Identifier
Created
Classification
Origin
06ABIDJAN1405
2006-12-21 11:28:00
CONFIDENTIAL
Embassy Abidjan
Cable title:  

COTE D'IVOIRE: FN LEADER SORO PUSHES FOR BANKS TO

Tags:  PGOV PREL ECON EFIN IV 
pdf how-to read a cable
VZCZCXRO1126
PP RUEHPA
DE RUEHAB #1405/01 3551128
ZNY CCCCC ZZH
P 211128Z DEC 06
FM AMEMBASSY ABIDJAN
TO RUEHC/SECSTATE WASHDC PRIORITY 2341
RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY
RUEATRS/DEPT OF TREASURY WASHDC PRIORITY
INFO RUEHZK/ECOWAS COLLECTIVE
RUEHKI/AMEMBASSY KINSHASA 0388
C O N F I D E N T I A L SECTION 01 OF 02 ABIDJAN 001405 

SIPDIS

SIPDIS

STATE EB PASS TO USTR
KINSHASA PASS TO BRAZZAVILLE

E.O. 12958: DECL: 12/20/2016
TAGS: PGOV PREL ECON EFIN IV
SUBJECT: COTE D'IVOIRE: FN LEADER SORO PUSHES FOR BANKS TO
REOPEN IN NORTH

Classified By: Econ Chief EMassinga, reasons 1.4 (b,d)

C O N F I D E N T I A L SECTION 01 OF 02 ABIDJAN 001405

SIPDIS

SIPDIS

STATE EB PASS TO USTR
KINSHASA PASS TO BRAZZAVILLE

E.O. 12958: DECL: 12/20/2016
TAGS: PGOV PREL ECON EFIN IV
SUBJECT: COTE D'IVOIRE: FN LEADER SORO PUSHES FOR BANKS TO
REOPEN IN NORTH

Classified By: Econ Chief EMassinga, reasons 1.4 (b,d)


1. (C) Summary. Forces Nouvelles leader Guillaume Soro
took surprise advantage of a December 11 courtesy call by
Econ Chief and Econ/Pol JO to FN HQ in Bouake to make a very
public push to reopen the banking sector in FN-held
territory. Soro also sharply criticized President Gbagbo for
his unwillingness to compromise on military reintegration,
and took the U.S. and the international community to task for
failing to stand up to the President. Acknowledging Prime
Minister Banny's weakness and the President's relative
strength, Soro believes Gbagbo is trying to tire out both the
international community and the PM by the February review
mandated by UNSCR 1721. Soro also dismissed concerns about
conflict diamonds. End Summary.



2. (C) Aware of the Econ Chief's intent to tour Bouake and
Korhogo to, in part, examine the effects of the dearth of
banking in the region, Soro used a well-prepared brief to
exhort the international community to push for the
reinstitution of banking services in his region. The meeting
was well publicized, with FN TV covering the event
extensively and several national dailies covering it. After
the media took its pictures and departed, Soro began by
presenting the FN's declaration of its adhesion to UNSCR 1721
and his party's wish for it to be applied in its entirety.
Soro asked Econ Chief to inform the Ambassador and the USG
that the FN accepts the stated will of the international
community without reservation. Soro then addressed the
recent moves to professionalize his army and the FN's
civilian cadres, briefly noting FN announcements on that
score held the prior week.

Banking
=======

3. (C) Explaining that improvements in the civilian segment
of the FN's administration is critical to putting into place
a viable economy, Soro turned to banking, saying that the
reopening of the banking sector after a four year absence was

long-past due. The FN leader attempted to preempt the
obvious question by saying that security would be assured and
that the FN would do what is necessary to provide for the
safety of banks and their personnel. Soro said the problem
was more of a political one than anything, and that President
Gbagbo opposes the concept on political grounds, despite the
fact that depriving the people of the region of banking
services is manifestly unfair. Soro compared the question of
security in the North with that which exists in western,
government-controlled Cote d'Ivoire, where banditry is rife.
(Note: Econ Chief did not mention the unfortunate record of
bank robberies in FN-held territory since their takeover in

2002. The last attempted robbery was against a Central Bank
branch in Korhogo in July 2006, in which robbers abandoned
several sacks of discontinued CFA bank notes. None of the
bank robbers have been brought to book by the FN, although
Licorne and UNOCI are technically responsible for protecting
at least Central Bank interests in the North. End Note)


4. (C) Soro noted that the banking question is intimately
tied to the vexing question of the redeployment of government
cadres from the health, education and other ministries
(septel) to their posts in northern prefectures. Previewing
arguments Econ Chief would hear throughout his three-day
swing through the heart of FN-territory, without banking
services, government cadres are loathe to return to the north
because receiving their salaries becomes so onerous. He
pointed to the ongoing imbroligo between the Ministry of
Education and FN authorities and their allies among the
"volunteer teachers" working in northern schools since 2002
as a particular case in point as an example of how the
absence of banking retards national reintegration (septel).


