VZCZCXYZ0059
RR RUEHWEB

DE RUEHLS #0063/01 0291452
ZNR UUUUU ZZH
R 291452Z JAN 09
FM AMEMBASSY LUSAKA
TO RUEHC/SECSTATE WASHDC 6684
INFO RUEHZO/AFRICAN UNION COLLECTIVE
RUEATRS/DEPT OF TREASURY WASHDC
RUEHRC/DEPT OF AGRICULTURE WASHDC

UNCLAS LUSAKA 000063 
 
SENSITIVE 
SIPDIS 
 
DEPARTMENT PASS TO USTR (BILL JACKSON) 
 
E.O. 12958: N/A 
TAGS: ECIN EAID ETRD ECON XA ZI ZA
SUBJECT: U.S. SUPPORTS REGIONAL INTEGRATION THROUGH COMESA 
 
¶1.  (SBU) Summary.  On January 19, Ambassador presented his 
credentials in order to be accredited as the U.S. Special 
Representative to the Common Market for Eastern and Southern 
Africa (COMESA).  COMESA Secretary General Sindiso Ngwenya 
expressed appreciation for USG assistance to COMESA 
integration and economic development.  According to Ngwenya, 
the Secretariat will host the next COMESA summit this May 
most likely in Lusaka, in lieu of Zimbabwe.  During the 
summit, COMESA will launch its customs union and announce a 
new COMESA Chair to succeed Kenyan President Mwai Kibaki. 
Ngwenya said that while COMESA would like to host the next 
U.S.-COMESA TIFA Council meeting, it might be necessary to 
hold it again in Washington on the margins of the spring 
World Bank/IMF meetings.  Ngwenya agreed on the need to 
enhance coordination between USG agencies and COMESA, as well 
as harmonize development assistance among donor countries. 
End Summary. 
 
USG Development Assistance 
 
¶2.  (SBU) During the presentation of his credentials, which 
was extensively covered by local press, Ambassador 
underscored continued U.S. commitment to regional economic 
integration, trade expansion, and food security.  He pointed 
out that USG assistance to COMESA and its regional 
integration efforts amounted to over USD 69 million since 
¶1999.  Secretary General Ngwenya acknowledged this support, 
which he said had paved the way for financial assistance from 
other donor countries.  Through U.S. capacity building, 
Ngwenya explained, COMESA had become the first regional 
economic community in Sub-Saharan Africa to qualify for 
direct budget support from the European Union.  Ngwenya 
conceded that, although the United States may not be COMESA's 
largest donor, it has been its most strategic and effective 
donor. 
 
¶3.  (SBU) Ngwenya also expressed appreciation for the African 
Growth and Opportunity Act (AGOA), which provides many COMESA 
member states with duty free access to the U.S. market.  In 
particular, he thanked the USG for its decision in October 
2008 to extend AGOA third-country fabric provision to 
Mauritius, something that the Secretariat had been urgently 
seeking.  Ngwenya inquired into the possibility of a regional 
Millennium Challenge Account compact for the COMESA 
Secretariat in order to address transnational infrastructural 
projects aimed at expanding trade.  Ambassador explained the 
legal constraints MCA faces regarding regional compacts. 
Referring to a former U.S. Department of Treasury resident 
advisor to Zambia on anti-money laundering, Ngwenya 
identified the need to make progress on anti-money laundering 
and counter-terrorist financing within the COMESA region and 
invited USG assistance.  Ambassador affirmed U.S. interest in 
countering these activities. 
 
Policy and Program Coordination 
 
¶4.  (SBU) Ngwenya noted broad-ranging USG support through 
USAID/East Africa (Nairobi), U.S. Department of Agriculture, 
and U.S. Trade and Development Agency as well as the 
President's Emergency Plan for Aids Relief (PEPFAR).  In 
particular he pointed to agricultural, peace and security, 
gender, customs, bond guarantee, and information and 
communication technology programs in which USG assistance had 
played a significant role.  Given the number of USG agencies 
engaged with COMESA, the Ambassador recommended an annual or 
semi-annual stock-taking, perhaps before the convening of the 
TIFA Council, to better coordinate USG direct and indirect 
assistance.  Ambassador also recommended an annual meeting 
with other funding partners in order to develop a more 
holistic approach and to more accurately evaluate the impact 
of foreign assistance.  Ngwenya enthusiastically endorsed 
these proposals. 
 
COMESA Summit 
 
¶5.  (SBU) Ngwenya said Zimbabwe could not host the 
long-overdue COMESA Summit, which was originally scheduled 
for May 2008 in Victoria Falls, Zimbabwe.  He said that even 
Mugabe understands that Zimbabwe cannot host the next summit, 
which most likely will be held in Lusaka in May 2009. 
Ngwenya pointed out that a Lusaka Summit requires the 
approval of the Zambian Government, which Ngwenya expects 
imminently.  According to Assistant Secretary General for 
Programs, Stephen Karangizi, 12 COMESA members will 
participate in the COMESA customs union, which will be 
launched by the next COMESA chair at the May summit. 
Karangizi conveyed his enthusiasm for the COMESA-SADC-East 
African Community (EAC) tripartite cooperation agreement, 
noting that the organizations' leaders had taken the 
integration agenda beyond the expectations of the Secretariat. 
 
TIFA Council 
 
¶6.  (SBU) Ngwenya told the Ambassador that, although it is 
the Secretariat's turn -- and preference -- to host the next 
TIFA Council meeting, this might be difficult in light of a 
possible May summit in Lusaka.  He thought it might be more 
feasible to hold the TIFA council in Washington on the 
margins of the World Bank/IMF spring meetings.  Ngwenya 
suggested that the Secretariat may not be able to commit to a 
date for the TIFA meetings until it had reached agreement on 
the location and timing of the summit.  COMESA Agricultural 
advisor Cris Muyunda told Emboff that the Secretariat might 
be interested in adding biotechnology cooperation to the TIFA 
agenda, given the Secretariat's intention to establish a 
harmonized biotechnology regulatory framework and policy as 
well as the Secretariat's plans to lobby COMESA heads of 
state and ministers of trade and agriculture to re-evaluate 
the potential benefits of lifting bans on biotechnology (to 
be reported by septel). 
 
BOOTH