US embassy cable - 05PARIS5043

UNCLAS PARIS 005043 
 
SIPDIS 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: AORC, MARR, NATO 
SUBJECT: DEMARCHE REQUEST: NATO BUDGET CEILINGS 
 
REF: SECSTATE 132389 
 
1. (SBU) Reftel points were delivered to MFA DAS-equivalent 
director for Strategic Affairs Francois Carrel-Billiard and 
NATO budget and personnel desk officer Xavier Chatel and 
separately to MOD deputy diplomatic advisor in the Minister's 
Cabinet Camille Grand on the 18th and 19th of July 
respectively. 
 
2. (SBU) On July 19 poloff spoke with Chatel about them. 
Chatel offered much background and few specifics as to 
France's position on the NATO military budget, saying that a 
lot of the budgetary decision-making that is currently taking 
place is aimed at remedying the economic and budgetary 
situation in individual EU countries.   It is not intended to 
lessen the significance of NATO, he said, but rather to 
balance national and European budgets.  Because of this, he 
suggested, economic austerity is needed, adding that strong 
pressure to contribute to a robust NATO budget will not serve 
to remedy the deficits that several EU countries are forced 
to deal with. 
 
3.  (SBU) Chatel affirmed that the French share President 
Bush's belief that NATO is and should be a "performance based 
organization" and as such he said that NATO must strive to 
find ways to enhance its capabilities while cutting costs and 
red-tape.  Certain programs that the French absolutely 
support, such as the NATO Reaction Force (NRF), need to be 
developed, he said, and France will continue to support it. 
He assured that the French recognize the importance of such 
projects and will not allow them to fall through the cracks 
because of budgetary shortfalls. 
STAPLETON