VZCZCXRO6120
RR RUEHLMC
DE RUEHLGB #1199/01 3491015
ZNR UUUUU ZZH
R 151015Z DEC 06
FM AMEMBASSY KIGALI
TO RUEHLMC/MILLENNIUM CHALLENGE CORP 0029
RUEHC/SECSTATE WASHDC 3573
INFO RUEHJB/AMEMBASSY BUJUMBURA 1599
RUEHDR/AMEMBASSY DAR ES SALAAM 0798
RUEHKM/AMEMBASSY KAMPALA 1504
RUEHKI/AMEMBASSY KINSHASA 0159
RUEHNR/AMEMBASSY NAIROBI 0705
RUEHNM/AMEMBASSY NIAMEY 0047
RUEHFR/AMEMBASSY PARIS 0190

UNCLAS SECTION 01 OF 02 KIGALI 001199 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PREL EAID KMCA RW
SUBJECT: MCC VISIT TO RWANDA A SUCCESS 
 
 
¶1.  (SBU) Summary.  From December 10-12 a Millennium 
Challenge Corporation (MCC) delegation held an intensive 
round of meetings with GOR officials, local and international 
NGOs (including USAID partners), the private sector, the 
media, and heads of diplomatic missions in Kigali.  The MCC 
team introduced the Threshold Program, sampled opinion on 
progress within Rwanda on democracy and governance issues, 
and reached agreement with the GOR on the general outlines of 
a Threshold Program Concept Paper.  In a separate delegation 
meeting with President Kagame, he expressed enthusiasm for 
the program, and pledged his government's best efforts to 
secure a viable Threshold Country Plan.  End summary. 
 
¶2.  (SBU) MCC Vice President for Policy and International 
Relations Maureen Harrington, Threshold Program Director 
Malik Chaka and Development Policy Officer Alicia Mandaville 
met with senior GOR officials, local and international NGOs, 
local print and broadcast media, area business leaders, 
Parliamentary leaders, and head of diplomatic missions with 
significant donor programs.  They introduced the MCC 
Threshold Program and explored Rwanda's performance and 
prospect for improvement on various MCC indicators, 
particularly the six Ruling Justly categories. 
 
¶3.  (SBU) The MCC team met initially with a GOR MCC team led 
by Presidential Advisor Francis Gatare, which included senior 
representatives from the ministries of Justice, Commerce, 
Local Government, Foreign Affairs and Finance, as well as 
other government offices and civil society.  Harrington 
offered a detailed review of the Threshold program.  She 
explained the opportunity Rwanda had to build a Theshold 
program that raised its scores relative to its peers with 
targeted assistance and focused reform efforts, and reviewed 
with Chaka and Mandaville Rwanda's specific shortfalls on 
various indicators.  To receive endorsement from the MCC's 
Investment Committee, and, ultimately, its Board, she said, 
the GOR had to present a package of policy reforms and 
specific program initiatives that gave promise of better 
performance on the indicators.  GOR interlocutors, while 
questioning the accuracy of certain scores, accepted the 
necessity of working to raise Rwanda's Ruling Justly 
indicators.  Gatare noted the GOR had constituted an internal 
drafting team, as well as a ministerial-level review body, 
and he proposed regular contact with mission and MCC 
personnel as the government worked toward a finished draft of 
a Concept Paper. 
 
¶4.  (SBU) In other meetings with civil society, local media, 
and heads of mission of other donor governments, the MCC team 
explored Rwandan performance on governance and democracy 
issues.  For example, local NGOs stated that they are 
generally free to pursue their objectives and are regularly 
consulted by the GOR on policy issues, but have major 
capacity problems.  They also complained of the burdensome 
nature of registration requirements with local and national 
authorities.  International NGOs, noting that the government 
often takes criticism badly, called for increased 
consultation with civil society by the GOR, and an opening of 
additional political space to allow for the increased 
expression of policy differences from various sectors of 
society.  They also emphasized the need to build existing 
institutions, such as the Auditor General and Parliament, as 
a counterweight to the executive branch, as well as build the 
civil society base for a resilient democracy.  Private Press 
representatives explored at length the difficult business 
environment they faced in a small media market with expensive 
production costs, while noting that their ability to function 
freely and express critical points of view had increased 
steadily from year to year. Heads of donor governments 
generally expressed support for the reform agenda of the 
Rwandan government. 
 
