CAMBODIA'S PRIME MINISTER: WORKING FOR THE

C O N F I D E N T I A L SECTION 01 OF 03 PHNOM PENH 000361

SIPDIS

SIPDIS

STATE FOR EAP/MLS AND H; GENEVA FOR RMA

E.O. 12958: DECL: 02/24/2016
TAGS: PGOV KDEM PREL CB
SUBJECT: CAMBODIA'S PRIME MINISTER: WORKING FOR THE
NATIONAL INTEREST (FOR NOW)

Classified By: POL/ECON CHIEF MARGARET MCKEAN; REASON: 1.4 (b) and (d)


1. (C) Summary. During an hour and one-half February 23
meeting with Staffdel Grove, PM Hun Sen outlined his vision
for moving Cambodia forward along the path to democratic
reform in concert with the opposition Sam Rainsy Party (SRP)
and civil society, claiming that his dramatic turnaround was
due to the need to work for the national interest. Grove
thanked the PM for RGC support in counterterrorism, health
issues, and POW/MIA collaboration. The PM requested USG
support for Cambodian membership in APEC, passage of the
Trade Act to support Cambodia and other LDCs, and greater
investment from large U.S. firms. Grove pressed the PM on
Burma; Hun Sen responded that ASEAN member states
increasingly believe the organization is a hostage to Burma
and said he would support participation of nine ASEAN leaders
(minus Burma) in the US-ASEAN Summit at the upcoming APEC
Summit in Hanoi. On the future of USG interests in Cambodia,
Grove linked concrete implementation of needed reforms in
Cambodia and continued RGC engagement with the political
opposition and civil society to a more promising bilateral
relationship with the United States. Grove also expressed
support for Peace Corps in Cambodia. End Summary.


2. (U) In the February 23 meeting with the PM, the U.S.
delegation included Paul Grove, Majority Clerk, Senate
Appropriations Committee; Cindy Chang, H Bureau Senior
Advisor for Budget and Appropriations; Charge d'Affaires Mark
Storella, and Pol/Econ Chief Margaret McKean. Hun Sen was
accompanied by MFA Secretary of State Ouch Borith, Senior
Advisor Om Yentieng, and other staff members within the PM's
cabinet.

Hun Sen: National Interest is the Priority for CPP and SRP
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3. (C) During the February 22-24 visit by Staffdel Grove to
Cambodia, Senate staff member Paul Grove met with Cambodan
Prime Minister Hun Sen to discuss recent political
developments and prospects for an improved bilateral
relationship. Grove thanked the Prime Minister for positive
RGC cooperation on a number of fronts: counterterrorism,
health issues (avian influenza and HIV/AIDS),and POW/MIA
collaboration. The PM noted that since Grove's tenure in
Cambodia 10 years earlier, the country had changed
significantly: travel throughout Cambodia was now possible
as the Khmer Rouge were no longer a security factor;
democracy had opened the political space so that discontented
citizens had an outlet to express their concerns without
taking up arms against the government. The PM added that
democracy is not yet secure in Cambodia; some have advocated
rescheduling national elections currently slated for 2008 to
2009 -- the PM has rejected the idea on legal grounds noting
that the national election law stipulates the elections take
place the fourth week of July 2008.


4. (C) Counterterrorism is not an issue confined to one
nation or one part of the world, continued Hun Sen, but a
global problem affecting all nations. Cambodia is a small
country but accepts the responsibility to cooperate on
terrorism and other issues, e.g., HIV/AIDS, that cross-cut
national boundaries. As Foreign Minister in 1983, Hun Sen
said that he was approached by the American director of a
U.S.-based support organization for families of service
members lost during the Vietnam conflict. Although the U.S.
and Cambodia did not have diplomatic relations at the time,
Hun Sen said he recognized the need to work on the issue and
enlist the support of Laos and Vietnam, although the latter
two countries refused at the time.


