VZCZCXRO9714
OO RUEHBC RUEHDA RUEHDBU RUEHDE RUEHDH RUEHDT RUEHGI RUEHJS RUEHKUK
RUEHLH RUEHPB RUEHPW RUEHROV RUEHTRO
DE RUEHJA #1840/01 3091042
ZNR UUUUU ZZH
O 051042Z NOV 09
FM AMEMBASSY JAKARTA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 3730
INFO RUCNARF/ASEAN REGIONAL FORUM COLLECTIVE PRIORITY
RUCNISL/ISLAMIC COLLECTIVE PRIORITY
RUCNDT/USMISSION USUN NEW YORK PRIORITY 1128
RUEAIIA/CIA WASHDC
RHEHNSC/NSC WASHDC

UNCLAS SECTION 01 OF 03 JAKARTA 001840 
 
SENSITIVE 
SIPDIS 
 
DEPT FOR EAP, EAP/MTS, EAP/MLS, EAP/PD, EAP/RSP 
S/P (GREG BEHRMAN) 
NSC FOR J.BADER 
 
E.O. 12958: N/A 
TAGS: PREL SOCI KISL EAID ID XF
 
SUBJECT: INDONESIA -- REALIZING THE PRESIDENT'S CAIRO VISION 
 
REF: A. STATE 71325 
      ¶B. JAKARTA 1194 
      ¶C. JAKARTA 1193 
      ¶D. JAKARTA 1262 
      ¶E. JAKARTA 1269 
      ¶F. JAKARTA 1832 
 
¶1.  (U) This message is Sensitive but Unclassified.  It contains 
Action Requests in paras 4, 6, 8, 9, 11 and 12. 
 
¶2.  (SBU) SUMMARY:  We have an opportunity to enhance relations with 
Indonesia and carry out the President's vision of a "New Beginning" 
with the Muslim world.  President Yudhoyono's administration is 
committed to advancing our Partnership with Indonesia--the Muslim 
world's largest democracy.  We have already seen success in many key 
areas such as education, economic development, science and 
technology, health and interfaith dialogue, but more needs to be 
done.  President Obama will meet with Yudhoyono at the upcoming APEC 
meetings in Singapore.  This would be an ideal time to pledge our 
commitment to completing initiatives such as the Science and 
Technology agreement, announcing the return of Peace Corps to 
Indonesia and pledging our commitment to an interfaith dialogue with 
Indonesia.  END SUMMARY. 
 
THE CAIRO INITIATIVE IN INDONESIA 
 
¶3.  (SBU) The President outlined his vision for a "New Beginning" 
with the Muslim world in his speech in Cairo in June.  Mission is 
engaged in carrying out this vision through many of its key 
components of the Comprehensive Partnership with Indonesia 
including: 
 
-- Working to conclude a Science and Technology Agreement 
-- Supporting Technological Innovation 
-- Initiatives in Education 
-- Working to return Peace Corps to Indonesia 
-- Public Diplomacy Outreach - Creating an "American Place" 
-- Health Partnerships 
-- Interfaith Dialogue 
-- Entrepreneurship 
 
SCIENCE AND TECHNOLOGY AGREEMENT 
 
¶4.  (SBU) In his June Cairo Speech President Obama underscored the 
importance of scientific linkages with the Muslim world.  The USG 
and GOI are in the process of negotiating a Science and Technology 
Agreement that would unlock a broad range of more formal and stable 
science cooperation.  In the most recent round of face-to-face 
negotiations in September, negotiators identified two remaining 
areas of contention, language regarding a material transfer 
agreement (MTA) and language regarding the protection of Genetic 
Resources, Traditional Knowledge and Folklore (GRTKF).  We have 
advocated that the MTA language should be deferred to implementing 
agreements.  After an October visit to the U.S. on a DOS Voluntary 
Visitor program, the main proponent of Indonesia's MTA position has 
come around to the U.S. view.  We have informed DEPLU and other 
stakeholders that the USG cannot agree to any explicit reference to 
GRTKF, and this appears to be the final surmountable roadblock to a 
joint agreement for final C-175 approval. 
 
