US embassy cable - 03ROME4764

C O N F I D E N T I A L  ROME 004764 
 
SIPDIS 
 
 
STATE ALSO FOR E, EUR PDAS RIES, EB/CBA AND EB/IFD 
 
E.O. 12958: DECL: 10/17/2008 
TAGS: EAID, EFIN, IT, IZ, PREL, EUN 
SUBJECT: MADRID DONORS' CONFERENCE: ITALY CONSIDERING 100 
MILLION EURO PLEDGE 
 
REF: A. STATE 294287 
     B. SECSTATE 287995 
     C. ROME 4661 
     D. ROME 4665 
 
Classified By: Acting Deputy Chief of Mission Scott Kilner for reasons 
1.5 (B)(D). 
 
1. (C) Summary.  We have been told on a confidential basis 
that Prime Minister Berlusconi has proposed to his cabinet a 
Madrid Conference pledge of 100 million euros for 2004.  A 
final decision, however, has not been taken yet.  The Italian 
delegation to Madrid will be led by FM Frattini and dominated 
by Foreign Ministry representatives.  At this point, no 
senior Finance Ministry official will join the delegation. 
End Summary. 
 
SECRETARY'S ORAL MESSAGE 
 
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2. (C)  With Foreign Minister Frattini still in Brussels and 
Ambassador Sembler outside of Rome, Acting DCM delivered the 
Secretary's oral message on the Madrid Donors' Conference to 
 
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Frattini's Acting Chief of Cabinet, Michele Baiano, the 
morning of October 17 (leaving a written text for the 
minister).  A/DCM stressed that adoption of UNSCR 1511 should 
serve as a catalyst for us all to make the Madrid Conference 
an historic success.  We appreciated that FM Frattini would 
head the Italian delegation.  We looked forward to a generous 
and robust Italian financial contribution. 
 
3. (C)  Baiano promised to convey the Secretary's message to 
Frattini immediately upon his return to Rome.  Recalling 
Frattini's latest telephone discussion of the issue with the 
Secretary, he said the Foreign Minister was very focused on 
 
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the Madrid conference.  Baiano agreed that the U.N. 
Resolution was a most welcome development, which would 
undoubtedly add momentum to the Madrid Conference.  He was 
hopeful that the resolution would spur more European 
governments to send their respective foreign ministers to 
Madrid. 
 
4. (C)  In response to A/DCM's question regarding prospects 
for an Italian pledge, Baiano (please strictly protect) 
confided that Prime Minister Berlusconi has proposed to his 
cabinet a pledge of 100 million euros for 2004.  That amount 
is currently under discussion and no final action has been 
taken, he stressed.  Nevertheless, Baiano appeared confident 
that the final figure would not be too far from that amount. 
He had no information regarding possible outyear commitments. 
 
ITALIAN GOVERNMENT AND PRIVATE SECTOR REPRESENTATION 
--------------------------------------------- ------- 
 
5. (U) Iraq Task Force Deputy Director Luigi Maccotta told 
EconOff on October 15 that Italy's delegation to the Madrid 
Conference will include the following Foreign Ministry 
representation:  (a) Foreign Minister Frattini; (b) Cesare 
Ragaglini, Frattini's Chief of Staff; (c) Ricardo Sessa, DG 
for the Middle East and Director of the Iraq Task Force; (d) 
Michele Valensise, MFA Spokesman and Director of the Press 
Office; (e) Dr. Siciniano, an Iraq expert from the MFA's 
Directorate for Development Assistance; and (f) Maccotta 
himself.  At this time, no Finance Ministry representation is 
anticipated. 
 
6. (U) With respect to Italian participation in the private 
sector meeting, Dr. Laura Travaglini, Middle East Area 
Manager for Italy's largest employers' association 
(Confindustria), gave EconOff an updated and expanded list of 
Italian participants (Ref D ).  The new delegation will 
include thirteen people total: seven from industry 
associations, two from Italian Government ministries, and 
four from the private sector.  The names and institutional 
affiliations of the delegates are as follows: (a) Laura 
Travaglini, Confindustria; (b) Fabio Pizzino, Assoc. of 
Chambers of Commerce (Unioncamere); (c) Giacomo De Gennaro, 
Foreign Trade Commission (ICE); (d) Cecilia Satta, National 
Building Construction Industry Assoc. (ANCE); (e) Giuliano 
Ceradelli, Assoc. of Engineering Organizations (OICE); (f) 
Dario Cappelletti, National Electronic Industry Association 
(ANIE); (g) National Plant Construction Industry 
Assoc.(ASSISTAL) rep TBD; (h) Tullio Di Pietro,Industry 
Ministry; (i) Mario Fugazzola, Foreign Ministry; (j) Mario 
Bonechi, Techint, SpA.; (k) Francesco Nanotti, Telecom 
 
 
Italia; (l) Annalisa Biondi, Finmeccanica SpA; (m) Mario 
Fugazzola, Office Director in the MFA's Bureau of 
Multilateral Economic and Financial Cooperation. 
 
7. (C)  Comment:  Embassy has continued to press the GOI for 
a generous pledge in Madrid at every opportunity (Ref C).  At 
an October 15 ceremony to honor Italian soldiers returning 
from Afghanistan, Amb. Sembler spoke to Prime Minister 
Berlusconi, reminding him of conversations with the President 
at Crawford regarding Iraq; the PM responded that he had 
"received our message" and that he would do what he could. 
At a small October 16 dinner for visiting EXIM Bank President 
Merrill, the Ambassador again drove home the importance of 
the Madrid Conference with MFA Director General for Economic 
Affairs Magliano.  Acting DCM phoned Prime Ministry 
Undersecretary Letta (Berlusconi's closest advisor) on 
October 17 to ensure that Letta was aware of British and 
Japanese pledge announcements;  Letta confirmed that no final 
GOI decision on a pledge has been made yet.  A/DCM also 
phoned Finance Minister Tremonti's Diplomatic Advisor, Carlo 
Baldocci, to again make the case for Madrid.  Baldocci 
confirmed that Tremonti was not/not planning to attend, but 
undertook to make sure that Tremonti was fully aware that 
Treasury Secretary Snow would be there.  End Comment. 
SEMBLER 
 
 
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	2003ROME04764 - Classification: CONFIDENTIAL