AZERBAIJANIS SEEK REPEAL OF SECTION 907 IN

C O N F I D E N T I A L BAKU 000251 SIPDIS SIPDIS DEPT FOR EUR/CARC E.O. 12958: DECL: 02/26/2018 TAGS: PREL PGOV PBTS ENRG ECON KPAO AJ SUBJECT: AZERBAIJANIS SEEK REPEAL OF SECTION 907 IN RECOGNITION OF GROWING U.S. PARTNERSHIP Classified By: Ambassador Anne E. Derse per 1.4 (b,d). ¶1. (C) Summary: In separate February 20 meetings, the AmCham Board of Directors, Deputy Foreign Minister Pashayev and a group of reform-minded MPS told Senator Brownback (R-KS) that Azerbaijan sought to deepen its ties with the United States. In recognition of Azerbaijan's growing partnership with the United States, these public and private sector officials said the GOAJ would appreciate new signs of support from the United States, including: repeal of Section 907 of the Freedom Support Act, repeal of Jackson-Vanik trade restrictions, an increased U.S. commercial presence in Azerbaijan, and continued U.S. political engagement to promote a new Trans-Caspian pipeline. In well-received and well-covered public remarks to the Azerbaijan Diplomatic Academy, Senator Brownback said the time had come for a follow-up Silk Road Strategy Act and for Azerbaijan and the United States to expand and deepen their political, military, economic and commercial relations. Senator Brownback also briefed DFM Pashayev on his discussion with President Aliyev (septel),in which he urged Aliyev - together with King Abdullah of Jordan - to make the case for a "grand bargain" in which the U.S. and Azerbaijan would expand and deepen their bilateral relationship. End summary. AmCham Overview of Business Climate -------------- ¶2. (SBU) The American Chamber of Commerce's Board of Directors provided an overview of Azerbaijan's business climate, noting that while Azerbaijan is experiencing rapid economic growth, problems remain. The Board cited education reform - particularly in higher education - and anti-corruption measures as areas that required further attention from the GOAJ. The Board cited the Azerbaijani MFA's new Diplomatic Academy as an example of positive changes in the education sector that should be replicated elsewhere, adding that further ties to U.S. educational institutions would be helpful. The Board said the GOAJ was eager to deepen and strengthen ties with the United States, identifying permanent repeal of Section 907 of the Freedom Support Act, an increased U.S. commercial presence, and continued U.S. political engagement to promote a new Transcaspian pipeline as tangible signs of support the GOAJ would appreciate. MFA: Making the Case for a "Grand Bargain" -------------- ¶3. (C) Senator Brownback met briefly with Deputy Foreign Minister (and former Azerbaijani Ambassador to the U.S.) Hafiz Pashayev before making remarks to about 200 assembled officials and students at the Azerbaijan Diplomatic Academy. The Senator summarized his meetings with President Aliyev and urged Pashayev to reinforce his suggestion that the President visit Capitol Hill - together with King Abdullah of Jordan - to make the case for a "grand bargain" in which the U.S. and Azerbaijan would dramatically expand and deepen their bilateral relationship. The Senator also solicited Pashayev's advice with regard to the ongoing standoff with Iran over its nuclear program. Pashayev strongly recommended against any U.S. military action (which he indicated could negatively impact Azerbaijan) and said that he believes that domestic discontent in Iran is building and will ultimately topple the current regime. Pashayev also used part of the meeting to outline his efforts as the Director of the Azerbaijan Diplomatic Academy. ¶4. (SBU) Following DFM Pashayev's introduction, Senator Brownback gave brief remarks to a packed auditorium of Azerbaijan Diplomatic Academy students, MFA officials, parliamentarians, assembled students from several local universities, and local media. The Senator, widely known in Azerbaijan as a long-time supporter of Azerbaijan in the U.S. Congress, said that the time has come for a follow-up Silk Road Strategy Act and for Azerbaijan and the United States to expand and deepen their political, military, economic and commercial relations. The Senator announced that he had invited President Aliyev to visit Washington to meet with members of the U.S. Congress. In response to questions, the Senator reaffirmed the U.S. position that the PKK is a terrorist organization and argued that Kosovo could not be used as a precedent for Nagorno Karabakh. Following this event, Senator Brownback gave short exclusive interviews to BBC, Radio Free Europe/Radio Liberty, and ANS Television. His appearance at the Academy was given wide, positive coverage by both the print and broadcast Azerbaijani media. MPs Urge More Support for Azerbaijan -------------- ¶5. (C) The Ambassador hosted a dinner