Identifier
Created
Classification
Origin
06QUITO2002
2006-08-09 17:12:00
CONFIDENTIAL//NOFORN
Embassy Quito
Cable title:  

PRESIDENT PALACIO SEEKS WHO DIRECTOR GENERALSHIP

Tags:  PGOV PREL EC 
pdf how-to read a cable
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C O N F I D E N T I A L QUITO 002002 

SIPDIS

SENSITIVE
SIPDIS

DEPARTMENT FOR G AND WHA/AND

E.O. 12958: DECL: 05/24/2016
TAGS: PGOV PREL EC
SUBJECT: PRESIDENT PALACIO SEEKS WHO DIRECTOR GENERALSHIP


Classified By: PolChief Erik Hall for reasons 1.4 (b&d).

C O N F I D E N T I A L QUITO 002002

SIPDIS

SENSITIVE
SIPDIS

DEPARTMENT FOR G AND WHA/AND

E.O. 12958: DECL: 05/24/2016
TAGS: PGOV PREL EC
SUBJECT: PRESIDENT PALACIO SEEKS WHO DIRECTOR GENERALSHIP


Classified By: PolChief Erik Hall for reasons 1.4 (b&d).


1. (SBU) President Alfredo Palacio has instructed the MFA to
lobby WHO board capitals in favor of his candidacy for the
WHO Director Generalship. A MFA mission headed by U/S for
Multilateral Affairs Gonzalo Salvador Holguin might visit
Washington during the week of August 14 or 21 seeking
meetings in the Department and HHS to seek USG endorsement
for the WHO board vote scheduled for early November. The
meetings in Washington are being arranged by Ecuador's
Ambassador Gallegos.


2. (SBU) Salvador claimed the GOE has offered a deal to
Japan, whereby if elected, Palacio would name a Japanese
number two, and the GOE would support the Japanese candidate
after Palacio's term ends. The GOJ has not responded to the
offer. The other candidate reportedly is Mexico's Health
Minister.

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


3. (C) Palacio has lived up to his billing as a weak and
feckless caretaker president, who took office after the
irregular overthrow of ex-president Lucio Gutierrez in April

2005. Politically inept, Palacio proved incapable of
managing his own government, characterized by instability and
quixotic attempts at political reform. In the commercial
realm, the left-leaning Palacio bowed to populist pressure to
torpedo FTA talks with the U.S., and ordered the assets of
Ecuador's number one investor, Occidental Petroleum, seized
without compensation. Cooperation with Ecuador in other
areas remained good, however.


4. (C) That said, Palacio was consistently a champion of
public health causes, however ineffective he proved at
implementing his promises for a national health insurance
scheme. The former cardiologist frequently complained
privately that he wanted nothing more than to return to his
private practice here and in Miami. Nevertheless, management
problems were rife in the health sector. Palacio suffered a
major embarrassment and was forced to fire his Health
Minister when a scandal erupted over child deaths due to a
contaminated hospital air system in Manabi province. His
Health Ministry so poorly managed the HIV/AIDS Global Fund (a
$14 m. program here) that it was in danger of being withdrawn
earlier this year.


5. (C) Furthermore, Palacio's government has shown low
respect for IPR issues, including U.S. pharmaceutical patents
(e.g. Pfizer's Viagra case). In FTA talks, Palacio strongly
resisted USG demands for appropriate IPR protections for
pharmaceuticals.


6. (C) We recommend giving the GOE's emissaries a respectful
hearing, and evaluating Palacio's candidacy against others
that may be closer to USG interests.
BROWN