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RR RUEHGI RUEHRN RUEHROV
DE RUEHKM #1050/01 1771229
ZNR UUUUU ZZH
R 261229Z JUN 07
FM AMEMBASSY KAMPALA
TO RUEHC/SECSTATE WASHDC 8963
INFO RUEHKH/AMEMBASSY KHARTOUM 0600
RUCNIAD/IGAD COLLECTIVE
RUEHXR/RWANDA COLLECTIVE

UNCLAS SECTION 01 OF 04 KAMPALA 001050 
 
SIPDIS 
 
SIPDIS 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: PHUM PREF PREL MOPS EAID SU UG
SUBJECT: UGANDA: SCENESETTER FOR CONGRESSIONAL STAFF DELEGATION 
SHANNON SMITH AND MICHAEL KUIKEN (JULY 4-7) 
 
¶1. (SBU)  Summary: Uganda is a productive player for U.S. policy 
interests in Africa, with Ugandan troops deploying to Somalia 
assisted by U.S. money and logistics.  On the humanitarian and 
development side, Uganda vigorously supports a number of U.S. 
initiatives including Presidential initiatives on HIV/AIDS (PEPFAR) 
and malaria (PMI), and U.S. free trade and free market objectives. 
Uganda cooperates fully in the War on Terror, and is highly 
receptive to U.S. training and presence. 
 
¶2. (SBU)  Uganda also has a number of challenges.  Uganda's search 
for a peaceful resolution to the 21-year long conflict with the 
Lord's Resistance Army (LRA) continues, but is stalled because of 
delaying tactics at the negotiating table by the LRA delegates in 
Juba, southern Sudan.  The Ugandan military is facing serious 
challenges as it carries out a forcible disarmament program in 
Karamoja, which has resulted in numerous deaths.  The United States 
is the largest bilateral donor for humanitarian efforts to assist 
the 1.5 million displaced persons in northern Uganda.  President 
Museveni is facing significant internal pressure from within the 
ruling party on issues of succession, accountability, and human 
rights and media freedoms.  Museveni supports liberal market 
principles and foreign investment, although corruption remains a 
problem.  Uganda recently was approved for a Threshold Program with 
the Millenium Challenge Corporation, and will receive $10 million 
for anti-corruption measures.  Uganda reduced its HIV/AIDS rate from 
18 percent in 1992 to 6.4 percent in 2006, and received $236 million 
in 2007 as a focus country for the President's Emergency Plan for 
AIDS Relief (PEPFAR).  End Summary. 
 
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PEACE AND SECURITY 
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¶3. (SBU)  The security situation in northern Uganda improved 
dramatically over the past year. The insurgent Lord's Resistance 
Army (LRA), which was pushed into Congo in December 2005, agreed to 
negotiate with the Government of Uganda.  Talks began in July 2006 
and yielded a Cessation of Hostilities Agreement (CHA).  LRA 
combatants have moved out of northern Uganda.  With the exception of 
a few small groups, those in southern Sudan have moved toward 
Rikwangba, a designated assembly area in southern Sudan.  There have 
been LRA attacks along key roads between Uganda and Juba, but since 
August 2006, there has been just one in northern Uganda.  The LRA's 
top leadership remains in Garamba National Park in the Democratic 
Republic of Congo. 
 
¶4. (SBU)  The peace process continues at Juba, Southern Sudan 
mediated by GOSS Vice President Riek Machar.  U.N. Special Envoy for 
LRA-Affected Areas, former Mozambican President Joaquim Chissano, 
adeptly overcame the LRA's complaints about the mediator, per diem, 
the venue for the talks, and the International Criminal Court (ICC) 
warrants in April.  The talks reconvened with the parties reaching 
agreement on Agenda Item Two: Comprehensive Solutions on May 1. 
Currently, the parties are working on the third agenda item, Justice 
and Accountability Mechanisms.  Both sides agreed that a national 
legal solution combined with traditional reconciliation mechanisms 
would be the basis for discussions.  Despite LRA procedural 
machinations that would lead to protracted delays in discussions, 
the GOU has accommodated many of the LRA's demands.  The talks will 
likely recess in coming weeks for the parties to consult with key 
stakeholders in northern Uganda. 
 
