VZCZCXRO9051
PP RUEHDE RUEHDIR
DE RUEHAD #1244/01 3041219
ZNR UUUUU ZZH
P 301219Z OCT 08
FM AMEMBASSY ABU DHABI
TO RUEHC/SECSTATE WASHDC PRIORITY 1679
RUEAUSA/DEPT OF EDUCATION WASHINGTON DC PRIORITY
INFO RUEHDE/AMCONSUL DUBAI 8009
RUEHZM/GULF COOPERATION COUNCIL COLLECTIVE

UNCLAS SECTION 01 OF 02 ABU DHABI 001244 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PREL PGOV ECON SCUL PGOV AE
SUBJECT: WELCOMING SECRETARY SPELLINGS TO ABU DHABI 
 
REF: A) ABU DHABI 619 (MAY 18 CONVERSATION WITH MBZ) 
 
ABU DHABI 00001244  001.2 OF 002 
 
 
¶1.  (U) Madame Secretary, the U.S. Mission to the United Arab 
Emirates warmly welcomes your return visit, which presents an 
opportunity to follow up on your prior interaction with UAE Minister 
of Education Dr. Hanif Hassan Ali Al Qasimi ("Dr. Hanif") and assess 
progress on the UAE's ambitious plans for education reform. 
 
¶2.  (SBU) You last met Dr. Hanif when he was in Washington for the 
September 19 "Inclusive Practices for Students with Disabilities 
Summit."  The UAE Embassy also organized a press conference and 
luncheon at the Ritz Carlton focused on reform, at which Dr. Hanif 
explained a major review of K-12 education in the UAE.  The UAE 
indeed seeks to revamp education with some emphasis on U.S. models 
(see paragraph five); the Ministry and education councils in the 
various emirates are setting up model schools and public private 
partnership schools while reviewing operations, facilities, teacher 
qualifications, and learning resources.  Upgrading education is an 
imperative for the UAE, which in spite of its small size wants 
future citizens and leaders to meet the demands of an increasingly 
global agenda. 
 
¶3.  (SBU) The UAE continues to punch above its weight as a small and 
in many ways developing nation with global ambitions.  The citizen 
population of about 900 thousand (less than 20% of the 5 million 
resident population) faces the myriad challenges of running a 
complex nation in the 21st century -- with education as a core focus 
that the UAE must calibrate to support its long-range 
nation-building plans while keeping tabs on the social implications 
of changes in the education system.  On the one hand, added 
attention to vocational skills and the English language are critical 
to national economic survival; on the other, the erosion of Arabic 
studies and the traditional humanities may contribute to the 
nation's ongoing identity crisis.  You will see, as you did in May, 
a concerted effort to balance these sometimes competing national 
requirements. 
 
¶4.  (SBU) Our bilateral relations with the UAE are broad, deep and 
enduring.  On the security front, we have enjoyed particularly close 
military engagement for two decades and continue to coordinate on a 
wide array of common national security interests.  The UAE is a key 
partner, intent on cooperating with us to create a stable economic, 
political, and security environment in a troubled region.  Concerned 
about regional proliferation, the UAE has been responsive on export 
control issues.  UAE support for Iraq continues to grow, in the 
forms of debt relief, reciprocal visits, dispatching an Ambassador, 
and ongoing efforts to use their political influence to bring about 
stability.  Similar shared interests with regard to Lebanon, the 
Palestinian Authority, Afghanistan, Pakistan and elsewhere keep our 
two nations closely engaged in daily strategic diplomacy. 
 
¶5. (SBU) The UAE commitment to American scholastic models in 
primary, secondary and higher education, a generally high respect 
for the value of American education, and continued support for 
Emirati nationals studying in the U.S. are positive signs of our 
cooperation.  The UAE has sought to fill the shortage of higher 
education services in country by encouraging (rhetorically and 
financially) American colleges to open branch campuses in the UAE. 
However, perceptions about visa and airport difficulties, and 
concerns about encountering negative stereotypes of Arabs and 
Muslims in the U.S., continue to unsettle and discourage potential 
students and their parents.  Mission UAE issued 639 student visas 
(F-1) to Emirati nationals in 2007.  Other Anglophone countries 
attract more Emirati students and those countries are devoting 
increasing resources to focused outreach and marketing toward 
Emirati and other Gulf audiences.  U.S. student numbers are rising, 
and may reach their pre-9/11 levels in 2009, though that would not 
equal the historic highs of the 1990s. 
 
¶6.  (SBU) In the past five years, the UAE has emerged as an economic 
powerhouse in the region (our largest export market in the Middle 
East) and has attained a commensurate level of political influence. 
Regional leaders look to Abu Dhabi and Dubai for assistance and 
political support, while Washington and other Western capitals also 
increasingly seek the UAE's views.  The strength of relations with 
the U.S. is evident in the string of high level USG visitors -- 
including the President in January 2008. 
 
¶7.  (SBU) Despite its resource wealth and exponential growth, the 
UAE has not been immune to the international economic downturn. 
Stocks have been battered, liquidity is tight and consumer 
confidence has declined.  The UAEG took a number of steps in October 
to restore confidence: insuring bank deposits, creating a bank 
liquidity fund, and reassuring the public that the government was 
ready and willing to support the economy.  Despite these steps, 
investors remain concerned about local market conditions, 
particularly Dubai's financial situation and the possibility of a 
sharp correction in Dubai's large, overheated real estate sector. 
 
¶8.  (SBU) For its part, Abu Dhabi's investment portfolio has no 
 
ABU DHABI 00001244  002.2 OF 002 
 
 
doubt taken a multi-billion dollar hit in recent weeks, although the 
rapid pace of development has yet to slow down noticeably.  The 
highest profile investments continue to be driven by wholly or 
partly state-owned entities, with the weaker private sector largely 
benefiting from the government's largesse.  Most here remain 
optimistic about the UAE's economic future, partly in view of their 
optimism that U.S. economic fundamentals will remain strong and a 
close U.S.-UAE relationship will stand them in good stead. 
 
¶9.  (U) Again, we welcome your visit as an opportunity to focus on 
the strength of our bilateral relations and to expand engagement in 
the area of education in particular. 
 
OLSON