RESIGNATION OF PLANNING MINISTER

C O N F I D E N T I A L AMMAN 001422 SIPDIS E.O. 12958: DECL: 02/21/2010 TAGS: PREL ECON KMPI JO SUBJECT: RESIGNATION OF PLANNING MINISTER Classified By: Charge David Hale, Reasons 1.4 (B) & (D) ¶1. (C) Jordan's Planning Minister, Bassam Awadallah, resigned effective February 20. His replacement, Tayseer Smadi, who had served as Awadallah's secretary general for over a year was sworn into office the same day (biographical information septel). ¶2. (C) When informing Charge of his plans on February 17, Awadallah said he had received a private-sector offer in Dubai that he "could not refuse" and would not come along again. However, deeper causes related to his frustration with a deeply divided cabinet, between traditional and reformist forces and with a Prime Minister who lacked the drive to force through the reform agenda. Other contributing factors he said were continual parliamentary attacks of a personal nature, the social tedium of Amman, and a sense that as a westernized, Palestinian technocrat he had risen as far as possible politically. At the King's request, he would direct Jordan's hosting of the May World Economic Forum and associated Forum for the Future events while taking on his new private sector tasks. ¶3. (C) Comment: Rumors are flying as to the real cause of Awadallah's departure, and there is one story that he has been offered the ambassadorship in Washington (not true, based on Awadallah's comments to us). Although personal reasons were the driving cause of the resignation, with the departure of Awadallah the cabinet loses one of its major forces for and internationally recognized symbols of reform. He was also the steward of the country's economic agenda. Lacking Awadallah's flair, Smadi will be a calmer presence in the cabinet, but also one unlikely to take on vested interests, speak on behalf of the King on reform agendas with the authority Awadallah mustered by virtue of a close association with the monarch or have a strong hand on the economy. Although the King continues to express in private acute dismay with the cabinet's performance, he also shows a reluctance to sack its members until they are given a decent time to demonstrate competence. Nor does he relish public demonstrations of impatience with the traditional forces in the cabinet. Ironically, this stance may have contributed to the departure of the reformist closest to the King. HALE