¶5. (SBU)  In northeastern Uganda, the Government's forcible 
disarmament program has coincided with increased insecurity and 
violence in Karamoja.  Humanitarian agencies report that the 
security situation in Kotido, Kaabong, and Abim districts continues 
to deteriorate as the result of armed confrontations between the 
UPDF and Karamojong warriors. 
 
¶6. (SBU)  Ugandan troops deployed to Somalia as part of an African 
Union Peacekeeping Mission (AMISOM) in March.  President Museveni, 
during his tenure as head of IGAD, oversaw the establishment of the 
Transitional Federal Government and Institutions, and committed to 
send Ugandan troops.  The Ugandans believe that a stable Somalia is 
necessary for peace and stability throughout East Africa, especially 
for ending the flow of small arms into Karamoja.  Uganda wants other 
African countries which pledged troops to follow through on their 
commitment to join Ugandan's 1500 troops.  Uganda's Major General 
Levi Karahunga, a veteran of the Liberia peacekeeping mission, is 
AMISOM's force commander.  The U.S. continues to provide support for 
Uganda's AMISOM deployment through the African Contingency Response 
Training and Assistance (ACOTA) program. Training is underway for 
Uganda's two battalions that will rotate into Somalia in August. 
 
¶7. (SBU)  Uganda is proud to be part of the fight against global 
terror.  Government officials are preoccupied with the spread of 
Arab fundamentalism.  They frequently and publicly make the 
distinction between Arab states, such as Sudan and Eritrea and black 
 
KAMPALA 00001050  002 OF 004 
 
 
African neighbors.  Uganda is a predominately Christian country and 
promotes good relations with its Muslim community. 
 
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HUMANITARIAN ASSISTANCE 
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¶8.  (SBU)  The 21-year old LRA conflict displaced over 1.5 million 
people.  Hundreds of thousands of internally displaced persons 
(IDPs) have returned near or to their lands as the result of 
improved security.  Residents of Lango and Teso district have left 
IDP camps and those in Gulu are beginning to do so in higher 
numbers.  The Government lacks a clear, consistent message on 
returns, which has been a particular problem in Kitgum, the district 
closest to the border with Sudan. 
 
¶9.  (SBU)  The improved security situation has led to a decline in 
the numbers of night commuters--children who seek sleep in shelters 
to avoid abduction from the LRA--to 2,700, according to UNICEF. 
These numbers are down from 23,885 in December 2005.  Surveys 
indicate the number of children that continue to commute do so for 
reasons other than fear of abduction, such as domestic abuse and 
availability of services. 
 
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USG ACTIVITIES 
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¶10. (SBU)  Various Mission agencies are working together to enhance 
peace and security in northern Uganda through a three-pronged 
strategy of humanitarian, political, and military assistance.  Our 
overall assistance in FY06 exceeded $88 million.  The U.S. is the 
largest bilateral donor of food assistance for the 1.5 million 
displaced persons and refugees.  We provide a variety of other 
water, health, and sanitation assistance.  We support UNHCR and 
others in programs to ensure the safe and voluntary return of 
displaced persons to their homes or intermediate locations. 
 
¶11. (SBU)  We have promoted reconciliation, dialogue, and 
reintegration of former combatants through USAID programs aimed at 
mitigating conflict.  Embassy officers in Kampala and Juba engage 
with key players in the negotiations.  Modest amounts of Defense 
Department funds are being used to provide non-lethal assistance to 
help the UPDF protect civilians and relief supplies in northern 
Uganda.  CJTF-HOA is working on humanitarian projects with the UPDF 
in northern Uganda to improve civilian-military relations.  Post is 
using IMET, ACOTA, and ACSS programs as well as participation in 
regional exercises to enhance the professionalism of the Ugandan 
military.  On Somalia, the State Department funded the logistics of 
the UPDF's deployment while CJTF-HOA provided logisticians and 
members of the DAO's office coordinated the operation with the UPDF. 
 
