SCENESETTER FOR APRIL 1-2 CODEL HOYER VISIT TO

UNCLAS ATHENS 000644

SIPDIS

SENSITIVE
SIPDIS

H PLEASE PASS TO CODEL HOYER FROM AMBASSADOR RIES

E.O. 12958: N/A
TAGS: PREL PGOV PHUM ECON CVIS GR
SUBJECT: SCENESETTER FOR APRIL 1-2 CODEL HOYER VISIT TO
ATHENS



1. (SBU) SUMMARY: I warmly welcome CODEL Hoyer's April 1-2
visit to Athens. We are delighted you will have an
opportunity during this stopover to glimpse post-Olympics
Athens and learn about our strategic partnership with Greece.
Foreign Minister Bakoyiannis -- who has just returned from a
visit to Washington -- plans to host a dinner for you on
Sunday evening. Greek guests include her closest advisors as
well as parliamentarians. You will be able to underline the
importance we place on issues such as counter-terrorism
cooperation and support for NATO's mission in Afghanistan.
FM Bakoyiannis herself is an energetic charmer who
understands and appreciates Congress' role. She will use her
brief time with you principally to make the case for Greek
participation in the U.S. Visa Waiver Program. END SUMMARY.

THE KARAMANLIS GOVERNMENT: CENTER-RIGHT PRAGMATISTS


2. (SBU) Karamanlis' center-right New Democracy government
took office in 2004 stressing its reform credentials.
Karamanlis' economic policy of fiscal austerity and growth
has brought Greece's deficit down and strengthened GDP
growth. His government has likewise taken important steps in
support of U.S. policy priorities on issues such as
intellectual property rights and energy. However, Karamanlis
has found other reform measures a challenge. The political
force of his 2004 anti-corruption message has been undermined
by scandals involving his political appointees. Karamanlis'
proposed changes to Greece's education system proved so
controversial that only minimal reforms were passed. With
general elections widely anticipated this fall (although not
required until spring 2008),the Karamanlis government is in
campaign mode.

FM BAKOYANNIS: POLITICIAN TO THE CORE . . .


3. (SBU) Your dinner host, Foreign Minister Theodora (Dora)
Bakoyiannis, comes from one of Greece's most prominent
political families. She is the eldest daughter of former
Prime Minister Konstandinos Mitsotakis and was one of his
closest advisers during his 1990-1993 term. Her first
husband, Pavlos Bakoyiannis, was murdered by Greece's
domestic terrorist group "November 17" in 1989. As a result,
she has a strong interest in counter-terrorism issues.
Although most Greeks believe that Bakoyiannis aspires to be
Prime Minister herself one day, during her year in office she
has acted as a loyal ally of Prime Minister Karamanlis.
Bakoyiannis is tall, engaging, charismatic and an effective
speaker in both Greek and English. She is well-versed in
global issues, but tends to concentrate on Greece's
neighborhood -- the Balkans, Greek-Turkish relations, Cyprus,
and the Middle East.

. . . AND PUSHING (HARD) ON VWP


4. (SBU) Bakoyiannis understands and appreciates the role
the U.S. Congress plays in Washington decision-making. That
is why, in her discussions with you, Bakoyiannis will focus
on Greece's aspiration to be included in the Visa Waiver
Program. She will point out that Greece is the only one of
the original EU 15 not participating. The Attorney General
approved Greece for inclusion in the VWP in May 1999, subject
to Greece's completing reforms of its passport security and
accountability procedures. However, Greece failed to meet
the deadline for action, and no new countries have been
admitted since 9/11. Greece last year introduced a new
biometric passport that meets all ICAO standards, and
invalidated the previously issued passports. And unlike
Poland, the Czech Republic, and other Central European
countries, Greece fully meets the "economic/immigration"
criteria, with low visa refusal and overstay rates. State
and DHS have taken the first steps to evaluate Greece's
candidacy for the VWP, but there is no timetable for
decision-making.


