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FM USMISSION USUN NEW YORK
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UNCLAS SECTION 01 OF 02 USUN NEW YORK 002164 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PREL PGOV IZ
SUBJECT: IRAQ COMPACT: UPDATING UN MEMBER STATES ON 
NOVEMBER 13 
 
¶1. (U) Summary: On November 13, the UN invited all 
member-states to an update on the Iraq Compact.  Over 70 
countries heard remarks from Iraqi Minister of Planning Ali 
Baban, Deputy Secretary General Mark Malloch Brown, and UNDP 
Associate Administrator Ad Melkert.  All three speakers said 
the Iraq Compact document was nearly complete, and 
underscored that the Compact would be a core component of 
Iraq,s relationship with the international community.  The 
EU, Turkish, Australian, Korean, Canadian and UK delegations 
were very supportive of the Compact.  Egypt and Iran, while 
supporting the Compact, said the process must be accompanied 
by political benchmarks, and called for the withdrawal of 
"foreign troops." End summary. 
 
¶2. (U) Deputy Permanent Representative Alex Wolff led the 
U.S. delegation, and was accompanied by Treasury DAS Ahmed 
Saeed and USUN POL Peter Kujawinski (note taker).  Over 70 
countries participated, including all members of the 
Preparatory Group, Turkey, Australia and Iran. 
 
----------------------- 
UN, IRAQI PRESENTATIONS 
----------------------- 
 
¶3. (U) Deputy Secretary General Mark Malloch Brown began the 
session by noting that Iraq is at a critical juncture, and 
the broad support of the international community is vital for 
Iraq,s success.  The Iraq Compact document, said Brown, is 
nearly finalized, and is characterized by a common commitment 
and vision shared by Iraq and the international community. 
Iraqi Minister of Planning Ali Baban also noted that the 
document was nearly complete, and described the Compact 
process as a vehicle for Iraq to regain its "lofty place" 
among nations.  He said that the Iraqi government is 
encouraging private sector investment, reform of the 
hydrocarbon sector, and is working towards a free market 
economy.  Baban called for countries to forgive all Iraqi 
debt.  Baban specifically thanked China for its support, and 
noted the importance of Turkey and Iran as Iraq's neighbors. 
 
¶4. (U) In his intervention, associate UNDP Administrator Ad 
Melkert said the Compact is significant in that it reflects a 
new Iraqi consensus in support of economic reform.  He also 
emphasized the interlinking of political, security and 
economic reforms, and the need to restore regional ties and 
normalize Iraq,s international relations.  He was pointed in 
stating that the Compact is not based on conditionality.  He 
closed by stating that while the Compact document needed to 
pay proper attention to political and security benchmarks it 
was nearly complete. 
 
---------------------- 
MEMBER STATE RESPONSES 
---------------------- 
 
¶5. (U) The Egyptian PermRep noted that the second draft of 
the Compact document was much improved. He noted, however, 
that there was no timeframe for the removal of foreign troops 
from Iraq in the Compact. Also, he noted that Iraq was a 
"rich country" and asked how much Iraq would contribute to 
the work of the Compact. Iran, in a less tendentious 
statement than Egypt's, said it stood by to help Iraq, was 
very worried about violent activities in that Iraq, and 
supported Egypt,s call for a timeline regarding the 
withdrawal of foreign troops.  Turkey and Australia voiced 
their support for Iraq and the Compact, noted that they were 
not part of the Preparatory Group, and said they are ready to 
assist the Compact process.  Italy stressed that it was "a 
very convinced supporter of the International Compact with 
Iraq" and that this was a "unique change to rationalize the 
international communities commitment to Iraq," while also 
noting that it was important the Compact not be limited to 
economic issues.  The Kuwaiti delegate expressed continued 
strong support for the Compact.  The EU noted that it 
commends the work to date on the Compact and is very pleased 
with the Compact document, which has incorporated many of the 
comments expressed by the EU and others. The UK voiced 
support for the Compact and called for reporting on and 
monitoring of the national reconciliation plan.  The U.S. 
expressed its appreciation for Baban,s speech, and called on 
all member states to support the Compact, noting that Iraq 
had worked hard to manage an open and transparent process 
while also satisfying its urgent need for progress on the 
Compact.  South Korea also expressed their strong support for 
Iraq and the Compact, noting that it was successful in 
disbursing 70% of its $260 million Madrid pledge through use 
of multilateral vehicles. 
 
¶6. (U) In reaction to these interventions, Baban said that 
Iraq and the coalition were working towards the withdrawal of 
foreign forces, and progress in the security area would help 
 
USUN NEW Y 00002164  002 OF 002 
 
 
in this regard.  Baban agreed that political and security 
issues certainly affect economic development and that 
progress in these areas will certainly help Iraq,s economic 
situation.  (Note: Baban did not, however, support the call 
to benchmark political and security issues.  End note) 
 
¶7. (U) In concluding remarks, Malloch Brown said Baban,s 
presence at the meeting demonstrates Iraq,s commitment to 
the Compact and to the Compact,s spirit of openness and 
transparency.  He said that the Preparatory Group,s 
activities were coming to an end, and the Compact would soon 
be an open process that welcomes the contributions of all 
member states.  Malloch Brown added that the Compact is a 
process that depends on the evolution of other discussions, 
and "one eye" is on the discussions in Washington and on 
possible changes in policy that may or may not occur. 
Discussions in Baghdad will also have an impact, said Malloch 
Brown.  As a final note, he said it is important for Iraq,s 
neighbors to be transparent in their support of Iraq. 
BOLTON