POLISH FOREIGN MINISTER SUPPORTS IRAQI EFFORTS BUT

C O N F I D E N T I A L RIYADH 001036

SIPDIS

SIPDIS

E.O. 12958: DECL: 05/16/2017
TAGS: PGOV PREL EFIN ETRD SA
SUBJECT: POLISH FOREIGN MINISTER SUPPORTS IRAQI EFFORTS BUT
DEBT FORGIVENESS NOT AN OPTION

REF: SECSTATE 64773

Classified By: Ambassador Ford Fraker
for reasons 1.4 (b) and (d).


1. (C) Polish Foreign Minister Anna Fotyga met with the Saud
Minister of State for Foreign Affairs Dr. Nizar Madani,
Shoura Council Chairman Dr. Saleh bin Humaid, Deputy Minister
of Oil Prince Abdul Aziz bin Salman, and Deputy Minister of
Commerce Abdullah al Hammoudi during her May 9 visit to
Riyadh. The visit centered on a number of issues pertaining
to the bilateral relationship, as well as on regional issues
vis-a-vis the Gulf Cooperation Council (GCC).


2. (C) During the Foreign Minister's visit a memorandum of
understanding (MOU) on bilateral political consultations
between the Saudi and Polish foreign ministries was signed.
The objective of the MOU is to enhance economic trade between
the two countries. To this end, the Saudi Ministry of
Commerce and Industry plans to send a delegation of Ministry
officials to Poland later this year to explore trade with and
investment in the Polish market.


3. (C) Fotyga told the Ambassador at a May 9 reception that
Poland would not be able to forgive Iraqi debt because it
would put Poland outside the debt ratios allowed by member
states of the European Union (EU). (Note: This statement is
unclear and could be an excuse. End Note.) However, Fotyga
stated that Poland could still support the Iraq government
with troops and financial aid (reftel).


4. (C) Polish Ambassador Adam Kulach confirmed with PolOff
on May 16 that Poland could not provide debt relief to Iraq
at the moment; however, added that Poland has not abandoned
debt forgiveness altogether. He expressed his personal,
unofficial opinion that the Foreign Minister made the
statement to the Ambassador because: (1) there are legal
constraints preventing his government from providing debt
relief to Iraq due to EU commitments; and (2) Poland does not
want to unilaterally forgive Iraqi debt but would consider
pursuing it as a bilateral measure where Poland would gain
economic privileges in return for debt forgiveness.
Ambassador Kulach did not indicate a time frame for when
Poland would seek bilateral discussions on this issue;
however, he did emphasize that this information was for the
USG only and was not to be shared with other governments.


5. (C) Ambassador Kulach also said that King Abdullah will
attempt to visit Poland this year. Last year's planned visit
was canceled due to the Lebanon conflict.


6. (C) COMMENT: Ambassador Kulach clearly had a message to
share with the USG. PolOff was scheduled to meet with a
working level contact on this issue; however once at the
Embassy, he was met instead by Ambassador Kulach, who
delivered a thorough and seemingly prepared statement on the
Iraqi debt relief issue. END COMMENT.
FRAKER