Mauritania Exceeds Development Funding Target at Paris

UNCLAS NOUAKCHOTT 001010 SIPDIS SIPDIS DEPARTMENT PLEASE PASS TO USAID E.O. 12958: N/A TAGS: EAID PREL PHUM KMCA MR SUBJECT: Mauritania Exceeds Development Funding Target at Paris Consultative Group ¶1. The Government of Mauritania, with support from the World Bank, the European Commission and the UN Development Program, convened the fifth Consultative Group (CG) meeting in Paris December 4 and 5. Some three dozen bilateral and multilateral partners reviewed Mauritania's national development strategies and priorities and, most importantly for the GOM, made commitments for development assistance for the period 2008 - 2010. The U.S. delegation was led by USAID Acting Deputy Assistant Administrator Wade Warren who was joined by Ambassador Mark Boulware. ¶2. Faced not just with serious development challenges but significant domestic political pressure and popular expectations of a "democracy dividend," the GIRM laid out a relatively ambitious and comprehensive Public Investment Program (PIP). The PIP is designed to advance progress in six priority areas: preserving and protecting the environment, accelerating economic growth, improving governance and institutional capacity, poverty reduction, developing human resources and providing access to services, and strengthening oversight, monitoring and evaluation. The PIP identified some 140 discrete projects in support of these goals with a total estimated cost of USD 3.2 billion. Of that amount the GIRM had identified USD 1.6 billion in internal and external resources that it could devote to the PIP, leaving an additional USD 1.6 billion shortfall for which it hoped to obtain donor pledges at the CG. ¶3. The GIRM's presentations on its development strategies and priorities were very professional and well received by donors. Indicative of its determination not to shrink from even the most sensitive questions, the presentations included the GIRM's plans to deal with the vestiges of slavery and the return of Mauritanian refugees from Senegal and Mali. Unusual for such a meeting, Kevin Bales, the President of US NGO Free the Slaves, was invited to speak on essential elements of programs to eliminate slavery. ¶4. Donor delegations were unanimous in praise for the GIRM's recent political progress, its open and collaborative approach and the high technical quality of the presentations. There was very little criticism of the GIRM's development efforts and future plans although several representatives urged that even more be done to strengthen health and education programs and to sharpen the focus on women and children. Bilateral and multilateral donors responded generously to Mauritania's appeal for additional commitments with total pledges amounting to USD 2.1 billion, nearly half a million more than the original goal. ¶5. Saudi Arabia, France, Kuwait and Spain topped the bilateral donor's list with respective contributions of 201.2, 143, 136 and 117.6 million USD. The biggest multilateral pledges were from the Islamic Development Bank and the Arab Fund for Economic and Social Development (both at $300 million),the World Bank ($263 million), the European Union ($255.44 million) and the United Nations at ($184.40 million). ¶6. Several delegations, including the U.S., noted that they were not in a position to make specific commitments at the CG, but lauded Mauritania's political progress and assured it of continuing support. Speaking for the USG, A/DAA Warren celebrated the GIRM's achievements in advancing democracy, human rights and good governance, highlighted various aspects of our current USD 30 million in assistance programs, announced that USAID would establish a contracted position at the embassy in Nouakchott in January 2008 and noted that the Millennium Challenge Corporation (MCC) would be making a decision on Mauritania's eligibility for MCC threshold status on December 12. ¶7. In a meeting with the U.S. delegation on the margin of the CG, Prime Minister Zeine Ould Zeidane reaffirmed his government's commitment to continue working with the U.S. on security issues and to make real progress on democracy, governance and human rights issues. Expressing appreciation for current USG support, he also noted the strong pressures on the GIRM to deliver on the democracy dividend. A/DAA Warren reiterated the USG's determination to continue working with Mauritania on our common goals, citing USAID's decision to establish a new position in Nouakchott and the pending decision on MCC threshold eligibility. ¶8. Comment: The Mauritanian delegation was very pleased with the donor response and almost visibly relieved that the GIRM would be able to claim success when they returned from Paris. Although the funding covers a three year period and technical details remain to be worked out with the various donors, the level of commitment augurs well for Mauritania's development programs in the mid-term. Local commentators have noted the very strong Arab contributions to Mauritania with some suggestions this might soften the need for the GIRM to remain tied to democracy and equality priorities - although the Government has done nothing to indicate less than full commitment. Multiple short term challenges remain, however, and the good news from Paris will not long satisfy those looking for immediate improvement in their daily lives. BOULWARE