for Senator Brownback with a group of Members of Parliament (MPs). Guests included ruling Yeni Azerbaijan Party MP and Chair of Parliament's International Relations Commission Samad Seyidov, independent but pro-government MP Gultakin Hajiyeva, independent MP Asim Mollazade, and opposition Musavat Party MP Nasib Nasibli. Referring to the Silk Road Strategy Act of 1999, which he authored, the Senator said that Azerbaijan was the gateway for the region, and that it was important "to keep the gate open." The MPs noted their appreciation for Senator Brownback's efforts, and thanked him for being "a friend of Azerbaijan." ¶6. (C) Mollazade noted Azerbaijan's difficult geo-strategic position, and said that Iran "hates" Azerbaijan because it promotes human, democratic values. Hajiyeva expressed concern over the treatment of ethnic Azeris living in Iran, saying that they are deprived of their personal, property, and cultural rights. Nasibli, who was formerly Azerbaijan's Ambassador to Iran, noted that Azerbaijan still has a chance to be a model of a strong, secular democracy in the region, but said he was feeling pessimistic because "we've lost time" in terms of making important decisions on how to spend the oil revenue. Nasibli compared the current situation in Azerbaijan to that in Iran in the 1960s and 1970s, mostly because of the rapid influx of wealth, and noted that the Shah's biggest mistake was his social policies. Seyidov said he could understand Iran's "jealousy" of Azerbaijan, but worried that if Azerbaijan failed in its quest to democratize, "we will be feeding others." According to Seyidov, Russia and Iran were trying to "sandwich" Azerbaijan to accomplish their own aims. "We have to be careful with our neighbors," he said. Mollazade said that in addition to false democracy promotion, Russia was trying to foster the growth of political Islam in Azerbaijan by supportig radical Wahabbist groups. "It's a pity that tere is a lack of understanding about this in theU.S.," he said; "Their (Russia's) goal is not supporting an ideology, it's supporting destabilization." Although the government was responsible for some human rights violations, Mollazade said that Russia also knew such violations would provoke friction between Azerbaijan and the West. ¶7. (C) The Senator shared his belief that economic development leads to democratic development; "after there is food on the table, people can think of higher goals," he said. He emphasized that the USG believes that every human being is entitled to basic human rights and freedoms. Hajiyeva said there were difficulties in the GOAJ's reform process, listing as example the GOAJ's commitment to conform to the Council of Europe Bologna education system which, according to Hajiyeva, would require the GOAJ to lay off half of the country's teachers to conform to the system. "Can you imagine the social difficulties?" she asked. Seyidov said there were security factors to consider, claiming that Azerbaijan could not move forward with democracy without first achieving stability and "strong power." ¶8. (C) Mollazade emphasized the need for U.S. support to protect democratic values in Azerbaijan, urging the Senator to consider U.S. national interests when it comes to the region. He complained that Congress had blocked U.S. funding for the Baku-Tbilisi-Kars railway project under the pressure of the U.S. Armenian lobby. Seyidov and Hajiyeva echoed the need for support from the U.S. for Azerbaijan's security, saying bluntly that more obvious signs of support would allow the GOAJ to take greater steps towards democracy. Hajiyeva noted three specific steps the U.S. could take to demonstrate support: 1) ceasing the provision of direct financial support to Nagorno Karabakh (which the Ambassador noted was strictly humanitarian); 2) revoking Section 907 of the Freedom Support Act; and 3) repealing the Jackson-Vanik amendment trade restrictions on Azerbaijan. "My nation's strategic choice is the West, but we need a sincere approach, sincere support from our friends," she concluded. Senator Brownback noted that he had encouraged President Aliyev to team up with Jordan's King Abdullah to try to seek greater support for and understanding of Azerbaijan on Capitol Hill. Comment -------------- ¶9. (SBU) Senator Brownback is very well regarded in Azerbaijan for his role as a champion of broader engagement with the United States. Azerbaijani interlocutors welcomed the opportunity to exchange ideas on new directions for the bilateral relationship, with representatives from across the political spectrum emphasizing the importance Azerbaijan attaches to permanent repeal of Section 907 of the Freedom Support Act. Senator Brownback's visit received extensive, overwhelmingly positive media coverage. ¶10. (U) Senator Brownback cleared this message. DERSE