VZCZCXRO4783
RR RUEHGI RUEHMA RUEHROV
DE RUEHNJ #0079/01 0690627
ZNR UUUUU ZZH
R 100627Z MAR 09
FM AMEMBASSY NDJAMENA
TO RUEHC/SECSTATE WASHDC 6772
INFO RUCNFUR/DARFUR COLLECTIVE
RUEHTRO/AMEMBASSY TRIPOLI 0551
RUEHBZ/AMEMBASSY BRAZZAVILLE 0008

UNCLAS SECTION 01 OF 02 NDJAMENA 000079 
 
SIPDIS 
SENSITIVE 
 
LONDON FOR POL: LORD 
PARIS FOR POL: D'ELIA AND KANEDA 
ADDIS ALSO FOR USAU 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PREF EAID EFIN AU CD
SUBJECT: WORLD BANK WANTS GOC PRIME MINISTER TO VISIT HQ IN 
DC BEFORE IT WILL RE-ENGAGE FULLY IN CHAD 
 
REF: A. 08 NDJAMENA 547 
     ¶B. 08 NDJAMENA 493 
     ¶C. 08 NDJAMENA 248 
 
NDJAMENA 00000079  001.2 OF 002 
 
 
======= 
SUMMARY 
======= 
 
¶1. (SBU) World Bank Director of Operations for Chad Mary 
Barton-Dock told Ambassador March 4 the Bank's relationship 
with the Government of Chad had not progressed in the month 
and a half since the Bank had "partially" reopened its Chad 
office.  A meeting between WB President Zoellick and Prime 
Minister Youssouf Salef Abbas in Washington would be 
necessary before the Bank could resume broad-based engagement 
in Chad.  Barton-Dock said she had been urging GOC officials 
to make the trip to Washington, and that she now sought USG 
support for an Abbas visit.  The Ambassador responded that we 
would favor an Abbas visit in the near term, mentioning that 
he had discussed trip modalities with the Prime Minister 
several times over the past year.  Barton-Dock said that the 
International Monetary Fund wanted the GOC to revise its 2009 
budget downward, to be based on USDOLS 40 per barrel of oil, 
vice the current USDOLS 85 per barrel financing.  A revised 
budget and successful progress under an IMF program would 
lead to Chad's eligibility for debt relief, she noted, which 
should be increasingly attractive to the GOC as world oil 
prices stayed low. 
 
¶2. (SBU) Barton-Dock,s comments are very good news for the 
GOC and the USG.  The PM has been trying to manage Chad's 
re-engagement with the IFIs for the past year, but to date 
has been more successful with the IMF than with the Bank. 
Achieving full World Bank reengagement would be a major 
accomplishment, not only for Chad's financial future but also 
for the PM's political position.  We continue to consider him 
one of the most honest and effective of Chad's political 
leaders.  Success with the Bank should reinforce the 
President's confidence in Abbas, help prolong the time in 
office of his government, and reinforce his control over it. 
We should plan to exploit a possible DC visit by arranging 
for meetings at the most senior levels possible, so that he 
benefits from hearing our message authoritatively.  We 
request the Department's thinking on meetings for him at 
State, Defense, NSC, Commerce, and Energy.  END SUMMARY. 
 
¶3. (SBU) World Bank Director of Operations for Chad Mary 
Barton-Dock, resident in Cameroon, and Acting Country Manager 
Mamadou Deme, called on Ambassador Nigro March 4 with an 
update on World Bank-Government of Chad relations and an 
inquiry about USG support for a visit by Chadian Prime 
Minister Youssouf Saleh Abbas to Washington.  Barton-Dock 
outlined the parameters for full resumption of World Bank and 
International Monetary Fund operations in Chad. 
 
