TANZANIA: PRESIDENT KIKWETE ASSURES AMBASSADOR OF

C O N F I D E N T I A L SECTION 01 OF 03 DAR ES SALAAM 000498

SIPDIS

SIPDIS

DEPT AF/E FOR B YODER, AF/RSA FOR J NAY AND C BECK
PASS TO MCC FOR G BREVNOV AND L BLACK
TREASURY FOR L KOHLER

E.O. 12958: DECL: 03/17/2016
TAGS: PGOV PREL EAID ECON PHUM TZ
SUBJECT: TANZANIA: PRESIDENT KIKWETE ASSURES AMBASSADOR OF
HIS INTEREST IN INCREASING MILITARY COOPERATION AND
RESOLVING DIVISIONS IN ZANZIBAR


Classified By: Political Officer Mary B. Johnson for reasons 1.4(b,d)

Summary
--------------

1. (C) Taking time out from chairing a six-day working
retreat for ministers and deputy ministers, President Jakaya
Kikwete met with Ambassador Retzer in Arusha March 15 to
discuss peacekeeping, Zanzibar, the MCC compact process, and
his upcoming visit to the United States in May 2006.
President Kikwete said that he wants Tanzania to increase its
participation in African peacekeeping operations (PKO) and is
keenly interested in working closely with the United States
to improve the PKO capacity of the Tanzanian military. He
assured the Ambassador that a high-level contact in the
Ministry of Defense would be named to coordinate USG HIV AIDS
assistance to the Tanzanian military.


2. (C) President Kikwete explained how he has been working
within his CCM party to ascertain next steps needed to
reconcile the divide between the two isles of Zanzibar,
despite the immediate problems of Tanzania's power and food
shortages that have absorbed much of his time during his
first weeks in office. The President and the Ambassador
agreed that the opposition Civic United Front (CUF) party,
which won parliamentary seats in all 18 constituencies of
Pemba, are sending signals that they are willing to cooperate
with the President to find a way forward. President Kikwete
said that he plans to travel to the U.S. sometime in May to
speak at Harvard University and in Atlanta. The Ambassador
offered to help set up official meetings for him in
Washington D.C. at the appropriate levels; President Kikwete
welcomed the Ambassador's offer of assistance and said he
looked forward to a full slate of meetings. End summary.

Military Priorities: HIV Prevalence Rate and Peacekeeping
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3. (C) In a 30 minute meeting requested by Ambassador Retzer
to discuss peacekeeping, the MCC compact process and
Zanzibar, President Kikwete expressed his concern that the
HIV/AIDS infection rate in the Tanzanian military was an
"acute problem." He assured the Ambassador that a high level
contact within the Ministry of Defense would be appointed as
requested by the Embassy. The contact would closely
coordinate with the Defense Attache office concerning all USG
efforts to stem the rising HIV prevalence rate within the
Tanzania Peoples Defense Force (TPDF). He also agreed, his
schedule permitting, to meet with two-star General Jonathan
Gration, the Director of Policy, Planning and Assessments
from the U.S. EU Command (EUCOM),during the general's
upcoming visit to Tanzania, to discuss augmenting the TPDF's
peacekeeping operations capacity and other military issues.


4. (C) President Kikwete admitted that Tanzania has not been
proactive enough in peacekeeping in recent years, but said he
had already told his top military leadership that increased
participation in African peacekeeping efforts is one of his
priorities for the TPDF. Kikwete observed that Tanzania's
peacekeeping role in Liberia "had not been so positive;
consequently we have been too cautious about getting more
involved in PKO efforts." The President continued:
"However, I have directed the top brass that from now we need
to be more active in both training for and participation in
peacekeeping." He told the Ambassador that "your government
has my support to work closely with our Ministry of Defense
because we need to build the PKO capacity of our forces."


5. (C) Kikwete also stated he would like to see
overall military to military cooperation between the United
States and Tanzania increase. Although he is currently
scheduled to pay courtesy calls on the leaders of neighboring
countries the week of March 20 (Burundi, Rwanda, Uganda),

DAR ES SAL 00000498 002 OF 003


Kikwete said he would meet with General Gration of EUCOM if
the general were still in town when he returns to Dar es
Salaam. President Kikwete stated: "We have a lot to learn
from the U.S., not only in PKO capacity building, but in many
aspects of military cooperation." The Ambassador stressed
that military to military cooperation is built on mutual
sharing and learning, and each country is able to contribute
a different set of skills. Kikwete reiterated that he
believed that Tanzania's military is in need of more
cooperation with the U.S.: "I am sure we will be the greater
beneficiaries, so let us see how we can make that happen."

