PRIME MINISTER PROMISES TO FOLLOW UP ON MCC CEO

UNCLAS DAKAR 000418 SIPDIS SIPDIS SENSITIVE STATE FOR AF, EB, AF/EPS AND AF/W E.O. 12958: N/A TAGS: EAID KMCA PREL SG SUBJECT: PRIME MINISTER PROMISES TO FOLLOW UP ON MCC CEO DANILOVICH,S LETTER REF: A. DANILOVICH-SALL LETTER OF FEBRUARY 13 ¶B. STATE 022747 ¶1. (SBU) On February 20, Charge hand delivered the translated copy of Millennium Challenge Corporation (MCC) Chief Executive Officer John Danilovich,s February 13 letter to Senegalese Prime Minister Macky Sall (Ref A). Sall noted that he had already received the English-language version from the Senegalese Embassy in Washington. Nonetheless, he was anxious to understand the letter and the timing. Charge told the Prime Minister that the United States remains committed to developing a Millennium Challenge Account Compact with Senegal. We have made some progress toward Compact development, and the demand study has been completed. Nonetheless, the United States is troubled that key commitments made in July and October have yet to be implemented. We understand that a draft decree imposing a legally binding moratorium on land market activity in the Diamniadio area has been ready for some time. Charge also noted that the MCC is proceeding with aerial photography as a sign of good faith. ¶2. (SBU) The Prime Minister said one of the reasons for delay has been perceived conflicts with the Malaysian housing project, proposed free-trade zone and the toll road. Sall said that he is satisfied that the MCC is aware of those projects; so there should be no conflict. Sall said he would discuss the proposed decree and other measures with President Wade on February 21. He also said his choice of a land market overseer would be the Prefect who is responsible for Diamniadio, but he would also discuss that with President Wade. ¶3. (SBU) COMMENT: Charge delivered the letter on the same day that "Sud Quotidien," an independent Dakar daily, published a front-page story expressing new doubts about whether Senegal will ever conclude a MCA Compact. Nonetheless, the atmospherics of the meeting were good. Sall was not defensive and, on the contrary, seems anxious to meet the March 17 deadline and move ahead with Compact development. We continue to believe that making the results of the demand study available as soon as possible would be helpful. Septels describe Sall,s comments on the "Idrissa Seck/Chantier de Thies case," corruption and the Casamance peace process. END COMMENT. JACKSON