PRIME MINISTER READY TO LAUNCH NATIONAL

C O N F I D E N T I A L SECTION 01 OF 02 BAGHDAD 002175 SIPDIS SIPDIS E.O. 12958: DECL: 06/24/2016 TAGS: IZ PGOV PREL SUBJECT: PRIME MINISTER READY TO LAUNCH NATIONAL RECONCILIATION PROPOSAL Classified By: Ambassador Zalmay Khalilzad per 1.4 (b) and (d). ¶1. (C) SUMMARY: Ambassador met Prime Minister Maliki June 23 to review pending issues. Security and Iranian influence are covered in septel. Prime Minister is ready to announce his proposal for National Reconciliation on June 25. PM expressed interest in traveling (especially to Saudi Arabia, Kuwait, and the UAE),and he is enthusiastic about attracting foreign investment to Iraq, especially in the oil sector. In a separate meeting, Tariq Al-Hashemi confirmed that he is comfortable with the Prime Minister's efforts to seek agreement in advance of announcing his reconciliation proposal. END SUMMARY. -------------- Engaging the GCC States -------------- ¶2. (C) Ambassador called on Prime Minister Maliki June 23 to catch up on developments during Ambassador's brief absence from Baghdad. Ambassador briefed Maliki on the results of his visit to the UAE and assured him that UAE leaders are ready to help Iraq. The PM reported that he had recently received a phone call from Shaykh Hamdan and guessed it had been a result of the Ambassador's work. Ambassador said that he plans to travel to Saudi Arabia to see King Abdullah and that he also had spoken to King Abdullah of Jordan, who was prepared to visit Baghdad. Ambassador said Saudi Arabia's support for Iraq is important, as it influences decisions in other Gulf Cooperation Council (GCC) capitals. For example, Ambassador reported that the Emiratis had told him that they are ready to proceed on debt forgiveness but that the Saudis are blocking it. Maliki agreed on the importance of Saudi Arabia, and he said he wants to visit there as well as Kuwait and the UAE -- he already has invitations from Kuwait and Abu Dhabi. Saudi Arabia had sent congratulations on the new government, Maliki said, but so far it has not invited him or his government to visit. Maliki said that he understands that the Saudis in particular need to see him attached to the Arab identity of Iraq; he is confident that they could understand each other. ¶3. (C) Ambassador said that the Emiratis could be a big help financially to Iraq since they have plenty of cash and need investment opportunities. Ambassador added that they told him that they would be willing, whenever Iraq is ready, to invite global oil companies to meet in the UAE to listen to Iraqi investment opportunities in the oil sector. The Prime Minister said that Iraq could be ready in a month; the new investment plan would be presented to the Council of Representatives shortly, and Iraq has just issued new licenses to ease importation of oil derivatives. Maliki said that he is keen to open Iraq to foreign investment, especially oil. Ambassador added that the Emiratis also would host a similar event to attract communications companies interested in Iraq opportunities. -------------- Reconciliation -------------- ¶4. (C) The Prime Minister reviewed his reconciliation proposal for the Ambassador. Maliki said that he had taken it to the three Presidencies in order to create a favorable atmosphere prior to going public. The PM noted that he refused certain suggestions, such as the inclusion of a call for a fixed timetable for withdrawal of Coalition Forces and the legitimization of the resistance. (NOTE: Both Tariq Al-Hashemi's suggestions. END NOTE.) Maliki drew attention to point 22 of the proposal (added by Maliki himself),which stresses that the Parliament, the Constitution, and the National Unity Government are the result of elections; that these institutions constitute the legitimate representation of the Iraqi people; and that they will deal with sovereignty issues and with the MNF-I. Maliki said that he would not accept language that included the idea of an "honorable resistance." He also confirmed that he will deliver the speech -- essentially reading the text of the proposal -- before the Council of Representatives on June 25. -------------- Hashemi Supports Reconciliation Plan -------------- ¶5. (C) Vice President Tariq Al-Hashemi, in a separate meeting, confirmed to Ambassador that the Prime Minister had sought support for the reconciliation proposal and that some of Hashemi's changes had been included. Hashemi said that he had spent a good deal of time studying Maliki's ideas and drafting language that he thought would appeal to the BAGHDAD 00002175 002 OF 002 resistance, since a successful reconciliation process would need to attract them. Hashemi reported that he was somewhat disappointed with the proposal, saying that he wants a compact, detailed plan that would be the roadmap forward. He called the Prime Minister's plan "unsystematic," with too much left open. Nevertheless, Hashemi said that he appreciates the Prime Minister's efforts and would continue to support him. KHALILZAD