5. (C) FN Chief Spokesman Sidiki Konate noted that Western
Union in Burkina had been close to sealing a deal in which it
would begin operations in northern Cote d'Ivoire, but that
that deal had been scuttled under unclear circumstances.
Soro followed by asking Econ Chief to help organize a banking
conference on operations in the north, and said he would be
writing to the Finance Minister on the question. Konate
followed this by reiterating before TV cameras and the
national press the FN's strong wish to see banking services
return to its region (see septel on banking).

Disarmament, Role of Ivorian Constitution
=========================================

ABIDJAN 00001405 002 OF 002



5. (C) Soro then scorned the FPI and President Gbagbo for
their insistence on disarmament before moving forward on
other. He indicated the FN is ready to apply the agreed-to
military accords to reunify the country's two armies. Trying
to make the situation simple, Soro said "the country has need
of 25 thousand troops. I have 30, the FANCI has 30. We each
take the most fit 10 thousand, and the new body jointly
recruits the remaining 5." Addressing the question of rank
upon which FPI partisans focus, Soro drew a parallel with the
integration of South Africa's army with the ANC's armed wing
and said solutions to the grade question can be found.
Acknowledging "30" cases of irregular promotion in the FAFN,
Soro explained that FAFN General Guei had been made a colonel
by FANCI General Mangou himself and that Commandant Kone
merited his promotion from the non-commissioned officer ranks
due to his ministerial status in the FN.


6. (C) Expanding on his tour of the history of recent
African political reconciliation, Soro noted that in Congo
Kinshasa political progress required a referendum and
revision of a flawed constitution. Turning directly to the
role of the United States, Soro said that "so long as the
U.S. supports the constitution, Cote d'Ivoire cannot advance.
UNSCR 1721 and the constitution cannot work in tandem."
Recalling the early history of the Ivorian crisis, Soro
remarked that UNSCR 1433 called for a national referendum,
which was never held.


7. (C) Soro then turned to questioning Econ Chief directly,
asking if the U.S. believes UN Chapter 7 can be used to
suspend the constitution and if the U.S. supports maintaining
Cote d'Ivoire's constitution as it is. He was dissatisfied,
but not surprised, with the reiteration of our stated policy
is that the constitution and UNSCR 1721 can work together
with greater levels of political will.

Soro Turns Analytical
=====================

8. (C) The FN leader then became coldly analytical of the
current situation. He said that the President did indeed
have the right to reinstate the DGs associated with the toxic
waste scandal and replace the RTI DG under the constitution.
Soro said that in February the UNSC would conduct its
scheduled review of progress made in Cote d'Ivoire and would
probably have little or no success to point to. At that
juncture, according to Soro, Gbagbo would be able to argue
that Banny has failed and that the President could then form
his own government. "I would leave Banny in his post until
then if I were him, not fire him" said Soro. Soro did
indicate he would attend a Council of Government meeting in
Yamoussoukro if the PM convened such a meeting, but "would
never attend one in Abidjan again because of the lack of
security."

Soro Responds to Questions on Diamonds
======================================

9. (C) Econ Chief raised the question of conflict diamond
production in FN-held territory, using the release of the
film "Blood Diamond" to introduce the topic. Soro said that
diamond production is centered in and around Seguela, and is
of a purely artisanal nature. Diamonds had been exploited
for many years prior to the FN's existence, and Soro said the
FN has not interfered in that ongoing production and
extraction. He explained that many families subsist on
income derived from this activity. If the UN would like to
shut down diamond production in FN-held areas, Soro said,
"they can come close the mines and monitor their closure
themselves."



10. (C) Comment. In the course of the Soro meeting and
subsequent meetings with FN officials and others in the
north, it appears as if the FN is, in its own clumsy way,
attempting to lay the foundation for more formal governance
arrangements. The successful redeployment of health ministry
cadres (septel) and the near completion of an agreement with
the nation electrical distribution company to have
residential customers begin paying some of their bills, among
other steps, attests to this, as does the FN's keen desire to
restart banking. Soro seems very aware that Gbagbo's
political maneuverings will not likely lead to a breakthrough
in the near-term, and is preparing accordingly. End Comment.
Hooks