VZCZCXRO4760
OO RUEHTRO
DE RUEHRB #0029/01 0061801
ZNY CCCCC ZZH
O 061801Z JAN 06
FM AMEMBASSY RABAT
TO RUEHC/SECSTATE WASHDC IMMEDIATE 2443
INFO RUEHXK/ARAB ISRAELI COLLECTIVE PRIORITY
RUEHAS/AMEMBASSY ALGIERS PRIORITY 3648
RUEHEG/AMEMBASSY CAIRO PRIORITY 1552
RUEHLO/AMEMBASSY LONDON PRIORITY 2714
RUEHMD/AMEMBASSY MADRID PRIORITY 5304
RUEHNK/AMEMBASSY NOUAKCHOTT PRIORITY 2922
RUEHFR/AMEMBASSY PARIS PRIORITY 3939
RUEHTU/AMEMBASSY TUNIS PRIORITY 8555
RHEHNSC/NSC WASHINGTON DC PRIORITY
RUEHTRO/USLO TRIPOLI PRIORITY 0058
RUCNDT/USMISSION USUN NEW YORK PRIORITY 0412

C O N F I D E N T I A L SECTION 01 OF 04 RABAT 000029 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 01/06/2010 
TAGS: ECON MA PGOV PHUM PREL PTER
SUBJECT: REP. LANTOS DISCUSSES REGIONAL ISSUES, FREE TRADE, 
MCA WITH PM JETTOU 
 
 
Classified By: Classified by Ambassador Thomas T. Riley for reasons 1.4 
 b and d. 
 
¶1. (C)   Summary:  PM Jettou January 3 told visiting Rep. 
Tom Lantos that Morocco appreciates U.S. efforts in the 
Middle East and Iraq, where positive results are beginning 
to take shape, and that Morocco would continue to do its 
part in the war on terror.  Jettou was also encouraged by 
the approach of the Libyan Prime Minister, whom he 
described as wise and moderate.  Jettou said Morocco was 
pleased to be the first country in Africa to conclude a 
Free Trade Agreement with the U.S., and looked forward to 
working closely with the U.S. on the Millennium Challenge 
Account compact, which he hoped to conclude by April.  Rep. 
Lantos encouraged Morocco to re-open the Israeli liaison 
office in 
Rabat; the time is right and both the Israelis and 
Palestinians would find such a move helpful.  He expressed 
disappointment that efforts to resolve the Western Sahara 
conflict have failed.  He said he would discuss this matter 
with Secretary Rice, and that it may be time to resuscitate 
U.S. involvement in resolving the conflict.  End summary. 
 
¶2.  (C)  Representative Tom Lantos, accompanied by 
Ambassador Riley, House International Relations Committee 
(HIRC) Democratic Staff Director Robert King, HIRC Senior 
Professional Staff Member Alan Makovsky, HIRC Professional 
Staff Member Mike Beard and DCM met with Prime Minister 
Jettou January 3.  Representative Lantos, Ambassador, King 
and Makovsky later joined Jettou, Foreign Minister 
Benaissa, Minister-Delegate for Foreign Affairs Taieb 
Fassi-Fihri, and Moroccan Ambassador to the United States 
Aziz Mekouar for lunch at Jettou,s residence in Rabat. 
 
¶3.  (C)  Jettou opened the meeting by noting that 
Morocco was proud to be the first country in the African 
region to have concluded a Free Trade Agreement with the 
U.S., and said he was also happy to be working with the 
U.S. on a Millennium Challenge Account compact.  He noted 
that he had met with the latest Millennium Challenge 
Corporation delegation only two weeks earlier.  Rep. Lantos 
replied that Morocco would do well with the MCA because 
Morocco would undoubtedly do what is necessary to continue 
to meet the reform criteria that are central to MCA 
eligibility. 
 
Israel 
------ 
 
¶4.  (C)  Jettou expressed appreciation for Rep. 
Lantos, contributions to international peace and his 
efforts against poverty and inequality.  He said that 
Morocco is a true ally of the U.S., and pointed out that 
the two countries had never faced one another as 
adversaries.  Morocco was equally proud now, Jettou said, 
to answer to its responsibilities in the war on terrorism. 
He said that the Moroccan government is closely monitoring 
issues facing developing Muslim countries, and is paying 
close attention to U.S. efforts to establish peace between 
Israel and the Palestinians.  He said that Morocco supports 
the efforts of Palestinian President Abbas, and that what 
Abbas has achieved so far is a result of U.S. 
encouragement.  He believed that events related to Israel 
and the Palestinians were moving in the right direction, 
and noted the importance of all countries in the region 
continuing to provide support for the process. 
 
¶5.  (C)  Morocco has played a unique role with regard 
to Israel, Rep. Lantos said, and the time is now ripe to 
re-establish an Israeli liaison office in Rabat.  Both the 
Palestinians and Israelis would find this helpful.  Rep. 
Lantos pointed out that he had visited the Israeli office 
in Rabat on previous trips to Morocco, and would like to do 
so again on his next trip.  In terms of the issues on which 
Morocco is interested in working with the U.S., including 
the Western Sahara, it would be very helpful to have this 
office established, Rep. Lantos said.  He added that our 
security and intelligence cooperation, among the many other 
types of cooperation between the U.S. and Morocco, indicate 
a very positive future for the relationship. 
 
