VZCZCXRO0587
PP RUEHBC RUEHDE RUEHIHL RUEHKUK RUEHMOS
DE RUEHMK #0936/01 1500609
ZNY CCCCC ZZH
P 300609Z MAY 06
FM AMEMBASSY MANAMA
TO RUEHC/SECSTATE WASHDC PRIORITY 4822
INFO RUCNRAQ/IRAQ COLLECTIVE
RHBVAKS/COMUSNAVCENT
RHMFISS/HQ USCENTCOM MACDILL AFB FL

C O N F I D E N T I A L SECTION 01 OF 02 MANAMA 000936 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 05/29/2016 
TAGS: PREL PGOV PHUM IR IZ BA OFFICIALS BILAT
REGION, POL 
SUBJECT: DPM SHAIKH MOHAMMED DISCUSSES IRAN, IRAQ, NDI WITH 
AMBASSADOR 
 
 
Classified By: Ambassador William T. Monroe.  Reasons: 1.4 (b)(d) 
 
¶1. (C) Summary. In a May 29 meeting with the Ambassador, DPM 
Shaikh Mohammed welcomed continued dialogue on Iran, saying 
it would be vital to get as accurate intelligence as we can 
on Iran's nuclear program.  On Iraq, he urged that new Iraqi 
ministers make a greater effort to reach out to their 
Bahraini and GCC counterparts to look for areas of 
cooperation and help counter the steady stream of bad news 
that Gulf citizens receive daily via television and 
newspapers.  He said that Bahraini ministers were reluctant 
to travel to Baghdad until the security situation improved. 
On NDI's recent closing in Bahrain, he put the blame squarely 
on NDI's local director, saying that -- from the government's 
perspective -- he focused his efforts on supporting the 
opposition, not on developing democracy.  Shaikh Mohammed 
discussed the 2007-08 national budget, noting its stress on 
housing, efficient government (notably e-government), and 
vocational education. Everyone recognizes that "we have 
broken the back of the unemployment problem," he stated.  End 
summary. 
 
¶2. (C) Deputy Prime Minister Shaikh Mohammed bin Mubarak 
Al-Khalifa opened the May 29 meeting with the Ambassador by 
expressing his regret that he was not able to meet with the 
delegation headed by PM Assistant Secretary Hillen and 
Principal Deputy Undersecretary of Defense Henry during their 
May 14 visit to Bahrain.  He had been briefed by Crown Prince 
Shaikh Salman on the discussions, and welcomed continued 
exchanges between our two countries in the coming months on 
Iran.  The Ambassador said that he expected we would have a 
regular flow of visitors interested in discussing Iran in the 
coming months, and hoped to launch a more formal Gulf 
Security Dialogue with countries in the region.  Shaikh 
Mohammed welcomed this, adding that it would be important to 
work together to avoid the two worst-case scenarios -- Iran 
getting a nuclear weapon capability or war to prevent that 
from happening.  As we move forward, he added, it will be 
vital to get as much accurate intelligence as we can about 
what Iran is really up to. 
 
¶3. (C) On Iraq, the Ambassador expressed surprise that 
Bahrain had not publicly welcomed the announcement of the new 
Iraqi government.  Shaikh Mohammed, who is no longer Foreign 
Minister, was not sure why there had been no statement of 
welcome, but said that we should not read any significance in 
that.  "Every step of the way," he said, "Bahrain had 
welcomed positive moves in Iraq."  He urged that the new 
Iraqi leadership and ministers make a greater effort to reach 
out and contact their Bahraini and Gulf counterparts.  It did 
not make sense that Iranian ministers have been much more 
active and aggressive than Iraqi ministers in contacting 
their Bahraini colleagues.  With the formation of the new 
government in Iraq, the new ministers should come to the Gulf 
to help build confidence in the new Iraq.  They should 
contact Bahraini ministers and tell them what they need. 
 
¶4. (C) Bahrainis, Shaikh Mohammed continued, do not know what 
to believe about Iraq, basing all their information on 
television and news reports.  "All we hear are the bad 
things, but if Iraqi ministers come to Bahrain they can tell 
the people that there is more happening in Iraq than what 
they read in the newspapers."  As for Bahraini ministers 
traveling to Baghdad, Shaikh Mohammed was more cautious. 
Citing the attempted kidnapping and wounding of the Bahraini 
charge d'affaires last year, and the recent kidnapping of a 
UAE diplomat, he said Bahraini ministers were extremely 
reluctant to go to Baghdad.  "No," he stated, "the Iraqis 
should come to us."  The Ambassador urged that Bahrain look 
for opportunities to invite Iraqi officials to Bahrain. 
 
¶5. (C) The Ambassador asked Shaikh Mohammed for his views on 
the NDI problem (recent closing of the NDI office in Bahrain 
and departure of the office's director) and the way forward. 
Shaikh Mohammed said that, unfortunately, NDI got off on the 
wrong foot in Bahrain from the beginning when it established 
itself in an irregular manner through the palace.  Then, it 
sent to Bahrain the wrong person, who from the point of view 
of the government focused his efforts on supporting the 
opposition, not on developing democracy.  When Bahrain set up 
its own organization to promote democracy (Bahrain Institute 
for Political Development), NDI's director was unable to work 
with it.  Shaikh Mohammed said that Bahrain should have tried 
to remove the NDI director a long time ago.  "We believe as a 
government that he was the source of the problem.  He took 
sides.  He was not helping." 
 
¶6. (C) Asked how we should move forward, Shaikh Mohammed said 
that he was not directly involved in the issue, but suggested 
 
MANAMA 00000936  002 OF 002 
 
 
that NDI send a new person out to discuss and work out 
arrangements. 
 
¶7. (C) As Deputy Prime Minister for Ministerial Committee 
Affairs, Shaikh Mohammed has played an active role in helping 
prepare the 2007-2008 national budget, which was approved by 
the Cabinet and forwarded to the parliament on May 28.  He 
wanted to highlight three areas that he felt were 
particularly important.  First, there is the emphasis on 
housing.  Until recently, unemployment had been the major 
concern, and a source of recurring demonstrations, but now, 
he said, everyone recognizes that "we have broken the back of 
the unemployment problem."  The focus will shift to 
eliminating the housing shortage.  Second, a major effort 
will be launched to make government more efficient and 
productive.  A key component would be serious development of 
e-goverment, something that has been talked about for years 
in Bahrain with little result so far.  Shaikh Mohammed said 
he was heading a committee to push e-goverment, developing 
systems to facilitate its use, for example, with vehicle 
registration and payment of electricity bills, and 
encouraging people to actually use it.  Price Waterhouse has 
been hired as an advisor for this project.  Third, the budget 
will focus on education, with increased emphasis on 
vocational skills --something that has been seriously 
neglected in Bahrain. 
MONROE