=========================== 
GETTING ABBAS TO WASHINGTON 
=========================== 
 
¶4. (SBU) Referencing the Bank's "partial" reengagement in 
Chad, Barton-Dock stated that there had not been much 
progress in WB-GOC dialogue (Ref B).  She noted that the Bank 
was operating only ten current projects.  (NOTE:  The World 
Bank only reopened its Chad office in mid-January 2009, 
almost a year after closure due to rebel activities.  END 
NOTE.)  Five of the ten projects were just commencing, said 
Barton-Dock, including public financial management and 
regional transportation operations.  Other projects in the 
health, education, and agricultural sectors were near 
competion; they would either need to be renewed or 
reorganized to continue, according to Barton-Dock.  A more 
thoroughgoing engagement by the Bank was on hold, per the 
direction of World Bank President Robert Zoellick.  She 
stated that Zoellick wanted to hear directly the assistance 
priorities of Chadian President Idriss Deby, given Deby's 
shifting support for the oil project.  To that end, World 
Bank officials were eager for PM Abbas, as Deby's emissary, 
to visit Washington, DC and restart dialogue. 
 
¶5. (SBU) Ambassador Nigro told Barton Dock that the USG was 
supportive of the PM's government of national reconciliation, 
its program of reform, and its commitment to better 
governance.  He said that we would support the Bank's 
invitation, both because we supported closer Bank-GOC 
collaboration and because it would give the USG the 
 
NDJAMENA 00000079  002.2 OF 002 
 
 
opportunity to discuss at senior levels with the PM the range 
of issues of mutual concern.  (Note:  Abbas has not shied 
away from pursuing his goal of reconciliation, which he sees 
as his mandate; his actions led opposition parties to resume 
their discussions with the government.  Abbas also believes 
in improving Chad's bilateral relations and signaled his 
intent as far back as June 2008 (Ref C) to visit the United 
States for bilateral dialogue, as well as discussions with 
IFIs.  END NOTE.) 
 
¶6. (SBU) Going forward, Barton-Dock cautioned that future WB 
projects would likely focus more on water, health, 
sanitation, and roads, avoiding potentially problematic oil 
and other energy projects. 
 
============================== 
OPPORTUNITY FOR IMF ASSISTANCE 
============================== 
 
¶7. (SBU) Turning to the IMF, Barton-Dock revealed that the 
new Mission chief would arrive in April, but noted that the 
Fund was only willing to renew a formal relationship if the 
GOC revised its 2009 budget, now based on a petroleum price 
of USDOLS 85 per barrel down, to one based on a petroleum 
price USDOLS 40 per barrel (Ref A).  Barton-Dock said she 
thought that the GOC could operate under a revised budget, 
but she questioned the government's ability actually to stick 
to a budget.  She identified existing resources that the GOC 
could draw upon -- USDOLS 400M in 2008 budgetary surplus plus 
USDOLS 260M in overdraft financing from the regional 
six-country Bank of Central African States (BEAC) -- but 
added that she believed budgetary cuts were still necessary. 
If the GOC didn't refinance this year, she said, it would 
probably be fine at the USDOLS 85 per barrel estimate but 
would exhaust all resources by 2010. 
 
¶8. (SBU) Barton-Dock highlighted the advantages of resuming 
an IMF program in Chad, stating that a resumption could lead 
to Chad's eligibility for debt reduction under the Highly 
Indebted Poor Countries (HIPC) program.  The GOC would need 
to complete six months of fiscal responsibility under the IMF 
program before attaining HIPC eligibility, she stated. 
According to her estimates, Chad owed approximately USDOLS 
500 million, mainly to the IFIs themselves -- WB, IMF, IDA. 
 
======= 
COMMENT 
======= 
 
¶9. (SBU) Barton-Dock,s comments are good news for the GOC 
and USG.  One of Prime Minister Abbas's chief goals since he 
was installed last April has been to re-engage with the IFIs. 
 To date he has had more success with the IMF than with the 
Bank.  Achieving full World Bank reengagement would be a 
major accomplishment, positive not only for Chad's financial 
future but also important for the PM's political position. 
We continue to consider Abbas one of the most honest and 
effective of Chad's political leaders, and we believe that 
further cultivating the USG relationship with him prudent. 
Success with the Bank should reinforce President Deby's 
confidence in Abbas and should increase chances that he will 
continue to lead the government and that the government will 
respond to his leadership. 
 
¶10. (SBU) The USG should plan to exploit a possible visit by 
PM Abbas to DC by arranging meetings at the most senior 
levels possible, so that he benefits from hearing our message 
authoritatively.  We request the Department's thinking on 
meetings for him at State, Defense, NSC, Commerce, and 
Energy.  END COMMENT. 
 
¶11. (U) Tripoli Minimize considered. 
NIGRO