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INFO RUCNCOM/EC CARICOM COLLECTIVE PRIORITY
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C O N F I D E N T I A L BRIDGETOWN 000194 
 
SIPDIS 
 
SIPDIS 
 
DEPARTMENT FOR WHA/CAR AND WHA/EPSC 
SOUTHCOM ALSO FOR POLAD 
 
E.O. 12958: DECL: 02/05/2017 
TAGS: PREL PGOV PINR ETRD ECON EAID CMGT GJ XL
SUBJECT: AMBASSADOR OURISMAN'S INTRODUCTORY VISIT TO GRENADA 
 
REF: A. BRIDGETOWN 23 
 
     ¶B. 06 BRIDGETOWN 1255 
 
Classified By: AMBASSADOR MARY OURISMAN FOR REASONS 1.4 (B) AND (D). 
 
¶1. (U) Summary:  On January 17-19, 2007, Ambassador Ourisman 
visited Grenada to present her credentials.  She conducted an 
initial round of meetings with Grenadian officials including 
the Prime Minister and the Acting Permanent Secretary in the 
Ministry of Foreign Affairs and International Trade, and 
members of the opposition.  Ambassador Ourisman also met with 
Peace Corps Volunteers.  End Summary. 
 
--------------------------- 
Ministry of Foreign Affairs 
--------------------------- 
 
¶2. (U) On January, 18, 2007, Ambassador Ourisman met with 
Oliver Joseph, Acting Permanent Secretary in the Ministry of 
Foreign Affairs and International Trade.  Joseph warmly 
welcomed the Ambassador to Grenada and thanked her for the 
assistance that the United States provided after Hurricane 
Ivan in 2005.  According to Joseph, the island nation has 
recovered 90 percent, but some work still remained.  Later in 
the discussion, Joseph returned to the theme of 
U.S.-Grenadian relations.  He said the United States is seen 
as a close friend, but sought to explain why that does not 
always translate into a closer alignment during votes in the 
UN and other international fora.  According to Joseph, in 
votes on committee or commission seats, the United States 
would receive Grenada's vote.  However, Grenada takes into 
account "other factors" when it comes to voting on issues 
such as Israel and Palestine.  (Note:  Grenada has 
consistently voted against issues and initiatives that the 
United States supports in the UN.  End Note.) 
 
¶3. (U) Joseph proceeded to describe some of the challenges 
that Grenada faces in the 21st century global economy. 
During the last fiscal year, border taxes accounted for 52 
percent of government revenue.  He expressed concern that 
global trends toward reduction of import duties would 
seriously impact revenues.  Joseph mentioned that Grenada 
would need a longer period of adjustment, but did not 
elaborate.  Starting October 1, 2007, Grenada will introduce 
a value added tax. 
 
¶4. (U) Grenada's economy depends heavily on the service 
sector, which accounts for 76 percent of GDP.  Grenada is not 
competitive in manufacturing, but has a slight edge in some 
commodities, including nutmeg and cocoa.  According to 
Joseph, remittances from citizens living abroad are the 
second largest contributor of foreign exchange after tourism. 
 
¶5. (C) Ambassador Ourisman underscored that the Advance 
Passenger Information System (APIS) legislation that is 
pending before the Grenadian parliament is the most immediate 
issue of interest to the USG.  Joseph blamed resource 
constraints for the delay.  According to Joseph the 
parliament has only one drafter of legislation.  (Note:  In 
June 2006, CARICOM provided model APIS legislation to all 
member countries hosting the Cricket World Cup. 
Consequently, Grenada's delay in passing the legislation can 
hardly be blamed on the sole, overworked legislative drafter, 
as Joseph claimed.  End Note.) 
 
---------------- 
Governor General 
---------------- 
 
¶6. (U) Following the meeting with Joseph, Ambassador Ourisman 
presented her credentials to Sir Daniel Charles Williams, the 
Governor General of Grenada.  After a brief ceremony, 
Ambassador Ourisman discussed post-hurricane reconstruction 
and U.S.-Grenadian relations. 
 
-------------- 
The Opposition 
-------------- 
 
¶7. (U) Ambassador Ourisman met with the leader of the 
opposition National Democratic Congress (NDC), Tillman 
Thomas.  Two other NDC members of parliament, Peter David and 
Glynis Roberts, joined the meeting.  Thomas thanked 
Ambassador Ourisman for U.S. support following Hurricane 
Ivan.  Thomas took this opportunity to criticize the Mitchell 
government for mismanagement of the reconstruction effort and 
for using the EC$100 million (USD37 million) in Chinese aid 
to build a cricket stadium instead of housing, schools, and 
police stations. 
 
