US embassy cable - 05CAIRO5467

C O N F I D E N T I A L SECTION 01 OF 03 CAIRO 005467 
 
SIPDIS 
 
E.O. 12958: DECL: 07/18/2015 
TAGS: PREL, KPAL, EG, IS, MASS, OVIP, MFO, UNGA 
SUBJECT: VISIT OF NEA ASSISTANT SECRETARY WELCH TO EGYPT 
JULY 15-16, 2005: MEETING WITH FM ABOUL GHEIT 
 
REF: A. STATE 129634 
 
     B. STATE 124820 
 
Classified by Charge Michael Corbin for reasons 1.4(b) and 
(d). 
 
------- 
Summary 
------- 
 
1.  (C) NEA Assistant Secretary David Welch discussed Gaza 
disengagement, Palestinian security reform, and the 
Palestinian internal political situation with Foreign 
Minister Ahmed Aboul Gheit on July 16.  A/S Welch also asked 
the GOE to support the U.S. position on both the Magen David 
Adom (MDA) matter and the Palestinian proposal to convene a 
Special Session of the UNGA to discuss the Israeli barrier. 
On Lebanon, A/S Welch asked that Egypt use its influence to 
press for a speedy formation of the new government in 
Lebanon.  Aboul Gheit expressed his concern that the 
Secretary has not yet sent a letter to Congress supporting 
 
SIPDIS 
the continuation, without change, of Egypt's Foreign Military 
Funding (FMF), which he characterized as inappropriately 
under threat.  Discussion of Radio Sawa reported septel.  End 
summary. 
 
------------- 
Participation 
------------- 
 
2.  NEA A/S David Welch met with Foreign Minister Ahmed Aboul 
Gheit on July 16, 2005.  Charge d'Affaires Michael Corbin, 
NSC Director Herro Mustafa, and Embassy notetaker accompanied 
the A/S.  Other GOE officials joining the meeting included 
Assistant to the Minister for the Americas Shadia Farrag, 
First Secretary Mohammed Abulkheir, Counselor for Press Ahmed 
Ezzat, Counselor for Arab Affairs Alaa al Hadidi, Counselor 
for the Peace Process Ali Erfan, Desk Officer for North 
America Walid al Fiqqi, and the Desk Officer for Palestinian 
Affairs Randa Labib. 
 
------------------ 
Gaza disengagement 
------------------ 
 
3.  (C)  Palestinian-Israeli coordination on Gaza 
disengagement is strong, A/S Welch said, noting that although 
the two governments have not made even basic decisions, they 
have narrowed the range of options under consideration.  Of 
the priority agenda items, the issues of housing and general 
assets will be the easiest to resolve, A/S Welch predicted. 
Israel wants to destroy settler housing and plans to do so 
quickly, but removing the debris presents a challenge because 
it would require the Israelis to stay in Gaza longer than 
they would like.  However, having the Palestinians remove the 
debris also creates problems, A/S Welch noted, because any 
material that cannot be used would have to be trucked into 
Israel.  A/S Welch confirmed that Israel does not want 
30-60,000 Palestinian trucks entering its territory.  As for 
productive assets, such as greenhouses, A/S Welch speculated 
that either settlers will remove and destroy them or people 
will realize their use and jobs will be saved by use of a 
third party. 
 
4.  (C) Aboul Gheit asked whether it is possible to use the 
housing debris to expand coastline development into the sea, 
as several Gulf countries have done.  According to A/S Welch, 
the Palestinians are considering using the rubble for a 
harbor, but environmental and material quality concerns are 
potential obstacles.  Aboul Gheit mentioned, but did not 
elaborate on, the possibility that disposal could be handled 
by a private contractor.  Although he commended the USG for 
engaging in the peace process after a long period of showing 
little interest, Aboul Gheit stressed the importance of 
looking beyond disengagement so that the process does not 
stagnate.  "We cannot give Palestinians in Gaza fruit while 
offering salt to those in the West Bank," he cautioned. 
Aboul Gheit further warned that the West Bank may erupt, and 
when the Israelis react, sympathizers in Gaza could spur 
violence there as well.  The U.S. must, Aboul Gheit 
suggested, consider how it will respond in such a situation. 
 
 
5.  (C)  The extent to which Gaza will be open will be the 
most difficult issue to resolve, A/S Welch said.  Passages 
and ports (sea and air) are still under debate.  On border 
crossings, the Foreign Ministry's desk officer for 
Palestinian Affairs, Randa Labib, noted that Israel's 
position  -  wanting three of the five crossings on the 
barrier -  conflicts with the Word Bank's position.  A/S 
Welch stressed that the USG supports the World Bank view with 
respect to the crossings.  As for connections to the West 
Bank, A/S Welch said the USG is prepared to help, but there 
needs to be an immediate fix.  Making crossings more 
efficient for both people and cargo will be key, A/S Welch 
and Aboul Gheit agreed. 
 
