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Viewing cable 06BEIRUT3092, LEBANON: PRESIDENTIAL DELEGATION OFFERS TO HELP

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Reference ID Created Released Classification Origin
06BEIRUT3092 2006-09-25 16:07 2011-08-24 01:00 UNCLASSIFIED Embassy Beirut
VZCZCXRO9197
OO RUEHAG RUEHBC RUEHDE RUEHDF RUEHIK RUEHKUK RUEHLZ
DE RUEHLB #3092/01 2681607
ZNR UUUUU ZZH
O 251607Z SEP 06
FM AMEMBASSY BEIRUT
TO RUEHC/SECSTATE WASHDC IMMEDIATE 5755
INFO RUEHXK/ARAB ISRAELI COLLECTIVE PRIORITY
RUEHEE/ARAB LEAGUE COLLECTIVE PRIORITY
RUCNMEM/EU MEMBER STATES COLLECTIVE PRIORITY
RUEHNO/USMISSION USNATO PRIORITY 0341
RHEHNSC/NSC WASHDC PRIORITY
RHMFISS/CDR USCENTCOM MACDILL AFB FL PRIORITY
UNCLAS SECTION 01 OF 02 BEIRUT 003092 
 
SIPDIS 
 
SIPDIS 
 
NSC FOR ABRAMS/DORAN/MARCHESE/HARDING 
 
E.O. 12958: N/A 
TAGS: ECON IS LE PGOV PREL PTER SY
SUBJECT: LEBANON:  PRESIDENTIAL DELEGATION OFFERS TO HELP 
 
REFORMISTS IMPLEMENT A NEW VISION FOR LEBANON 
 
SUMMARY 
------- 
 
1.  The Presidential Delegation for Lebanon, headed by 
Assistant Secretary Dina Habib Powell met with a broad 
cross-section of Lebanese pro-reform elements and offered to 
help them transform the country's economy to meet the 
challenges of the 21st century, which in turn would create 
conditions conducive to the development of strong, resilient 
democratic institutions.  Ironically, just before the 
Delegation arrived in Beirut, Hizballah's reactionary leader 
Hassan Nasrallah was railing against the Siniora government 
at a large rally in south Beirut in which he threatened to 
wage unremitting conflict if his organization's irrational 
demands are not met.  The existence of these two 
diametrically opposed visions -- the reformists desire for a 
democratic, peaceful, prosperous Lebanon versus Nasrallah's 
vision of continuous conflict with its attendant 
glorification of martyrdom -- places Lebanon at a critical 
crossroads.  If successful, the Presidential Delegation will 
become a key enabler in the emergence of a dynamic democracy 
and a model for the region.  End summary. 
 
2.  The recently established Presidential Delegation for 
Lebanon traveled to Beirut on September 22-23 and held 
discussions with a wide range of representatives from 
business, academia, non-government organizations, media, 
international organizations, and the Lebanese government.  In 
addition, the Delegation visited numerous sites in south 
Lebanon and Beirut to see first-hand the needs of the 
country's numerous communities and directly interact with the 
Lebanese people.  The Delegation which is comprised of the 
Assistant Secretary, Mr. John Chambers, President and CEO, 
Cisco Systems, Mr. Yousif Ghafari, Chairman, Ghafari Inc., 
Mr. Ray Irani, Chairman, Occidental Petroleum Corporation, 
Ambassador Jeffrey Feltman, and Mr. Craig Barrett, Chairman, 
Intel Corporation (did not travel to lebanon), announced the 
launch of a nation-wide effort to demonstrate U.S. private 
sector support for Lebanon's reconstruction and development. 
(Others, including AID DAA Mark Ward, also participated.) 
The heart of this effort will be the creation of the U.S. - 
Lebanon Partnership, which is a long-term commitment by the 
American people to assist the people of Lebanon through 
active private-sector participation achieve a free, open, 
prosperous society. 
 
3.  In a highly compressed schedule, the Delegation members 
visited university campuses, infrastructure sites damaged in 
the recent conflict (and being repaired with US funds), sites 
with environmental clean-up requirements, and held 
discussions with progressive-minded business and government 
leaders.  In all these meetings, the Delegation members urged 
their Lebanese counterparts to persevere and set their goals 
high.  The Delegation explained that their mission had the 
full support of the President and would seek to harness the 
enormous generosity of the American people. 
 
