SENATE PRESIDENT KENGO REVIEWS STATE OF PLAY AT

C O N F I D E N T I A L SECTION 01 OF 03 KINSHASA 000895

SIPDIS

SIPDIS

E.O. 12958: DECL: 07/26/2011
TAGS: PGOV PREL KDEM CG
SUBJECT: SENATE PRESIDENT KENGO REVIEWS STATE OF PLAY AT
END OF SESSION

REF: KINSHASA 882

Classified By: PolCouns DBrown, reasons 1.4 b/d


1. (C) Summary. Senate President Leon Kengo wa Dondo
highlighted decentralization as the most contentious issue
facing the Congolese parliament when it returns for its fall
session September 15. He expressed skepticism about budget
figures which came from the National Assembly. He is in
favor of the return of MLC leader Senator Jean-Pierre Bemba
to better "control" him, and opposed to treason charges
against him. He expressed concern about growing tensions in
the east, and related that a Senate delegation would soon be
traveling there on a fact-finding mission. His political
skills and ambitions will be tested by a challenging fall
agenda. End comment.


2. (C) Senate President Leon Kengo wa Dondo and the
Ambassador reviewed current political issues during a
farewell meeting July 23 following the end of the Senate's
30-day special session the previous week. Kengo was
energetic and focused as he prepared to depart Kinshasa on
vacation. Kengo counselor Baoudouin Elia Ona Moponda and
PolCouns sat in.


3. (C) The Ambassador congratulated Kengo on the Senate's
accomplishments during the session, but noted a substantial
remaining agende of work to be done. Kengo observed that
starting from scratch had not been easy, but that the
senators had made good progress organizing the chamber and
agreeing on a law on the legal status of the political
opposition.


4. (C) Kengo concurred that the Senate had much to do when
it resumed work September 15, citing legislation on
decentralization, the judicial system, and a national
elections commission and an audio-visual and communications
council to replace Transitional predecessors. He highlighted
decentralization as complex and contentious, but asserted
that it is an essentially technical issue that could become a
political problem if not handled effectively. For example,
the constitution calls for a 60/40 per cent revenue split
between the central government and the provinces. Kengo
maintained the 40 per cent should be shared out between the
provincial and local governments, but noted that the
constitution provides no guidance on how to do so. He also
noted that the nature and scope of responsibilities to
devolve to the provinces are not yet defined. "There will be
many problems if this is not resolved," he said.


5. (C) The Ambassador noted that the law will have an impact
on local elections and the constitutionally-mandated
subdivision of the current 11 provinces. Kengo said that it
must also address how to divide current assets, and asserted
any new province created must be economically viable. He
said senators had not yet discussed the issue, but he knew
that many wanted to begin the process directly. He said
there must be consensus within the provinces being subdivided
in order to proceed. He noted that Bas-Congo had declined to
do so because of its small size, economic viability and
existing investments. Southern Katanga could be a viable
province now, he claimed, but provincial deputies and
national parliamentarians had yet to arrive at consensus, and
other parts of Katanga could pose problems.


6. (C) Turning to economic issues, both Kengo and the
Ambassador concurred that all Congolese parastatals were
bankrupt. The Ambassador noted that most could be easily
liquidated, while so-called strategic enterprises -- in the
mining, electricity, water and some other sectors -- could be
competitive if partially privatized in some fashion. This is
politically sensitive, the Ambassador noted, but they will
not operate well if current practices continue. Kengo
stated, "I am in 100 per cent agreement." The state is not a
good manager, he said, and should retain no more than a 20-25
per cent maximum share in the companies, receive its
dividends and refrain from interfering in operations.


7. (C) Regarding the budget, Kengo said "I don't see the
five pillars" promised in Kabila's campaign in the law passed
by parliament during the special session. He noted however
that the electricity and water parastatals had received
direct World Bank funding of $300 million and $150 million
respectively. He cited points of disagreement in the Senate
with the National Assembly's numbers, but conceded the lower
house would have the last word. He characterized the

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Assembly's budget's projection of receipts as "hypothetical."


