US embassy cable - 05LIMA2692

C O N F I D E N T I A L LIMA 002692 
 
SIPDIS 
 
DEPT FOR E, EB A/S WAYNE, WHA/AND, EB/IFD/ODF 
WHITE HOUSE FOR NEC 
 
E.O. 12958: DECL: 06/15/2015 
TAGS: PGOV, PREL, EAID, EFIN, PE 
SUBJECT: PERUVIAN FINANCE MINISTER PPK WILL RUN FOR IDB 
PRESIDENCY 
 
REF: A) LIMA 2686 B) LIMA 2601 
 
Classified By: AMBASSADOR J. CURTIS STRUBLE, REASONS 
1.4 B) AND D) 
 
1. (C) Finance Minister Pedro Pablo Kuczynski (PPK) confirmed 
to the Ambassador in a private conversation June 16 that he 
will be a candidate to replace Enrique Iglesias as IDB 
President.  PPK said that he told Toledo recently of his 
desire to leave the Finance Minister position in mid-August 
2005.  Toledo has asked him to do something for Peru by 
allowing the GOP to put his name forward as IDB candidate. 
Kuczynski said that Enrique Iglesias had likewise pushed him 
to throw his hat in the ring.  PPK termed Colombian candidate 
Luis Alberto Moreno a good friend and a good candidate, but 
someone he thought would attract little support from South 
America.  The Brazilian candidate is a known quantity due to 
his present position in the IDB, but has no new ideas; PPK 
predicted that contender would likewise not pick up steam. 
Kuczynski said that the IDB did very valuable work in 
stabilizing LatAm financial crises during the 1990s, but 
needs now to adjust its approach.  He felt the bank should 
lend more money to private borrowers and increase funding for 
infrastructure projects. 
 
2. (C) Kuczynski said that he also is still toying with the 
idea of running for President of Peru.  He thought he could 
explore both that and the IDB track without problem for a 
time, adding that "in all probability neither one will come 
through."  Kuczynski is travelling to Washington next week as 
part of a four minister team to lobby on the US-Andean Free 
Trade Agreement (reported septel).  He will raise his IDB 
candidacy with Treasury and possibly NEC officials. 
Ambassador told Kuczynski that the United States is likely to 
stand by its commitment to Luis Alberto Moreno's candidacy. 
 
3. (C) PPK confirmed our suspicion that President Toledo will 
not/not support the candidacy of former Prime Minister 
Roberto Danino.  While Toledo had received calls lobbying him 
in that direction from Danino, writer Mario Vargas Llosa and 
former UN Secretary General Javier Perez de Cuellar, Toledo's 
resentment over what he considers bad counsel from Danino 
when the latter was his Prime Minister remains profound. 
 
STRUBLE