VZCZCXYZ0003
PP RUEHWEB

DE RUEHLU #0615/01 1711310
ZNR UUUUU ZZH
P 201310Z JUN 07
FM AMEMBASSY LUANDA
TO RUEHC/SECSTATE WASHDC PRIORITY 4078
INFO RUEHFR/AMEMBASSY PARIS 0243
RUEAWJA/DEPT OF JUSTICE WASHDC
RUEATRS/DEPT OF TREASURY WASHDC
RHEHNSC/NSC WASHDC

UNCLAS LUANDA 000615 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
FOR AF/S AND EB/IFD 
NSC FOR BPITTMAN 
TREASURY FOR INN/CRAND 
PARIS FOR SECRET SERVICE 
 
E.O. 12958: N/A 
TAGS: EFIN EINT ECON AO
SUBJECT: SPECIAL AGENT STEEN MEETS WITH ANGOLAN CENTRAL 
BANK AND CONDUCTS COUNTERFEIT TRAINING 
 
 
¶1.  (SBU) Summary.  U.S. Secret Service Special Agent William 
Steen conducted training in recognizing counterfeit currency 
at Embassy Luanda and met with representatives of the Angolan 
Central Bank Exchange Reserves Department to discuss training 
in currency recognition. While recent changes in the 
Kwanza-dollar exchange rate have made the Kwanza more 
attractive to ordinary Angolans, there is no timetable for 
supplanting the dollar in Angola,s economy.  Given the large 
amount of U.S. currency circulating in Angola,s highly 
dollarized economy, these programs were relevant, timely, 
very well-received and help cement Embassy ties with Angolan 
law enforcement agencies and financial institutions.  Post 
appreciates U.S. Secret Service support and hopes additional 
training possibilities, including programs conducted by the 
Bureau of Engraving and Printing, can soon be arranged.  End 
Summary. 
 
William Steen at BNA 
-------------------- 
¶2.  (SBU) Secret Service Special Agent William Steen called 
on the National Bank of Angola (BNA) in the course of his May 
22-25, 2007 visit to Angola to discuss what training the 
Secret Service and the Bureau of Engraving and Printing can 
 
SIPDIS 
offer the banking sector.  Steen met with the head of the 
Exchange Reserves department of the Angolan central bank 
(BNA), Dr. Isabel Luanda, who welcomed the idea of regular 
training sessions, especially for commercial bank employees, 
since they handle currency daily and can benefit the most 
from training in distinguishing counterfeit from genuine 
currency. 
 
Money Laundering 
---------------- 
¶3.  (SBU) The BNA,s Reserves Department works with money 
laundering issues, although the primary responsibility rests 
with the Ministries of Finance and Justice (MOF and MOJ). 
Dr. Luanda noted there is a draft law on money laundering, 
but could not pinpoint where it is in the approval process. 
In the meantime, since the offices concerned with money 
laundering need some interim guidelines in the absence of a 
law, the BNA and the MOF have issued regulations, and the BNA 
has issued some internal regulations. 
 
U.S. Currency in Circulation 
---------------------------- 
¶4.  (SBU) Dr. Luanda acknowledged that Angola,s economy is 
highly dollarized, without giving a specific figure for the 
total value of U.S. currency in circulation in the country. 
Post notes that most commercial institutions accept U.S. 
currency in payment, commercial banks offer 
dollar-denominated accounts, and some employers pay salaries 
in dollars.  With triple-digit inflation a recent memory, 
ordinary people who do not have bank accounts and must save 
in currency prize the dollar for its relatively stable value. 
 Recently, Angola,s Kwanza appreciated against the dollar. 
Although Angola plans for the Kwanza to displace the dollar 
eventually, Dr. Luanda said there is no timetable for 
conversion. 
 
¶5.  (SBU) U.S. dollars initially enter the economy from sales 
of petroleum.  U.S. currency enters the economy to pay 
Angolans and Angolan companies for such transactions as rent 
) many landlords negotiate rentals calling for two years, 
rent paid in advance ) for dollar payrolls, payment for 
equipment and vehicles, and payment for business services. 
Individuals and businesses make their payments in cash. 
 
Counterfeiting 
-------------- 
¶6.  (SBU) Angola is not a source of counterfeit notes. 
However, the police have found counterfeit U.S. currency (as 
well as counterfeit Euros) in circulation.  Dr. Luanda could 
not quantify how serious the problem is.  There have been 
occasional media reports of GRA seizure of counterfeit U.S. 
dollars and speculation that foreign criminal interests were 
responsible.  The last training offered to Angola,s 
commercial banking sector on recognizing counterfeit 
banknotes took place in 2005, and was conducted by the Hong 
Kong and Shanghai Banking Corporation (HSBC).  (Note:  HSBC 
couriers U.S. currency into Angola for the BNA.  End note.) 
Bank workers who handle cash daily need regular training, but 
the BNA has not been able to arrange such training up until 
now, Dr. Luanda said.  She was very interested in training 
 
programs for currency identification, and Special Agent Steen 
gave a brief sketch of the programs offered by the Bureau of 
Engraving and Printing. 
 
Training Provided by Agent Steen 
-------------------------------- 
¶7.  (U) The bulk of SA Steen,s visit was concerned with 
providing three four-hour training sessions on counterfeit 
currency: how it is made and how to recognize, detect and 
report it.  At the first session the Embassy hosted a 
contingent of Angolan banking and law enforcement officials, 
including the Deputy Head of the Interior Ministry,s 
National Criminal Investigative Directorate (DNIC).  The 
second session was for local representatives of the U.S. 
private sector, hosted by Chevron Corporation on behalf of 
the Angola Country Council of OSAC (the Overseas Security 
Advisory Council).  The final session was for USG employees, 
including cashiers and other staff whose duties involve 
handling and safekeeping of U.S. and foreign currency.  All 
of the sessions were very professionally conducted and 
extremely well received by the invited audiences. The Angolan 
law enforcement officials expressed particular interest in 
receiving more training from the Secret Service, including 
appropriate specialized instruction in forensic examination 
methods and techniques. 
 
Comment 
------- 
¶8.  (SBU) The BNA, which has sought to carve out for itself a 
more complete and independent role as a central bank, 
capitalizes on opportunities to build its relationships with 
outside institutions.  The training Steen discussed is purely 
technical, but if BNA facilitates that training, it can 
reinforce its role as supervisor of Angola,s banks.  The 
training in recognizing counterfeit currency was very 
welcome, and the BNA expressed interest in receiving 
additional training from the Bureau of Engraving and 
Printing.  Our Angolan counterparts are eager to establish 
regular training.  Post appreciates Secret Service training 
and welcomes future training opportunities.  The training 
works as a positive reinforcement of our bilateral fiscal 
management and strengthening programs and reinforces the 
message to the GRA that the US is ready to help with 
improving GRA banking and financial sector capacity. 
EFIRD