RRT ERBIL: MEETING WITH KRG PRIME MINISTER BARZANI

C O N F I D E N T I A L SECTION 01 OF 02 BAGHDAD 000205 SIPDIS E.O. 12958: DECL: 01/31/2019 TAGS: PGOV PREL PINR EAID ECON SOCI PTER TU IZ SUBJECT: RRT ERBIL: MEETING WITH KRG PRIME MINISTER BARZANI Classified By: Classified by Deputy Team Leader Lucy Tamlyn for reasons 1.4(b) and (d) This is an Erbil Regional Reconstruction Team (RRT) cable. ¶1. (C) Summary: Kurdistan Regional Government (KRG) Prime Minister Nechirvan Barzani expounded on a wide range of subjects in a January 25 meeting with Erbil PRT team leader. The initial impetus of the meeting was to provide PM Barzani with information on USG development assistance. In the course of the meeting, Barzani also praised improving relations with Turkey, and said the KRG is organizing a conference to call on the PKK to lay down its arms. He vowed to clamp down on extremist Muslim preaching. Barzani emphasized that human capacity development was needed more than &bricks and mortar8 for the region and explained that the KRG,s strategy for development included hiring its own governmental advisers (mentioning names such as Rand Corporation and Price Waterhouse). End summary. USG Assistance to Iraq and the Kurdistan Region -------------- -- ¶2. (SBU) RRT Team Leader (TL) Tamlyn and USAID Representative Tatem met with Kurdistan Region Prime Minister Nechirvan Barzani on January 25 to discuss U.S. assistance to the Kurdistan Region in the context of U.S. assistance to Iraq as a whole. RRT Team Leader presented a summary of (non-security) U.S. assistance to the region from 2003-2009. This summary highlights the fact that over USD 1 billion has been spent in the region since 2003; the bulk of that spending (over USD 800 million) has been for infrastructure, including building and renovating schools, hospitals, bridges, police stations, border patrol installations and electricity substations. Our report also detailed assistance toward capacity building (LGPII, Tatweer program, police training),assistance in economic development (Tijara program, microfinance, agriculture (INMA)); high-level advisers for, inter alia, electricity, municipal services and public finance; demining and light weapons disposal; assistance to refugees and displaced persons; assistance for democracy, human rights and conflict mitigation; and assistance in the form of small grants (QRF and Civil Society Conflict Mitigation ) CSCM). ¶2. (SBU) RRT TL noted that in some areas the USAID footprint was &shrinking;8 going forward, its resources would be allocated to areas considered to be of greatest need. As the Kurdistan Region (for better or worse) was seen as more stable than the rest of Iraq, this would most likely impact the shape of future USAID programming in the region. USAID Representative Tatem explained USAID,s interest in expanding into health and education, and previewed the visits of teams coming in the next few weeks to assess the situation in Iraq and in the region. ¶3. (SBU) RRT TL explained that understanding the priorities of the KRG would help the RRT provide input into future assistance programming for Iraq as a whole; areas to which the KRG was committed, and willing to provide its own resources, were particularly good areas for partnership. The Prime Minister thanked the RRT for its support, and stressed that capacity building ) not &bricks and mortar8 was the main need in the KRG. He recalled an earlier meeting with RRT Team Leader and RoL Adviser Wilson Meyers on Rule of Law programming. This, he stated, was among the highest priorities: a functioning judiciary, courts and respect for the rule of law. Going forward, he said that he would meet Qthe rule of law. Going forward, he said that he would meet with his Ministers to discuss the document presented, and revert to the RRT with a response on KRG priorities. Barzani reiterated a point that he had made in previous conversations ) that the KRG was willing to invest its own resources in partnerships. The Best Advice that Money Can Buy -------------- ¶4. (SBU) Following on this point, the Prime Minister noted that he had in fact instructed that an expatriate firm be hired for each of the major ministries to provide advice. The Rand Corporation had been invited to support health and education; an agreement between the KRG and Rand was expected to be signed in March. A leading British engineering firm (Marsh) had been hired to support the Ministry of Electricity. A well-known Lebanese planning firm would be working on reconstruction activities. Price Waterhouse Coopers has been retained to develop an anti-corruption strategy. Queried as to the Ministry of Natural Resources, the Prime Minister laughed and said that he had left it up to BAGHDAD 00000205 002 OF 002 the Minister of Natural Resources. In the event, he said that it would most likely be an experienced American lawyer who had previously worked in Baghdad at the Embassy on hydrocarbons issues (NFI). Relations with Turkey -------------- ¶5. (C) Prime Minister Barzani became animated in discussing the region,s improving relationship with Turkey. He said that he wanted to host a conference in Erbil ) invite all of the Kurdish political parties from around the region ) and announce that the KRG called on the PKK to put down arms and seek a political solution. He stressed that the idea was not to intrude on Iran,s or Turkey,s domestic issues, but to effectively put pressure on the PKK. Prime Minister Barzani also mentioned that there was progress on the idea of putting in place a gas pipeline through Turkey from Iraq. The stumbling block in this win-win idea was Baghdad. &Sharistani,8 sighed the Prime Minister, &tries to block everything. He has no vision.8 Reining in the Imams -------------- ¶5. (C) The Prime Minister was aware that certain Imams associated with the KIU and the KIG Islamic parties had been preaching sermons on the Gaza situation which were incitements to violence against Jews, Israel and America. He said that there were 5-6 Imams that were involved. Some $10,000 had been collected from congregations for Gaza. He was going to call a meeting next week at the Erbil Convention Center with all of the Imams to tell them &that they cannot do that.8 Barzani explained that the Imams would be replaced or moved to other locations ) though not right away, in order to make the government intervention more discrete. The Prime Minister bemoaned in general the conservative religious influence that has become more pronounced in the region since 1991. He attributed the popularity of these conservative groups to lavish funding from Saudi Arabia, the impact of the poverty suffered in the 90,s and popular disgust with the PUK/KDP in-fighting during that same period. He noted with satisfaction closing down of KIU and KIG schools (reported septel) as well as closing down a Dohuk school supported by the Saudis (which earned him an unhappy letter from the Saudi Prince.) Nonetheless, these Imams were, he felt, fundamentally at odds with Kurdish culture and traditions (with dictates on music, for example, that forebade certain popular Kurdish folksongs) and without widespread popular support. Comment: -------------- ¶6. (C) The Prime Minister was recently back from holiday in the United States with his family (including, we understand, skiing in Aspen) and looked relaxed and fresh. His comments on dealing with Imams tracks with what we have heard ) that the hardline sermons of two weeks ago are being replaced with moderate messages. Like other senior KRG leaders, he does not believe that the KIU and KIG enjoy significant grass-roots popularity. End comment. CROCKER