US embassy cable - 05SANAA310

UNCLAS SECTION 01 OF 02 SANAA 000310 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: KDEM, KMCA, KMPI, YM, DEMOCRATIC REFORM 
SUBJECT: MEPI PROJECTS SHOWING RESULTS IN YEMEN 
 
1.  Summary.  MEPI programs are making progress and 
solidifying MEPI's track record in Yemen.  CHF's vocational 
training center, forming a new partnership with local NGO 
Girls World Communication Center (GWCC), opened classes 
beginning in February.  IFES has begun implementation of the 
GIS Boundary Delineation project, and the Financial Services 
Volunteer Corps (FSVC) will visit Aden mid-February to work 
on a restructuring plan for the National Bank of Yemen. 
Participants in the MEPI-funded e-learning initiative 
concluded their training February 3, marking the occasion 
with an enthusiastic graduation ceremony.  End Summary. 
 
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CHF Finds a Match 
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2.  CHF International began work in Yemen in June 2004. 
Funded by a MEPI Standing Program Announcement, CHF initially 
partnered with local women's NGO SOUL to found the Yemen 
Economic Development Initiative (YEDI).  The project's core 
feature was a vocational training center for non-college 
bound youth in such fields as graphic design, bookkeeping, 
and business English.  YEDI planned to offer internships with 
companies, local business apprenticeships, and a development 
center to help entrepreneurs start their own businesses. 
 
3.  The project was delayed six months, largely due to the 
departure of two CHF Yemen directors.  When current Director 
Walid al-Husseini arrived, YEDI was under pressure to produce 
the same number of trainees in half the time, creating 
tension between CHF and SOUL.  In December 2004, SOUL 
formally withdrew from the project and the project's future 
appeared threatened.  Gabool al-Mutawakil, Managing Director 
of GWCC, confided that she had great respect for SOUL and 
believed that the breakdown was due simply to an 
organizational mismatch. 
 
4.  In January, CHF partnered with another local women's NGO, 
GWCC, specializing in youth training.  GWCC has helped 
recruit teachers, furnished the facility, and is evaluating 
potential trainees.  They are eager and able to take over 
management of the center from CHF in the future, and CHF is 
investing in capacity building to help them do so.  According 
to the staff, relations between the two organizations are 
positive.  The first round of classes began on February 5. 
CHF still claims that it can meet all of its stated 
objectives without a grant extension from MEPI, and plans to 
host a March 5 ceremony to celebrate the center's success. 
PD will work to ensure appropriate media coverage of the 
event. 
 
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IFES Draws the Lines 
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5.  IFES Yemen has begun work on a two-year, 1.2 million USD 
project focused on the 2006 presidential and local council 
elections.  The project's main goal is to assist the Supreme 
Council for Elections and Referenda (SCER) implement a GIS 
system to delineate electoral boundaries.  Districting proved 
highly controversial in the 2003 election, when the SCER 
conducted delineation behind closed doors without consulting 
local councils or opposition parties.  IFES intends to 
introduce a more effective approach, creating an inter-party 
supervision committee and processing census data through GIS 
to avoid gerrymandering and institutionalize an impartial 
system. 
 
6.  Success is dependent on the timely arrival of census data 
from the Central Statistics Office (CSO), and SCER's ability 
to adopt GIS.  The CSO's progress is uncertain, but IFES 
Director Paul Harris is optimistic that the data will be 
available in six months.  IFES asked the SCER to pay for the 
GIS hardware, and SCER has agreed, but is looking for donor 
commitment to support accompanying software and training for 
135,000 USD.  IFES is requesting these funds from major 
donors. 
 
7.  In an effort to build SCER's independence, IFES formally 
told SCER Chairman Khalid al-Sharef that 2006 would be the 
final year for U.S. support.  Harris believes that Sharef 
understood the message that SCER must make the transition to 
an independent and self-sustaining organization within the 
next two years.  (Note:  SCER independence would demonstrate 
the ROYG's commitment to democratic reform, a constant theme 
in Embassy dialogue with the ROYG as it seeks to qualify for 
MCC. End note). 
 
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FSVC Touches Shore in Aden 
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8.  In an effort to help improve Yemen's investment climate, 
the Financial Services Volunteer Corps (FSVC) will undertake 
its first consulting project in Yemen February 19-24. 
Following on their December assessment visit, FSVC will work 
with the National Bank of Yemen (NBY) to analyze proposals 
and select a consulting firm for the bank's restructuring 
initiative.  NBY is one of four government-owned banks and 
its restructuring efforts have been stalled for five years. 
This bank is the only national bank headquartered in Aden, 
and is therefore central to municipal planning for commercial 
investment related to the Aden Port and the Aden Free Zone, 
both central to Yemen's future economic development.  FSVC 
has scheduled additional meetings with the Agricultural Bank 
and the Local Economic Development Department at the 
Governor's Office in Aden.  FSVC will discuss future project 
proposals with each group. 
 
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E-Learning Graduates its First Class 
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9.  On February 3, Pol/Econoff attended a graduation ceremony 
for participants in the e-learning program funded by a 1.5 
million USD MEPI Education Pillar grant.  The initial phase 
of funding covered equipment and was administered by 
AMIDEAST.  The training portion of the grant was run by EDC, 
an international education NGO, which subcontracted 
instruction to a number of organizations, including iEarn. 
The graduates were teachers from five Sanaa schools who had 
completed the third stage of training.  After successful 
completion of methodology and information technology modules 
in the classroom, trainees learned to develop regional and 
international networks to begin designing their own on-line 
learning programs.  EDC now expects these teachers to provide 
"cascading training" to their fellow teachers in the Sanaa 
school system.  The same courses will soon be offered to 
teachers in Aden. 
 
10.  Response to the program was extremely positive, and many 
participants expressed their thanks for U.S. support. 
E-learning was also embraced by the Ministry of Education, 
which is encouraging EDC to offer similar classes within the 
Ministry's training centers.  Project Director Towfik Sufian 
said that, at present, e-learning is Yemen in still in the 
development phase and he does not have the staff or resources 
to expand the program, but hoped this would change in the 
future. 
 
11.  Comment.  MEPI programs are playing an increasingly 
important role in furthering the Mission's reform agenda in 
Yemen.  In education, the MEPI projects are helping improve 
the quality of the workforce, contributing to preparation for 
a post-petroleum economy and the creation of domestic 
investment.  FSVC restructuring assistance will provide a 
model for reform for Yemen's financial institutions to make 
economic growth possible.  IFES's delineation project is part 
of the Mission's broader efforts to support independent 
institutions and give ordinary Yemenis a role in determining 
their own future.  CHF's difficulties reflect the capacity 
issues faced by NGOs in Yemen.  Future MEPI projects will 
help build NGO capabilities in Yemen so that they can be more 
effective in realizing their shared goals.  End comment. 
Krajeski