US embassy cable - 04ABUJA1598

C O N F I D E N T I A L SECTION 01 OF 02 ABUJA 001598 
 
SIPDIS 
 
FOR AF ASSISTANT SECRETARY NEWMAN 
 
E.O. 12958: DECL: 09/16/2014 
TAGS: PREL, MARR, EFIN, KDEM, NI 
SUBJECT: U.S./NIGERIA BILATERAL RELATIONSHIP: OBASANJO LAYS 
DOWN MARKERS 
 
REF: ABUJA 1472 
 
Classified By: Ambassador John Campbell for Reasons 1.5 (B & D). 
 
1.  (C) Summary:  In a public speech given at a Nigeria-U.S. 
investment conference sponsored by the Corporate Council on 
Africa/The Nigerian Economic Summit Group on September 16, 
President Obasanjo departed from his previously prepared text 
to lay down markers on the U.S./Nigeria bilateral 
relationship.  He said that the Gulf of Guinea Commission was 
the proper forum for resolving border disputes in the region, 
referred to a U.S./Nigeria partnership to ensure security in 
the Gulf of Guinea, and argued forcefully for debt relief as 
a part of that "partnership."  He was scathing in his 
dismissal of the argument that Nigeria's oil mitigates 
against debt relief.  The speech was heavily covered by the 
Nigeria print and electronic media reporters.  During the 
break following the speech, Oby Ezekwesili told me that she 
saw members of the U.S. Congress as a major impediment to 
debt forgiveness.  End Summary. 
 
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THE GULF OF GUINEA COMMISSION 
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2.  (U) Obasanjo's prepared speech for the investment 
conference was unremarkable (copy faxed to AF/W).  However, 
he departed from his previously circulated remarks to make 
the following points.  Echoing comments he made to Senator 
Hagel (reftel), he said that he had been concerned about 
security in the Gulf of Guinea since he became President in 
1999, and that security was also in the manifest interest of 
the U.S.  For that purpose he had undertaken a Gulf of Guinea 
Initiative to address the issues of changing security, 
economic and political patterns expected in the region over 
the next decade, and had put together a Gulf of Guinea 
Commission of affected governments to take action.  That 
Commission, he continued, is the proper instrument for 
resolving issues in the Gulf of Guinea, including the 
international maritime boundaries between countries in the 
Gulf. It had already been the means for resolving differences 
with Sao Tome and Principe and the establishment of the 
Nigeria-STP Joint Development Zone.  It had also been the 
means for resolving differences with Equatorial Guinea. 
 
3.  (U) In the future, Obasanjo continued, the Gulf of Guinea 
Commission should be the means of resolving the boundaries 
with Cameroon (it is the maritime boundary that is holding up 
Bakassi peninsula reversion -- septel).  The Gulf of Guinea 
Commission, he continued, should be "strongly" supported by 
the U.S., because Nigeria and the U.S. must work together on 
issues of strategic importance to both nations.  The Gulf of 
Guinea, he continued, needs more U.S. involvement. 
Specifically, Nigeria needs U.S. assistance in developing its 
own lift capability: the U.S. should help Nigeria develop the 
capability so it could intervene as necessary in the region 
to promote peace and stability.  He then mentioned Nigeria's 
peacekeeping role in Sierra Leone, Liberia, Cote d'Ivoire and 
Sudan (Darfur), strongly implying a debt of gratitude owed to 
Nigeria by the international community and the U.S.  He 
referred to the U.S. and Nigeria as "joint guarantors of 
peace in the Gulf of Guinea." 
 
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AND RELIEF OF NIGERIA'S SMALL U.S. DEBT 
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4.  (U)  But, Obasanjo told the U.S.-Nigeria investment 
conference, the U.S. was not being supportive on debt relief, 
despite this strategic partnership and Nigeria's 
international peacekeeping roles.  He pointed out that 
Nigeria's debt to the U.S. is "under one billion dollars." 
He was scathing in his dismissal that Nigeria's oil revenues 
were a consideration against debt relief.  He claimed that 
Nigeria's population is 150 million, about the same as the 
Russian Federation's (most observers see Nigeria as 130-140 
million), and Russia produces four times as much oil as 
Nigeria.  Yet the U.S. is forgiving Russia's debt -- and 
Iraq's:  "this is absurd in the extreme", he said.  If the 
U.S. and Nigeria really are "joint guarantors of security in 
the Gulf of Guinea, shouldn't you (the U.S.) show it?" 
 
5.  (U) Obasanjo then raised the possibility of establishing 
a "fund, to be jointly managed by the U.S. and Nigeria," that 
would include the money saved by debt forgiveness.  This fund 
would be used for hospitals, education, etc.  He said there 
could even be participation by the relevant UN agencies in 
the management of the fund.  Reverting to a frequent theme, 
Obasanjo then said that the achievements of his government 
were not receiving due acknowledgment from the international 
community, including the U.S.  He said Nigeria deserved "a 
pat on the back, which makes you do more." 
6.  (C) During a break in the U.S.-Nigeria investment 
conference after the President left, Oby Ezekwesili, Senior 
Personal Advisor to the President on Due process, a member of 
the economic reform "dream team" and a close ally of Minister 
of Finance Ngozi, commented to me that she thought a major 
U.S. obstacle to debt forgiveness is the U.S. Congress. 
"They still operate according to the old stereotypes, 419 
scams, drugs, etc."  She said Nigeria needs to work harder on 
the Hill. 
 
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AMBASSADOR'S COMMENT 
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7.  (C) Obasanjo was laying down markers about the 
U.S./Nigeria bilateral relationship before a large audience 
that included U.S. business people and prominent 
think-tankers, as well as the cream of Nigeria's own business 
establishment.  I could see the script from which he was 
reading:  the words were clearly carefully chosen and 
thought-out -- he was not speaking off the cuff.  His mien 
was severe.  His message to us seemed to be that it is 
pay-back time:  in return for his reforms at home and his 
activism abroad, he deserves U.S. political and strategic 
support in the Gulf of Guinea, including his use of the Gulf 
of Guinea Commission to resolve boundary disputes, and above 
all, for debt forgiveness.  As for the Nigeria/U.S. "security 
partnership" in the Gulf of Guinea, this seems to be based on 
his reading that the U.S. is absolutely dependent now, or in 
the future, on the energy reserves in the region.  I presume 
that his speech will get heavy play in the Nigerian media. 
CAMPBELL