MFA FULLY ENGAGED ON AFGHANISTAN

C O N F I D E N T I A L SECTION 01 OF 02 BUDAPEST 002462

SIPDIS

SIPDIS

DEPARTMENT PLEASE PASS TO NSC FOR ADAM STERLING

E.O. 12958: DECL: 12/06/2016
TAGS: PREL PGOV MOPS CVIS HU
SUBJECT: MFA FULLY ENGAGED ON AFGHANISTAN

REF: BUDAPEST 2383

Classified By: POL/C ERIC V. GAUDIOSI; REASONS 1.4 (B) AND (D)


1. (C) MFA Assistant Secretary Varkonyi reviewed the state
of play on Afghanistan, Cuba, and the Visa Waiver Program in
an informal conversation with Ambassador Foley December 6.
The MFA is increasingly taking on the leadership role in
coordinating interagency efforts on the reconstruction and
development aspects of Hungary's PRT and is actively pursuing
funding from various international sources. They are also
mapping out next steps on Cuba, including the assignment of a
new Chief of Mission in Havana. Varkonyi warmly welcomed the
President's recent remarks on the Visa Waiver Program, and
assured us the GoH is hard at work to address the technical
questions raised by President Solyom regarding the US-EU
passenger data sharing arrangments in order to move forward
as quickly as possible. End Summary.

AFGHANISTAN: MOVING TOWARD IMPLEMENTATION


2. (C) A/S Varkonyi reviewed the current status of GoH
reconstruction and development projects, confirming the GoH's
intention to focus on priorities including police training
and employment generation. Specifically, the GoH plans to
construct a brick factory and pasta factory, with the latter
directed at returnees to Baghlan province. They will also
implement a project for the production of rugs intended to
support women's empowerment. They have established contacts
with Afghan President Karzai's brother, who has "interests in
the province," in order to coordinate their efforts. The MFA
has also identified year-end funds to help Pashtu returnees
to the province raise chickens, and will be donating medical
equipment in addition to its humanitarian donation for flood
relief.


3. (C) Although the 500 million forint (approximately USD
2.6 million) for police training will not be available until
January 1, the MFA has funded the visit of an advance team
from the Ministry of Justice and Law Enforcement so they will
be "ready to go." The GoH is working hard to access EU funds
for police training, and believes the Union will focus on the
issue given their sensitivity to "the perception of problems."


4. (C) This is part of a broader GoH campaign to identify
international funding sources. Varkonyi noted FM Goncze's
personal outreach to her counterparts from Greece, Iceland,
and Luxembourg on the margins of the Riga Summit, expressing
particular optimism regarding the prospect of "funding or
personnel" from Athens but underscoring their intention to
remain in touch with capitals. He is personally in contact
with Qatari officials re potential cooperation on educational
projects, and assured us that Hungary puts the PRT "on the
agenda of every bilateral meeting." Although the MFA will
lose Laszlo Vizi, who will depart as the MFA's senior
coordinator on assistance and development for an overseas
post, Varkonyi noted that Vizi will be replaced by a "very
senior official" with "35 years' experience in development."

THE MFA AUDITIONS FOR A LEADING ROLE


5. (C) Varkonyi candidly noted "friction" among GoH agencies
over the PRT but emphasized that he is increasingly
optimistic. The MFA already controls one-third of the funds
allocated for the PRT and is taking the lead in fact if not
in name. Other agencies are "willing if not well-staffed or
well-funded," and he believes "rationale is prevailing: in
other words, the MFA will be in charge."


6. (C) Varkonyi and his colleagues from the MFA made clear
that they share our reservations regarding State Secretary
Gemesi in the Prime Minister's Office, referring to the GoH's
coordination problems as "less about structure than
personality." He added that "this problem is being felt
everywhere," and commented that "a solution is underway."
The MFA is already quietly moving an ambitious - and
expensive - "distance learning" proposal from the PM's Office
to the back burner, explaining that they will apply for EU
funding support but see little logic in putting "50% of our
PRT funding" into the project.


7. (C) Varkonyi also noted that a Hungarian delegation
including International Center for Democratic Transition
(ICDT) Director Istvan Gyarmati will be in Afghanistan on
December 16. They look forward to their meetings with
Embassy Kabul and would welcome additional suggestions for
contacts with IC and Afghan officials.

CUBA: NEW AMBASSADOR; NEW INITIATIVES

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8. (C) Turning to Cuba, Varkonyi conveyed his sense that the
GoH's actions to date, particularly FM Goncz's remarks in
Coral Gables, had gone created Cuban frustration. He noted
that a summary of a draft proposal by the International
Center on Demcratic Transition (ICDT) had found its way to
the Cuban Ambassador in Budapest, prompting an official
diplomatic protest and raising the question of "how far and
how fast" the GoH can move forward without risking their
access in Cuba.


9. (C) They are using that access now to do "whatever is
possible," including:

Undertaking visits to the families of political prisoners;
Working with EU partners to establish an internet cafe in
Havana;
Making available literature on Hungary's democratic
transition;
Planning a film festival featuring classic Hungarian films
(including "The Witness," a scathing parody of the communist
system); and,
Continuing preparations to host Cuban alumni of student
exchange programs.


10. (C) Varkonyi also highlighted the GoH's nomination of
well-known journalist Janos Horvat to be Hungary's new
Ambassador in Havana. He emphasized that the activist,
creative, and media-savvy Horvat would be "very different"
from the incumbent and commented that "the change is the
right thing to do," but expressed concern that Horvat will
confront a long agrement process from the Cuban regime.


11. (C) Finally, Varkonyi indicated that he is considering a
trip to Mexico and Brazil to discuss other ways to engage in
international efforts to effect a democratic transition in
Cuba.

VISA WAIVER PROGRAM: "SO HAPPY WE DON'T WANT ANYTHING TO
SPOIL IT"


12. (SBU) Varkonyi closed by expressing the GoH's great
happiness over the President's recent remarks re the Visa
Waiver Program. "We are," he remarked, "so happy we don't
want anything to spoil it." That's why the GoH is hard at
work to address President Solyom's technical concers
regarding the US-EU Passenger Data Sharing Agreement and to
move forward on formal ratification as quickly as possible.

Minimize Considered.

FOLEY