8. (C) The Ambassador cited the risks of overspending in its
effect on the economy as well as on prospects for a new IMF
agreement. Kengo said he had recently received a positive
report from the central bank governor, indicating a rough
match between spending and income, and stable rates of
exchange and inflation. He noted, however, that reserves are
not satisfactory, currently totalling $100 million and good
for only three weeks of imports.


9. (C) The Ambassador inquired about the status of MLC
leader Senator Jean-Pierre Bemba. Kengo said that Bemba's
authorized leave of absence from the Senate expires July 31.
He added he thought Bemba should return to the Congo so that
he can "be better controlled." In subsequent conversation,
however, Kengo did not appear to feel the issue needed to be
rushed. The Ambassador noted that Bemba had written many
foreign ministers, including the Secretary, underscoring his
commitment to democratic practices. Kengo said Congolese
officials had not received similar letters. Kengo noted that
EU Commissioner Louis Michel on a recent visit had evoked the
possibility of Bemba seeking support from leaders in Libya,
Uganda and the Central African Republic, or even renegade
FARDC General Laurent Nkunda The Ambassador expressed doubt
that any of these leaders would likely work with Bemba to
start a new military conflict; Kengo concurred.


10. (C) Kengo noted Bemba's just-published interview in
Jeune Afrique magazine, in which he denied responsibility for
the March fighting between MLC troops and government forces.
Kengo argued against putting Bemba on trial for treason,
citing the recently-concluded acquittal of Bemba ally
Marie-Therese Nlandu on similar charges. Such a trial, he
said, would merely increase Bemba's visibility. Kengo said
there is nothing in process to lift Bemba's parliamentary
immunity from prosecution. He added that the government
prosecutor's request to lift immunity had been addressed to
the previous, interim Senate president, who in fact lacked
authority for such an action. He (Kengo) has received
nothing, and therefore does not consider there to be an
active request pending. In any event, he has no intention of
seeking Senate action itself. Kengo added, however that
Kabila remains strongly opposed Bemba's return.


11. (C) The Ambassador raised the issue of heightened
tensions in eastern Congo. He conveyed the USG's continuing
interest and involvement in the peace process, citing in
particular our role supporting the work of the Tripartite
Plus Commission. He expressed strong opposition to any kind
of military solution. Kengo agreed. "It would make things
worse," he said. He said the current military buildup could
cause neighboring countries to do the same. He agreed that
tensions are increasing, even among the troops.


12. (C) The Ambassador noted that the U.S. is encouraging
dialogue among the various communities who live in the
region. He stressed the importance of political actions that
will reassure all that their rights will be respected. He
emphasized that the issues call for engagement at all levels
of Congolese politics to attempt to calm the situation.
Kengo said that the Senate would be sending a mission to the
region at the end of this week, and will consider its report
at its fall session.


13. (C) Kengo noted that he would be participating later in
the day in an "inter-institutional" meeting with President
Kabila, Prime Minister Gizenga, the National Assembly
President and the head of the Supreme Court (reftel). He
expected the Kivu issue, as well as other subjects previously
discussed, would be covered at the inter-institutional
meeting, and Kengo said he intended to strongly favor
political means to resolve the current tensions. Kengo
closed by noting that the September parliamentary session
will also have to confront pressure from untenable salary
promises made to public-sector employees under the so-called
Mbudi Agreement concluded by the Transitional Government.


14. (C) Comment. Kengo, officially an independent, in fact
represents opposition to the Kabila government.
Nevertheless, he has done a credible job in reaching out to
both government and opposition senators in his leadership of
an executive committee almost evenly divided between the two
camps. His leadership will be tested by any number of
contentious issues on the fall agenda. While he is coy about
his political ambitions, Kengo is widely believed to have the

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2011 presidential elections in his sights. His ability to
hold together a working consensus in the Senate and develop
its institutional weight, particularly in relation to the
Presidency and the Assembly, will be essential to bolster his
position. End comment.

MEECE