----------------------------- 
Palestinian internal politics 
----------------------------- 
 
6.  (C)  On the internal political situation, A/S Welch said 
there is a strong sense of rivalry among Palestinian groups, 
and while Abu Mazen is well-intentioned, he is not 
particularly strong.  A/S Welch noted that the Palestinian 
Islamic Jihad is reportedly launching attacks to disrupt 
negotiations with the GOI.  Abu Mazen will not, A/S Welch 
explained, back away from the principle that there should be 
one Palestinian Authority.  He added that most Palestinians 
appear to want a stronger central government.  Moreover, it 
is significant, A/S Welch pointed out, that the Palestinian 
Authority responded forcefully when Hamas provoked violence 
during Abu Mazen's recent visit to Gaza.  A/S Welch 
emphasized that the USG is advising Israel not to engage 
militarily, and said the Israelis have pledged to restrain 
themselves unless they feel under imminent threat or 
anticipate an outbreak of violence.  Otherwise, A/S Welch 
elaborated, Prime Minister Sharon and Israeli Defense 
Minister Mofaz have committed not to respond and will press 
forward with disengagement. 
 
7.  (C)  Aboul Gheit said his primary concern arises from the 
fluid nature of the Palestinian situation.  The danger, he 
opined, is that the Israelis will be stressed to the extent 
that they then put Abu Mazen in a difficult position.  The 
most difficult times are coming, according to Aboul Gheit, 
because Palestinian internal politics could effect 
post-disengagement posturing, as different groups attempt to 
take credit for the victory. 
 
 
8.  (C)  Reform of the Palestinian security forces is another 
key agenda item, A/S Welch said.  The USG is gathering the 
international community to support this effort, and while the 
response has been good, A/S Welch said, a contribution from 
Egypt would be appreciated. A/S Welch noted that although 
discussions with Israel are continuing regarding the 
provision of lethal assistance; the Israelis are facilitating 
other forms of assistance.  When Aboul Gheit asked what kind 
of assistance the international community has pledged, A/S 
Welch promised to forward this, observing that the 
Palestinians need everything from uniforms to beds. 
 
------------------- 
The Israeli barrier 
------------------- 
 
9.  (C)  A/S Welch explained the USG view (Ref A) that 
convening a Special Session of the UNGA to discuss the 
Israeli barrier would be counterproductive at this time. The 
dialogue is ongoing, A/S Welch stressed, and the Special 
Session would add nothing but momentary international 
attention.  Agreeing with A/S Welch, Aboul Gheit said the 
Palestinians are pressing this simply to evoke a reaction. 
Without speculating as to the likelihood of success, Aboul 
Gheit confirmed that he has been discussing this issue with 
the Palestinians and promised to "keep working" on it. 
 
---------------- 
Magen David Adom 
---------------- 
 
10. (C) A/S Welch asked for GOE support on the MDA matter 
(Ref B), urging Aboul Gheit not to politicize a humanitarian 
issue.  Disagreeing with A/S Welch, Aboul Gheit stressed that 
that the issue is not purely humanitarian and emphasized 
"nothing is for free."  He then noted that he had offered GOE 
support on the condition that the Israelis agree not to use 
the MDA symbol in the Palestinian territories or East 
Jerusalem.  The Israelis refused this condition.  Aboul Gheit 
underscored that the GOE is locked into the position agreed 
upon at the OIC summit in Sanaa and will not take the lead in 
proposing a change.  If, however, the discussions progress, 
Aboul Gheit said the GOE will not obstruct them. 
 
--- 
MFO 
--- 
 
11.  (C) A/S Welch noted that the GOE still had not responded 
to the request to approve an MFO budget contribution of $19 
million for FY06.  He noted that Israel and the U.S. had 
agreed to the increase and Egypt alone had yet to act.  Aboul 
Gheit asked about progress with securing contributions from 
other donors, and A/S Welch advised that while this has been 
productive, the moderate increase requested from Egypt, 
Israel, and the U.S. is essential to the mission.  Aboul 
Gheit appeared to appreciate the need to respond. 
------------------------ 
Foreign Military Funding 
------------------------ 
 
12.  (C) Aboul Gheit expressed displeasure over Secretary 
Rice's failure to send a letter to Chairman Hyde supporting 
the continuation of Egypt's FMF package.  He reminded A/S 
Welch that he raised this with the Secretary in Brussels. 
Aboul Gheit said he had advised the Secretary to "take it 
seriously" because the GOE feels "under fire."  The nature of 
our commitment on military and intelligence matters and the 
fact that Egypt is both an ally and a friend, Aboul Gheit 
said, should make us "untouchable." 
 
13.  (C) Assistant Secretary Welch has cleared this cable. 
 
 
Visit Embassy Cairo's Classified Website: 
http://www.state.sgov.gov/p/nea/cairo 
 
You can also access this site through the 
State Department's Classified SIPRNET website. 
 
CORBIN