MANU RIVER UNION BEGINS SLOW RECOVERY

C O N F I D E N T I A L SECTION 01 OF 02 FREETOWN 000109

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DEPT FOR AF/W

E.O. 12958: DECL: 02/15/2017
TAGS: PREL PGOV EAID EFIN SL
SUBJECT: MANU RIVER UNION BEGINS SLOW RECOVERY

REF: FREETOWN 091

Classified By: Ambassador Thomas N. Hull for reasons
1.4 (b) and (d).

SUMMARY
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1. (C) During a February 8 meeting, Manu River Union (MRU)
Secretary General Aliou Diallo told the Ambassador and DCM

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that after one year on the job, he continues to struggle to
rehabilitate the MRU, but that he is cautiously optimistic
about future prospects. He said that he has successfully
lobbied donors for much-needed financial support using
contacts from when he worked for UNDP. Diallo said that
funding will be used to "jump-start" his organization and
support a skeleton staff of 20. He said that because the
three member states (Guinea, Liberia, and Sierra Leone)
continue to lack the resources to fund the MRU, he has had to
be creative when soliciting financial support. He said that
the MRU is considering a 2.5 percent levy on goods coming
from non-ECOWAS states as a means of generating revenue.
Diallo raised the possibility of Cote d'Ivoire membership in
the MRU. A native Guinean, Diallo talked extensively about
potential effects the crisis in Guinea could have on Sierra
Leone and the MRU (reftel). END SUMMARY.

OFFICES ARE IMPROVED
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2. (C) The Ambassador and DCM, accompanied by PolOff, called
on MRU Secretary General Aliou Diallo on February 8. Located
on the fifth floor of a dusty, old and decaying building in
crowded downtown Freetown, Diallo's office was surprisingly
freshly, and pleasantly, refurbished with new furniture, a
television, and functioning air conditioner. He said that
UNDP had provided assistance to refurbish several floors of
the building. Like President Kabbah, Diallo formerly worked
at UNDP.

SG MOBILIZES FUNDS; PROMOTES BUSINESS INCUBATORS
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3. (C) Diallo said that after nearly one year in office his
efforts to "resuscitate" the MRU were showing incremental
progress. Diallo said that he had just returned from overseas
where he had managed to mobilize nearly $60 million in
assistance. Both Morocco and Saudi Arabia have pledged
significant support for MRU activities, and the Arab
Development Fund and Organization of Islamic Conferences also
will provide funding support for small to medium-size
business and micro-credit training. He noted with interest
that during his travels, he observed how Arab countries have
successfully implemented business incubators to promote
private enterprise through micro-credit programs. He felt
that incubators could be effective tools to promote private
enterprise in Western Africa. He said that donor assistance
would initially support a skeleton secretariat staff of 20,
comprised of two deputies, and six division heads, rounded
out by support staff.

INNOVATIVE FUND RAISING
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4. (C) Diallo said that the unreliability of member states'
financial contributions has forced him to think of innovative
ways to generate revenue. He said that the MRU was
considering a 2.5 percent levy for goods that enter MRU
member states from non-ECOWAS countries. He also mentioned
that the Chinese Ambassador had been to see him recently and,
the PRC was funding a project, but he did not elaborate.

POSSIBLE MEMBERSHIP FOR COTE D'IVOIRE
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5. (C) Diallo said that Cote d'Ivoirean Foreign Minister
Bakayoko had contacted him to express his country's desire
for membership in the MRU. The Ambassador asked what Cote
d'Ivoire would bring to the table if granted membership.
Diallo responded that it may be better to have Cote d'Ivoire
"inside the group" versus outside, and that this concept was
being floated by the Liberian Minister of Trade and Industry.

DIALLO'S THOUGHTS ON GUINEA
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6. (C) Diallo speculated that if the crisis in Guinea
deteriorated further it would have a ripple effect (reftel).
He said that it would be felt immediately on the Guinea -
Sierra Leone border. He also said that there would be a need
for security contingency plans to handle the ensuing

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humanitarian crisis if refugees began flowing across the
border. He was very pessimistic about the potential for
unrest if Conte did not appoint a viable prime minister.

COMMENT
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7. (C) Diallo, who has been Secretary General for one year,
seems very capable and is a welcome change for the MRU. He
appears to have innovative approaches to solving much of what
ails the MRU and is clearly adept at raising funds. The MRU
still lacks capacity to effect change regionally, but with
Diallo's leadership, it seems ready to reestablish itself
financially, perhaps as a customs union, and begin small
development programs. END COMMENT.
HULL