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Viewing cable 09ANTANANARIVO258, FOREIGN ASSISTANCE UNDER REVIEW IN MADAGASCAR

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Reference ID Created Released Classification Origin
09ANTANANARIVO258 2009-04-07 12:06 2011-08-26 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Antananarivo
VZCZCXRO1525
PP RUEHBZ RUEHDU RUEHGI RUEHJO RUEHMA RUEHMR RUEHPA RUEHRN RUEHTRO
DE RUEHAN #0258/01 0971206
ZNR UUUUU ZZH
P 071206Z APR 09
FM AMEMBASSY ANTANANARIVO
TO RUEHC/SECSTATE WASHDC PRIORITY 2305
INFO RUEHZO/AFRICAN UNION COLLECTIVE PRIORITY
RHMFISS/CDR USAFRICOM STUTTGART GE PRIORITY
RUEAIIA/CIA WASHDC PRIORITY
UNCLAS SECTION 01 OF 02 ANTANANARIVO 000258 
 
SENSITIVE 
SIPDIS 
 
STATE FOR AF/E - MBEYZEROV 
PARIS FOR RKANEDA 
LONDON FOR PLORD 
 
E.O. 12958: N/A 
TAGS: PGOV MA
SUBJECT: FOREIGN ASSISTANCE UNDER REVIEW IN MADAGASCAR 
 
1. (SBU) SUMMARY: Although many donors in Madagascar are 
still deliberating on the future of their assistance 
programs, several missions have moved to suspend support to 
the High Transitional Authority (HAT) government and stop any 
new projects, but maintain non-governmental and humanitarian 
programs where possible.  The notable exception is France, 
which intends to continue all functioning pre-coup programs 
without interruption; with France leading the upcoming 
European Union political dialogue with the HAT, the EU will 
likely be under pressure to follow suit.  Most multilateral 
agencies are still waiting for member governments to 
determine their course of action, but in general, programs 
that existed before are continuing, while new ones are being 
put on hold.  No donor has entirely suspended operations, 
most have yet to determine their final posture, and all are 
taking a "wait and see" approach to Madagascar's new 
government. END SUMMARY. 
 
BILATERAL MISSIONS 
------------------ 
 
2. (SBU) France is the largest bilateral donor to Madagascar, 
and will continue its programs uninterrupted to avoid 
"penalizing the Malagasy population", per an April 3 press 
release.  The French embassy has indicated that it will not 
begin any new projects, but all pre-coup programs will 
continue, in line with EU policy.  In coordination with the 
IMF, budget support remains frozen since December 2008, but 
will resume once the IMF does the same. 
 
3. (U) Germany has "suspended its projects until further 
notice", pending decisions at the German MFA and within the 
European Union.  The most immediate impact has been the 
withdrawal of German-funded technical advisors within several 
GOM ministries, and the continued freeze on budget support in 
coordination with the IMF.  Germany will continue projects in 
the environmental domain that go directly to local 
communities, but no new projects will be launched at this 
time. 
 
4. (U) Norway has frozen roughly USD $14 million in bilateral 
aid programs that were going directly to government agencies, 
including the Ministry of Education, the anti-corruption 
bureau BIANCO, and the mining authority OMNIS.  They continue 
to fund their non-governmental programs through UNICEF and 
the ILO, Norwegian missionaries, and the Electoral Institute 
of South Africa (EISA).  The Norwegian mission is maintaining 
working level contact with the GOM as necessary, but not 
engaging with the HAT. 
 
5. (U) Japan has "suspended bilateral assistance"; for the 
moment, that means they will continue honoring their current 
contracts but will not begin any new projects.  Japanese 
humanitarian assistance largely focuses on food security and 
funding for "microprojects" (which are not targeted to any 
particular sector), but they also are in the evaluation phase 
for larger infrastructure projects at the airport in Ivato 
and the port in Tamatave.  They will continue work on these 
projects pending further decisions from Tokyo.  The Japanese 
government does not recognize the HAT, but contacts at the 
embassy indicate that the infrastructure projects may 
continue if the HAT does not oppose them. 
 
MULTILATERAL DONORS 
------------------- 
 
6. (SBU) The European Union, under the local leadership of 
the French Ambassador, will be launching a political dialogue 
with the HAT during the week of April 13.  The EU is waiting 
for this dialogue before taking any further decisions on aid 
programs; in the meantime, their sizable assistance continues 
uninterrupted (although the EU also froze budget support in 
December with the IMF).  This current status, and the 
political dialogues, will last a maximum of 120 days, at 
which point the EU will make a final determination on its 
programs and relations with the HAT government.  HAT PM 
Roindefo Monja has indicated to the media that he considers 
this a first move towards recognition from the international 
community, although EU officials have asserted that 
non-recognition of the HAT is still a possible outcome. 
 
7. (U) The future of World Bank programs is currently pending 
further discussion at the Washington level, which should take 
place this week. 
 
8. (U) Budget support from the International Monetary Fund 
 
ANTANANARI 00000258  002 OF 002 
 
 
remains frozen pending written responses from the GOM to 
questions posed in December 2008 concerning budgetary 
procedures, and tax and customs irregularities. 
 
9. (U) African Development Bank National Coordinator Herivelo 
Razafindrainibe has stated in the media that ADB programs 
have been delayed by recent events, but that no decision has 
been made to suspend their projects.  ADB programs are aimed 
at improving access to water and sanitation infrastructure, 
and food security. 
 
10. (U) The multi-donor funded Health Global Fund will 
continue operations without interruption, while the Education 
Fast Track Initiative (managed by the World Bank) is waiting 
for a decision from the HAT government as to how it will 
continue its programs. 
 
11. (U) The United Nations Development Program, the 
International Labor Organization, UNICEF, and the World Food 
Program are continuing their programs, but without direct 
interaction with the HAT where possible. UNESCO has suspended 
is educational program, which largely consisted of direct 
support to the government. 
MARQUARDT