ANONYMOUS SOURCE PROVIDES DETAILED BUDGET INFO FOR

C O N F I D E N T I A L SECTION 01 OF 02 CONAKRY 000273

SIPDIS

E.O. 12958: DECL: 05/15/2019
TAGS: PGOV PREL KDEM ASEC GV
SUBJECT: ANONYMOUS SOURCE PROVIDES DETAILED BUDGET INFO FOR
GOG

REF: CONAKRY 0195

Classified By: POL/ECON CHIEF SHANNON CAZEAU FOR REASON 1.4 B AND D


1. (C) SUMMARY. Close-held data from an anonymous source
provides valuable insights into the GoG's expenditures over
the first quarter of 2009. Military/CNDD spending comprised
42% of the approximately $118 million in expenditures. Many
government ministries were severely underfunded and some not
funded at all. However, a handful of ministries were funded
well over the $1 million mark, raising questions about what
the money was used for. The data indicates the CNDD's
priorities and suggests that the GoG could probably have
funded elections at a more significant level if it had chosen
to do so. END SUMMARY.


2. (C) An unidentified contact passed a quarterly financial
statement from the Ministry of Finance to an Embassy LES.
LES asked that the information be kept close-hold and that
she not be asked to divulge her source. The statement is a
three page document that details the GoG's expenditures
between December 23 (the date of the coup) and March 31.
Embassy cannot vouch for the accuracy of this document
although it does appear authentic. It includes all
ministries, the CNDD, the Prime Minister's Office, and the
Office of the President. Total expenditures for the quarter
for each government entity are detailed at the end of this
telegram.


3. (C) The document appears to cover the GoG's total
expenditures for the first quarter of 2009, which total
approximately $118 million. The military, the CNDD, and the
Office of the President together received about 31% of these
funds (not including salaries). When military salaries are
added in, the figure jumps to 42%. In contrast, the Prime
Minister's office received just $16,000. Several ministries
were not funded at all while others received less than
$10,000 for the quarter. Civil service salaries totaled
$30.73 million and were regularly disbursed each month, but
contacts report that salary payments were often delayed.


4. (C) Outside of the military junta funding, a number of
ministries received funding over the $1 million mark,
including Foreign Affairs, Public Works, Urbanism and
Habitat, Youth, Higher Education, and Hydrology and Energy.
Interestingly, the Ministry of Youth received most of its
$1.12 million in the month of March, which also happens to
coincide with the large pro-Dadis youth rally (reftel).
Similarly, the unusual $3.77 million to the Ministry of
Higher Education is likely related to a highly publicized
tour by Dadis of universities in Conakry, during which he
promised a major influx of cash to higher education
institutions.


5. (C) Some significant disbursements raise questions as to
what the funds were to be used for. For example, the
Ministry of Urbanism and Habitat received $5.41 million while
the Ministry of Hydrology and Energy received $2.7 million.
The Ministry of Public Works also received close to $1
million. The bulk of these funds were released in February
and March. The CNDD has made little if any mention of
infrastructure development plans, although there is a major
construction project underway at Camp Boiro. These
disbursements appear all the more suspicious given the
abysmal funding to most other government ministries.


6. (C) The Ministry of Territorial Administration and
Political Affairs, which is responsible for organizing
elections, received $124,000 for the quarter - a relatively
high amount compared to most ministries, but disappointingly
low compared to others, especially given the push for
elections.


7. (C) At the bottom of the document, it is noted that the
following sectors/departments are considered GoG priorities:
Justice, Agriculture, Fishing, Urbanism and Habitat,
Pre-University Education, Technical Education, Higher
Education, and Hydrology and Energy. However, funding levels
were all over the map for these identified priorities.

--------------
COMMENT
--------------


8. (C) If accurate, this data is invaluable as it has been
very difficult to get GoG officials to talk about concrete
figures. The military and the CNDD received more than 40%
the GoG's funds during the first quarter of the year.
Spending outside of the military sector indicates where the

CONAKRY 00000273 002 OF 002


CNDD's current priorities might lie. If the figures are
correct, it seems that elections fall toward the bottom of
the list. The figures suggest that if the GoG wanted to fund
elections, it could have done so - or it could have at least
allocated a more significant amount towards that objective
during the first quarter of 2009. END COMMENT

-------------- --
TABLE - GOG EXPENDITURES FOR FIRST QUARTER 2009
-------------- --

CNDD - $3.77 million
Presidency - $1.21 million
Prime Minister - $16,000
Ministry of Defense - $31.51 million
MATAP (Territorial Admin. and Political Affairs) - $124,000
Ministry of Security - $227,000
Ministry of Justice - $148,000
Ministry of Foreign Affairs - $1.96 million
Ministry of Economy and Finance - $281,000
Ministry of Labor - $6,400
Ministry of Agriculture - $5,300
Ministry of Fishing - $12,900
Ministry of Public Works - $976,000
Ministry of Urbanism and Habitat - $5.41 million
Ministry of Pre-University Education - $42,000
Ministry of Health - $272,000
Ministry of Communication - $166,000
Ministry of Technical Education - $133,000
Ministry of Youth, Sports and Culture - $1.12 million
National Communication Council (CNC) - $102,000
Grand Chancery of Merit Orders (Awards) - $47,000
Ministry of Higher Education - $3.77 million
Ministry of Hydrology and Energy - $2.7 million
Ministry of State Control (Economic) - $320,000
Ministry of Culture - $1,600
Military Remunerations (salaries) - $13.43 million
Civil Service Remunerations (salaries) - $30.73 million
Debt Service - $4.45 million
SEG (water company) - $1.45 million
EDG (electric company) - $1.63 million
Mining Fund - $565,000
Social Security - $233,000
Interest payments on government bonds - $9.76 million
Payments to veterans - $987,000

The following ministries/departments received no funds at
all: Mines, Commerce, Tourism, Social Affairs, Supreme
Court, Secretary General of the Government, Secretary General
of the Islamic League, Transport, and Administration and
Control of Large Projects.
RASPOLIC