VZCZCXRO7897
PP RUEHBC RUEHDA RUEHDE RUEHIHL RUEHKUK
DE RUEHAD #0633 1071159
ZNR UUUUU ZZH
P 171159Z APR 07
FM AMEMBASSY ABU DHABI
TO RUEHC/SECSTATE WASHDC PRIORITY 8775
INFO RUCNRAQ/IRAQ COLLECTIVE PRIORITY
RUEATRS/DEPT OF TREASURY WASHINGTON DC PRIORITY
RUEKJCS/SECDEF WASHDC PRIORITY
RUCNDT/USMISSION USUN NEW YORK PRIORITY 0124

UNCLAS ABU DHABI 000633 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR NEA/I - TAECKER 
 
E.O. 12958: N/A 
TAGS: EAID EFIN IR PGOV PREL IZ AE
SUBJECT: INTERNATIONAL COMPACT WITH IRAQ (ICI) - UAE 
CONSIDERING WHO TO SEND 
 
REF: A. SECSTATE 50497 
 
     ¶B. SECSTATE 47346 
 
 ¶1. (U) As part of our continuing efforts to urge the UAE to 
attend the ICI signing cerimony and to reaffirm its decision 
to forgive Iraqi debt, Ambassador met with UAE Minister of 
State for Financial and Industrial Affairs Dr. Mohammed 
Khalfan bin Kharbash on April 17.  Dr. Kharbash stated that 
the decision on who would represent the UAE would be UAE 
Foreign Minister Sheikh Abdulla bin Zayed Al-Nahyan's (AbZ) 
to make, and would depend partially on his availability. Dr. 
Kharbash also asked whether the recent resignation or the 
Sadrist members of the Iraqi cabinet would complicate the 
GoI's ability to implement reforms. 
 
¶2. (U) On April 10, Econchief met with Yacoub Al-Hosani, MFA 
Director of International Cooperation to deliver the same 
demarche.  Al-Hosani asked whether this would be a pledging 
conference, Econchief reiterated our hope that the UAE would 
reaffirm its decision to forgive 80% or more of Iraq's debt 
and commit to a date and process to resolving that issue.  On 
April 16, Econchief followed-up with Ministry of Finance A/US 
for Revenue and Budget Khalid Al-Bustani, who confirmed that 
MFA would make the final decision on assistance and 
attendance. 
 
¶3. (U) On April 16, Econchief met with Dr. Mustapha Kara, 
Director of the Arab Monetary Fund's Economic and Technical 
Department to urge the AMF to attend the signing ceremony as 
well.  (Note:  AMF Director General Jassem Al-Mannai was out 
of the UAE at the IMF/World Bank Spring meetings and 
deputized Dr. Kara to discuss the issue. End Note.)  Dr. Kara 
said that he would brief Al-Mannai as soon as possible.  In 
response to Econchief's question about discussions between 
Iraq and the AMF regarding Iraqi arrears to the fund, Kara 
said that he thought discussions were promising, but that 
they had not reached agreement on a repayment schedule.  He 
confirmed that the AMF would not be able to extend new 
financing to the GoI until the Iraqis began to clear their 
arrears.  He said that the AMF would probably be able to 
extend new funds, once a repayment schedule had been agreed 
on, although the AMF would be cautious about increasing Iraqi 
debt too greatly. 
 
¶4. (U) We will continue to follow-up with both the UAEG and 
the AMF. 
SISON