5. (C) Acknowledging that the U.S. and Cambodia may not
always agree, the PM stated that he is dedicated to working
for the national interest and the future generations of
Cambodians. He expressed support for the continuing growth
of democracy in Cambodia and the need for a credible
opposition. Recent events have opened the way forward for a
bright future, he said, adding that he does not want the
mistakes of the past to be repeated. Opposition party leader
Sam Rainsy agrees with this approach to dialogue and
engagement for the national interest, said Hun Sen, and the
two political leaders spent more than three hours discussing
the way forward to achieving a better future for the country
on Rainsy's return to Cambodia. Hun Sen allowed that he
could not speak for FUNCINPEC or Prince Norodom Ranariddh,
but CPP clearly supports SRP representation within National
Assembly commissions that mirrors the party's electoral
results in 2003. The PM said that he discussed the proposal
with Rainsy, and after obtaining the opposition leader's

PHNOM PENH 00000361 002 OF 003


consent, sent a letter to Ranariddh proposing the new
formulation. Under the new proposal, the SRP would receive
the chairmanships of two of the nine National Assembly
commissions as well as two seats in each of the nine
commissions. CPP would hold five chairs and five member
slots in each commission, while FUNCINPEC would have two
chairs and two members in each commission -- the same as the
SRP. The PM added that if approved by the National Assembly,
the proposal would likely be voted following National
Assembly action to amend the Constitution allowing any party
that receives a 50 plus 1 majority to form a government.


6. (C) Noting that Cambodia has entered a new political
environment, Hun Sen said that FUNCINPEC is unhappy with his
outreach to Sam Rainsy, as the royalist party feels that they
were not consulted during the PM's negotiations with the SRP
leader. There have been efforts to characterize SRP as a
destructive influence if the opposition party should join the
government, he said. Hun Sen defended his actions, saying
that SRP is only receiving their just due based on the 2003
election results and their reflected popular support. The PM
reiterated his public statement that if the CPP wins the 2008
elections, the SRP is welcome to join the government. He
pointed to the recently announced SRP proposal to resolve the
country's land disputes through the establishment of a new
National Authority comprised of representatives of the three
political parties, the National Assembly, as well as NGOs.
Another example of the country's new political direction is
the decriminalization of defamation, which the PM has agreed
should be removed from the criminal code and transferred to
the civil code. Hun Sun underscored that he and Rainsy
concur that the national interest should take priority over
the long term, and that was the genesis of their agreement to
end their disputes.


7. (C) Grove expressed his support for the PM's new
relationship with Rainsy, noting that the spate of lawsuits
that kept Cambodia's political leaders in conflict was
unhelpful. There are new opportunities to move the country
forward on the path to reform, and that will benefit the
Cambodian people, he added. Grove urged the PM to remain in
contact with Rainsy, even though the two leaders may disagree
over issues in the future. Hun Sen agreed, and promised that
if Rainsy wins the 2008 elections, he would not obstruct the
transfer of power from CPP to SRP. The PM intimated that
FUNCINPEC preferred to keep Rainsy out of the country in
order to weaken the party and gain its party members through
defections. Hun Sen said that Cambodia needs strong, fair
competition in order for the country to grow and strengthen.

Burma and ASEAN
--------------


8. (C) Grove turned to Burma, noting the high priority the
USG places on democratic change in Burma, including the
release of Aung San Suu Kyi. He requested Hun Sen to engage
with ASEAN counterparts to push reform in Burma. Hun Sen
offered that Burma had created "headaches" for ASEAN and that
during the recent ASEAN Summit in Kuala Lumpur, he had
suggested a visit to Burma by the ASEAN Troika. (Note: The
Troika would consist of Laos (past ASEAN Chair),Malaysia
(present Chair),and the Philippines (future Chair). End
Note.) Malaysia, however, indicated that the ASEAN chair
should first visit Rangoon, followed perhaps by a visit by
the ASEAN Troika. Hun Sen noted, however, that ASEAN did not
expect that the Malaysian FM's proposed visit would continue
to be postponed. He said that Burma should not be an
obstacle to the development of ASEAN. If Burma is not
invited to the September 2006 ASEAN-Europe meetings in
Finland, he added, the other nine ASEAN states need to decide
if they will attend or if they will be continue to be held
hostage by Burma. Hun Sen said that in his opinion, the nine
ASEAN member states should go; if Burma reforms then they can
attend as well; but if not, they deserve to be excluded.


