Identifier
Created
Classification
Origin
09ANTANANARIVO779
2009-11-13 12:29:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Antananarivo
Cable title:
ANTANANARIVO POL/ECON WEEKLY UPDATE (13-NOV-2009)
how-toVZCZCXRO7218 RR RUEHBZ RUEHDU RUEHGI RUEHJO RUEHMA RUEHMR RUEHPA RUEHRN RUEHTRO DE RUEHAN #0779/01 3171229 ZNR UUUUU ZZH R 131229Z NOV 09 FM AMEMBASSY ANTANANARIVO TO RUEHC/SECSTATE WASHDC 3016 INFO RUEHZO/AFRICAN UNION COLLECTIVE RHMFISS/CDR USAFRICOM STUTTGART GE RUEAIIA/CIA WASHDC RUCPDOC/DEPT OF COMMERCE WASHDC RUEATRS/DEPT OF TREASURY WASHDC
UNCLAS SECTION 01 OF 03 ANTANANARIVO 000779
SENSITIVE
SIPDIS
DEPARTMENT FOR AF/E MARIA BEYZEROV
DOC FOR RTELCHIN
TREASURY FOR FBOYE
PARIS FOR WBAIN
LONDON FOR PLORD
E.O. 12958: N/A
TAGS: PGOV PREL ECON ECPS EINV MA
SUBJECT: ANTANANARIVO POL/ECON WEEKLY UPDATE (13-NOV-2009)
REF: 09 ANTANANARIVO 767
UNCLAS SECTION 01 OF 03 ANTANANARIVO 000779
SENSITIVE
SIPDIS
DEPARTMENT FOR AF/E MARIA BEYZEROV
DOC FOR RTELCHIN
TREASURY FOR FBOYE
PARIS FOR WBAIN
LONDON FOR PLORD
E.O. 12958: N/A
TAGS: PGOV PREL ECON ECPS EINV MA
SUBJECT: ANTANANARIVO POL/ECON WEEKLY UPDATE (13-NOV-2009)
REF: 09 ANTANANARIVO 767
1. (U) SUMMARY: This is U.S. Embassy Antananarivo's Weekly Update
for November 2-13, an unclassified review of major political,
economic, and commercial events and information from the U.S.
Mission to Madagascar and the Comoros.
POLITICS (Paragraphs 2-4)
- Transition Government: Still a Work in Progress
- Election Timeline
- French Ambassador Presents Credentials
ECONOMIC AND COMMERCIAL (Paragraphs 5-10)
- Macarthur Foundation Calls for Resumption of USAID Environment
Program
- High Speed Internet at Last
- Ambassador Speaks to Amcham
- Special Self-Help Projects Visit
- China-Madagascar Cooperation
- SADC Assistance in the Fishing Sector
COMOROS (Paragraphs 11-12)
- Fishermen on Strike
- Resumption of Direct Air Links with France
END SUMMARY
--------------
POLITICS
--------------
2. (SBU) TRANSITION GOVERNMENT: STILL A WORK IN PROGRESS: The four
political movements have made progress in implementing the Charter
of the Transition and the Addis Addendum (see ref A). Most of the
ministerial nominations have been determined, the president and
co-presidents held their first joint meeting, and Eugene Mangalaza
formally took over the position of Prime Minster on November 13.
Difficulties remain: several key ministries remain hotly contested,
and the presidential triumvirate is already finding cohabitation
difficult. The French and US ambassadors are calling together on
former President Zafy on November 13 to press him to agree today to
form a new government; he is, ironically (given his relative
political weight),proving the most difficult of the four leaders.
The looming pressure of EU aid and US trade (AGOA) remains a strong
motivating factor, however, and the international community remains
cautiously optimistic that the transition government will be
finalized shortly. The international community issued a joint
communiqu on November 13 applauding the progress to date but
encouraging the implement6ation of the Addis and Maputo agreements
as soon as possible.
