Keep Us Strong WikiLeaks logo

Currently released so far... 97115 / 251,287

Articles

Browse latest releases

Browse by creation date

Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z

Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ETRD EAGR ETTC EAID ECON EFIN ECIN EINV ELAB EAIR ENRG EPET EWWT ECPS EIND EMIN ELTN EC ETMIN EUC EZ ET ELECTIONS ENVR EU EUN EG EINT ER ECONOMICS ES EMS ENIV EEB EN ECE ECOSOC EK ENVIRONMENT EFIS EI EWT ENGRD ECPSN EXIM EIAD ERIN ECPC EDEV ENGY ECTRD EPA ESTH ECCT EINVECON ENGR ERTD EUR EAP EWWC ELTD EL EXIMOPIC EXTERNAL ETRDEC ESCAP ECO EGAD ELNT ECONOMIC ENV ETRN EIAR EUMEM ENRGPARMOTRASENVKGHGPGOVECONTSPLEAID EREL ECOM ECONETRDEAGRJA ETCC ETRG ECONOMY EMED ETR ENERG EITC EFINOECD EURM EENG ERA EXPORT ENRD ECONEINVETRDEFINELABETRDKTDBPGOVOPIC EGEN EBRD EVIN ETRAD ECOWAS EFTA ECONETRDBESPAR EGOVSY EPIN EID ECONENRG EDRC ESENV ETT EB ENER ELTNSNAR ECHEVARRIA ETRC EPIT EDUC ESA EFI ENRGY ESCI EE EAIDXMXAXBXFFR EETC ECIP EIAID EIVN EBEXP ESTN EING EGOV ETRA EPETEIND ELAN ETRDGK EAIDRW ETRDEINVECINPGOVCS EPEC ENVI ELN EAG EPCS EPRT EPTED ETRB EUM EAIDS EFIC EFINECONEAIDUNGAGM EAIDAR ESF EIDN ELAM EDU EV EAIDAF ECN EDA EXBS EINTECPS ENRGTRGYETRDBEXPBTIOSZ EPREL EAC EINVEFIN ETA EAGER EINDIR ECA ECLAC ELAP EITI EUCOM ECONEFINETRDPGOVEAGRPTERKTFNKCRMEAID EARG ELDIN EINVKSCA ENNP EFINECONCS EFINTS ECCP ETC EAIRASECCASCID EINN ETRP EAIDNI EFQ ECOQKPKO EGPHUM EBUD ECONEINVEFINPGOVIZ ENERGY ELB EINDETRD EMI ECONEFIN EIB EURN ETRDEINVTINTCS EIN EFIM ETIO ELAINE EMN EATO EWTR EIPR EINVETC ETTD ETDR EIQ ECONCS EPPD ENRGIZ EISL ESPINOSA ELEC EAIG ESLCO EUREM ENTG ERD EINVECONSENVCSJA EEPET EUNCH ECINECONCS ETRO ETRDECONWTOCS ECUN EFND EPECO EAIRECONRP ERGR ETRDPGOV ECPN ENRGMO EPWR EET EAIS EAGRE EDUARDO EAGRRP EAIDPHUMPRELUG EICN ECONQH EVN EGHG ELBR EINF EAIDHO EENV ETEX ERNG ED
KMDR KPAO KPKO KJUS KCRM KGHG KFRD KWMN KDEM KTFN KHIV KGIC KIDE KSCA KNNP KHUM KIPR KSUM KISL KIRF KCOR KRCM KPAL KWBG KN KS KOMC KSEP KFLU KPWR KTIA KSEO KMPI KHLS KICC KSTH KMCA KVPR KPRM KE KU KZ KFLO KSAF KTIP KTEX KBCT KOCI KOLY KOR KAWC KACT KUNR KTDB KSTC KLIG KSKN KNN KCFE KCIP KGHA KHDP KPOW KUNC KDRL KV KPREL KCRS KPOL KRVC KRIM KGIT KWIR KT KIRC KOMO KRFD KUWAIT KG KFIN KSCI KTFIN KFTN KGOV KPRV KSAC KGIV KCRIM KPIR KSOC KBIO KW KGLB KMWN KPO KFSC KSEAO KSTCPL KSI KPRP KREC KFPC KUNH KCSA KMRS KNDP KR KICCPUR KPPAO KCSY KTBT KCIS KNEP KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KNNB KGCC KINR KPOP KMFO KENV KNAR KVIR KDRG KDMR KFCE KNAO KDEN KGCN KICA KIMMITT KMCC KLFU KMSG KSEC KUM KCUL KMNP KSMT KCOM KOMCSG KSPR KPMI KRAD KIND KCRP KAUST KWAWC KTER KCHG KRDP KPAS KITA KTSC KPAOPREL KWGB KIRP KJUST KMIG KLAB KTFR KSEI KSTT KAPO KSTS KLSO KWNN KPOA KHSA KNPP KPAONZ KBTS KWWW KY KJRE KPAOKMDRKE KCRCM KSCS KWMNCI KESO KWUN KPLS KIIP KEDEM KPAOY KRIF KGICKS KREF KTRD KFRDSOCIRO KTAO KJU KWMNPHUMPRELKPAOZW KEN KO KNEI KEMR KKIV KEAI KWAC KRCIM KWCI KFIU KWIC KCORR KOMS KNNO KPAI KBWG KTTB KTBD KTIALG KILS KFEM KTDM KESS KNUC KPA KOMCCO KCEM KRCS KWBGSY KNPPIS KNNPMNUC KWN KERG KLTN KALM KCCP KSUMPHUM KREL KGH KLIP KTLA KAWK KWMM KVRP KVRC KAID KSLG KDEMK KX KIF KNPR KCFC KFTFN KTFM KPDD KCERS KMOC KDEMAF KMEPI KEMS KDRM KEPREL KBTR KEDU KNP KIRL KNNR KMPT KISLPINR KTPN KA KJUSTH KPIN KDEV KTDD KAKA KFRP KWNM KTSD KINL KJUSKUNR KWWMN KECF KWBC KPRO KVBL KOM KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KEDM KFLD KLPM KRGY KNNF KICR KIFR KM KWMNCS KAWS KLAP KPAK KDDG KCGC KID KNSD KMPF KPFO KDP KCMR KRMS KNPT KNNNP KTIAPARM KDTB KNUP KPGOV KNAP KNNC KUK KSRE KREISLER KIVP KQ KTIAEUN KPALAOIS KRM KISLAO KWM KFLOA
PHUM PINR PTER PGOV PREL PREF PL PM PHSA PE PARM PINS PK PUNE PO PALESTINIAN PU PBTS PROP PTBS POL POLI PA PGOVZI POLMIL POLITICAL PARTIES POLM PD POLITICS POLICY PAS PMIL PINT PNAT PV PKO PPOL PERSONS PING PBIO PH PETR PARMS PRES PCON PETERS PRELBR PT PLAB PP PAK PDEM PKPA PSOCI PF PLO PTERM PJUS PSOE PELOSI PROPERTY PGOVPREL PARP PRL PNIR PHUMKPAL PG PREZ PGIC PBOV PAO PKK PROV PHSAK PHUMPREL PROTECTION PGOVBL PSI PRELPK PGOVENRG PUM PRELKPKO PATTY PSOC PRIVATIZATION PRELSP PGOVEAIDUKNOSWGMHUCANLLHFRSPITNZ PMIG PREC PAIGH PROG PSHA PARK PETER POG PHUS PPREL PS PTERPREL PRELPGOV POV PKPO PGOVECON POUS PGOVPRELPHUMPREFSMIGELABEAIDKCRMKWMN PWBG PMAR PREM PAR PNR PRELPGOVEAIDECONEINVBEXPSCULOIIPBTIO PARMIR PGOVGM PHUH PARTM PN PRE PTE PY POLUN PPEL PDOV PGOVSOCI PIRF PGOVPM PBST PRELEVU PGOR PBTSRU PRM PRELKPAOIZ PGVO PERL PGOC PAGR PMIN PHUMR PVIP PPD PGV PRAM PINL PKPAL PTERE PGOF PINO PHAS PODC PRHUM PHUMA PREO PPA PEPFAR PGO PRGOV PAC PRESL PORG PKFK PEPR PRELP PREFA PNG PGOVPHUMKPAO PRELECON PINOCHET PFOR PGOVLO PHUMBA PRELC PREK PHUME PHJM POLINT PGOVPZ PGOVKCRM PGOVE PHALANAGE PARTY PECON PEACE PROCESS PLN PRELSW PAHO PEDRO PRELA PASS PPAO PGPV PNUM PCUL PGGV PSA PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PGIV PRFE POGOV PEL PBT PAMQ PINF PSEPC POSTS PHUMPGOV PVOV PHSAPREL PROLIFERATION PENA PRELTBIOBA PIN PRELL PGOVPTER PHAM PHYTRP PTEL PTERPGOV PHARM PROTESTS PRELAF PKBL PRELKPAO PKNP PARMP PHUML PFOV PERM PUOS PRELGOV PHUMPTER PARAGRAPH PERURENA PBTSEWWT PCI PETROL PINSO PINSCE PQL PEREZ PBS