¶5.  (SBU) At a private sector lunch, local business 
representatives urged implementation of a commercial court 
(note: which the government is in the process of 
establishing), said corruption was not a serious problem 
(although commenting that there was petty corruption at 
customs offices), and spoke on the difficulty of carrying on 
their activities in an small, isolated economy with poor 
infrastructure and limited human capital.  At Parliament, 
senators and deputies said that they had successfully amended 
executive branch bills as part of their oversight function, 
but asked for support for their institution, particularly 
those oversight efforts in reviewing executive branch 
 
KIGALI 00001199  002 OF 002 
 
 
performance.  In discussing the political party forum, the 
parliamentarians commented that body met every few months, 
was a broad policy review mechanism, and did not dictate 
day-to-day activities to any of the member political parties. 
 
¶6.  (SBU) Informal but detailed exchanges on potential 
components of a Threshold Country Plan came at several social 
events, including a welcoming dinner at the Ambassador's 
residence, and a lunch hosted by the Minister of Finance. 
GOR representatives expressed openness to such reforms as the 
repeal of criminal libel statutes in favor of a purely civil 
libel law regime, a new definition of "divisionism" to avoid 
overly broad application and dispel concerns about vagueness, 
and an energized and effective judiciary, sure of its 
independence and able to adjudicate criminal and civil 
matters in a timely matter. 
 
¶7.  (SBU) On December 11, the MCC team and Ambassador met 
with President Kagame, who welcomed them enthusiastically, 
and expressed his personal support for the Threshold Program 
endeavor.  Kagame noted that Rwanda wished for a 
comprehensive "review" of its reform and governance agenda, 
mentioning its Vision 2020 goals and the NEPAD African Peer 
Review Mechanism.  Rwanda wanted to "move forward," he said, 
and this required a "convergence" of approaches.  For 
example, civil society, he said, was welcome to debate issues 
and discuss opportunities and impediments to reform.  It was 
an error in attitude, he said, to assume that if an idea did 
not come from "your own side," it had to be opposed. 
Ownership of the reform agenda was key to sustainability, he 
said, and the GOR wanted effective aid, with lasting value. 
"We feel the pain of poverty, the pain of disease, among our 
people," he said.  Rwanda had "a sense of urgency," he said, 
and the GOR wanted to be challenged and supported. 
Harrington replied that MCC came to Rwanda in a spirit of 
partnership, and a recognition that the program had to be 
designed and endorsed by Rwanda.  Ambassador added that the 
MCC Threshold program should be seen as a tool, to be used to 
spur reform and advance Rwanda's own policy agenda. 
 
¶8.  (SBU) At an outbrief session chaired by the Minister of 
Finance, also attended by the Ministers of Foreign 
Cooperation and  Justice, the GOR team pledged to share 
drafts of their concept paper with the USG mission and with 
MCC.  "We will meet the February 15 deadline for the concept 
paper," said France Gatare.  MCC offered to share contact 
information for "indicator organizations" that independently 
assess the Rwandan performance, to enable the GOR to keep 
these organizations abreast of its reforms.  Harrington 
briefly reviewed some of the potential reform items the GOR 
could consider for its Threshold Program.  The GOR team 
assured the three MCC officials and Ambassador Arietti that 
they understood their role and their responsibilities, and 
would strive to produce an acceptable Concept Paper. 
 
¶9.  (SBU) Comment.  The GOR fielded a very senior team, and, 
despite some occasional sniping at its MCC report card, 
appreciated the need to assemble an effective and focused 
Concept Paper for MCC evaluation, and to look for ways to 
raise its scores with an effective reform program.  President 
Kagame appeared engaged and well-informed, and offered 
partnership and cooperation, as his government pursues its 
reform agenda.  The proof will be in the Concept Paper 
pudding, but the MCC's first visit was a clear success.  End 
comment. 
 
¶10.  (U)  This cable was not cleared with the MCC team. 
ARIETTI