VZCZCXYZ0001
RR RUEHWEB

DE RUEHSN #1002 2962041
ZNR UUUUU ZZH
R 232041Z OCT 09
FM AMEMBASSY SAN SALVADOR
TO RUEHC/SECSTATE WASHDC 1781
RUEATRS/DEPT OF TREASURY WASHINGTON DC
INFO RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE

UNCLAS SAN SALVADOR 001002 
 
STATE PASS USAID/LAC 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EFIN EAID PREL ES
SUBJECT: EL SALVADOR REQUESTS TREASURY TECHNICAL ASSISTANCE 
 
¶1. (SBU) SUMMARY: The Minister of Finance has formally requested the 
placement of a U.S. Department of Treasury Resident Advisor in El 
Salvador to provide technical assistance in the areas of debt 
management, budgeting, and taxation following a Treasury assessment 
visit.  The Central Bank likewise sought assistance with debt 
issuance, while the Attorney General's office and Superintendent of 
the Financial System both expressed interest in financial 
crime-related training.  Post strongly backs the GOES's request and 
urges a team be sent as soon as possible to discuss a potential 
scope of work.  END SUMMARY. 
 
¶2. (U) In early October, Treasury Office of Technical Assistance 
(OTA) Representative and Econoffs conducted an initial assessment of 
the GOES's interest in Resident Advisor technical assistance, 
culminating in a formal invitation from Minister of Finance Carlos 
Caceres for an OTA team to conduct a formal assessment and negotiate 
the scope of work for a technical assistance program.  Copies of the 
letter have been provided to both Treasury and State (WHA). 
 
¶3. (U) Caceres commented that, when he became Minister, he was 
shocked that El Salvador was "one of the very few" countries in the 
region not receiving technical assistance from Treasury.  Caceres 
and Vice Minister Roberto Solorzano both expressed strong interest 
in assistance across OTA areas of expertise, but especially in debt 
management and taxation, where they hoped to complement an existing 
USAID tax program.  The Minister advised that the GOES would also be 
interested in short-term assistance, especially with the GOES's 
upcoming Eurobond issuances.  Central Bank President Carlos Acevedo 
similarly expressed an interest in technical assistance, especially 
in debt management. 
 
¶4. (U) Jose Roberto Monroy, head of El Salvador's Financial 
Intelligence Unit (FIU) (part of the Attorney General's office) 
expressed a strong interest in resuming OTA assistance in combating 
financial crimes, noting the long-standing relationship between OTA 
and the FIU.  The Superintendent of the Financial System, Victor 
Ramirez, also expressed interest in financial crime-related 
technical assistance. 
 
¶5. (SBU) COMMENT: The GOES's request offers a unique opportunity to 
support the moderate elements of this new government as they seek to 
improve the transparency and efficiency of the institutions managing 
fiscal policy.  Treasury OTA assistance should be complementary to 
the ongoing successful USAID tax program, and hopefully, synergies 
will develop across the projects. 
 
BLAU