US embassy cable - 05COLOMBO710

UNCLAS COLOMBO 000710 
 
SIPDIS 
 
FROM THE AMBASSADOR 
MANILA FOR USED AT ADB 
 
E.O. 12958: N/A 
TAGS: PGOV, PREL, PTER, EAID, CE, Tsunami, Maldives 
SUBJECT: POST-TSUNAMI ASSISTANCE TO MALDIVES 
 
REF: A. COLOMBO 697 
     B. COLOMBO 694 
     C. COLOMBO 704 
 
 1.  Reftels detail my recent visit to Maldives, where I had 
extensive discussions with Maldives Government officials and 
with UNDP on the state of reconstruction planning and the 
options for tsunami assistance.  I came away with several 
clear impressions. 
 
--Government of Maldives (GORM)is very much on top of this 
issue.  Maldivian officials have developed a comprehensive 
and clear macro reconstruction plan, broken down by sectors. 
At the micro level, each atoll has a detailed plan, showing 
specific projects. 
 
--GORM is committed to ensuring that the National Fund 
(formerly Trust Fund) is properly run, with exemplary 
transparency and accountability, and with both internal and 
external audits. 
 
--Moreover, GORM is willing to work with donors to meet their 
own particular needs.  They will allow funds to be earmarked 
as requested, allow donors oversight as needed.  Tenders for 
services will be conducted through a transparent tendering 
process. 
 
2.  On non-financial issues, GORM has given strong assurances 
that there will be no forced relocation.  My conversations 
with tsunami-affected persons on tsunami-damaged atolls 
indicate that most of them are willing to relocate to larger, 
better-protected islands.  This issue will of course need 
constant watching, but I feel we are on good ground now. 
 
3.  Maldives is still somewhat the forgotten child of the 
tsunami.  Death figures were low, but physical destruction 
 
SIPDIS 
was quite substantial, and the overall economic impact of the 
tsunami is greater here than in any other affected country. 
 
SIPDIS 
We need to make a substantial contribution; a total US 
contribution of $10 million -- including the approximate $1.5 
million we spent on emergency relief -- would be appropriate, 
given the assessed need of $600 million. We also need to 
encourage the private sector to keep Maldives in mind. 
Maldivian officials are eager and ready to work with private 
contributors.  In that regard, Washington needs to make sure 
Maldives is included in the private sector summit.  And 
finally, we should ensure Maldives is included in regional 
Early Warning System assistance. 
 
4.  In sum, I believe that we can and should work through the 
National Fund.  The Maldivians are ready to meet our specific 
needs.  I believe that our next step should be to send out a 
small team under Embassy Colombo direction to consult with 
GORM and look in detail at the reconstruction plan.  This 
team could include a financial expert to deal with Fund 
issues, a development expert, and perhaps an engineer or 
other technical expert, if we wish to become involved in 
infrastructure projects. (There is a major need to rebuild 
jetties and harbor walls, which are crucial to this island 
nation, and which would have a large public relations 
benefit.)  We could then decide on specific projects we wish 
to fund and how to proceed with them. 
 
5.  Maldives was hit badly and the Maldivians are working 
hard to recover.  They deserve our help, and there is a clear 
way to move forward.  We understand and agree fully with our 
normal reservations about working through Trust Funds.  In 
Maldives I believe we can easily overcome those problems and, 
given the uniqueness of Maldives' situation, the "National 
Fund" makes sense.  Lets decide to move ahead. 
LUNSTEAD