Identifier
Created
Classification
Origin
08HILLAH5
2008-01-11 15:08:00
SECRET
REO Hillah
Cable title:  

NAJAF GOVERNOR ON OUTREACH, BANKING, AIRPORT, IRANIAN

Tags:  PGOV PREL ECON VT IZ 
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VZCZCXRO9958
PP RUEHBC RUEHDE RUEHKUK
DE RUEHIHL #0005/01 0111508
ZNY SSSSS ZZH
P 111508Z JAN 08
FM REO HILLAH
TO RUEHGB/AMEMBASSY BAGHDAD PRIORITY 0886
RUEHC/SECSTATE WASHDC PRIORITY 1019
INFO RUCNRAQ/IRAQ COLLECTIVE
RUEHIHL/REO HILLAH 1083
S E C R E T SECTION 01 OF 02 HILLAH 000005 

SIPDIS

SIPDIS

E.O. 12958: DECL: 1/11/2018
TAGS: PGOV PREL ECON VT IZ
SUBJECT: NAJAF GOVERNOR ON OUTREACH, BANKING, AIRPORT, IRANIAN
INFLUENCE

REF: HILLAH 2

HILLAH 00000005 001.2 OF 002


CLASSIFIED BY: Angus Simmons, Team Leader, PRT Najaf, DOS.
REASON: 1.4 (b),(d)



S E C R E T SECTION 01 OF 02 HILLAH 000005

SIPDIS

SIPDIS

E.O. 12958: DECL: 1/11/2018
TAGS: PGOV PREL ECON VT IZ
SUBJECT: NAJAF GOVERNOR ON OUTREACH, BANKING, AIRPORT, IRANIAN
INFLUENCE

REF: HILLAH 2

HILLAH 00000005 001.2 OF 002


CLASSIFIED BY: Angus Simmons, Team Leader, PRT Najaf, DOS.
REASON: 1.4 (b),(d)




1. (U) This is a PRT Najaf cable.


2. (S) SUMMARY: In a January 8 meeting with Najaf PRT Team
Leader, the Governor Najaf outlined provincial diplomatic and
economic activities. The Governor also described ongoing
efforts to improve the banking sector in Najaf, and he
reiterated his vision of the way forward for the Najaf Airport
Project (NAP). The Governor raised the concern that an
anti-Iranian militia (MEK) might be carrying out illegal
activities in Najaf, and quoted Ayatollah Ali al-Sistani's
opposition to Iranian interference in the internal affairs of
Najaf and Iraq in general. END SUMMARY.


3. (C) In a January 8 meeting at the Regional Embassy Office
(REO) in Hillah, Najaf Governor Asaad Sultaan Abu Gelal al-Ta'ie
Islamic Supreme Council of Iraq (ISCI) informed Najaf PRT Team
Leader and PRTOffs about recent and ongoing provincial
diplomatic and economic efforts. Invited by the Iraqi
Ambassador in Italy to join a diplomatic group visiting the
Vatican during a recent trip to Italy, al-Ta'ie attended mass at
the Vatican with the delegation on December 24 and 25, 2007 and
met Pope Benedict, at which time the Governor proposed holding a
conference of religious scholars to address contemporary issues
in Iraq, and invited the pontiff to visit Najaf. Al-Ta'ie
explained that that Najaf has ties to the Vatican; one Vatican
Bishop is originally from Najaf, and Najaf resident Ayatollah
al-Sistani personally congratulated Pope Benedict when the
pontiff was chosen to be Pope. When asked if outreach to the
Vatican would pose problems in religiously conservative Najaf,
the Governor said that his policy is to reach out to all
countries and peoples with complete transparency to benefit the
people of Najaf.


4. (SBU) Al-Ta'ie explained that the Najaf Governorate has a
Foreign Affairs Office, headed by an Iraqi-American, which
promotes diplomatic outreach throughout the world. For example,

the Najaf Governorate officially condemned the recent
assassination of Benazir Bhutto and sent a letter of condolence
to the Pakistan government. Al-Ta'ie also cited upcoming
economic engagements with U.S. parties, including a medical
delegation led by an Iraqi-American heart surgeon coming to
Najaf in mid-January to meet with provincial health officials,
and an impending meeting with a visiting American owner of a
small, Michigan-based airport construction company.


