VZCZCXRO5497
OO RUEHBC RUEHDE RUEHKUK RUEHROV
DE RUEHKU #0430/01 0851321
ZNY CCCCC ZZH
O 261321Z MAR 07
FM AMEMBASSY KUWAIT
TO RUEHC/SECSTATE WASHDC IMMEDIATE 8590
INFO RUEHEE/ARAB LEAGUE COLLECTIVE PRIORITY

C O N F I D E N T I A L SECTION 01 OF 03 KUWAIT 000430 
 
SIPDIS 
 
SIPDIS 
 
STATE FOR NEA/ARP, NSC FOR RAMCHAND 
 
E.O. 12958: DECL: 03/26/2022 
TAGS: PGOV PREL KISL KU NATIONAL ASSEMBLY
SUBJECT: NEW CABINET FORMED: SIX NEW MINISTERS, TWO WOMEN, 
AND ONE RIHS LEADER 
 
REF: KUWAIT 317 
 
Classified By: Ambassador Richard LeBaron for reasons 1.4 (b) and (d) 
 
¶1.  (C) Summary and comment: After three weeks of 
consultations, the Prime Minister announced March 25 the 
formation of a new Cabinet, which includes six new ministers 
and, for the first time in Kuwait's history, two women.  The 
Cabinet reshuffle is unlikely to affect significantly any key 
U.S.-Kuwait bilateral issues.  Critical portfolios such as 
Defense, Interior, Oil and Foreign Affairs remain with 
long-serving ruling family members.  The Cabinet also 
includes three Islamists, among them a founding member of the 
Revival of Islamic Heritage Society (RIHS).  Most observers 
see the long negotiation period and its outcome as an attempt 
by the Amir to strike a stable balance among the competing 
political factions that emerged emboldened from parliamentary 
elections last June.  One prominent human rights activist 
said the Prime Minister's consultations represented a 
"turning point" in Kuwait's political process by recognizing 
the important role played by political blocs both inside and 
outside Parliament.  Some contacts agreed that this was a 
"stable," "non-confrontational" Cabinet that could work more 
effectively with Parliament, while others argued that the 
appointment of individuals from opposite ends of Kuwait's 
political spectrum could create problems that would lead to a 
quick collapse.  We believe it unlikely that the personnel 
changes alone will be enough to improve the Parliament's 
rocky relationship with the Government.  Unless the 
Government exercises stronger leadership, the cycle of 
confrontation with Parliament will likely continue and come 
to a head once again in the fall.  End summary and comment. 
 
Long Wait Over for New Cabinet 
------------------------------ 
 
¶2.  (C) Prime Minister Shaykh Nasser Mohammed announced March 
25 the formation of a new Cabinet that included six new 
ministers, five ruling family members, two parliamentarians, 
two women, two Shi'a, and three Islamists, including one 
Salafi, who according to several contacts is one of the 
founding members of the Revival of Islamic Heritage Society 
(RIHS), a Kuwait-based Salafi Islamic charity whose branches 
in Afghanistan and Pakistan were designated by the U.S. and 
UN in 2002 for involvement in terrorist financing activities. 
 Dr. Ismail Al-Shatti, a controversial minister affiliated 
with the Islamic Constitutional Movement (ICM), the political 
arm of the Kuwaiti Muslim Brotherhood, was not re-appointed, 
but the ICM's Official Spokesman was appointed instead, 
giving the ICM official representation in Cabinet.  (Note: 
The ICM claimed during his tenure that Al-Shatti had been 
expelled from the organization, but then strongly lobbied for 
his re-appointment.  End note.)  The Energy Ministry was 
split into an Oil Ministry and a Ministry of Electricity and 
Water, reflecting the need to give greater attention to both 
files.  The Ministry of Public Works was separated from the 
Housing Ministry.  The new Cabinet is expected to be sworn in 
before Parliament on April 2.  (Note: This is a formality; 
Parliament has no role in approving the ministers.  End note.) 
 
¶3.  (C) The Prime Minister's announcement came after an 
unusually long consultation period, an indication of the 
ruling family's uncertainty about how to handle the 
increasingly assertive Parliament.  Another reason for the 
delay was the reluctance of many prominent Kuwaitis to join 
the Cabinet, marking them as a target for opposition 
parliamentarians.  MG Saber Al-Suwaidan told Emboffs March 25 
that one of his friends, a former minister, had been offered 
the post of Deputy Prime Minister and was told he could 
choose three ministers himself, but still turned down the 
position.  Other contacts told us they were offered 
ministerial portfolios, but declined, preferring to retain 
their current positions rather than face a potentially 
unpleasant confrontation with Parliament. (Note: It was 
Parliament's attempts to interrogate, or "grill," members of 
the previous Government that led to its collapse.  End note.) 
 
