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Cablegate: Afghanistan: Canada Announces Artf Support and Aid

This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS OTTAWA 001662

SIPDIS

STATE FOR SA/RA AND WHA/CAN
USAID FOR KUNDER.
TREASURY FOR CORFIELD.

E.O. 12958: N/A
TAGS: EAID EFIN PREL AF CA IMF IBRD
SUBJECT: AFGHANISTAN: CANADA ANNOUNCES ARTF SUPPORT AND AID
ALLOCATIONS

REF: A. OTTAWA 1250
B. OTTAWA 1168
C. STATE 105217
D. OTTAWA 99
E. 02 STATE 262304
F. 02 OTTAWA 3255

1. Summary: On June 10, the GOC announced the opening of
its embassy in Kabul (septel) and allocation of C$21.2
million of the C$250 million in new aid pledged for the next
two years. The allocation includes an additional C$15
million to support the operational budget of the Afghan
Transitional Authority through the World Bank's Afghanistan
Reconstruction Trust Fund, plus about C$6 million for
security and reconstruction. The exchange rate is about
C$1/US$0.72. End summary

Total pledged
-------------
2. At the Brussels conference in March, 2003, the GOC
pledged $250 million over the next two calendar years for
rural development, natural resources management, security and
the rule of law, as well as budget support for TISA (Ref A).
The just-announced C$15 million in operational support
through the ARTF for the current year is in addition to the
C$23.5 million anounced in Brussels. Counting the C$19
million provided last year, Canada has contributed C$57.5
million to TISA's operating budget.

3. The GOC also announced allocations of C$5 million to the
UN Mine Action Program for Afghanistan, and C$1.2 million to
support civil-military cooperation projects.

Plans for FY04 aid
------------------
4. CIDA staff evaluate project proposals on an ongoing
basis, using priorities identified in consultations with TISA
officials and other donors. Minister Whelan periodically
approves proposals for overall allocation of funds, and in
the case of Afghanistan, later approves each individual
project. We expect future commitments to address the
priorities in paragraph 2.

Total amount delivered
----------------------
5. Between September 2001 and March 2003, Canada disbursed
C$116.6 million in aid to Afghanistan, including the C$19
million in budget support for TISA mentioned above. Other
previously-reported amounts include C$1.5 million for
electoral support through Elections Canada and the
International Foundation for Election Systems; C$3.5 million
to the UN to support reform of the judicial system; and C$0.5
million to Justice Canada to assist TISA (Ref D).

This message responds to the reporting requirements of the
Afghanistan Freedom Support Act (Ref E).
CELLUCCI

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