5. (SBU) Turning to banking, the Governor related the outcome of
a January 7, 2008 meeting in Najaf with bank managers from
throughout the south central region and the General Manager of
Rafidain Bank from Baghdad. The objective of the meeting was to
strengthen the relationship between the government, Rafidain
Bank, and local merchants, and to increase the availability of
local credit. Meeting participants agreed to increase the value
of letters of credit, create a special category of low-interest
loans for recent university graduates, better equip local banks,
open more rural branch offices, dedicate two days per week to
local community outreach, and increase efforts to send branch
managers outside of Iraq for training on electronic funds
transfer, ATMs, and online banking. The Governor reaffirmed
that he was arranging a meeting between PRTOff and
representatives of the Najaf banking sector (reftel). (Note:
Stating that USD 1 million to USD 1.5 million is exchanged every
day in Najaf, the Governor said that the Chair of the Central
Bank in Najaf is advocating for the establishment of a Najaf
Stock Exchange. End Note.)


6. (SBU) Concerning the Najaf Airport Project (NAP),the
Governor repeated his desire that the USG select the companies
that will provide the design and construction management, and
the airport security (reftel). Al-Ta'ie further suggested that
the USG administer the airport for the first year of operation,
bringing in Arabic speakers from Lebanon if necessary. The
Najafis would then take control of the airport in the second
year of operation. The Governor responded favorably to the
suggestion that USAID implementing partner CHF may be able to
provide technical training on airport operations, and he
encouraged PRT USAID Representative to arrange a meeting with
CHF representatives. (Note: In a further sign of Najaf
confidence in the USG, the Governor requested that the U.S. Army
Corps of Engineers oversee the construction of projects - not
airport related -- financed by the Development Fund for Iraq
(DFI). End Note.)


7. (S) Team Leader pulled the Governor aside for a private
conversation to answer concerns about USG support for
Mujahedi-e-Khalk (MEK) after he had heard a report about an

HILLAH 00000005 002.2 OF 002


alleged meeting of the group at a U.S. military base in Kut.
The Governor had expressed concern that the group might recruit
or carry out illegal activities in Najaf after seeing some kind
of handbills. The Governor said he would arrest any group
carrying out illegal activities. Team Leader said that he was
unaware of any such meeting in Kut and thought it was unlikely
because that the USG viewed MEK as a terrorist organization and
would oppose any acts against the GOI and the Najaf Provincial
Government. Team Leader noted that the USG had been obliged
under international law to protect the group after the fall of
Saddam until a decision had been made on their ultimate status,
but that the USG was not providing the group with any support..
Team Leader noted that if any members of the group were carrying
out illegal acts in Najaf, we would have no objection if the
Najaf Government arrested them. The Governor, who cited rumors
that the group was recruiting in Najaf, repeated his rejection
of foreign interference in the province, be it pro or
anti-Iranian. Adding that he would "not beat around the bush"
on the issue of opposition to Iranian interference, he noted
that Grand Ayatollah Ali al-Sistani himself had been very clear
on this point -- Iranian interference in Iraq's internal affairs
was unacceptable.


8. (C) COMMENT: The Governor's outreach to the Vatican and his
invitation for the Pope to visit Najaf is representative of his
visionary leadership and internationalist orientation. He is
eager to secure a vision of Najaf which is a city which has a
historical sense of itself as a tolerant, cosmopolitan, global
center of Shi'a learning. He is from one of Najaf's most
distinguished families and is undoubtedly close to the
Marja'iyya. We believe he is governing Najaf province in
accordance with the wishes of the public and consider his candor
and willingness to double-check rumors with us as indicators of
a healthy relationship with the PRT. He has been a steadfast
supporter of the PRT and its activities. END COMMENT
SIMMONS