Generally Positive Reaction, Despite Some Concerns 
--------------------------------------------- ----- 
 
¶4.  (C) Immediate reactions to the new Cabinet were generally 
positive.  Liberal MP Ali Al-Rashed, speaking to local press 
on behalf of Parliament's 8-member National Action Bloc, 
expressed support for the new Cabinet and said it was 
"satisfactory."  Shi'a MP Ahmed Lari from the 7-member 
Popular Action Bloc similarly expressed support for the new 
Cabinet.  Shi'a political leader Abdul Hussein Al-Sultan told 
Political Specialist the Cabinet incorporated people from a 
variety of different political groups, and was therefore 
"non-confrontational" and "insulated from grillings." 
 
KUWAIT 00000430  002 OF 003 
 
 
Prominent human rights activist Ghanem Al-Najar told local 
press that the Prime Minister's consultations were the first 
of their kind and represented an implicit recognition of the 
expanding role of political blocs in Kuwait's political 
system.  He believed the inclusion of ministers linked to 
various political blocs made the Cabinet "stable," but said 
the challenge now was for the Government to outline a 
development strategy acceptable to Parliament. 
 
¶5.  (C) Some Kuwaitis, however, were less enthusiastic about 
the new Government.  ICM Political Relations Chief Mohammed 
Al-Dallal praised the expanded involvement of the political 
blocs in the Cabinet formation process, but criticized the 
Prime Minister for choosing individuals and not a team. 
Ibrahim Al-Marzouk, an Islamist Parliament staffer, told 
Poloff he was "shocked" that two "extremists" -- Minister of 
Education Nouriya Al-Sabih ("extreme liberal") and Minister 
of Communications Shireeda Al-Mousharji ("extreme 
conservative") -- were appointed to the Cabinet.  He claimed 
Al-Mousharji was "one of the three main leaders of RIHS," 
along with Tareq Al-Issa and Khaled Sultan.  Al-Marzouk said 
the Cabinet was "really backwards" compared to previous ones 
and "many people have the impression that it will not last." 
 
Economic Impact 
--------------- 
 
¶6.  (C)  From an economic standpoint, the new line-up does 
not portend any significant changes in policy though some of 
the realignments could significantly impact management and 
execution.  Two key portfolios -- Commerce/Industry and 
Finance -- remain unchanged.  The Minister of Social Affairs 
and Labor, an important contact on terrorism financing and 
the regulation of charities, is also unchanged.  The shift to 
the health portfolio of former Communications Minister Dr. 
Ma'souma Al-Mubarak, a strong ally on aviation and telecom 
issues for us, is a loss to the Communications Ministry but 
will likely improve management at the Health Ministry, 
especially with regard to Avian Flu response.  His "extreme 
conservatism" notwithstanding, new Communications Minister 
Al-Moushirji appears to lack credentials, apart from his U.S. 
education, in the key communications portfolios.  His 
professional background may be better suited to his 
dual-hatted role as Minister of State for Parliamentary 
Affairs and will likely diminish his oversight of 
communications issues. 
 
¶7.  (C)  The splitting of the energy portfolio into oil and 
electricity/water was expected and is a positive development 
that should allow the Oil Minister to focus on the critical 
issues of increasing oil and gas production (hopefully by 
inviting more assistance from international oil companies) 
without being bogged down by this summer's impending 
electricity and water shortages.  The new Minister for 
Electricity and Water, Mohammed Al-Elaim, is an Islamist who 
will immediately be confronted with an electricity and water 
crisis likely to start in early June and extend through 
August.  At this point, there are no longer any supply-side 
measures the Minister can take before the summer to avoid 
major disruptions, which are the result of years of 
underinvestment and unrestrained growth in consumption. 
Perhaps the Minister's strong engineering background will 
enable him to better identify and implement medium and 
long-term solutions to avoid further outages from 2008 
onward.  It is noteworthy that the Housing and Public Works 
portfolios have been split, and that Public Works is now 
being combined with Municipal Affairs.  Municipal Affairs is 
responsible for the planning and permitting involved in major 
development projects whereas Public Works is responsible for 
execution.  Ideally, the combination could result in better 
coordination, reduced bureaucracy, and faster implementation. 
 The new Minister of Public Works and Municipal Affairs, 
Moussa Al-Sarraf, has a strong background in civil 
engineering and urban planning and is well respected by 
career professionals within the ministries. 
 