¶8. (U) Betraying his frustration with the NDC's long spell in 
the opposition, Thomas suggested that the NDC would propose a 
constitutional amendment on term limits.  (Note: Prime 
Minister Mitchell has been in power since 1995.  End Note.) 
Thomas also hopes that the next election will end Mitchell's 
time in office.  (Note:  Elections may be called as early as 
May 2007, after the Cricket World Cup, but have to be called 
no later than January 2009.  End Note.)  Thomas thought the 
December 11 St. Lucian elections, in which the opposition 
unseated the ruling party, was a good omen (Ref A). 
 
¶9. (C) Thomas also stated that his party was concerned about 
the separation of powers in Grenada.  Peter David, a 
parliamentarian from St. George's, elaborated by noting the 
stalled government inquiry into the "briefcase" incident (Ref 
B), in which Prime Minister Mitchell allegedly accepted a 
bribe.  David complained that even though the Governor 
General appointed a commission of inquiry, the Attorney 
General has refused to cooperate.  David asked whether the 
videotape, which is currently in the possession of the USG 
and allegedly shows Mitchell accepting a bribe, could be 
turned over to Grenadian government officials, meaning the 
NDC parliamentary opposition.  Embassy St. George's Principal 
Officer, who accompanied the Ambassador to the meeting, 
suggested that the NDC submit their request in writing and 
she would forward it to the Department of State for guidance. 
 
¶10. (U) At the close of the meeting, Ambassador Ourisman 
brought up the issue of APIS legislation and asked that the 
NDC work with the government to ensure speedy passage of the 
bill.  David said that the opposition had no problems with 
the legislation. 
 
----------------------- 
Prime Minister Mitchell 
----------------------- 
 
¶11. (U) Like other Grenadian officials, Mitchell began by 
thanking the Ambassador for the help the United States gave 
after Hurricane Ivan.  He fondly remembered receiving a call 
from President Bush from Air Force One and meeting with 
then-Secretary of State Powell to brief him personally on the 
situation in Grenada.  While Mitchell was appreciative of the 
U.S. assistance, he suggested that the United States could do 
more to help Grenadians to study in the United States. 
Mitchell recalled the Reagan scholarships from the 1980's and 
wished that they were still available.  (Note: Prime Minister 
Mitchell holds degrees from both Howard and American 
Universities.  End Note.)  While he wished that more 
Grenadians could benefit from U.S. education, he also 
expressed regret that very few Grenadians returned home at 
the completion of their studies in the United States. 
 
¶12. (C) Mitchell also aired his complaints about some of 
Grenada's citizens who do return, namely the deportees from 
the United States.  He said that he had personal knowledge of 
Grenadians deported from the United States to Grenada after 
serving prison sentences, who became gang leaders once back 
in Grenada.  Mitchell also brought up a meeting that he had 
just concluded with Michael Welsh, the Canadian High 
Commissioner.  According to Mitchell, he raised with Welsh 
concerns that the fight against terrorism was sapping 
resources and attention from combating drug trafficking in 
the region. 
 
¶13. (U) Ambassador Ourisman discussed with Mitchell the 
importance of passing the APIS legislation as quickly as 
possible.  Unlike Joseph, Mitchell blamed Grenada's inaction 
on the parliament's lack of a meeting space.  The parliament 
building was destroyed in Hurricane Ivan, and the members of 
parliament currently meet in an expo center. 
 
------- 
Comment 
------- 
 
¶14. (C) Ambassador Ourisman's first trip to Grenada did not 
reveal any surprises.  Mitchell brought up additional U.S. 
assistance and deportations, which are common themes for most 
leaders in the Eastern Caribbean.  Despite the government's 
professions of friendship with the United States, the country 
has eagerly opened itself not only to Chinese and Venezuelan 
aid, but also their influence. 
 
¶15. (C) The opposition clearly hopes to capitalize in the 
next election on the current weakness of the Mitchell 
government.  We suspect that the NDC's interest in the 
videotape of the briefcase incident is in large part 
motivated by their desire to discredit Mitchell even further. 
 Given the slim one-seat majority Mitchell's party holds in 
the parliament and the closeness of the last election (one 
parliamentary seat was decided by a margin of six votes), the 
NDC seems well poised to take control in the next election. 
OURISMAN