U.S., CHILE AGREE TO COORDINATE CLOSELY ON 2009

C O N F I D E N T I A L SANTIAGO 000671 SIPDIS E.O. 12958: DECL: 07/10/2018 TAGS: IO PGOV PREL CI SUBJECT: U.S., CHILE AGREE TO COORDINATE CLOSELY ON 2009 SUMMIT OF AMERICAS; EXCHANGE VIEWS ON REGIONAL DEVELOPMENTS REF: SANTIAGO 583 Classified By: E/Pol Counselor Juan A. Alsace, for reasons 1.4 (B) and (D). -------------- Summary -------------- ¶1. (C) Chile will support efforts to focus the 2009 Summit of the Americas on themes of energy security, environmental sustainability, and human prosperity and use its experience in multilateral fora to help further a positive outcome. USG National Summit Coordinator USOAS PermRep Ambassador Morales and his Chilean counterpart, Ambassador Lira, also exchanged views July 11 on mutual efforts to defuse tensions between Colombia and Ecuador, concerns about Cristina Fernandez Kirchner's longevity in Argentina, the stability of the Morales government in Bolivia, and the political orientation of the new Lugo government in Paraguay. Lira took on board Ambassador Morales' view that any attempt to include the Cuban regime at the 2009 Summit would run contrary to the 2001 Quebec Declaration and render problematic USG presidential participation in the Summit. End summary. ¶2. (U) USOAS Permanent Representative Ambassador Hector Morales met July 11 with Ambassador Juan Pablo Lira, the MFA's Director General (number three in the MFA and "P" equivalent) to discuss planning for the April 2009 Summit of the Americas, to be hosted by Trinidad and Tobago. Both Morales and Lira are their respective country's National Summit Coordinators. Lira was joined by Ambassador Eduardo Galvez, head of the MFA's Office for Multilateral Affairs; Ambassador Pedro Oyarce, Chile's OAS PermRep; and, Jose Miguel Gonzalez, Lira's Chief of Staff. Ambassador Morales was accompanied by Ambassador Simons and E/Pol Counselor. -------------- Chile: "We're Here to Help" -------------- ¶3. (C) Ambassador Morales opened by noting that Secretary Rice, in her March 2008 visit to Chile, had lauded Chile's commitment to social integration; hence, it was entirely appropriate that Chile host the first OAS ministerial on social development, in which Ambassador Morales had participated the day before. He was pleased to note as well that the USG had announced at the ministerial a donation of USD 200 thousand to further social development in Latin America. Morales said Chile has a history of playing a positive role in multilateral fora; he hoped Chile would use �00A;that experience to ensure a good outcome at the upcoming April 2009 Summit of the Americas in Trinidad and Tobago. Lira replied that "Chile sometimes feels a stranger in the region." While Chileans can be "very boring," they also manage to put words into action, "not a normal practice" in the region. Still as the GOC said at the June SIRG in Medellin, Chile plans to coordinate closely with Trinidad and Tobago to ensure success. The USG can also count on Chile to help develop Summit themes, outlined by Ambassador Morales as energy security, environmental sustainability, and human prosperity. Lira and Morales agreed as well that Trinidad and Tobago would need considerable logistical assistance in order to carry off the Summit. -------------- Correa Still Miffed -------------- ¶4. (C) Lira said that the ongoing dispute between Colombia and Ecuador concerned Chile. Morales agreed that while the countries have an ongoing dialogue at the vice-minister level, and military-to-military relations are "quite good," the failure to renew diplomatic relations is worrisome. He wondered how to resolve a "personality conflict" at the presidential level. OAS SecGen Insulza and the OAS are all working hard at it, and while some question the OAS's ability to manage the dispute, it is clear that only the OAS is capable of doing so. Lira noted that Chile has good relations with both governments and mused that Correa remains "psychologically offended," odd, in his view, since both Uribe and Chavez are once again talking. Lira added that Brazil's Lula was also concerned about the continuing Colombia-Ecuador rift. -------------- Cristina Still Stumbling -------------- ¶5. (C) Turning to Argentina, Lira observed that president Cristina Fernandez Kirchner's recent speeches had done little to alleviate internal domestic tensions. Chile is concerned about instability there. "We have significant investments in Argentina and," Lira noted, "we are seeing more Argentines moving into Chile." While these inflows are far from worrisome now, we are concerned about the long term stability of CFK's government. Morales noted that WHA A/S Shannon was currently in Buenos Aires, a clear sign we share Chile's concerns. Shannon would meet with CFK and seek various areas of cooperation designed to improve Argentine-U.S. relations as well as to hear from Kirchner regarding the GOA's plans to address Argentina's economic and domestic challenges. -------------- Evo Still the Man -------------- ¶6. (C) Responding to Ambassador Morales' query on the state of affairs in Bolivia, Lira referenced his previous conversation with Ambassador Simons on the subject (reftel), noting that Chile continued to view Evo Morales favorably, and his government as the "most stable one Chile has dealt with over the past 25 years." Chile is working Bolivia's "access to the sea" demands transparently, and "they know our limits." Chile wants the referendum planned for August to reach a "reasonable" result; one that recognizes the desire for some autonomy but that respects Bolivia's territorial integrity. Chileans have business interests in the altiplano and are preoccupied; they recognize that there is real inequality in the country and yet Bolivia "sits on riches." Chile has had several conversations with Brazil on the Bolivia question. Neither wants to appear as interfering in Bolivia's internal affairs but both do want to offer assistance. Morales said the USG supports Bolivia's territorial integrity but also promotes dialogue, including through the efforts of the Group of Friends, the Church, and the OAS. -------------- Lugo Still a Mystery -------------- ¶7. (C) Lira described the political situation in Paraguay as "fragile." Brazil and Argentina both want to be supportive of president-elect Lugo, as does Chile. Lugo had been planning a visit "next week" to Santiago with a group of his ministers-designate. However, we have just learned that his foreign minister-designate has resigned, suggesting there are continuing internal power struggles. Paraguay is a small country but strategically located. Morales agreed: "We all want to help and recognize the danger posed by a weak country in the tri-border area." Ambassador Simons added that Lugos' recent vist to Caracas was also of concern to the USG. -------------- Whither UNASUR -------------- ¶8. (C) Ambassador Simons queried Lira on the establishment of UNASUR, as well as Brazil's proposed South American Defense Council (SADC). Lira said UNASUR could bring the region "many surprises, not all of them bad." There will be six working groups (lead country in parens),charged with formulating action plans, in the areas of energy (Venezuela), infrastructure (Colombia),education (Peru),finance (Argentina),social development (Chile),and defense (not yet determined). While UNASUR's founding document has been signed, it still needs to be ratified by legislatures. Nine out of twelve countries will have to ratify before it comes into effect, "no easy thing." As to the SADC, it remains an undefined concept, with Brazilian motives behind it still unclear. -------------- No CUBA at the Summit -------------- ¶9. (C) The meeting concluded with Ambassador Morales noting that "some countries" may push for Cuba's participation in the 2009 Summit. The USG view is clear that the 2001 Quebec Declaration "democracy clause" requires that a country have in place functioning democratic institutions in order to have a presence at the Summit. CUBA does not qualify. Moreover, Cuba at the Summit, even as an observor, would make USG presidential-level participation at the Summit very unlikely. Lira replied that Chile adhered fully to the Quebec Declaration. ¶10. (U) Ambassador Morales has cleared this message. URBAN