DISCUSSION WITH OPPOSITION PARTY LEADERS CLEARS UP LAND BILL

UNCLAS SECTION 01 OF 02 MASERU 000400

SIPDIS

DEPARTMENT FOR AF/S; INR/AF

E.O. 12958: N/A
TAGS: PGOV LT
SUBJECT: DISCUSSION WITH OPPOSITION PARTY LEADERS CLEARS UP LAND BILL
CONFUSION

REF: A) Maseru 388; B) Maseru 394

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Summary
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1. On Thursday, November 5, Ambassador Rob Nolan invited
representatives of Lesotho's leading opposition political
parties to a discussion at his residence. Ten political leaders
-- the majority of opposition parties represented in Parliament
-- were in attendance. The discussion centered around the
controversial land bill, particularly the United States role
through the Millennium Challenge Account (MCA) - Lesotho, which
has been widely misunderstood. At the outcome of the meeting,
Post attendees felt that opposition politicians had gotten the
information they needed to clear up any misunderstanding, and it
was agreed that the negative comments which have been prevalent
on the radio and in the written press concerning the U.S. role
in the Land Bill should be diminished thanks to this meeting.

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Ambassador and MCC Country Director clarify the MCC process
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2. The Ambassador opened the meeting by stressing that the
United States does not want to interfere in Lesotho's domestic
political affairs. He then turned the meeting over to
Millennium Challenge Corporation (MCC) Country Director, Gene
MacDonald. The Country Director presented a very concise and
informative overview of the MCC compact process. She
highlighted the fact that in designing the MCC Compact, the need
for land reform was identified by the Government of Lesotho as
one of the obstacles to sustainable economic growth to reduce
poverty. She stressed that consultations were undertaken
throughout the entire process which involved the public, the
government, and other stakeholders such as non-governmental
organizations. She clarified that MCA is a parastatal overseen
by MCC, but which has a mandate to make its own decisions.
Finally, opposition politicians had been under the impression
that if the Land Bill is not passed, the United States would
terminate the entire $363 million MCC compact. The Country
Director assured the gathering that only the $20 million
involved in the Land Reform activity of the MCC compact would be
at stake if the Land Bill is not passed.

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Opposition party leaders make their concerns known
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3. Opposition party leaders responded to the Ambassador and
Country Director by thanking them for the invitation and giving
a list of their concerns. Chiefly, they pointed out that land
is a very sensitive cultural subject for Basotho, who lost much
of their land heritage when Dutch settlers moved west into the
current South African Free State. This issue is still raw for
Basotho, who call the lost land the "conquered territory". The
leaders stressed that they are not against American aid in
principle, and that they are very grateful for everything that
the United States has given to fight HIV/AIDS. Opposition
leaders agree that land reform is needed, but they are not happy
with the current bill, which they feel does not give adequate
protection to the poor and about which they did not feel they
had adequate input. They are also very angry with the ruling
party for making it seem that if the current Land Bill does not
pass, the United States will cancel the MCC Compact. They were
also adamant that there had not been enough consultations with
the people, and that the current bill reflects the will of the
ruling party, not the will of the Basotho people. Finally, the
MCC country director clarified that there is no MCC requirement
that foreigners be allowed to own land in Lesotho.

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Comment
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4. Embassy staff came away from this meeting feeling that the
opposition was relieved to hear the U.S. side of the story, and
that it was unlikely they would continue to spread negative and
false information about U.S. involvement in the Land Bill.
While it is unclear what the outcome of the Land Bill vote will
be at this moment, we view the current debate in the country as
a positive development. The Embassy is pleased with the debate
and will continue to encourage all open political debate as a
sign of a healthy democracy at work. We are concerned, however,
that the ruling party's heavy majority in the Legislature means
that for the foreseeable future it is that one party which
controls which laws get passed, and in what form, regardless of
opposition or public opinion. In this case, it appears that the
strong feelings on the part of the public, fueled by rhetoric
from opposition politicians, may have managed to change the
ruling party's drive to pass the bill. What remains to be seen

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is whether in the next few weeks, changes can be made which will
incorporate the major concerns of the public and opposition
parties. We will continue to encourage healthy political debate
in the Kingdom, and will keep the Department posted on any
developments that effect the U.S. or our policy on this matter.
NOLAN