3. (SBU) ELECTION TIMELINE: Following the first meeting of the
Transition Presidential Council, Co-President Fetison Rakoto
Andrianirina announced their decision to hold presidential elections
by June 26, 2010 in order to have a new president by the 50th
anniversary of the Malagasy Independence. The Addis Ababa addendum
to the Charter of the Transition stipulates that the National
Independent Electoral Commission is to be set up by the end of the
year, following a national conference to discuss changes to the
constitution (slated for early December). Transition officials plan
to hold the constitutional referendum in January, despite concerns
over the impact of cyclone season (January through April).
Presidential and legislative elections may be held as early as
April, perhaps simultaneously, followed by regional and municipal
elections later in the year. A more precise calendar will be
available following upcoming assessments by international election
experts.
4. (SBU) FRENCH AMBASSADOR PRESENTS CREDENTIALS: French Ambassador
Jean-Marc Chataigner presented his credentials to the HAT Minister
of Foreign Affairs on November 9, and Transition President Rajoelina
on November 10, without the presence of the two co-presidents.
Predictably, Rajoelina supporters called it the first step to
official international recognition of the Malagasy Transition (and,
logically, its president). Rajoelina's opponents, however, quickly
called it "concrete proof" that Rajoelina has been a French puppet
all along, and that France is pushing to advance its economic and
political interests in the country. Most ambassadors, including the
U.S. ambassador, are awaiting the formation of a new government
before starting calls on newly-named officials.
--------------
ANTANANARI 00000779 002 OF 003
ECONOMIC AND COMMERCIAL
--------------
5. (SBU) MACARTHUR FOUNDATION CALLS FOR RESUMPTION OF USAID
ENVIRONMENT PROGRAM: Newly-named MacArthur Foundation President Bob
Gallucci, on his first overseas trip in his new position, visited
Madagascar November 6-11. His focus was on MacArthur's many grants
over the past two decades to NGOs and other groups promoting
conservation in Madagascar. Over dinner hosted by the ambassador,
Gallucci indicated that he will write to the Obama administration
encouraging an immediate resumption of USAID's suspended environment
program. His visit included field visits to marine and land
conservation sites around the island.
6. (SBU) HIGH SPEED INTERNET AT LAST: The director of Orange
Madagascar told Emboff November 12 that Orange has already begun
providing high speed internet services in the coastal town of
Tamatave, where Madagascar's first undersea fiber optic cable "LION"
landed last June. LION, a USD 49.1 million investment by Orange
Madagascar, France Telecom, and Mauritius Telecom, connects
Madagascar to other Indian Ocean islands and on to Asia. Prices for
1 mbps internet connections in Tamatave have been reduced by about
70 percent. Despite contradictory information from the telecoms
regulator OMERT, the director claimed that Orange is authorized by
its license not only to provide cellular service, but also to
provide internet service to PCs, and that this has been confirmed by
the telecoms ministry. The company does not yet have the
authorization to sell capacity of its broadband network to other
operators, but argued that the legal snag could be remedied merely
by the passage of implementing decrees for the existing 2005
telecoms law. He explained that Orange has received assurances from
transition President Rajoelina that reforms would be made to
liberalize the sector. The company launched its broadband services
in Tana November 7, which it has already sold to the French Embassy,
but is unable to roll them out more widely until it is granted
additional frequencies from OMERT. Two other submarine fiber optic
cables are due to reach Madagascar by 2011 - the Orange line from
Mombasa to the North and the Telma line (EASSy) from South Africa to
the East.
7. (SBU) AMBASSADOR SPEAKS TO AMCHAM: The Ambassador spoke to a
group of around 50 members of the American Chamber of Commerce of
Madagascar November 12 about the current political situation. He
noted that the power-sharing agreement reached November 7 in Addis
Ababa was a breakthrough, but now it was important to see concrete
measures, including the installation of the transition cabinet and
formation of the independent electoral commission. In response to
questions, he explained that the primary function of the transition
government would be to organize elections, likely to be held in
seven months, and that Madagascar should look to SADC, of which it
is a member, for successful models of independent electoral
commissions. He clarified that the US plans to support the
electoral process, but will not fully engage with Madagascar until
there is an elected government in place. Many participants again
expressed concern about the possibility that Madagascar might lose
eligibility for African Growth and Opportunity Act (AGOA) trade
benefits.