¶8.  (C)  The separation of Housing is a mixed blessing.  The 
Housing Ministry is responsible not only for planning new 
housing developments but also for managing Kuwait's bloated 
subsidized housing program for Kuwaiti citizens.  The 
separation could liberate the Public Works Ministry from the 
onerous and politically-charged task of assigning homes and 
managing citizens, complaints about housing, but the 
separation could also result in weaker coordination in the 
planning and construction of new housing developments and the 
infrastructure required to support them. 
 
Composition of New Cabinet 
-------------------------- 
 
 
KUWAIT 00000430  003 OF 003 
 
 
¶9.  (C) -- Prime Minister (No Change): Shaykh Nasser Mohammed 
Al-Ahmed Al-Jaber Al-Sabah 
 
-- First Deputy Prime Minister, Minister of Defense, and 
Minister of Interior (No Change): Shaykh Jaber Al-Mubarak 
Al-Hamad Al-Sabah 
 
-- Deputy Prime Minister and Minister of Foreign Affairs (No 
Change): Shaykh Dr. Mohammed Al-Sabah Al-Salem Al-Sabah 
 
-- Deputy Prime Minister and State Minister for Cabinet 
Affairs (New): Faisal Mohammed Al-Hajji, a prominent liberal 
and former Minister of Social Affairs and Labor. 
 
-- Minister of Finance (No Change): Bader Al-Humaidhi 
 
-- Minister of Oil (New): Shaykh Ali Al-Jarrah Al-Sabah, 
previously Minister of Energy. 
 
-- Minister of Communications and State Minister for National 
Assembly Affairs (New): Shireeda Abdullah Saad Al-Mousharji, 
previously the Administrative Secretary of the National 
Assembly, a position he was allegedly promoted to as part of 
a deal MP Ahmed Saadoun made with Salafi politicians when he 
was Speaker of Parliament.  Al-Mousharji received a master's 
degree in Business Administration from Hartford University, 
Connecticut in 1980. 
 
-- Minister of Social Affairs and Labor (No Change): Shaykh 
Sabah Al-Khaled Al-Sabah 
 
-- Minister of Information (New): Abdullah Saud Al-Muhailbi, 
previously the State Minister for Municipal Affairs.  He is 
from the Awazim tribe. 
 
-- Minister of Justice and Minister of Awqaf and Islamic 
Affairs (No Change): Dr. Abdullah Maatouq Al-Maatouq, a 
moderate Islamist with Sufi leanings. 
 
-- Minister of State for Housing Affairs (New): Abdul Wahid 
Al-Awadi, a pro-Government MP. 
 
-- Minister of Commerce and Industry (No Change): Falah Fahad 
Mohammed Al-Hajeri, an Islamist MP from the Hawajer tribe. 
 
-- Minister of Electricity and Water (New): Mohammed Abdullah 
Al-Elaim, the Official Spokesmen of the ICM and a former MP. 
He is from the Mutair tribe. 
 
-- Minister of Health (New): Dr. Ma'souma Al-Mubarak, 
previously Minister of Communications.  She is one of two 
Shi'a in the Cabinet. 
 
-- Minister of Public Works and Minister of State for 
Municipal Affairs (New): Moussa Hussein Abdullah Al-Sarraf, a 
career bureaucrat in the Municipal Council.  Al-Sarraf is one 
of two Shi'a in the Cabinet.  He received a degree in Civil 
Engineering from the University of Toledo, Ohio. 
 
-- Minister of Education and Minister of Higher Education 
(New): Nouriya Al-Sabih, a prominent liberal and a former 
Assistant Undersecretary at the Ministry of Education. 
Al-Sabih is one of two women in the Cabinet and is well known 
to the Embassy PD section from her previous post at the 
Ministry. 
 
¶10.  (U) Full bios on the new Cabinet members will be 
available on our classified website March 27. 
 
********************************************* * 
For more reporting from Embassy Kuwait, visit: 
http://www.state.sgov.gov/p/nea/kuwait/?cable s 
 
Visit Kuwait's Classified Website: 
http://www.state.sgov.gov/p/nea/kuwait/ 
********************************************* * 
LeBaron