ACTION REQUEST:  Mission requests that Washington commit to a firm 
date to continue with the next round of negotiations on the Science 
and Technology Agreement. 
 
SUPPORTING TECHNOLOGICAL INNOVATION 
 
¶5.  (SBU) The President also announced that the U.S. would create a 
new fund to support technological innovation in Muslim-majority 
countries.  In response, the Overseas Private Investment Corporation 
(OPIC) is launching a Global Technology and Innovation Fund to 
deliver on that commitment.  We are negotiating an update to OPIC's 
Investment Incentive Agreement with Indonesia.  Unfortunately, the 
GOI's most recent counter draft would render Indonesia ineligible to 
receive the benefits from this newly created OPIC fund.  We are 
encouraging the GOI to update its Investment agreement in a way that 
permits Indonesia to benefit from all of OPIC's private financing, 
insurance and investment fund opportunities.  Upon completion of an 
updated agreement, we will recommend that OPIC choose Indonesia as 
host of OPIC's 2011 international investment conference. 
 
EDUCATION 
 
¶6.  (SBU) Mission continues its efforts to strengthen higher 
 
JAKARTA 00001840  002 OF 003 
 
 
education cooperation and actively market U.S. higher education in 
Indonesia. Education USA has received an infusion of one-time funds 
which have been used to hire additional educational advising staff 
and contract with a professional marketing company. A new marketing 
campaign and revamped website will soon be launched by the 
Ambassador.  The new advising staff will greatly increase 
recruitment through outreach events in schools, malls, and other 
locations where we can reach students able to pay for a U.S. 
education. 
 
ACTION REQUEST:  We would request that this funding be continued in 
out-years to permit a long-term, sustained effort.  Mission's 
overall higher education efforts could benefit from increased 
funding. 
 
¶7.  (SBU) Additional efforts by the Department of Commerce's Foreign 
Commercial Service (FCS) entail leveraging partnerships with 
Indonesian recruiters to encourage them to focus more on U.S. higher 
education institutions.  Using DOC funds, FCS will market U.S. 
institutions to the Indonesian public via relationships established 
by a Department of Commerce Education Team, which counts many U.S. 
universities as its clients.  FCS will also use webinars and DVCs to 
hold "virtual" college fairs between Indonesian agents, students, 
and parents, and U.S. universities. 
 
PEACE CORPS INITIATIVE 
 
¶8.  (SBU) Peace Corps is near completion on negotiations to 
establish a program in Indonesia after a forty-year absence. 
However, the GOI is reluctant to offer unconditional Administrative 
and Technical (A&T) status (albeit without immunities) to Peace 
Corps staff.  GOI officials insist that Peace Corps' offices should 
be integrated within the Embassy and complain that the United States 
does not grant reciprocal status to equivalent Indonesian entities. 
The Ambassador has advised the GOI that application of the 
collocation standard by the GOI endangers prospects for completing 
an agreement and would have an adverse impact on overall bilateral 
cooperation. (reftel F)  Additional remaining issues include visa 
fee offsets and definition of the term "family members." The next 
round of discussions is scheduled for November 9 in Jakarta.  The 
first tranche of Volunteers, expected to be on the ground by the 
spring of 2010, would include twelve education specialists. 
 
ACTION REQUEST:  Mission requests guidance on whether Peace Corps 
accepts the GOI's offer of including a housing reimbursement 
provision in the implementing agreement (not the MOU) to offset visa 
fees.  Assuming accommodation on the remaining issues can be reached 
on November 9, we also request that the Department respond as 
quickly as possible to inquiries from Peace Corps to ensure 
finalization of the agreement in time for it to be announced by 
President Obama and President Yudhoyono at the bilateral meeting in 
Singapore. 
 
