US embassy cable - 04COLOMBO1146

C O N F I D E N T I A L COLOMBO 001146 
 
SIPDIS 
 
OFFICIAL INFORMAL 
 
FOR SA/INS 
 
E.O. 12958:  DECL:  07/09/14 
TAGS: AMGT, CE, MV, LTTE - Peace Process, Elections 
SUBJECT:  OFFICIAL INFORMAL NUMBER 090 (07/09/04) 
 
 
Classified by Ambassador Jeffrey J. Lunstead for reasons 1.5 
d and g. 
 
Contents: Japanese Deputy Foreign Minister Meeting 
            with U/S Larson 
-         Hingurakgoda Temple Bombed 
-         July 10 Provincial Council Elections 
 
Japanese Deputy Foreign Minister Meeting with U/S Larson 
--------------------------------------------- ----------- 
 
1.  (SBU) Two Japanese Embassy Econ officials called on Dean 
yesterday to discuss our reaction to the UPFA's recently 
announced economic plan (reporting septel).  During the 
meeting they mentioned that they had been instructed to ask 
about our perceptions on the economy, particularly anything 
we thought relevant to a July 15 meeting between E and 
Deputy FM Fujisaki.  They did not know specifically what the 
DFM wants to discuss relative to Sri Lanka.  They said their 
overall impression is that economic fundamentals in Sri 
Lanka are sound, but that the UPFA's new economic plan lacks 
information on how it will be implemented (an assessment we 
share).  We did not know about this meeting but wanted to 
highlight that Sri Lanka may be on the agenda in some form. 
One issue that was raised in the meeting that E might want 
to mention is greater USAID/Japan cooperation in Sri Lanka. 
The Japanese reps said they have been pressured by Tokyo to 
increase cooperation, but are simply too busy.  USAID has 
also tried to cooperate, on Washington's instructions, but 
often gets rebuffed.  If this is a priority of both 
governments, perhaps Tokyo could lean on its folks in 
Colombo to restructure their priorities somewhat.  (ECON) 
 
HINGURAKGODA TEMPLE BOMBED 
-------------------------- 
 
2.  (C) As part of the problems in the East possibly 
contributing to the July 7 suicide bombing in Colombo, 
we reported (Colombo 1132) that 14 Tamil youths had been 
arrested on July 5 for suspected weapons possessions at 
a Buddhist temple in the eastern town of Hingurakgoda. 
The youths, who were later released, were suspected to 
be loyal to breakaway LTTE rebel Karuna.  Late on the 
evening of July 8, the residential area of the temple's 
chief monk was firebombed.  The chief monk was seriously 
injured and transported to Colombo for medical 
attention.  Although it appears that the monk was 
directly targeted, he was not at the temple during the 
July 5 incident.  No one else seems to have been injured 
and the main part of the temple was not damaged.  The 
LTTE are suspected in the July 8 attack -- which is 
perhaps seen as another message to cease support for pro- 
Karuna elements.  (POL) 
 
JULY 10 PROVINCIAL COUNCIL ELECTIONS 
------------------------------------ 
 
3.  (C) FYI.  Six of Sri Lanka's nine provincial 
councils will hold elections on July 10.  Given likely 
voter fatigue from the April 2 parliamentary elections, 
observers do not anticipate a huge turnout or any major 
upsets.  The President's United People's Freedom 
Alliance (UPFA) is dominant in five of the six provinces 
facing elections, while the Opposition United National 
Party (UNP) controls the sixth.  The UPFA has only a 
narrow majority in the Western Province (which includes 
Colombo), and it is possible that the balance of power 
in the council may switch after the election.  While 
local media has reported on a possible heart attack by 
the Elections Commissioner -- he has a history of health 
problems -- it has not been confirmed.  His health will 
not have an impact on the elections, however, as there 
is an Acting Elections Commissioner.  (POL) 
 
LUNSTEAD