VZCZCXYZ0001
PP RUEHWEB

DE RUEHKB #0006/01 0040952
ZNY CCCCC ZZH
P 040952Z JAN 08
FM AMEMBASSY BAKU
TO RUEHC/SECSTATE WASHDC PRIORITY 4537
INFO RUCNCIS/CIS COLLECTIVE PRIORITY
RUEHAK/AMEMBASSY ANKARA PRIORITY 2552
RUEHBS/USEU BRUSSELS PRIORITY
RUEHVEN/USMISSION USOSCE PRIORITY 0795

C O N F I D E N T I A L BAKU 000006 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 01/04/2018 
TAGS: PGOV PREL PHU KDEM AJ
SUBJECT: PRESIDENT ALIYEV OUTLINES PLNS FOR STATE FUNDING 
OF NGOS 
 
REF: BAKU 1084 
Classified By: AMBASSADOR ANNE E. DERSE PER 1.4 (BD). 
 
¶1. (C) SUMMARY:  On December 13, President liyev issued a 
decree outlining a plan to provid state funding to NGOs and 
creating a Council fo State Support of NGOs.  This decree 
was issued as a follow-up to the President's July 27 decree 
initially proposing the GOAJ's new NGO concept (reftel).  The 
GOAJ incorporated many of the international community's 
recommendations in the new decree, along with some 
recommendations by local NGOs, including local NGO 
representation on the council's technical secretariat.  Some 
of our joint recommendations, however, were not addressed, 
including an international presence on the council's 
technical secretariat.  While some prominent NGO leaders 
remain doubtful that state support of NGOs will bolster civil 
society, other commentators are more hopeful, adopting a 
"wait and see" attitude.  END SUMMARY. 
 
¶2. (SBU) On December 13, President Aliyev issued a decree 
"endorsing the blueprint of state support for NGOs" and 
creating a new Council for State Support of NGOs.  The 
decree's appendix outlines the structure of the Council, 
which will include 11 presidentially-appointed members, eight 
NGO-nominated members, and three governmental 
representatives.  The President designated technical 
oversight authority to the Cabinet of Ministers, and 
budgetary oversight authority to the Finance Ministry.  The 
President is given the authority to appoint the council 
members for four year terms from a list of 24 NGO nominees. 
The GOAJ adopted many of the international community's joint 
recommendations (including the Embassy's) in this decree, 
along with some recommendations from local NGOs. 
 
¶3. (SBU) Among the included recommendations from the 
international community are mechanisms for impartiality and 
transparency, membership criteria, and prohibiting of 
limitations on international donor funding to domestic NGOs, 
which was among the international donors' key concerns.  It 
also appears to mandate competitive procurement processes as 
the core mechanism for grant-letting purposes; contains 
explicit conflict of interest provisions; and calls for 
establishment of a website through which information on the 
activities of the council would be provided to the public. 
The GOAJ included the international community's 
recommendation to include local NGO representation on the 
council's technical secretariat; our joint recommendation to 
include an international presence on the council's technical 
secretariat was not addressed, however.  The decree's 
 
SIPDIS 
appendix includes language prohibiting foreign national 
membership in the council, although the appendix also 
stipulates that the council can create and work with groups 
of technical experts, which may open the door for 
international NGOs to play an advisory role. 
 
¶4. (C) Some prominent NGO leaders maintain reservations about 
the GOAJ's intentions with state funding of NGOs, which they 
first voiced after the initial July decree (reftel). 
Helsinki Citizens Assembly Chair Arzu Abdullayeva said that 
state financing will help only the government-affiliated 
"NGOs."  Bureau for Human Rights and Respect of Law Chair 
Saida Gojamanly said that the fund will not help develop 
civil society; that any efforts to do so will be in vain 
because the government-affiliated "NGOs" will not carry out 
effective projects.  Gojamanly believes that the fund is 
intended to decrease foreign assistance to Azerbaijan's NGOs. 
 
¶5. (C) Other commentators are more hopeful that the council 
will be effective.  Open Society Institute Director Farda 
Asadov said that the effectiveness of this new concept will 
depend on its implementation.  While he noted some gaps in 
the decree -- particularly regarding NGO nomination of eight 
of the council members -- Asadov believes that the council 
has the potential to be effective.  Association for Civil 
Society Development Deputy Chair Vali Alibayov told the press 
that the council's effectiveness will depend on its 
governance.  He anticipates a focus on projects that promote 
Azerbaijan's image, and less funding for projects on other 
topics.  Chair of Parliament's Social Policy Commission Hadi 
Rajabli publicly stated that the new council will help 
professionalize Azerbaijan's NGOs, and will improve relations 
between NGOs and the GOAJ.  He doubted that the council would 
behave in a discriminatory manner, rather, he envisioned a 
systematic, well-organized body that will be able to 
prioritize projects that address significant social problems. 
 
¶6. (C) COMMENT:  Overall, the plans outlined in the decree 
move in the right direction, and could yield positive 
 
results.  The Presidential Apparat's willingness to engage 
with the international community, and to include many of our 
recommendations in the decree, is a positive step.  Political 
will, however, remains the heart of the issue, and only time 
will reveal the GOAJ's true intentions.  We will monitor the 
GOAJ's implementation of this decree and report developments. 
 END COMMENT. 
 
APPENDIX:  UNOFFICIAL TRANSLATION OF DECREE 
 
(U) Unofficial Embassy translation of the decree below. 
 
Decree of the President of the Republic of Azerbaijan on 
Establishment of the Council for State Support of NGOs 
 
According to the decree of the President of the Republic of 
Azerbaijan "On confirmation of the concept of state support 
of Azerbaijan's non-governmental organizations" number 2288 
from July 27, 2007, I decide: 
 
¶1. To establish the Council for State Support of NGOs under 
the President of the Republic of Azerbaijan. 
 
¶2. To confirm the regulations on the Council for State 
Support to NGOs under the President of the Republic of 
Azerbaijan (per the appendix). 
 
¶3. To entrust the Cabinet of Ministers of the Republic of 
Azerbaijan: 
 
3.1 To resolve matters related to the allotment of positions 
and the technical provision for organization of the Council 
for State Support of NGOs' activity under the President of 
the Republic of Azerbaijan and its secretariat. 
 
3.2 To determine the estimation of expenses and the number of 
employees of the secretariat of the Council for State Support 
of NGOs under the President of the Republic of Azerbaijan. 
 
3.3 To envisage the allocation of corresponding funds while 
drafting the annual state budget in order to involve the NGOs 
in the fulfillment of programs and projects of high 
importance to the state and the community. 
 
3.4 To resolve the other matters proceeding from this decree. 
 
¶4. To entrust the Ministry of Finance of the Republic of 
Azerbaijan: 
 
4.1 To confirm the rules of use of these funds to be allotted 
for NGOs. 
 
¶5. This decree is valid from the date of signing. 
 
Ilham ALIYEV 
President of the Republic of Azerbaijan 
 
Baku, December 13, 2007 
 
(End text of decree.) 
LU