Identifier | Created | Classification | Origin |
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06MANAMA243 | 2006-02-20 10:34:00 | CONFIDENTIAL | Embassy Manama |
This record is a partial extract of the original cable. The full text of the original cable is not available. |
C O N F I D E N T I A L SECTION 01 OF 02 MANAMA 000243 |
1. (C) In their February 19 meeting, Crown Prince Shaikh Salman told the Ambassador that he would deliver a speech at the February 27 conference on the U.S.-Bahrain Free Trade Agreement (FTA), at which Commerce Secretary Gutierrez also will speak. The CP said the government was still considering, if necessary, using "expedited powers" to ensure quick parliamentary approval of the final pieces of FTA implementation legislation. The CP guaranteed a July 1 entry into force for the agreement. He noted that he would visit Washington in late March or April. Regarding Iran, he said that regional countries were worried about being trapped between two nuclear powers, Iran and Israel. Some governments, in particular Egypt and Saudi Arabia, were under pressure from their citizens to pursue nuclear technology. Bahrain is interested in formalizing its relationship with NATO or concluding a public agreement for NATO protection in case of a nuclear threat. The West should deal with Iran by "taking away its rights," such as travel visas. Military confrontation should not be an option; the region has already faced too many major wars. End Summary. -------------------------- -------------------------- CP Confident on Passage of FTA Implementing Legislation -------------------------- -------------------------- 2. (C) To open their February 19 meeting, the Ambassador informed Crown Prince Salman bin Hamad Al Khalifa that Commerce Secretary Carlos Gutierrez would visit Bahrain February 26-28 to participate in a conference on the U.S.-Bahrain FTA and to hold meetings with Bahraini officials. The CP had been briefed on the conference by Economic Development Board (EDB) CEO Shaikh Mohammed bin Issa Al Khalifa and said he would deliver a keynote speech at the conference lunch. He will address FTA implementation in the speech. Bahrain still needs to complete some intellectual property rights legislation and regulations before the FTA can enter into force, and he wants to use the speech to emphasize the need for quick passage of the laws. He said he was considering, if necessary, having the government use "expedited powers" to push the laws through parliament. The CP assured the Ambassador that the legislation would be passed before parliament starts its summer break, well ahead of a July 1 implementation date. 3. (C) The CP said that the EDB's profile in the country was rising. Parliament would vote within the next week or two on legislation establishing the Labor Market Regulatory Authority, which will oversee implementation of the country's labor reform initiative. In this regard, the CP mentioned that many members of parliament do not want housemaids to be covered by the provisions of the labor reform bill (which will establish a fee payable to the government by employers of foreign workers). Shaikh Salman said that one way or another, a loophole for housemaids would need to be closed. He noted that the EDB had also launched its education initiative and had secured additional capital for the Bahrain Development Bank. 4. (C) Shaikh Salman said he planned to visit Washington in late March or April, depending on King Hamad's schedule. If he comes in April, the available dates are April 1-10 or after the 23rd. -------------------------- Iran on My Mind -------------------------- 5. (C) The CP said he had been speaking publicly about Iran lately. Echoing Foreign Minister Shaikh Khalid's February 7 comments to the Ambassador (reftel), the CP stated that Bahrain and other Arab countries are worried about being trapped between two nuclear powers, Iran and Israel. A dangerous arms race in the region must be prevented. Political pressure is growing on governments in the region, in particular Egypt and Saudi Arabia, because people "feel exposed and left behind, and want to follow suit" by building a nuclear reactor. Because of the high price of oil, governments have the resources to devote to nuclear technology. 6. (C) Shaikh Salman said that Bahrain, and probably other regional countries, were interested in formalizing their status with NATO or concluding a public agreement for NATO protection in the case of a nuclear threat. The Ambassador briefed the CP on the $75 million U.S. initiative to broadcast into Iran and to support the development of Iranian civil society and education. The CP replied that Iran sees itself as a great nation and must be "treated like an egomaniac." He referred to the recommendations of an analysis he read, which said that the way to get Iran's attention is by "taking away its rights," such as by denying Iranians visas to travel. 7. (C) The CP said that he wants leaders to move away from talk of a military response to Iran's nuclear program. The region has faced three major wars in the past 20 years and does not want a fourth. Within Bahrain, sectarianism is a huge problem with no easy solutions. The situation would be exacerbated by increased tensions with Iran. The forces of moderation in the region have suffered for the past several years, with their agenda confined to "the boardrooms and ballrooms." The extremists have the upper hand and there will be a delicate balance over the next decade. He stated, however, that the United States has many good friends in the region who want to see the situation improve. MONROE |