8. (U) SPECIAL SELF-HELP PROJECTS VISIT: Emboff visit two
successfully completed Special Self-Help projects from FY 2008 on
the east coast of Madagascar last week. In Tamatave, Sanitec
received USD 7,000 to purchase a ball mill that produces ceramic
water filters. The filters will be sold at a subsidized price to
provide safe drinking water for 20,000 families in the surrounding
community. Association Mitsinjo in Mananara-Nord received USD 5,500
to complete a library with solar energy and a latrine in this very
isolated village.
9. (U) CHINA-MADAGASCAR COOPERATION: During an interview, Mr. Zhou
Mangsheng, Commercial and Economic Officer of the Chinese Embassy
declared that China will fund the construction of a hydroelectric
facility in the Mahajanga area, an investment totaling USD 140
million. The work will begin once technical conditions and the
environmental impact survey are completed.
10. (U) SADC ASSISTANCE IN THE FISHING SECTOR: Mr. Stuart Martin, in
charge of the development sector at SADC, met with the Minister of
Fisheries on November 10 to discuss the management of fish stock in
the SADC region. The organization will soon set up a network to
fight illegal exploitation of fish by foreign companies. In
addition, SADC will create a data bank to assess the potential
reserves of its members.
ANTANANARI 00000779 003 OF 003
--------------
COMOROS
--------------
11. (SBU) COMORAN FISHERMEN ON STRIKE: Comoran fishermen launched a
general strike on Thursday after negotiations with government
officials broke down over the price of kerosene and electricity.
The union is encouraging their allies in Anjouan and Moheli to
follow suit. Union plans to block access to the markets appeared to
have been successful, with supplies running low on November 6. It
is not clear how long the fishermen can maintain their collective
action, as most have little or no savings and depend on daily fish
sales to earn a living, but it is indicative of mounting discontent
among Comorans over their increasingly difficult economic
conditions.
12. (U) RESUMPTION OF DIRECT AIR LINKS WITH FRANCE: Abdillah
Mouigni, SG of the Transport and Tourism Ministry, announced on
November 6 that French airline Air Austral will start direct flights
between Paris and Moroni in January 2010. This follows on the heels
of a recent visit to Comoros by Gerard Etheve, Managing Director of
Air Austral, during which the remaining "technical and operational
constraints" were eliminated. The flight will depart Moroni every
Tuesday with a stop-over at Marseille (designed to appeal to heavy
demand from the Comoran diaspora in France, over 100,000 of whom
live in or near Marseille),and return Wednesday. This can only be
good news for a nation that has long suffered due to its extreme
isolation from the rest of the world economy.
MARQUARDT
SENSITIVE
SIPDIS
DEPARTMENT FOR AF/E MARIA BEYZEROV
DOC FOR RTELCHIN
TREASURY FOR FBOYE
PARIS FOR WBAIN
LONDON FOR PLORD
E.O. 12958: N/A
TAGS: PGOV PREL ECON ECPS EINV MA
SUBJECT: ANTANANARIVO POL/ECON WEEKLY UPDATE (13-NOV-2009)
REF: 09 ANTANANARIVO 767
1. (U) SUMMARY: This is U.S. Embassy Antananarivo's Weekly Update
for November 2-13, an unclassified review of major political,
economic, and commercial events and information from the U.S.
Mission to Madagascar and the Comoros.
POLITICS (Paragraphs 2-4)
- Transition Government: Still a Work in Progress
- Election Timeline
- French Ambassador Presents Credentials
ECONOMIC AND COMMERCIAL (Paragraphs 5-10)
- Macarthur Foundation Calls for Resumption of USAID Environment
Program
- High Speed Internet at Last
- Ambassador Speaks to Amcham
- Special Self-Help Projects Visit
- China-Madagascar Cooperation
- SADC Assistance in the Fishing Sector
COMOROS (Paragraphs 11-12)
- Fishermen on Strike
- Resumption of Direct Air Links with France
END SUMMARY
--------------
POLITICS
--------------
2. (SBU) TRANSITION GOVERNMENT: STILL A WORK IN PROGRESS: The four
political movements have made progress in implementing the Charter
of the Transition and the Addis Addendum (see ref A). Most of the
ministerial nominations have been determined, the president and
co-presidents held their first joint meeting, and Eugene Mangalaza
formally took over the position of Prime Minster on November 13.
