US embassy cable - 04MANAMA1391

UNCLAS MANAMA 001391 
 
SIPDIS 
 
DEPT FOR NEA/ARPI 
DEPT PASS USTR JBUNTIN, CMILLER, WCLATANOFF 
COMMERCE FOR CLOUSTAUNAU 
TREASURY FOR DEMOPULOS 
 
E.O. 12958: N/A 
TAGS: ECON, EFIN, ETRD, PREL, BA 
SUBJECT: BAHRAIN SUPPORTS BMENA INSTITUTE 
 
REF: A. STATE 190772 
     B. STATE 186398 
 
 1. (U) The Ambassador met with Bahraini Minister of Finance 
and National Economy Abdullah Saif September 7 to discuss the 
October 1 meeting of finance ministers on the G8 Broader 
Middle East and North Africa (BMENA) initiative (Ref A), the 
IFC's Private Enterprise Partnership for the Middle East and 
North Africa (IFC Facility) (Ref B) and the upcoming signing 
of the U.S.-Bahrain Free Trade Agreement (FTA) (septel). 
Saif confirmed that he would attend the October 1 meeting 
chaired by Treasury Secretary Snow and passed a copy of his 
letter to Secretary Snow confirming his attendance.  (We will 
fax it to NEA/ARPI.)  Regarding the proposed agenda, Saif 
said Arab ministers were now considering the draft and would 
provide a joint response. 
 
2. (U) Saif also confirmed Bahrain remains interested in 
hosting the entrepreneurship center in Bahrain.  A diplomatic 
note sent to the Embassy dated September 8 affirms Bahrain's 
desire to host "an Institute for Entrepreneurship Training 
and Development along the lines of the preliminary proposal 
(Bahrain) prepared in May 2004 for the Sea Island 
discussion," and that the center would be subject to 
"adequate funding for the initiative."  The letter further 
clarifies that Bahrain would provide the space for the 
facility but that it would be "a separate Institute, not part 
of the existing Institute of Banking and Finance, but 
parallel to it and building on" BFIF's experience. 
 
3. (U) In a follow-on conversation, Saif's financial advisor 
Vivian Brown told EconOff that Bahrain wanted to limit its 
participation to providing space for the Institute, and that 
Bahrain was unlikely to be able to contribute funds to 
support its activities, particularly in the payment of 
instructors.  He added that he expected the Minister would be 
prepared to discuss this further at the October 1 meeting. 
 
4. (U) On the subject of the IFC facility, Saif said Bahrain 
would limit its participation to a contribution "in kind". 
He reviewed his recent conversation with Treasury U/S Taylor 
on this subject, noting he believed there was no lack of 
resources in the region and discussed with Taylor how to 
"network those funds."  Saif is now waiting for a concept 
paper from U/S Taylor on this issue. 
MONROE