 
RABAT 00000029  002 OF 004 
 
 
¶6.  (C) During a relaxed and very direct lunch conversation, 
FM Benaissa criticized Israel for not allowing residents of 
east Jerusalem to participate in Palestinian elections since 
no polling stations were provided.  He said this was 
"unfortunate," and he and PM Jettou agreed that the Israelis 
should encourage rather than obstruct Palestinian 
participation.  Lantos staff agreed that Palestinian 
participation was important, and this principle had been 
followed in the two previous elections.  But with Hamas, a 
terrorist organization, now being an election participant, 
this was no longer logical. 
 
¶7.  (C) Benaissa also observed that Morocco was doing what it 
could to support the relationship with Israel.  The Moroccans 
had hosted a visit by Israeli FM Shalom in 2004, for example. 
 Morocco was willing to go farther than most Arabs, Benaissa 
said, although Morocco had the impression that Oman and Yemen 
also appeared receptive to expanding ties with Israel, 
provided "conditions were right." 
 
Iraq 
---- 
 
¶8.  (C)  Positive results are also starting to take 
shape in Iraq, Jettou said.  He believed that the Iraqi 
elections represented an important step toward establishing 
democracy and restoring peace.  He recognized that the 
task in Iraq is not easy, and expressed appreciation for 
U.S. efforts.  He said that Morocco was directly involved 
by virtue of the two Moroccan government employees being 
held hostage in Iraq, but that Morocco would never give in 
to blackmail. 
 
¶9.  (C)  Rep. Lantos expressed his strong support for 
Ambassador Riley,s efforts, and said that the President,s 
decision to send Ambassador Riley to Rabat was a sign of 
respect for Morocco.  Rep. Lantos noted that he had visited 
Morocco several times previously during the reign of Hassan 
II, and had had an extended conversation with King Mohammed 
VI as crown prince on one occasion in Washington.  He 
appreciated Jettou,s private sector experience, and said 
that he had high hopes for the new 
Free Trade relationship between the U.S. and Morocco.  The 
gradual phase-in of some provisions, he believed, would 
provide for minimum disruption, and the U.S. would help 
Morocco with necessary adjustments. 
 
Study in the US 
--------------- 
 
¶10.  (C)  Rep. Lantos emphasized that the U.S. is 
hoping for an increase in Moroccan students in the U.S.  He 
expressed his belief in the importance of building back a 
major Moroccan presence in the U.S. that had dropped off 
after September 11, and offered his assistance in helping 
to bring it about.  He also expressed support for the 
efforts of the National Democratic Institute in Morocco, 
and hoped that a significant exhibit could be established 
in Washington DC to commemorate the fiftieth anniversary of 
Moroccan independence.  Rep. Lantos underlined that with 
the Millennium Challenge Account compact, he expected a 
quantum jump in assistance the U.S. is able to provide to 
Morocco, and expressed his hope that the MCA Compact would 
correspond well to King Mohammed VI,s Human Development 
Initiative. 
 
¶11.  (C)  Jettou replied that Morocco would continue 
to do everything possible to see that democracy prevails in 
the region.  He noted that the Moroccan government always 
ensures that Israeli delegations are able to participate in 
international meetings held in Morocco.  He cited the 
Euro-Mediterranean dialogue meeting and a recent meeting of 
transportation ministers held in Marrakech as examples of 
recent events that had included senior Israeli 
participation. 
 
¶12. (C) The issue of students is also an important one to 
which the Moroccan government is sensitive, Jettou said, 
since students are the ones who will develop relations 
between our countries in the future and defend the 
principles we are fighting for together today.  He 
 
RABAT 00000029  003 OF 004 
 
 
acknowledged the need to move quickly to return to a 
greater number of Moroccan students in the U.S., and noted 
that there are several good American schools in Morocco 
whose students are admitted to major U.S. universities, and 
that there is a U.S. style university in Morocco at 
Ifrane.  He appreciated any efforts Rep. Lantos or the U.S. 
might undertake to expand the number of Moroccans studying 
in the U.S.  With regard to the MCA compact, Jettou said 
that the Moroccan government had presented "a good 
dossier," and that he hoped to be able to finalize the 
compact by late March or early April.  He said he would 
count on Rep. Lantos and the Embassy to help the process 
move forward. 
 
