TURKEY: KUWAITI AMIR'S VISIT FOCUSES ON

C O N F I D E N T I A L SECTION 01 OF 02 ANKARA 000660 SIPDIS SIPDIS E.O. 12958: DECL: 04/02/2018 TAGS: PREL ECON KU TU SUBJECT: TURKEY: KUWAITI AMIR'S VISIT FOCUSES ON INVESTMENT, TRADE Classified By: PolCouns Janice G. Weiner for reasons 1.4 (b) and (d) ¶1. (C) Summary and Comment: During his March 29-April 5 visit, Kuwaiti Amir Sabah met with President Gul and PM Erdogan in Ankara before traveling to Istanbul for a Turkey-Kuwait Business Forum meeting and recreation. In private sessions with Gul and Erdogan, the Amir discussed regional issues including the upcoming Iraq Neighbors Conference; the Amir invited the Gulf Cooperation Council and its member countries to attend. The Amir plans to stop in Riyadh on his way home to brief Saudi King Abdullah on the Damascus Arab League meeting. Although President Gul's warm reception of the Arab leader raised some secular eyebrows, the bilateral relationship appears to be less about ideology and more about attracting Gulf investment. End Summary and Comment. ¶2. (C) In the highest level visit between the Turkey and Kuwait in over a decade, Kuwaiti Amir Sabah al-Ahmad al-Jabir al-Sabah and his delegation totaling 129, including 22 high-raking GOK officials, visited Ankara, March 29-April 5. Kuwaiti DCM Diyab al-Reshadi told us Amir Sabah was very pleased with the visit, especially the warm hospitality shown by President Gul, who broke with protocol and to greet him personally at the airport. Al-Reshadi reported the purpose of the visit was to enhance the bilateral relationship and boost economic ties. ¶3. (C) MFA Arabian Peninsula desk officer Ceyhun Erciyes noted that the GOT has been trying to improve relations with Kuwait for the last five years, as is reflected in increased Kuwaiti foreign direct investment into Turkey, especially in the banking and finance sectors. (The M H Al-Shaya Company's ownership of the entire Starbucks franchise is a more visible example of Kuwaiti penetration into the Turkish market.) In addition, Erciyes confirmed, the GOT invited Kuwait to invest in the construction of a new oil refinery and crude storage facilities. ¶4. (C) In private meetings with President Gul and PM Erdogan, Amir Sabah discussed Iraq, Iran, Lebanon, and the Middle East peace process, reported Erciyes. The Turkish leaders provided a detailed briefing on GOT intentions to open a consulate in Basra, Iraq and invest in an adjoining qualified industrial zone (QIZ). Erciyes noted the two countries share common views on almost every issue, alluding to the fact that Kuwait, like most Gulf countries, sees Iran as a more imminent threat than do some Turks. Erciyes told us the GOT offered its assistance with the upcoming Iraq Neighbors Conference meeting in Kuwait City. The Amir conveyed the GOK also invited Gulf Cooperation Council (GCC) and member countries to attend. Erciyes added GCC Secretary General Abdul Rahman ibn Hamad al-Attiyah is expected to visit Ankara the week of April 7 to discuss a free trade agreement. ¶5. (C) During the visit, the two governments signed a joint declaration and eight agreements. The joint declaration calls on both countries to increase consultations and cooperation on regional issues of common interest including the fight against terrorism and organized crime. Reflecting the focus of the trip, six of the eight agreements covered economic related issues such as manpower, trade, and the environment. Contrary to press reports, Erciyes noted the GOT and GOK have yet to conclude negotiations on a military framework agreement which would allow for joint training and officer exchanges. (Comment: The GOT has signed similar agreements with many other nations as part of its enhanced engagement policy. The language is standard boilerplate, extremely general, and, especially in the case of counterterrorism, unoperationalized. End Comment.) ¶6. (C) In addition to his Ankara meetings, the Amir attended the Turkey-Kuwait Business Forum meeting in Istanbul and spent some time at his house in Bodrum, April 2-5. Al-Reshadi told us that on his way home to Kuwait, the Amir will stop in Riyadh to provide a briefing on the Arab League Summit in Damascus to Saudi King Abdullah, who boycotted the event. ¶7. (C) The Amir's visit raised lingering questions about President Gul's affinity for the Gulf. Gul's choice to meet ANKARA 00000660 002 OF 002 the Kuwaiti leader at the airport and impromptu decision to host a lunch in his honor in Istanbul drew swift criticism from the secular press, which questioned whether full head of state honors existed only for Arabs. (Since assuming the presidency in August 2008, Gul had only previously extended similar greetings to Saudi King Abdullah.) A secularist himself, Erciyes said the visit has to be viewed in a broader prism than Gul's personal agenda. Relations with the Gulf are largely a function of Turkish economic maturation and the search for international investors. Turkey's growing influence in the Middle East, added Erciyes, only makes the bilateral relationship more logical. Visit Ankara's Classified Web Site at http://www.intelink.sgov.gov/wiki/Portal:Turk ey WILSON