JAPANESE MINISTER VISITS LIBYA

C O N F I D E N T I A L TOKYO 004920 SIPDIS SIPDIS E.O. 12958: DECL: 08/24/2016 TAGS: PREL PARM ENRG EAID LY JA SUBJECT: JAPANESE MINISTER VISITS LIBYA Classified By: MINISTER COUNSELOR FOR POLITICAL AFFAIRS MICHAEL MESERVE FOR REASONS 1.4(B),(D) ¶1. (C) SUMMARY: Japanese Minister of Science and Technology Iwao Matsuda visited Libya August 13-22 where he met with a number of officials including Libyan Leader Muammar Qadhafi on August 16. Matsuda congratulated Qadhafi for Libya's decision to dismantle its nuclear weapons program. Qadhafi replied that Libya was encouraging the DPRK to follow Libya's lead, but that Tripoli expected more international recognition for its actions than it has received. Matsuda informed Qadhafi that Libya is eligible to receive technical assistance from Japan but, due to Libya's wealth, it does not qualify under Japanese law to receive yen loans or grant aid. Qadhafi pressed Matsuda to have Japan urge other G-8 nations to extend further aid and assistance to Libya. Matsuda's visit to Libya was the first ever by a Japanese minister. END SUMMARY. ¶2. (C) Embassy Tokyo Political Officer called on MOFA Libya/Algeria desk officer Yoshinori Keino on August 23 to obtain a readout of Minister Matsuda's visit to Libya. Keino reported that both Libya and Japan considered this to be an important visit, noting that it was the first ever by a Japanese minister to Libya. (NOTE: Matsuda was dispatched to Libya by Prime Minister Koizumi as part of a program to have a number of ministers visit countries this summer that Japan has never before visited at high levels. END NOTE.) According to Keino, Matsuda was received by an impressive number of high-ranking Libyan officials, including Leader Qadhafi, Secretary of the General People's Committee Dr. Al-Baghdadi Ali Al-Mahmoudi, Secretary of the General People's Committee for Foreign Liaison and International Cooperation Abdulrahman Mohamed Shalgam, Secretary of the General People's Committee for the Workforce, Training, and Equipment Matuq Mohamed Matuq, Mr. Mohamed Al-Taher Hamouda Siala, Dr. Shukri Mohamed Ghanemi, Mr. Suliman Sassi Al-Shahoumi, and Mr. Abdulhafid M. Zlitni. ¶3. (C) During his meeting with Qadhafi, Matsuda congratulated him for Libya's decision to renounce and dismantle its nuclear weapons program. Qadhafi replied that Libya is urging other countries, including North Korea, to follow its lead, but complained it has not received the recognition it expects from the international community for its actions and continuing efforts. He urged Japan to do more both with regard to providing Libya with direct assistance and also to encourage other G-8 countries to do more to help Libya. Concerning specific assistance sought from Japan, Libya is interested in cooperation in the fields of solar power and peaceful uses of nuclear power, including water desalinization and nuclear medicine. The Libyans are also interested in Japanese assistance in the oil and gas sectors. Keino said that last October a Japanese company, the "New Japanese Energy Company" was awarded the right to explore for oil in five or six blocks in Libya. ¶4. (C) According to Keino, Matsuda told the Libyans that Japan will do what it can to encourage other nations to cooperate more robustly with Libya. As for Japan, Libya has been placed on the OECD Development Assistance Committee's list of eligible countries and as such is qualified to receive Official Development Assistance from Tokyo. However, due to Libya's relative wealth, Libya is not eligible under Japanese law to receive yen loans or grants. Japanese assistance must therefore be limited to technical assistance such as job training for civil servants and other Libyan government employees. Keino reported that the Libyans are not happy with this and continued to press Matsuda for grant aid. Consultations will be held this year to determine which projects Japan will be able to assist Libya with, and the assistance should commence sometime next year. ¶5. (C) Keino remarked that next year marks the fiftieth anniversary of Japanese-Libyan diplomatic relations and said that during Matsuda's visit mutual invitations were extended for head of state visits to commemorate this event. Both sides were non-committal on whether such visits will take place. ¶6. Minimize considered. DONOVAN