5. (SBU) Progress on VWP is now especially important to
Bakoyannis because she has recently been heavily criticized
in Greece's virulently U.S.-skeptic press for being too
"pro-American." The trigger was a Greek MFA comment
criticizing a Russian general's recent threats against Poland
and the Czech Republic for their cooperation with us on
missile defense. But the press also recognizes that on many
key issues -- counter-terrorism measures, contributions to
NATO operations in Afghanistan, last summer's crisis in
Lebanon -- we have worked well with the Greek government.

JANUARY 12 RPG ATTACK ON THE EMBASSY


6. (SBU) One example is the Greek government's response
when, on January 12, a rocket-propelled grenade was fired at
the Embassy. There was only a minimum amount of damage and

no casualties. Based on the time of the incident (5:55
a.m.),we believe the attack was designed to make a political
statement, most likely emerging from the antiwar anarchist
community (the government received a 5 page manifesto). The
response by Greek authorities was immediate; FM Bakoyiannis
came to the Embassy immediately and made a public statement,
stood in front of the Chancery with me, and sharply condemned
the attack. Since January, the Department of State and FBI
have worked closely with the Greek government to identify the
attackers; cooperation has been excellent. Both the
government of Greece and the U.S. recently offered cash
awards for information on the perpetrators.

HOW YOUR VISIT CAN HELP US


7. (SBU) Although your stopover is brief, FM Bakoyiannis'
dinner provides an opportunity to emphasize the importance
the U.S. Congress attaches to several key issues. (The
guests will include Bakoyiannis' chief advisors at the
Ministry (Ambassador Chalastanis, Ambassador Rocanas,
Secretary General for Economic Affairs Skylakakis),three ND

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parliamentarians, and the MFA's Director for Sudan affairs.)
These include:

-- COUNTER-TERRORISM COOPERATION/RPG ATTACK ON THE EMBASSY:
The U.S. appreciates the efforts Greece is making to find
those responsible for the RPG attack on the U.S. Embassy in
January. Your visit is a visible demonstration of our
determination to continue our bilateral counter-terrorism
efforts. The attack also shows that terrorism is an
omnipresent threat, one which we must work with our partners
to address.

-- AFGHANISTAN: Greeece sustained its participation in the
International Security Assistance Force (ISAF) in 2006 by
continuing to provide a unit from the Greek Corp of engineers
(120 troops) and a NATO medical unit (50 troops) for
operations in Kabul. In late January, Greece pledged an
additional 500,000 Euro to support a Hungarian-led PRT.
However, the GOG should be encouraged to remove its caveats
in order to allow its troops to operate outside Kabul as
necessary.

-- BALKANS (KOSOVO AND MACEDONIA): Greece's economic and
commercial investment in the Balkans is substantial, which
makes stability in the region exceptionally important to the
GOG. Its religious tie to Serbia makes Greece particularly
sensitive to Serbian concerns regarding a Kosovo settlement.
Yet relations with the Albanian world are also increasingly
important economically and politically to Greece. We have
underscored the importance of a decision now as a means of
promoting stability, not fostering instability. Delay only
risks instability. Greece is also concerned by the lack of a
solution to its dispute with Macedonia over the country's
name (Greece's northern province is likewise referred to as
"Macedonia"),which could affect the NATO accession process.
We continue to support using established UN mediation to
resolve this bilateral issue; the U.S. has already made its
decision by recognizing the "Republic of Macedonia."

-- GREECE/TURKEY/CYPRUS: As is the case in many EU member
states, public opinion in Greece has not yet embraced Turkey
in the EU. The government remains steadfast in support of
the Turkey/EU process, understanding that over the longer
term a Turkey in the EU is in Greece's strategic interest.
The GOG has been increasingly concerned, over the last month,
by Turkish military aircraft activity in the Aegean. We
should encourage the GOG to continue its policy of supporting
Turkey's EU entry, and praise their low-key approach to
resolving Aegean issues.





RIES