID TO ABU DHABI'S WESTERN REGION

C O N F I D E N T I A L ABU DHABI 003546

SIPDIS

E.O. 12958: DECL: 08/16/2015
TAGS: ECON PGOV EPET TC
SUBJECT: DEVELOPMENT AID TO ABU DHABI'S WESTERN REGION

REF: A. ABU DHABI 3241


B. ABU DHABI 1317

Classified By: Ambassador Michele J. Sison for reasons 1.4 (b & d).


1. (C) Summary: Abu Dhabi Executive Council members told
Econchief that the Emirate of Abu Dhabi's western region was
relatively underdeveloped and poorly served, especially in
the areas of health care and education. They were working on
a plan to improve services and infrastructure in the western
region, the population of which is largely Emirati. Their
stated view was that, given high oil prices, this was an
appropriate time to address the concerns of western region
residents. End Summary


2. (C) During President Khalifa's July 21 to 23 visit to the
Emirate of Abu Dhabi's western region, he publicly stated his
intention to improve the infrastructure in the region.
Econchief met, separately, with Executive Council member
Khaldoon Al-Mubarak and Executive Council member and U/S of
the Abu Dhabi Department of Finance Hamad Al-Suwaidi to
discuss the needs of western region residents and the Emirate
of Abu Dhabi's plans to address these needs. Both explained
that the western region is largely underdeveloped and lacks
access to government services. The education and health care
systems are poor and there are few job opportunities for
residents. Al-Suwaidi noted that there are no full-service
hospitals in the western region, and that aside from a
teachers college, no institutions of higher education.
Al-Mubarak explained that western region residents needed to
travel to Abu Dhabi to pay fines, or to renew licenses or
passports. Al-Suwaidi noted that women were especially
disadvantaged in that there were few jobs available to them
in the western region, and implied that their ability to
travel to the city of Abu Dhabi was limited by family and
social pressures. The goal, therefore, was to improve access
to services and economic opportunities for the residents.


3. (C) Both stressed the political and moral imperative to
address western region concerns. Although the overall
population is small (around 100,000 according to Al-Mubarak),
Al-Suwaidi noted that it is largely composed of UAE
nationals. Al-Mubarak stressed that President Khalifa is
committed to helping his people, and added that, with oil at
over $60 a barrel, the timing was right. He also commented
that if the emirate failed to act when it had the funds, the
situation could "blow-up" in the future. (Note: Al-Mubarak
appeared more concerned about large scale visible disparities
of wealth breeding resentment than about any imminent
security risk. The western region contains Abu Dhabi's main
onshore oil fields and export terminal and borders Saudi
Arabia.)


4. (C) Al-Mubarak, who is in charge of directing Abu Dhabi's
plan for developing the western region, said that it involved
several factors. Abu Dhabi would create a municipality for
the western region, which would be more responsive to the
needs of the residents. He added that Abu Dhabi would also
set up branches of federal ministries to ensure that services
(such as passport renewals) would be more easily available.
In addition, the emirate government would build roads, a
hospital, build and improve schools, and look at ways to
increase industrial investment in the area.


5. (C) Al-Mubarak emphasized that the plan was still in the
preliminary stages and he did not have budget estimates for
the projects yet. Al-Suwaidi (as the money man) said that he
did not think the projects would be that expensive, or that
it would be difficult finding funds.


6. (C) Comment: President Khalifa is also the ruler of the
Emirate of Abu Dhabi. As he settles into his job, he is
meeting with citizens and trying to address their concerns.
His highly visible development proposals also help ensure
that some of the oil windfall makes it to the UAE's poorer
rural areas, minimizing any grounds for resentment. End
Comment.
SISON