 
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DEMOCRACY AND GOVERNANCE 
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¶12. (SBU)  One year after returning to multi-party rule, Uganda is 
experiencing growing pains.  The ruling National Resistance Movement 
(NRM) party is grappling with internal dissent among younger 
parliamentarians who resent the monopolistic behavior of the 
Movement's "historicals."  Museveni also is being challenged by the 
historicals, who are interested in succession. Press reports suggest 
that the President is increasingly isolated at State House.  Some 
cabinet members complain that Museveni's personal secretary prevents 
them from discussing national issues with him, leaving the President 
out-of-touch with ordinary Ugandans.  As a result, the government 
has made several missteps in the past few months, including the 
siege of the High Court by government security agents to prevent the 
release of suspects in a treason case. 
 
¶13.  (SBU)  Opposition parties remain weak, personality-based, and 
susceptible to intimidation and manipulation by the Executive 
Branch.  The opposition's primary tools are press and protest 
because they are substantially outnumbered in parliament and 
traditional media outlets are at times intimidated by the 
government. 
 
¶14.  (SBU)  The government's human rights record needs improvement, 
particularly with respect to cases of arbitrary arrest and 
detentions and lengthy pre-trial detention.  However, the consensus 
of a wide range of UN agencies, international and local NGOs, and 
civil society organizations indicates that over the past year, the 
UPDF has demonstrated marked improvement in respecting the human 
rights of the IDPs under their protection in northern Uganda.  While 
abuses were at one time common, and do still happen (particularly 
involving local defense units), they can now be categorized as 
individual incidents that do not occur as result of orders from 
 
KAMPALA 00001050  003 OF 004 
 
 
senior officials, and are no longer part and parcel of the 
institution. 
 
¶15.  (SBU)  The reasons for this improvement are attributable to a 
number of factors, including lowered tensions due to a reduction in 
the threat level, reassignment of the most notorious UPDF commanders 
whose units were associated with human rights abuses, increased 
international attention, and ongoing training by the USG, ICRC, and 
other organizations on international standards of human rights and 
humanitarian law.  Organizations continue to monitor abuses and are 
working through the UN's cluster approach to improve reporting 
measures.  The forcible disarmament program in Karamoja, however, 
has opened up the UPDF to new allegations of abuse, particularly 
extensive force. 
 
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ECONOMIC GROWTH 
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¶16.  (SBU)  President Museveni is a steadfast supporter of free 
market principles and remains committed to liberalizing the economy, 
containing inflation, and encouraging economic growth, and foreign 
investment.  Foreign debt has dropped from over USD 6 billion in 
2004 to USD 1.6 billion in 2007 through debt relief programs. 
Uganda is attempting to diversify its agriculture-based economy, 
focusing on non-traditional, high-value items such as vanilla, 
processed fish, and cut flowers.  The pace of economic growth has 
remained consistent over the last twelve years with annual GDP 
growth rates between 5-6 percent.  Foreign direct investment is 
increasing.  The fastest growing sectors are construction, 
transportation and telecommunications.  Uganda's tourism industry is 
earning a significant amount of foreign exchange. 
 
¶17.  (SBU) The GOU is trying to manage public expectations regarding 
oil discoveries in Uganda.  In October 2006, the Canadian firm, 
Heritage Oil, announced the first oil discovering on the shores of 
Lake Albert.  The other exploration company, Australian-based 
Hardman, is partnering with Tullow, a British firm.  Libya's TamOil 
is the primary investor in a proposed pipeline from Uganda to Kenya. 
 Chinese firms are also interested in expanding their investments to 
include Uganda's oil. General Electric's Oil and Gas division based 
in Italy is interested in identifying potential projects in this 
sector, but is waiting to see if the next project tenders for 
oil-related projects will be transparent. 
 
¶18.  (SBU)  An ongoing energy crisis, corruption and inadequate 
transport infrastructure have hampered economic development and 
investor confidence.  The energy crisis, which started in late 2005 
due to poor energy planning coupled with a significant drop in Lake 
Victoria water levels, severely decreased electricity generation 
from hydroelectric power.  Recent rains are increasing hydroelectric 
power output and new leadership in the Ministry of Energy has added 
100 megawatts of thermal generator power to help fill the power gap. 
 Uganda was approved by the Millenium Challenge Corporation for a 
two-year $10.4 million Threshold Country Program (TCP) in Uganda to 
provide technical assistance, training and equipment to the 
Government of Uganda's anti-corruption agencies and the civil 
society organizations. 
 