BUSINESS LEADERS COMMIT 
----------------------- 
 
4.  In a meeting with the leaders of the Lebanese - American 
Chamber of Commerce, the Delegation listened to proposals to 
develop venture capital funds, subsidized loan programs for 
businesses, research and development funds, and a fund to 
support pro-bono and charitable organizations.  Mr. Chambers, 
however, urged the Lebanese business leaders to think even 
larger, that is, not to simply aspire to repair the damaged 
economy, but to take the opportunity to develop Lebanon into 
a regional leader in education, medical services, 
telecommunications, tourism, and finance.  Mr. Chambers 
emphasized his conviction that with its inherent advantages 
in education, language and geography, Lebanon was 
exceptionally well positioned to leap past its former 
capabilities and, by using new technologies, create a 21st 
century economy that would create large numbers of new, 
high-paying jobs and become a magnet for the large Lebanese 
Diaspora that is now spread across the globalized economy. 
The business leaders expressed uncertainty that their system 
could support such a radical transformation, but commited 
themselves to the attempt. 
 
NON-GOVERNMENT ORGANIZATIONS 
---------------------------- 
 
 
BEIRUT 00003092  002 OF 002 
 
 
5.  The Delegation also held an extended forum with the ten 
leading US-funded Non-government Organizations presently at 
work in Lebanon.  In discussing the situation and the 
challenges facing the just-beginning reconstruction effort 
with groups as diverse as World Vision, Catholic Near East 
Welfare Association, World Rehabilitation Fund, and the 
Cooperative Housing Foundation, the delegates learned that 
Lebanon is both uniquely endowed with a strongly developed 
sense of community, yet also faces enormous challenges in the 
"zero-sum" mind set of confessional politics. 
 
6.  The Delegation members affirmed their intention to 
utilize the experience and knowledge base of the NGO 
community, especially those US organizations that are known 
and respected by USG foreign assistance programs.  For their 
part, the NGOs expressed their keen interest in continuing to 
work closely with the USG, despite recent campaigns by 
Hizballah to demonize the US effort in Lebanon as hegemonic. 
The organizations also stated their interest in the 
Delegation's plans and pledged their cooperation in the 
developing effort. 
 
7.  One comment by the representative from World Vision in 
particular caught the Delegation's attention.  He noted that 
in his numerous interactions with moderate elements in 
Lebanon's Shia community, a recurring urgent request was that 
the Shia community be given a equitable voice in the 
political and economic life of the country.  This experienced 
administrator strongly recommended to the delegates that they 
bear this in mind when the proposed Partnership Fund begins 
to prioritize and implement its programs. 
 
PRO-REFORM PROGRAM STRONGLY CHALLENGED 
BY HIZBALLAH'S OBSESSION WITH ISRAEL 
-------------------------------------- 
 
8.  As previously noted, the Delegation's work began at the 
same time Hizballah's Nasrallah was excoriating the U.S. and 
the pro-reform Siniora government.  With stentorian language 
that veered from threats "..we still have more than 20,000 
missiles and, if necessary, will use them..." to cajoling his 
followers to remain loyal to the "resistance," Nasrallah 
presented a vision for Lebanon's future that was bleakly 
committed to long-term conflict and a steady worsening of the 
quality of life for this once vibrant nation. 
 
9.  As a result of these two competing visions -- one 
committed to a free, open society and the other a captive to 
fear and repression -- Lebanon's now faces a difficult 
choice.  Not difficult because both visions are attractive, 
but difficult because the proponents of one vision use 
threats and act in complete disregard for the welfare of the 
nation. 
 
10.  The Presidential Delegation offered to help the Lebanese 
people transform their society and appeared to strike a chord 
across many confessional and economic lines.  It appears from 
the numerous discussions that a critical mass for reform and 
democracy exists in Lebanon, but it will require considerable 
resources and long-term commitments, such as the proposed 
Partnership.  (A message on the Delegation's meeting with 
Prime Minister Siniora will be transmitted septel.) 
FELTMAN