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TO RUEHC/SECSTATE WASHDC IMMEDIATE 0133
INFO RUEHBJ/AMEMBASSY BEIJING 1315
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RUEHKA/AMEMBASSY DHAKA 0610
RUEHIL/AMEMBASSY ISLAMABAD 1864
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RHMFISS/COMUSJAPAN YOKOTA AB JA
RHHMUNA/HQ USPACOM HONOLULU HI
RUEKJCS/SECDEF WASHDC

C O N F I D E N T I A L SECTION 01 OF 02 TOKYO 001570 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 03/22/2031 
TAGS: PREL PROV PTER NP JA
SUBJECT: VISITING U.S. AMBASSADOR TO NEPAL URGES MOFA'S 
CONTINUED COOPERATION ON STEPS TOWARD DEMOCRACY 
 
 
Classified By: Ambassador J. Thomas Schieffer.  Reasons:1.4(b/d). 
 
¶1. (C)  Summary:  Thanking Japan for its cooperation on 
Nepal, visiting U.S. Ambassador Moriarty stressed to his MOFA 
interlocutors on March 20 the importance of continued 
pressure on the King and political parties to cooperate on 
democratic reforms.  MOFA underscored its support for U.S. 
policy in Nepal and desire to cooperate closely with the USG. 
 Japan is prepared to use its ODA to support democracy and is 
considering how to best celebrate the 50th anniversary of 
Japan-Nepal relations under the current political 
circumstances.  End Summary. 
 
Cooperation on Nepal 
-------------------- 
 
¶2. (C)  During his March 20 visit to Japan, U.S. Ambassador 
to Nepal James Moriarty provided the U.S. assessment of the 
precarious political situation in Nepal and, in separate 
meetings, thanked MOFA Asian Affairs Bureau DG Kenichiro 
Sasae and Economic Cooperation Bureau DDG Kazuo Kodama for 
Japan's close cooperation.  He underscored the importance of 
the international community's continued pressure on the King 
to move toward democracy while urging the political parties 
not to cooperate with the Maoist insurgents.  DG Sasae and 
DDG Kodama each expressed their support for U.S. efforts in 
Nepal and stressed Japan's desire to cooperate with the 
United States. 
 
Japan Desires to be Helpful 
--------------------------- 
 
¶3. (C)  DG Sasae stated that Japan was taking a close look at 
its policy toward Nepal.  While Japan would continue its 
economic assistance, Tokyo wants to make an effective 
contribution to help resolve the complicated political 
situation.  Asked whether he thought there was any chance the 
Maoists would give up their armed struggle, Moriarty said 
there was currently no effective pressure on the rebels to do 
so.  He noted the importance of the next several weeks as 
both the Maoists and the parties took advantage of favorable 
weather conditions to press their respective agendas. 
Exploring the issue further, Sasae asked whether steps toward 
democracy by the King would open the way to talks between the 
King and the parties on one side and the Maoists on the 
other.  Moriarty said that a rapprochement between the King 
and the parties was a necessary but not sufficient condition 
with respect to addressing the Maoist insurgency.  Unless 
cooperation between the King and the parties led at some 
point to an effective counter-insurgency strategy, the 
Maoists were unlikely to abandon their quest for power, 
Moriarty stated. 
 
¶4. (C)  Japan prefers not to interfere with another country's 
domestic political situation, DG Sasae observed, but the 
situation in Nepal has Tokyo greatly worried.  Japan has 
begun to make public statements reflecting a harder line on 
the need to return to democracy.  Even Nepal's ambassador in 
Japan has quietly encouraged MOFA to continue such 
statements, Sasae confided.  Stressing that Japan wanted to 
be helpful, he asked for U.S. advice on what steps to take. 
Moriarty reiterated his thanks for Japanese cooperation.  He 
emphasized the importance of continuing pressure on the King 
and staying in close contact with the United States as we try 
to get both the King and the parties to work together and 
against the Maoists. 
 
Using ODA 
--------- 
 
¶5. (C)  DDG Kodama said Japan agreed with the U.S. position 
on the need for the King to reach out to the political 
parties and for the parties to engage the King.  However, 
neither side has made a commitment to move forward.  The King 
seems particularly stubborn, he observed.  Kodama noted 
Japan's willingness to use its ODA to support democracy. 
While not overestimating the influence of ODA, he thought 
that as the top donor in Nepal, Japan should have some "room 
for maneuver" in close cooperation with the United States and 
 
TOKYO 00001570  002 OF 002 
 
 
other interested countries.  Noting that one of the 
principles of Japan's ODA was to support democracy, Kodama 
averred that if the Kathmandu government failed to move in 
the right direction, Tokyo might have to end its economic 
assistance.  Therefore, Japan is taking a cautious approach 
on approving new assistance projects, he said.  Moriarty 
observed that Japan's long history of altruistic assistance 
has created a favorable impression among the Nepalese and 
gave Japan influence that other countries do not enjoy. 
 
Caution Toward Anniversary Celebration 
-------------------------------------- 
 
¶6. (C)  Former Prime Minister Hashimoto has close relations 
with Nepal's royal family and wants to be helpful in 
promoting Japan's relations with Nepal, Kodama related. 
There is some thought that PM Hashimoto would visit Nepal in 
September, possibly in connection with the 50th anniversary 
of Japan-Nepal relations.  However, Japan is evaluating the 
manner in which the anniversary should be celebrated in light 
of the complex political situation. 
 
¶7. (U)  Ambassador Moriarty has cleared this message. 
SCHIEFFER