Reconciliation on Zanzibar
--------------

6. (C) The Ambassador asked President Kikwete his view of
progress to reconcile the political, economic and social
divide that appears to be widening between the two isles of
Zanzibar, Unguja and Pemba. Kikwete said he is approaching
the issue from his prior experience in conflict resolution
and has been holding quiet &proximity talks8 with key
persons both within his own CCM party and with the Civic
United Front (CUF). His strategy to date has been to verify
the mood in both camps in "preparation to make my next move."
Stating that he believes that he now has his "feet on the
ground" in his role as President, he noted that throughout
the history of the United Republic of Tanzania, when there is
a difficult phase or any friction in relations, it has almost
always originated from Zanzibar. "We know that Zanzibar is
our Achilles heel, but I am confident that gradually I will
be able to deal with the opposition, as well as with players
within the CCM," Kikwete observed. "I do not want to say the
mistrust is deep-rooted, but I will say that there are
historical linkages." Thus he said his plan was to proceed
with reconciliation "cautiously, but steadily."


7. (C) President Kikwete believed that once Tanzania's food
and power shortage crises are resolved over the next few
months, he will be able to make "more moves here and there8
to convince colleagues, friends and adversaries on a strategy
to resolve the strained relationship between Unguja and
Pemba, as well as to improve the overall relationship between
Zanzibar and the Mainland. &I have been trying some
confidence building measures and believe that the signals are
right from both camps,8 Kikwete said.


8. (C) Ambassador Retzer observed that the signal he is
getting from the Civic United Front (CUF) party leaders is
that they want to stay engaged and to work with President
Kikwete to find a way forward. President Kikwete agreed that
he had the same impression and noted that in mediation, it is
essential to be sure that both or all sides have confidence
in the mediator. "Only then is it possible to make progress.
Once that confidence is there, then, like a chess game, we
can make the next move. The way toward reconciliation is not
easy, but also not insurmountable," Kikwete concluded.

MCC Compact and Threshold Agreement
--------------

9. (SBU) In response to the Ambassador's inquiry on the
Government of Tanzania (GOT)'s consultative process to
prepare a MCC compact proposal, President Kikwete stated that
he understands the process is proceeding on schedule and
should not be a problem. He noted that the GOT has developed
a four-pillar plan (known as &Mkukuta" in Swahili) through
an in-depth consultative process to address poverty and to
jump-start the economy in the areas of energy, water,
infrastructure and education. Ambassador Retzer added that
it is equally important that Tanzania's MCC compact proposal
mesh with what other donors are doing or planning in terms of
large scale development projects. Kikwete acknowledged the
importance of such coordination, and agreed that the MCC

DAR ES SAL 00000498 003 OF 003


consultative plan and coordinator should take that aspect
into consideration. In Kikwete's view the MCC compact
process is going well, and he believed it would not be a
&headache8 to have Tanzania's proposal ready within MCC,s
required six-month time frame.


10. (SBU) The Ambassador noted that one key aspect of the
soon-to-be-signed Millennium Challenge Account (MCA)
threshold agreement between the MCC and the GOT is the
creation of a Financial Intelligence Unit (FIU) in Tanzania.
However, the FIU can only be established if the Tanzanian
parliament passes the anti-money laundering bill that was
approved by the Cabinet almost a year ago, but still has not
moved to the Parliament. The Ambassador said that for the
MCA process to move forward smoothly and on schedule, the
anti-money laundering bill should be passed by Parliament
before or by the summer of 2006. Kikwete requested his staff
to follow-up on the current status of this bill and report
back.

High Level Visits
--------------

11. (SBU) The Ambassador told President Kikwete that
Secretary of Treasury Snow,s visit had been postponed due to

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important budgetary discussions in the U.S. Congress and that
he appreciated the hard work and cooperation of the GOT to
prepare for Snow's visit. Kikwete understood that budgets
are critical issues for any government and looked forward to
a future visit from Secretary Snow. The Ambassador also
extended an invitation to Kikwete to be the speaker at the
Embassy's July 4th celebration. The President said that
unless he was still at the African Union Summit, which is
often scheduled for that week, he would try his best to join
the official Embassy celebration in July.


12. (C) President Kikwete noted that he had been invited to
speak at Harvard University in mid-May 2006 as well as at the
East African Business Summit in Atlanta sponsored by former
Ambassador Andrew Young's organization. Ambassador Retzer
assured Kikwete that if he wanted to visit Washington D.C.,
during that trip, we would help ensure appropriate meetings
at the highest possible levels. The President said he
expected to travel to the U.S. in May, and would be pleased
to pay official calls in Washington. He instructed his staff
to coordinate closely with the Embassy when the dates were
certain.

Comment
--------------

13. (C) Kikwete appeared relaxed, confident, and focused on
Tanzania,s first-ever post election retreat by a President
and his full cabinet (ministers, deputies, and permanent
secretaries). Foreign Minister Migiro told the Ambassador

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that Kikwete was personally chairing all sessions himself on
issues ranging from public sector reform to political
reconciliation on Zanzibar. Kikwete,s &roll up the
sleeves8 style of leadership at this retreat was yet another
sign that this extraordinarily active President is intent on
putting his personal stamp on every facet of his new
government's agenda. It is also a sign that, despite an
executive branch sprawling across 22 separate ministries, he
is determined to forge a sense of "team." As we have said in
past reporting, "generals don,t win wars, armies do."
President Kikwete knows that he alone cannot transform the
way business is done in this country; only a government
inspired to institute change from the national to grass roots
level can do so. End comment.
RETZER