PUBLIC DIPLOMACY OUTREACH 
 
¶9.  (SBU) In response to a request from Under Secretary McHale, 
Embassy Jakarta developed the concept of an American Place, a 
high-tech 21st century public diplomacy outreach venue targeting 
Indonesians aged 18-30.  This center will present a tangible, 
hands-on way to realize the President's Cairo vision in Indonesia. 
American Place will advance our education goals by providing a venue 
for young people to learn about the United States and get 
information about educational exchange opportunities.  Social media 
savvy Indonesians will enjoy American Place's IT infrastructure, 
allowing them to connect with young Americans. Through 
public-private partnerships, American companies and organizations 
will help tell America's story by showcasing American technology, 
ideas, products, and ideals.  By engaging young people on issues 
that are of interest to them, American Place will offer a venue to 
exchange ideas and promote a dialogue in the world's most populous 
Muslim nation. 
 
ACTION REQUEST:  Mission has already requested $4.9 million to cover 
the design, construction, staffing, and first year of operations of 
the American Place, and $570,000 to cover the first year's rent at 
the commercial mall venue.  Mission requests that Washington fund 
this project in early December 2009, so that American Place can open 
by April 2010. 
 
HEALTH PARTNERSHIPS 
 
¶10.  (SBU) The President announced in his Cairo speech a new global 
effort with the Organization of the Islamic Conference to eradicate 
 
JAKARTA 00001840  003 OF 003 
 
 
polio and to expand partnerships with Muslim communities to promote 
child and maternal health.  To that end, Mission will continue to 
support the development of Indonesia's own capacity to combat the 
outbreak and spread of emerging diseases, including through 
partnerships to enhance locally-conducted joint laboratory and field 
research.  Mission continues to engage in productive discussions 
with the Ministry of Health (MOH) on the creation of the 
Indonesia-United States Center for Biomedical and Public Health 
Research (IUC). 
 
¶11.  (SBU) We partner with the GOI and local communities to address 
the high rates of maternal and child mortality, particularly among 
the poor and underserved through a comprehensive public health and 
clinical service approach.  The Mission has committed to support the 
final stages of global polio eradication through surveillance and 
prevention until the region achieves certified polio free status. 
An integrated Maternal and Child Health/malaria prevention program 
in eastern Indonesia leverages limited resources to maximize impact 
on Maternal and Newborn Health by preventing and treating malaria in 
pregnant women. 
 
RESOURCE REQUEST: With maternal and child health receiving 
attention, additional resources would allow us to expand efforts and 
partner with a wider range of stakeholders (including faith-based 
organizations and public/private partnerships) in addressing high 
maternal and neonatal mortality rates, particularly in vulnerable 
communities. Additional attention would support partnership efforts 
towards achieving the Millennium Development Goals for health. 
 
INTERFAITH DIALOGUE 
 
¶12.  (SBU) In Morocco, the Secretary reiterated the President's 
commitment to interfaith dialogue by partnering with Muslim-majority 
host countries to bring together leaders across faith communities, 
government, civil society, and the private sector to create 
actionable plans for addressing common challenges affecting all of 
our communities.  To that end, discussions continue between Mission 
and the GOI to develop a bilateral interfaith dialogue focusing on 
building communities through interfaith work as a component of the 
Comprehensive Partnership.  This dialogue is tentatively planned for 
January 2010. 
 
ACTION REQUEST:  Mission requests assistance in the formation of an 
advisory group.  We would recommend the advisory group consist of 
representatives from Religions for Peace (a NGO), or The Center for 
Muslim-Christian Understanding at Georgetown University, and 
Department representatives.  This group would select individuals who 
would comprise the U.S. delegation and provide input on the agenda 
for the U.S. - Indonesia interfaith event. 
 
ENTREPRENEURSHIP 
 
¶13.  (SBU) The President also announced in Cairo plans for a Summit 
on Entrepreneurship to identify how we can deepen ties between 
business leaders, foundations and social entrepreneurs in the U.S. 
and Muslim-majority countries.  Indonesia is an emerging economic 
power with a growing entrepreneurial class.  Endeavor, a New 
York-based NGO that specializes in promoting entrepreneurship in 
developing economies, is considering Indonesia for its first 
capacity-building program in Asia.  Developing more links between 
Indonesian and U.S. entrepreneurs would help develop U.S. commercial 
and investment ties with the largest, and economically one of the 
fastest growing, Muslim-majority countries in the world. 
HUME