Difficulties remain: several key ministries remain hotly contested,
and the presidential triumvirate is already finding cohabitation
difficult. The French and US ambassadors are calling together on
former President Zafy on November 13 to press him to agree today to
form a new government; he is, ironically (given his relative
political weight),proving the most difficult of the four leaders.
The looming pressure of EU aid and US trade (AGOA) remains a strong
motivating factor, however, and the international community remains
cautiously optimistic that the transition government will be
finalized shortly. The international community issued a joint
communiqu on November 13 applauding the progress to date but
encouraging the implement6ation of the Addis and Maputo agreements
as soon as possible.
3. (SBU) ELECTION TIMELINE: Following the first meeting of the
Transition Presidential Council, Co-President Fetison Rakoto
Andrianirina announced their decision to hold presidential elections
by June 26, 2010 in order to have a new president by the 50th
anniversary of the Malagasy Independence. The Addis Ababa addendum
to the Charter of the Transition stipulates that the National
Independent Electoral Commission is to be set up by the end of the
year, following a national conference to discuss changes to the
constitution (slated for early December). Transition officials plan
to hold the constitutional referendum in January, despite concerns
over the impact of cyclone season (January through April).
Presidential and legislative elections may be held as early as
April, perhaps simultaneously, followed by regional and municipal
elections later in the year. A more precise calendar will be
available following upcoming assessments by international election
experts.
4. (SBU) FRENCH AMBASSADOR PRESENTS CREDENTIALS: French Ambassador
Jean-Marc Chataigner presented his credentials to the HAT Minister
of Foreign Affairs on November 9, and Transition President Rajoelina
on November 10, without the presence of the two co-presidents.
Predictably, Rajoelina supporters called it the first step to
official international recognition of the Malagasy Transition (and,
logically, its president). Rajoelina's opponents, however, quickly
called it "concrete proof" that Rajoelina has been a French puppet
all along, and that France is pushing to advance its economic and
political interests in the country. Most ambassadors, including the
U.S. ambassador, are awaiting the formation of a new government
before starting calls on newly-named officials.
--------------
ANTANANARI 00000779 002 OF 003
ECONOMIC AND COMMERCIAL
--------------
5. (SBU) MACARTHUR FOUNDATION CALLS FOR RESUMPTION OF USAID
ENVIRONMENT PROGRAM: Newly-named MacArthur Foundation President Bob
Gallucci, on his first overseas trip in his new position, visited
Madagascar November 6-11. His focus was on MacArthur's many grants
over the past two decades to NGOs and other groups promoting
conservation in Madagascar. Over dinner hosted by the ambassador,
Gallucci indicated that he will write to the Obama administration
encouraging an immediate resumption of USAID's suspended environment
program. His visit included field visits to marine and land
conservation sites around the island.
6. (SBU) HIGH SPEED INTERNET AT LAST: The director of Orange
Madagascar told Emboff November 12 that Orange has already begun
providing high speed internet services in the coastal town of
Tamatave, where Madagascar's first undersea fiber optic cable "LION"
landed last June. LION, a USD 49.1 million investment by Orange
Madagascar, France Telecom, and Mauritius Telecom, connects
Madagascar to other Indian Ocean islands and on to Asia. Prices for
1 mbps internet connections in Tamatave have been reduced by about
70 percent. Despite contradictory information from the telecoms
regulator OMERT, the director claimed that Orange is authorized by
its license not only to provide cellular service, but also to
provide internet service to PCs, and that this has been confirmed by
the telecoms ministry. The company does not yet have the
authorization to sell capacity of its broadband network to other
operators, but argued that the legal snag could be remedied merely
by the passage of implementing decrees for the existing 2005
telecoms law. He explained that Orange has received assurances from
transition President Rajoelina that reforms would be made to
liberalize the sector. The company launched its broadband services
in Tana November 7, which it has already sold to the French Embassy,
but is unable to roll them out more widely until it is granted
additional frequencies from OMERT. Two other submarine fiber optic
cables are due to reach Madagascar by 2011 - the Orange line from
Mombasa to the North and the Telma line (EASSy) from South Africa to
the East.
