FAO BUDGET DEMARCHE RESULTS

UNCLAS LONDON 002359 SIPDIS SECSTATE PASS IO/HS JOHN TUMINARO AND KATHRYN RUSSELL, AND IO/MPR MARY BLANCA RIOS E.O. 12958: N/A TAGS: AORC EAGR EAID EFIN FAO KUNR UK UN SUBJECT: FAO BUDGET DEMARCHE RESULTS REF: SECSTATE 96467 ¶1. (U) Post delivered reftel talking points to relevant UK officials, including the Foreign and Commonwealth's Office (FCO) International Organisations Office. ¶2. (U) The UK confirms that they are "aiming for a Zero Real Growth (ZRG) FAO budget settlement based on realistic cost increases, additional efficiency savings, deferment of items such as after-service medical care and with reform costs (the IPA) fully integrated into assessed contributions, but possibly as a separate assessed contribution to avoid inflating the core budget." Although the UK would like to see reform funded by efficiency savings, it is also aware that that G-77 members would like to see efficiency savings redirected towards the program budget. As such, some compromises may be necessary. ¶3. (U) The UK continues to advocate that a reforming, performing FAO will be able to attract increased voluntary contributions to fund work streams. ¶4. (U) The FCO assured Post that UK offices in Rome are in close contact with the U.S. mission and continue to work closely toward shared goals. Visit London's Classified Website: http://www.intelink.sgov.gov/wiki/Portal:Unit ed_Kingdom SUSMAN