Identifier
Created
Classification
Origin
08STOCKHOLM607
2008-09-04 15:06:00
CONFIDENTIAL
Embassy Stockholm
Cable title:  

SWEDEN ON GEORGIA IN ADVANCE OF THE SEPTEMBER 5-6

Tags:  PREL PGOV EU GG RU SW 
pdf how-to read a cable
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INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE PRIORITY
C O N F I D E N T I A L SECTION 01 OF 02 STOCKHOLM 000607 

SIPDIS

E.O. 12958: DECL: 09/04/2018
TAGS: PREL PGOV EU GG RU SW
SUBJECT: SWEDEN ON GEORGIA IN ADVANCE OF THE SEPTEMBER 5-6
GYMNICH

REF: A. STATE 93264

B. STOCKHOLM 587

Classified By: DCM ROBERT SILVERMAN FOR REASONS 1.4 (B & D)

C O N F I D E N T I A L SECTION 01 OF 02 STOCKHOLM 000607

SIPDIS

E.O. 12958: DECL: 09/04/2018
TAGS: PREL PGOV EU GG RU SW
SUBJECT: SWEDEN ON GEORGIA IN ADVANCE OF THE SEPTEMBER 5-6
GYMNICH

REF: A. STATE 93264

B. STOCKHOLM 587

Classified By: DCM ROBERT SILVERMAN FOR REASONS 1.4 (B & D)


1. (C) Summary: Swedish MFA Political Director Lyrvall told
us September 4 that Sweden will emphasize the "political
side" in upcoming donor conferences to highlight the need to
demonstrate solidarity with Georgia and restore investor
confidence. FM Bildt will work to "send a strong message" to
French President Sarkozy before his September 8 trip to
Moscow, including on visa liberalization for the Georgians
and the importance of deploying ESDP civilian observers. The
EU is also prepared to offer Georgia a "deep" FTA, he said.
Lyrvall asked us to check whether the USG would be willing to
explore what actions might be taken against individuals and
entities that do business in the breakaway regions of
Abkhazia and South Ossetia. End Summary.

Donors Conference and Rebuilding Georgia
--------------

2. (C) On September 4, DCM and POL Counselor raised reftel
talking points with Bjorn Lyrvall, Director General for
Political Affairs in the Swedish MFA. With regard to the
planned international donors conference for Georgia, Lyrvall
emphasized that the Swedes intend to "emphasize the political
side" ) the need to take steps that demonstrate solidarity
with the Georgians and reinforce investor confidence in the
country, in addition to aid pledges.


3. (C) He stated that the European Commission assesses
civilian damages in Georgia to be "significantly lower" than
what the Georgians claim, and that EC experts estimate it
would cost 110 million euros for immediate civilian
reconstruction in "Georgia proper," i.e., not including South
Ossetia and Abkhazia. (Note: He added that he does not like
the term "Georgia proper," but that it is in use in the EU
and that "some feel we must face reality." Others are
beginning to use the term "interior Georgia" which seems more
neutral to us. End note.) He stated that rebuilding the
military is not something that will "go through" because
there is "no support." Asked whether non-lethal support
might be a possibility, Lyrvall mused that there may be "some

opportunities" but that there exists "strong EU regulations"
on such assistance. Lyrvall stressed growing EU support for
a "deep" free trade agreement with Georgia, though the
Georgians do not seem interested in this, he said.

EU Council and Gymnich
--------------

4. (C) Lyrvall raised the September 1 extraordinary European
Council meeting on Georgia, noting that Foreign Minister Carl
Bildt had pushed for a tougher line but "we did not get
everything we wanted.8 Stating that the "end result could
have been tougher," Lyrvall noted that "at least the EU took
a united position." He said Sweden had pushed for language
calling for the Russians to withdraw to the positions they
held prior to August 7, which he termed "better than the
language of the six point plan." Lyrvall also highlighted
the suspension of negotiations on the EU-Russia Partnership
Agreement, though he repeated his earlier comments that the
Russians did not seem too interested in the talks anyway. He
said in the upcoming Gymnich, Carl Bildt will try to get
other foreign ministers to unite over a "strong message" to
Sarkozy before he leaves for Moscow on September 8, and
specifically to press for a &clear working out" of the
modalities of the "special mechanism."

Visa Liberalization for Georgians
--------------

5. (C) Lyrvall said support for relaxing EU visa regulations
for Georgians is "much stronger and broader now." He noted
the paradox of Russian passport holders in the enclaves of
Abkhazia and South Ossetia now enjoying liberalized visa
regimes while Georgian passport holders do not. Asked
whether the EU had considered Sweden's proposal to restrict
visa free travel for Russian elites (ref B),Lyrvall noted
there was "little appetite for sanctions right now," - see
FATF below.

ESDP Observers
--------------

6. (C) On the question of ESDP civilian observers for
Georgia, Lyrvall stated that Sweden would like to see a
200-person monitoring force deployed. "Planning is ongoing,
but at least one country is reluctant to send observers
without prior coordination with Moscow," he added. Asked to
specify, he stated that Cyprus remains reluctant, though he
was unsure whether Cyprus would hold this position to the end.

FATF

STOCKHOLM 00000607 002 OF 002


--------------

7. (C) Lyrvall stated that Sweden is interested in exploring
possible actions that the EU might be able to take against
Russian individuals and entities doing business in the
break-away regions. He specifically asked about the
possibility of taking action against Russian banks through
FATF. Lyrvall commented that simply asking the EC to look at
the issue should be sufficient to "give pause to
international bankers." He stated, however, that any such
action would be "impossible unless the U.S. engages also."

Nordstream
--------------

8. (C) Asked about commentary in the Swedish press that
Baltic littoral nations might withhold environmental
approvals for the proposed Nordstream pipeline, Lyrvall
acknowledged public debate on the issue but said there was no
discussion yet along these lines within the government.
Rather, as long as the Russians file the right applications,
Swedish authorities would plan to "go by the book." Until
now, "the thinking has been to try to keep this
de-politicized," he said, but admitted that "latest
developments have changed the tone in EU thinking." The
language about energy diversification in the September 1 EU
Presidency Conclusions reflected this, Lyrvall added.
WOOD