Western Sahara 
-------------- 
 
¶13. (C)  Jettou said that Western Sahara remains an 
important issue for Morocco, and Morocco is concerned about 
what is happening in the sub-Saharan region.  He said that 
the GOM is watching events in Mauritania closely, and hopes 
that greater stability will emerge.   Disease, weapons 
proliferation and religious extremism are all such that the 
region may be a source of instability in the future. 
(Comment:  Jettou was most likely referring specifically to 
the Pan-Sahel region.)  He urged continued vigilance.  He 
underlined that it was out of the question for Morocco to 
accept any solution to the conflict over the Western Sahara 
other than integration with Morocco, although the GOM is 
ready to discuss broad autonomy for the people of the 
region.  He pointed out that Morocco has invested heavily 
in the territory, in areas such as health care, roads and 
education, to ensure that development in the Western Sahara 
is as advanced as that in other parts of Morocco.  He 
requested Rep. Lantos, help for a rapid solution to the 
conflict which "freezes" development in the region. 
 
¶14. (C) Rep. Lantos said that when he had last 
spoken with President Bouteflika, Bouteflika had indicated 
his willingness to help.  Rep. Lantos said he would raise 
this matter with Secretary Rice.  He expressed his 
disappointment that former Secretary Baker,s extensive 
efforts as the UN Secretary General,s personal envoy had 
failed.  He observed that it may be time to resuscitate 
U.S. involvement in finding a resolution to the conflict. 
He expressed his conviction that autonomy offers the only 
realistic solution.  He said that he intended to return to 
Algeria to see President Bouteflika and would see if he 
could make any headway. 
 
¶15. (C) The Moroccans were predictably downbeat over lunch 
about prospects for better relations with Bouteflika.  They 
stressed that while he was trying to shed some of his 
socialist legacy, Bouteflika still enjoyed credibility among 
the "old leftists."  This was one reason, for example, why 
Qadhafi went to Algiers to accept an honorary degree.  The 
Moroccans assessed that with high oil prices, Bouteflika was 
convinced he was under no pressure to compromise with Morocco 
on the Western Sahara.  PM Jettou sounded the one optimistic 
note, recounting that Bouteflika had chided Venezuelan 
President Chavez for his strident anti-Americanism during the 
Arab-Latin American summit meeting last year in South 
America.  "That was the good Bouteflika," quipped Fassi 
Fihri. 
 
Libya 
----- 
 
¶16. (C)  In response to Jettou,s question regarding 
Libya, Rep. Lantos said that his upcoming visit to Tripoli 
would be his sixth visit in two years, and followed on a 
discussion two weeks earlier with Saif Qadhafi, who has the 
potential to be a positive force.  Jettou replied that he 
had visited Libya twice in the past year, and had noticed 
major changes in Libyan positions.  Last month he had 
received Libyan Prime Minister Shalgam, who had lived in 
Austria and the U.S. and, Jettou believed, is 
open-minded.   Jettou continued that the PM, whom he 
described as "wise and moderate...no complexes," was behind 
many of the reforms in Libya.  "We appreciate him 
extensively," Jettou concluded.   Lantos agreed with 
 
RABAT 00000029  004 OF 004 
 
 
Jettou,s assessment, noting that the Libyan PM had studied 
at Tufts University, where his chief of staff had also 
studied. 
 
Syria 
----- 
 
¶17.  (C)  Over lunch the two sides exchanged views on what 
had motivated former Syrian VP Khaddam to denounce the Assad 
regime in Syria.  While the conversation was mostly 
speculative, the Moroccans generally agreed that Khaddam was 
not making a play for leadership in Syria but rather was 
seeking to rehabilitate himself internationally.  In a later 
meeting with Rep. Lantos (septel), Benaissa termed Khaddam,s 
actions a "bomb" for the region, the repercussions of which 
were not yet fully understood. 
 
Economic Issues 
--------------- 
 
¶18. (C)  Turning to economic matters, Jettou 
expressed appreciation for Ambassador Riley,s efforts to 
help expand investment in Morocco.  Implementation of the 
reforms necessary for the FTA had not been easy for 
Morocco, but he was happy to have been able to fulfill his 
FTA commitments to the U.S.  Jettou then described Morocco,s 
four major economic objectives:  to liberalize the economy 
and increase Morocco,s attractiveness to 
international investors; to modernize industry to make 
Morocco competitive; to overcome "social deficits" 
including poverty, unemployment and lack of access to 
essential services for people in rural areas; and, to 
reduce public spending and make public enterprises more 
suitable for privatization. 
 
¶19. (C)  Comment:  The conversation was warm, 
cordial and substantive.  PM Jettou clearly recognized the 
importance of engagement with Congress, and the HIRC on 
which Rep. Lantos serves as ranking member, as critical to 
Morocco,s overall relationship with the U.S.  The GOM would 
undoubtedly welcome increased congressional interest in a 
resolution to the Western Sahara conflict on terms 
favorable to Morocco, given the Polisario,s success in 
attracting support from Members of Congress.  The GOM also 
will seek congressional support for rapid conclusion of a 
Millennium Challenge Account compact.  Jettou clearly took 
on board Rep. Lantos, emphasis on the value of establishing 
an Israeli office in Rabat, which is a subject we will 
continue to raise with the GOM.  End Comment. 
 
¶20. (C)  This cable was cleared with Rep. Lantos, party. 
 
****************************************** 
Visit Embassy Rabat's Classified Website; 
http://www.state.sgov.gov/p/nea/rabat 
****************************************** 
 
Riley