BILDT ON POST-ANNAPOLIS PROCESS

C O N F I D E N T I A L STOCKHOLM 001454

SIPDIS

SIPDIS

E.O. 12958: DECL: 12/12/2017
TAGS: PREL PGOV IS IR KPAL
SUBJECT: BILDT ON POST-ANNAPOLIS PROCESS


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

Summary
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1. (C) In a December 11 meeting with the Ambassador, Foreign
Minister Bildt said:

-- Annapolis went better than Europeans expected. America
had an opportunity but faced suspicion in taking on the role
of honest broker.

-- The regional context to the Palestinian/Israeli conflict
affected the options. Syrian Deputy Foreign Minister Mekdad,
who sat next to Bildt at Annapolis, was more flexible in
private than in his public interventions.

-- The Annapolis process should be limited to follow-on
meetings in Paris, Moscow, with a return to Annapolis by fall

2008. End Summary.


2. (C) Foreign Minister Bildt told the Ambassador December
11 that the general European view was that the Annapolis
conference went better than expected. Secretary Rice's
speech had been a highlight; her personal focus on exclusion
in her childhood had deeply affected Palestinian and other
Muslim representatives. Bildt said the U.S. was now called
upon to be an honest broker. Bildt said he had been at the
IISS Regional Security Summit in Bahrain, and there was
suspicion about whether the U.S. could effectively take the
honest broker role.


3. (C) Bildt said part of the failure of the Camp David
process in the year 2000 was the lack of Middle Eastern
regime support. This demonstrated that the solution must be
broader and more inclusive than the Israeli-Palestinian core.
Syria could be a spoiler. Bildt said had he been seated
next to Syria's Deputy Foreign Minister Faysal Mekdad at
Annapolis events. Bildt noted although Mekdad's formal
speech had been hard-line, his off-line conversation was
different. In private conversation with Bildt, Mekdad had
been nuanced about Hamas and had "practically accepted" the
two-state solution, based on the 1967 borders, with
adjustments.


4. (C) Bildt said is was clear at the Bahrain gathering that
the shadow of Iran also affected the Palestinian/Israeli
solution. A peace deal with the Palestinians reduced the
margins for Iran, and vice-versa.


5. (C) Bildt said that although several countries had
volunteered to host post-Annapolis, making the offers as part
of a "beauty contest," in his view only Paris and Moscow
would be useful. Then the venue should return to Annapolis,
by summer or fall of 2008.


6. (C) Comment: Sweden appears to be gearing up with plans
for substantial new aid to the Palestinians. Bildt told the
Ambassador that Sweden was the largest European donor to the
Palestinians. He said he was meeting with Development
Assistance Minister Gunilla Carlsson and a group of MFA and
Swedish International Development Agency officials
immediately following the Ambassador's meeting to discuss
assistance to the Palestinians. MFA officials have told us
that Sweden's assistance to the Palestians, totalling 107
million USD in 2007, will be substantially increased in 2008.
Separately, Justice Ministry DG Nils Oberg told the DCM that
the Justice Ministry is seeking aid funds to restart rule of
law training for the Palestinians, and Palestinian Security
Police training. Both programs had been active in the
1990's, but had been suspended by the 2000 intifada.
WOOD