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INVESTING IN PEOPLE 
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¶19. (SBU)  Uganda is a focus country for the President's Emergency 
Plan for AIDS Relief (PEPFAR) and received $236 million in PEPFAR 
funds in FY 2007 for the Centers for Disease Control, USAID, NIH, 
Peace Corps, and Defense and State Department programs.  The program 
is one of the largest in Africa, along with South Africa, Kenya, 
Nigeria, and Ethiopia.  The PEPFAR Program in Uganda is being 
implemented in partnership with over 70 international and local 
organizations. 
 
¶20.  (SBU) Uganda is one of the few countries in the world that has 
successfully brought its prevalence rates down.  Uganda's HIV/AIDS 
infection rate peaked at 18 percent in 1992 and has decreased to 6.4 
percent in 2006.  The decline is largely the result of an aggressive 
public awareness campaign and significant donor support for programs 
that provide comprehensive prevention, treatment, care and support 
services for those infected and living with HIV/AIDS, orphans and 
vulnerable children, and pregnant mothers.  The highest prevalence 
rates are in the northern conflict regions and the central region. 
 
¶21.  (SBU) The estimated 135,000 new infections over the past year 
have caused concern that Uganda's success to date could be 
threatened.  Transmission occurs mainly through heterosexual contact 
(75 to 80 percent), while mother-to-child HIV transmission accounts 
for 15-25 percent of new infections and medical transmission is 
responsible for about two percent of new infections.  A recently 
 
KAMPALA 00001050  004 OF 004 
 
 
conducted sero-behavioral survey indicated that some of the factors 
that are driving the epidemic are:  an increase in multiple 
partners; a decrease in men's consistent use of condoms with casual 
partners; a high prevalence (60 percent) of genital herpes, which 
predisposes an individual to acquiring HIV; and HIV discordance in 
couples, i.e., when one person is HIV positive and the other is HIV 
negative. 
 
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PUBLIC DIPLOMACY ACTIVITIES - EXCHANGES AND PRESS 
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¶22.  (U) In FY 2006, our Cultural Affairs office sent 51 Ugandans to 
the United States on a range of different exchange and educational 
grants.  In addition, during the 2005-06 academic year, some 588 
Ugandans were enrolled in U.S. institutions of higher education. 
Ugandans value the chance to visit and to study in the United 
States, and many Ugandan political and economic leaders are 
graduates of U.S. academic programs or former participants in 
USG-funded exchanges. 
 
¶23.  (U) The Ugandan press is primarily interested in U.S. 
government support for the Museveni government - or opposition 
politicians; the availability of U.S. visas; and U.S. aid 
(development and humanitarian and military) to Uganda.  The press 
and public, while aware that the U.S. is a big donor to Uganda, 
often fail to understand the mechanics of U.S. foreign assistance 
and how to access it for particular communities and individuals. 
 
 
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OUR MESSAGE 
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¶24. (SBU) U.S. efforts to mitigate the effects of the conflict in 
the North and bring about a resolution and reconciliation to the 
conflict in the North dominate our peace and security agenda.  More 
recently, U.S. assistance for the Ugandan deployment to Somalia has 
increased our security focus.  We continue to advance our interests 
in encouraging multi-partyism and political competition, economic 
transparency, and combating HIV/AIDS.  Our message to the Museveni 
government includes: 
 
--Recognizing Museveni's efforts to bring about a peaceful 
resolution to the 21-year old conflict with the LRA.  The GOU has 
demonstrated restraint and patience during the peace talks at Juba. 
The USG supports the Juba venue and Government of South Sudan's 
mediation efforts. 
 
--Reaffirming our commitment to working with the GOU to mitigate 
regional tensions.  We encourage Uganda to continue talking to its 
neighbors, particularly Congo, to deal with the regional aspects of 
the LRA problem. 
 
--Appreciating Uganda's long-standing commitment to deploy to 
Somalia and the high level of professionalism demonstrated during 
the deployment preparations. 
 
--Assisting the development of a democratic system, which includes 
strong civil society and democratic institutions, respect for human 
rights and rule of law, and transparency and accountability. 
 
--Partnering with Uganda in the war against terror.  We look forward 
to continuing to work with Uganda on the global war on terror and 
other programs of bilateral cooperation. 
BROWNING