VZCZCXRO8148
PP RUEHBC RUEHDE RUEHIHL RUEHKUK RUEHMOS
DE RUEHKU #0201/01 0221441
ZNY CCCCC ZZH
P 221441Z JAN 06
FM AMEMBASSY KUWAIT
TO RUEHC/SECSTATE WASHDC PRIORITY 2607
INFO RUCNRAQ/IRAQ COLLECTIVE
RUCNIRA/IRAN COLLECTIVE

C O N F I D E N T I A L SECTION 01 OF 02 KUWAIT 000201 
 
SIPDIS 
 
SIPDIS 
 
STATE FOR NEA/ARPI, LONDON FOR TSOU, PARIS FOR ZEYA 
 
E.O. 12958: DECL: 01/21/2016 
TAGS: PREL PINR KISL IZ KU KUWAIT IRAQ RELATIONS
SUBJECT: NEW IRAQI CHARGE TO KUWAIT ON RELATIONS WITH 
KUWAIT AND THE THREAT FROM IRAN 
 
 
Classified By: Ambassador Richard LeBaron for reasons 1.4 (b) and (d) 
 
¶1.  (C) Summary. During a January 18 meeting with the 
Ambassador, Iraqi Charge d'Affaires to Kuwait, Hamid 
Al-Sharifi, spoke about Iran and its growing influence on the 
Iraqi Shi'a population.  He stated that Iranian agents have 
been able to infiltrate Iraqi schools, hospitals, social 
centers, and radio stations, adding that there was no clear 
answer to counter Iran's tactics.  He also spoke about 
improving Iraq-Kuwait relations while working to utilize the 
Kuwaiti funds made available for reconstruction.  Touching on 
debt relief, the Charge discussed how best to use 500 million 
USD set aside by the Kuwait Fund for Arab Economic 
Development for Iraq reconstruction.  End summary. 
 
Iraq and Iran 
------------- 
 
¶2.  (C) In an introductory meeting with Ambassador LeBaron on 
January 18, Iraqi Charge d'Affaires Hamid Al-Sharifi spoke at 
length about his concern for Iran's growing influence in 
Iraq.  He said that Iran has financed Shi'a social centers, 
schools, hospitals, and radio stations in order to increase 
its influence in the region, adding that there were Iranian 
agents in all of these locales.  He stated that Iranians were 
financing and arming Iraqi militias and that it was an issue 
that had to be "tackled" head on.  Mentioning Muqtadr Al-Sadr 
by name, Al-Sharifi described a close aide of Sadr's 
receiving suitcases of money from Iranians who had just 
crossed the border from Iran.  The worry, Al-Sharifi 
explained, was that there is "no clear answer (on countering 
this tactic) by the U.S. military."  In addition to the 
influence on the Shi'a populace, Al-Sharifi pointed out that 
he shared the growing concern about Iran's nuclear 
aspirations as well as its influence on instability in 
southern Iraq. 
 
Iraq-Kuwait Relations 
--------------------- 
 
¶3.  (SBU) Al-Sharifi said he was originally told by the Iraqi 
MFA that he would be posted to the United Nations as the 
Deputy Chief of Mission.  After planning a move to New York, 
he was then informed that he would be heading to Kuwait as 
Charge.  He protested to Iraqi Foreign Minister Hoshyar 
Zebari, who said he personally promised the Kuwaiti Foreign 
Minister that "he would hand-pick" the Iraqi Charge and that 
it would be someone Zebari could vouch for personally. 
Al-Sharifi said that he tasked with "making the Kuwaitis 
forget about the past and 1990," something he though would be 
difficult to accomplish.  He commented that he was surprised 
as to how well received he had been in Kuwait, making dozens 
of friends by visiting diwaniyas and getting a better 
understanding of how Kuwaitis viewed Iraq.  Al-Sharifi added 
that he would be making a visit to Al Quarain house, a 
memorial to Kuwaitis who died during the Iraq occupation, in 
order to show that Iraqis remember what did happen to Kuwait. 
 Al-Sharifi commented though that "Kuwaitis suffered for 
seven months under Saddam's rule, the Iraqi people suffered 
30 years." 
 
Debt Assistance and Debt Relief 
------------------------------- 
 
¶4.  (C) The Charge spoke about what he described as Iraq's 11 
billion USD debt to Kuwait.  The Ambassador pointed out that 
some members of Parliament believed that Kuwaitis should have 
their personal debt paid off before discussing Iraq's debt, 
but that it was important to start bilateral talks on debt. 
On debt assistance, the Charge shared that the GOK had 500 
million USD in the Kuwait Fund for Arab Economic Development 
(KFAED) to use for rebuilding Iraq but that the GOK seemed in 
no rush to discuss its disbursement.  According to 
Al-Sharifi, the GOK seems to be waiting for a permanent 
government to take its seat in Baghdad before it is willing 
to begin negotiations.  "Perhaps in another two months" we 
will be able to talk about it, he added.  The Ambassador 
encouraged Al-Sharifi to meet with the leadership of the Arab 
Fund for Economic and Social Development as well as the head 
of the KFAED (whom he had not met) and the officials in 
charge of the Iraqi account to start a dialogue on spending 
the funds available.  He commented the GOK recognized the 
importance and long-term impact of funding projects such as 
schools and clinics, especially if they have a proposal in 
hand.  (Note: Kuwait has offered 440 million in soft loans 
and 60 million in grants for education and health to Iraq 
through the Kuwait Fund for Economic Development.  End note.) 
 
A Three Room Embassy 
 
KUWAIT 00000201  002 OF 002 
 
 
-------------------- 
 
¶5.  (C) The Iraqi embassy is currently located in a downtown 
hotel while renovation on its previous Embassy building 
continues.  The GOK is fully funding the renovation on the 
building which also served as the headquarters for the 19th 
Province of the Iraqi government during the Iraqi invasion. 
Until it is completed the Iraqi embassy is renting 3 rooms in 
a hotel, with a staff of four diplomats (including the 
Charge) and three locally employed Iraqi staff.  The GOK 
offered to pay 2,000 Kuwaiti dinar (approximately $6,700 USD) 
towards the rent of the hotel rooms but, according to 
Al-Sharifi, Iraqi Ministry of Foreign Affairs turned down the 
offer.  The renovation of the permanent building is not 
expected to be completed until summer 2006. 
 
Bio Note 
-------- 
 
¶6.  (SBU) Al-Sharifi was seriously injured in an 
assassination attempt last year and still suffers from a 
semi-paralyzed right hand.  He spent 23 years in exile in 
London before his return in 2003 and his immediate family 
still resides in London. 
 
********************************************* 
Visit Embassy Kuwait's Classified Website: 
http://www.state.sgov.gov/p/nea/kuwait/ 
 
You can also access this site through the 
State Department's Classified SIPRNET website 
********************************************* 
LeBaron