7. (SBU) AMBASSADOR SPEAKS TO AMCHAM: The Ambassador spoke to a
group of around 50 members of the American Chamber of Commerce of
Madagascar November 12 about the current political situation. He
noted that the power-sharing agreement reached November 7 in Addis
Ababa was a breakthrough, but now it was important to see concrete
measures, including the installation of the transition cabinet and
formation of the independent electoral commission. In response to
questions, he explained that the primary function of the transition
government would be to organize elections, likely to be held in
seven months, and that Madagascar should look to SADC, of which it
is a member, for successful models of independent electoral
commissions. He clarified that the US plans to support the
electoral process, but will not fully engage with Madagascar until
there is an elected government in place. Many participants again
expressed concern about the possibility that Madagascar might lose
eligibility for African Growth and Opportunity Act (AGOA) trade
benefits.
8. (U) SPECIAL SELF-HELP PROJECTS VISIT: Emboff visit two
successfully completed Special Self-Help projects from FY 2008 on
the east coast of Madagascar last week. In Tamatave, Sanitec
received USD 7,000 to purchase a ball mill that produces ceramic
water filters. The filters will be sold at a subsidized price to
provide safe drinking water for 20,000 families in the surrounding
community. Association Mitsinjo in Mananara-Nord received USD 5,500
to complete a library with solar energy and a latrine in this very
isolated village.
9. (U) CHINA-MADAGASCAR COOPERATION: During an interview, Mr. Zhou
Mangsheng, Commercial and Economic Officer of the Chinese Embassy
declared that China will fund the construction of a hydroelectric
facility in the Mahajanga area, an investment totaling USD 140
million. The work will begin once technical conditions and the
environmental impact survey are completed.
10. (U) SADC ASSISTANCE IN THE FISHING SECTOR: Mr. Stuart Martin, in
charge of the development sector at SADC, met with the Minister of
Fisheries on November 10 to discuss the management of fish stock in
the SADC region. The organization will soon set up a network to
fight illegal exploitation of fish by foreign companies. In
addition, SADC will create a data bank to assess the potential
reserves of its members.
ANTANANARI 00000779 003 OF 003
--------------
COMOROS
--------------
11. (SBU) COMORAN FISHERMEN ON STRIKE: Comoran fishermen launched a
general strike on Thursday after negotiations with government
officials broke down over the price of kerosene and electricity.
The union is encouraging their allies in Anjouan and Moheli to
follow suit. Union plans to block access to the markets appeared to
have been successful, with supplies running low on November 6. It
is not clear how long the fishermen can maintain their collective
action, as most have little or no savings and depend on daily fish
sales to earn a living, but it is indicative of mounting discontent
among Comorans over their increasingly difficult economic
conditions.
12. (U) RESUMPTION OF DIRECT AIR LINKS WITH FRANCE: Abdillah
Mouigni, SG of the Transport and Tourism Ministry, announced on
November 6 that French airline Air Austral will start direct flights
between Paris and Moroni in January 2010. This follows on the heels
of a recent visit to Comoros by Gerard Etheve, Managing Director of
Air Austral, during which the remaining "technical and operational
constraints" were eliminated. The flight will depart Moroni every
Tuesday with a stop-over at Marseille (designed to appeal to heavy
demand from the Comoran diaspora in France, over 100,000 of whom
live in or near Marseille),and return Wednesday. This can only be
good news for a nation that has long suffered due to its extreme
isolation from the rest of the world economy.
MARQUARDT