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Cablegate: New York: Dfi Negotiations Update

VZCZCXRO4221
OO RUEHBC RUEHDA RUEHDE RUEHIHL RUEHKUK RUEHTRO
DE RUCNDT #1164 3462315
ZNR UUUUU ZZH
O 112315Z DEC 08
FM USMISSION USUN NEW YORK
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5510
INFO RUCNRAQ/IRAQ COLLECTIVE PRIORITY
RUEHGG/UN SECURITY COUNCIL COLLECTIVE PRIORITY

UNCLAS USUN NEW YORK 001164

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: PREL PGOV EFIN IZ UNSC
SUBJECT: NEW YORK: DFI NEGOTIATIONS UPDATE

1. (SBU) Ambassador Khalilzad met with Iraqi PR Bayati on
December 9 to discuss a draft Security Council resolution
renewing immunities for Iraqi assets including the
Development Fund for Iraq (DFI) and extending the
International Advisory and Monitoring Board (IAMB). The
Ambassador encouraged Bayati to focus on getting yes votes
from Russia, South Africa, Indonesia and Libya, urging Bayati
to use the Arab League to lobby Libya and South Africa, and
the OIC to lobby Indonesia. Bayati said he would do so
immediately, and noted that FM Zebari would likely arrive in
New York on December 14 to lobby for adoption of the
resolution. Bayati said he had spoken to the Russian Deputy
PermRep, who told him that Moscow in general had no problem
with the resolution, but would probably request more
oversight by the Security Council, including reports and/or
briefings on DFI/IAMB.

2. (SBU) USUN distributed the draft resolution to the P5 on
December 9 and to the full Council on December 10, with
possible adoption on December 17. In preliminary reactions
from the P5 expert level on December 9, Russia said (tracking
with what Bayati told Amb. Khalilizad) that it would ask for
DFI/IAMB briefings by both the UN and the IMF. Russia noted
that they would like to increase Council oversight of
DFI/IAMB. (Note: Last December, the Security Council
received a DFI/IAMB briefing by the UN Comptroller, but an
attempt to schedule a briefing with the IMF in Washington was
not successful. End Note.) France also intimated that it
would agree to increased oversight by the Security Council.
A possible solution is to include language in the resolution
to schedule either quarterly or 6-month briefings on
DFI/IAMB.

3. (SBU) USUN is pursuing the following timeline for
adoption of the DFI/IAMB renewal resolution:

December 9: Distribution to the P5
December 10: Distribution to the full Council
December 12: First meeting of Council experts to discuss the
resolution
December 15 (if necessary): Second meeting of Council experts
December 16: Resolution goes into "blue"
December 17: Adoption (and possible UN Comptroller briefing
on DFI/IAMB)


Khalilzad

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