GUINEA-BISSAU: COURTING U.S. AND OTHERS WITH

C O N F I D E N T I A L SECTION 01 OF 03 DAKAR 000904

SIPDIS

SIPDIS

STATE FOR AF/W, AF/RSA, INL, INR/AA AND S/P - M.JAMES
ACCRA ALSO FOR WARP
LAGOS ALSO FOR DEA
LISBON ALSO FOR DAO
PARIS FOR POL - D'ELIA

E.O. 12958: DECL: 04/06/2016
TAGS: PGOV PINS PREL ECON SNAR SG PU US
SUBJECT: GUINEA-BISSAU: COURTING U.S. AND OTHERS WITH
REFORM AGENDA

REF: A. DAKAR 0835 (NOTAL)

B. DAKAR 0831 (NOTAL)

Classified By: Ambassador Janice L. Jacobs for reasons 1.4 (b) and (d).

SUMMARY
--------------

1. (C) In a March 29-31 visit, then Charge and PolOff saw a
Guinea-Bissau that is oriented toward courting international
donors and investors and implementing a domestic agenda that
reflects the top priorities of UN, European and U.S.
interests. The government,s priority is security sector
reform, but it also is putting a strong emphasis on
counternarcotics with the creation of a task force; stricter
control of public financing and anti-corruption with several
high-level officials under investigation; increasing cashew
exports and oil exploration; and improving public
institutions, especially the judiciary. The GOGB is hoping
the big payoffs will come at a mini-roundtable for security
sector reform tentatively planned for this summer, a larger
donors conference in the fall, and a much desired re-opening
of the U.S. Embassy. END SUMMARY.

&U.S., PLEASE COME BACK8
--------------

2. (C) Almost every person then Charge and PolOff met,
including the President, Prime Minister, Foreign Minister,
business community, foreign diplomats and others, delivered a
common message: the United States should re-open its embassy
in Bissau. The Prime Minister put it most eloquently when he
said he appreciated the USD 2.2 million in U.S. assistance,
but we could keep it all if we would just re-open the
Embassy. Most observers view a U.S. permanent presence as a
vote of confidence in the stability of the country -- one
international donors and investors will take seriously.

FRANCE CONCENTRATING ON FRENCH LANGUAGE; PORTUGAL DOING LITTLE
-------------- --------------

3. (C) During a meeting with the French Ambassador, she
stressed that one third of French assistance is devoted to
teaching French. Indeed, the Franco-Guinean Cultural Center
is large and active. When asked if the Portuguese see the
French as competitors, she said she believed they did. She
also observed that Portugal is providing little assistance
and does not seem to have any strategy for dealing with its
former colony beyond working through the Community of
Portuguese-speaking Countries (CPLP),which will hold a
summit in Bissau in July.

STABILITY IN CHECK FOR NOW
--------------

4. (C) Since the Prime Minister,s policy program was
approved by the National Popular Assembly (ANP) last month,
questions over government viability have waned but tensions
between a faction of the Party for the Independence of
Guinea-Bissau and Cape Verde (PAIGC) and the ruling coalition
have not. The current war of words is being staged over the
Senegalese border conflict, with some PAIGC leaders calling
for an end to the military campaign against Salif Sadio's
Atika wing of the Movement of Democratic Forces of the
Casamance (MFDC) and Armed Forces Chief of Staff Tagme na
Waie threatening some ANP members with imprisonment for
alleged support of rebels (Ref A).


5. (C) The question of political stability is playing out
primarily in the ANP, which raises the profile and importance
of the U.S.-sponsored training program run by the National
Democratic Institute (NDI). Assembly members Serifo
Nhamadjo, Chairman of the Administration Committee, and Joao
Perreiro Nandigna, Chairman of the Security Committee told
Charge and PolOff the program is well run and much
appreciated by members of various political parties and
backgrounds. Foreign Minister Monteiro expressed gratitude
for the NDI project and said he hopes similar assistance will
be available for the executive and judicial branches. He
believes a thriving private sector can only be developed in
tandem with a responsible and efficient public sector.


6. (C) UNOGBIS also works with the ANP on conflict

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resolution and coordinates with NDI. Since 1999, UNOGBIS,
mandate has been to promote national reconciliation and
presidential and legislative elections, but it is planning to
close at the end of 2006. UNOGBIS Representative Joao
Honwana said there is more work to be done on two fronts:
institutionalizing peaceful resolution of conflicts and
security sector reform. He has told the Government it needs
to be &magnanimous in victory8 and reach out to the
disaffected PAIGC members.

PRESIDENT WORRIED ABOUT ILLICIT ACTIVITIES
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7. (C) President Vieira told Charge and PolOff about various
illicit activities in the area of the Bijagos Archipelago.
He said boats from neighboring countries were raiding
Guinea-Bissau,s rich fishing waters and noted that some are
also carrying illicit drugs and arms. Press reported that
Bissau-Guinean authorities interdicted 30 &pirogues8 (small
fishing boats) from Senegal, Guinea, Mali, Ghana, and
Guinea-Bissau in addition to ten larger vessels from North
Korea and China, which were poaching fish. Oil exploration
is increasing in the same waters, which prompted Vieira to
request U.S. assistance to prepare for a possible windfall
should sufficient deposits be found (Ref B).


8. (C) Drug traffickers through West Africa continue to be
bold. Customs authorities in Senegal seized more than eight
tons of marijuana valued at USD 44.4 million in a container
in the port of Dakar. However, narcotics traffickers through
West Africa are known to favor Guinea-Bissau as a transit
point from Latin America to Europe because of the ease with
which they can operate in the territorial waters with little
or no surveillance. In fact, drug trafficking may be killing
what little licit commerce Guinea-Bissau has. Former U.S.
Ambassador John Blacken says the only fish processing plant
that met European export standards is now being used solely
as a drug warehouse. The GOGB continues to request
assistance from the USG and other international donors for
boats, vehicles, and communications equipment to improve
enforcement of drug trafficking and illegal fishing.


9. (C) The GOGB focus in recent months on strengthening the
rule of law, improving enforcement of transnational crimes,
and tackling corruption has highlighted the need for a
prison. Existing holding cells are inadequate in number,
security, and living conditions to house all prisoners. The
GOGB gave PolOff an unsolicited request for a USD 6.4 million
(3.4 billion CFA Francs) proposal to construct the country,s
first maximum-security prison. Currently, perpetrators of
all but the worst crimes are released after a few days due to
lack of space. Then Charge discouraged GOGB thinking that
the U.S. might fund prison construction, but the need is
real.

COMMENT
--------------

10. (C) The NDI program is making important inroads to
increasing dialogue and refocusing parliamentarians toward
good governance and away from power struggles. The program
has revealed serious structural problems such as a lack of
advisors, no research capability and no links to civil
society, but these problems cannot be addressed before the
program expires in September. NDI is looking for funding for
Qase two, which includes multi-media-based training for
illiterate parliamentarians (thought to be about 60 percent),
a student intern program, and linking committees with
relevant NGOs. They are cooperating closely with the
Government of Brazil.


11. (C) Recent busts of illegal fishing and drug couriers
and fines which may run up to USD one million for fish
poaching indicate the GOGB is acting on the U.S. message of
showing what it can do with the limited resources it has. We
have also urged officials to pass tougher laws on
counternarcotics, asset forfeiture, and money laundering and
are providing some sample legislation. If stability is
maintained through 2006, the Department should strongly
consider re-opening the embassy in Bissau. Counternarcotics,
potential oil wealth and an interest in keeping the fragile

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state in the &win8 column on democratic governance
necessitate permanent representation. END COMMMENT.
JACOBS