9. (C) Hun Sen proposed that Cambodia and Laos be included
in the ASEAN-U.S. Summit meeting in Hanoi, that will be held
in conjunction with the APEC Summit later this year. Hun Sen
noted that he has discussed the issue with FM Hor Namhong and
said Cambodia should go -- an ASEAN Summit should not include
only seven leaders. The PM understands that the USG cannot
accept Burma's attendance, but Cambodia and Laos should be
permitted to join. If Burma is excluded, it sends a signal
that Burma needs to make real reforms. Hun Sen said he will
go; Laos will need to make up its own mind and the exclusion
of Burma is not an issue for Cambodia.

U.S.-Cambodian Relations

PHNOM PENH 00000361 003 OF 003


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10. (C) Hun Sen expressed his support for an expansion of
existing bilateral cooperation. He said that Cambodia would
welcome passage of the Trade Act, which is important not only
to Cambodia but to other LDCs. Other priorities for Cambodia
are greater U.S. investment by large companies (e.g.,
Chevron),increased trade and tourism. Hun Sen noted that
U.S. tourists rank number three in numbers of the visitors to
Cambodia. Cambodia is grateful for USG support for Cambodian
membership in the WTO. Cambodia would like to join APEC, and
the PM requested USG support for Cambodian membership once
the moratorium on adding new members is lifted. Cambodia
would also like the United States to join the East Asian
Summit. As Asian countries continue to form an East Asian
Community of nations, Cambodia would welcome U.S.
participation, assuming ASEAN consensus.


11. (C) The Prime Minister said that U.S.-Cambodian
relations have often been bitter, with a number of
interruptions in diplomatic ties. The inauguration of the
new embassy building is a symbol of a solid bilateral
relationship and continued USG interest in Cambodia. The PM
said that Cambodia, unlike other countries in SE Asia,
provides a secure environment for the U.S. mission and
expressed again his support for CT cooperation.


12. (C) Grove indicated that USG-Cambodian bilateral
relations would continue to grow and strengthen with the
continued strengthening of Cambodian democracy. He noted his
optimism over the current political situation and discussions
between the PM and Rainsy. With further successes in
restoring parliamentary immunity and opposition party
participation in the commissions, broadening of the National
Election Commission, passage of strong anti-corruption
legislation, Cambodian democracy will improve and grow.
Grove noted that the PM has assumed the responsibility of
realizing these commitments. Dialogue and reform proposals
make for great headlines, but implementation and creating
results will be the difficult task ahead.


13. (C) Hun Sen observed that sometimes his vision for
reform exceeds that proposed by the opposition and the NGO
community, but government officials often are afraid to
provide him with the true facts. The PM has come to realize
that the opposition and NGO community can assist him in that
regard, and a partnership is in the interests of all
concerned. The PM admitted that he has used non-governmental
information sources to get to the truth surrounding some
issues, as members of his own government are not always
forthcoming. This new form of cooperation between
government, the opposition and civil society may be in the
interests of the USG, but Hun Sen underscored that his
motivation is for the good of the Cambodian people. If human
resources and expertise from outside the government can help
Cambodia, then the PM is prepared to make use of them. By
doing so, the PM emphasized that he wants to bring Cambodians
together to work for the good of the nation, rather than
oppose one another -- Cambodian history is replete with
examples of internal conflict that only destroyed the country
rather than improving it. As the meeting ended, the PM
mentioned the Peace Corps; Grove indicated that he supported
a Peace Corps program in Cambodia.

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


14. (C) The PM was on a charm offensive that encompassed an
hour and a half of discussion peppered with jokes, historical
references, and talking points that played to issues of USG
interest. Hun Sen was prepared with a list of deliverables
of interest to his government but offered little insight into
the motivation for his dramatic political turnaround over the
past month. Regardless of Hun Sen's political calculus, we
believe there is an opening to press the government to live
up to its commitments vis-a-vis democratic reform, which is
supported by the political opposition and Cambodian civil
society and which -- if implemented -- will help strengthen
and institutionalize Cambodian democracy over the long run.
The PM's willingness and patience to continue this newfound
partnership remains to be seen, but at the moment, we should
continue to encourage all sides to move forward. End
Comment.


15. (U) Staffdel Grove cleared this message before
departure.
Storella