Browse by classification

Community resources

courage is contagious

Viewing cable 08BEIRUT1763, LEBANON: NEW SALARY MEASURES COULD BREAK THE BUDGET

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs

Understanding cables
Every cable message consists of three parts:
  • The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
  • The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
  • The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
To understand the justification used for the classification of each cable, please use this WikiSource article as reference.

Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #08BEIRUT1763.
Reference ID Created Released Classification Origin
08BEIRUT1763 2008-12-16 15:15 2011-08-24 16:30 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Beirut
VZCZCXRO7566
RR RUEHAG RUEHBC RUEHDE RUEHDF RUEHIK RUEHKUK RUEHLZ RUEHROV RUEHSR
DE RUEHLB #1763/01 3511515
ZNR UUUUU ZZH
R 161515Z DEC 08
FM AMEMBASSY BEIRUT
TO RUEHC/SECSTATE WASHDC 3796
INFO RUEHEE/ARAB LEAGUE COLLECTIVE
RUCNMEM/EU MEMBER STATES COLLECTIVE
RHEHAAA/NSC WASHDC
RUEATRS/DEPT OF TREASURY WASHDC
RUCPDOC/USDOC WASHDC
UNCLAS SECTION 01 OF 03 BEIRUT 001763 
 
SENSITIVE 
 
SIPDIS 
 
STATE FOR NEA/ELA 
STATE PASS USTR FRANCESCKI 
STATE PASS USAID BEVER/LAUDATO/SCOTT 
TREASURY FOR MNUGENT AND SBLEIWEISS 
USDOC FOR 4520/ITA/MAC/ONE 
NSC FOR ABRAMS/RAMCHAND/YERGER/MCDERMOTT 
 
E.O. 12958: N/A 
TAGS: ECON EFIN PREL PGOV LE
SUBJECT: LEBANON:  NEW SALARY MEASURES COULD BREAK THE BUDGET 
(ECONOMIC WEEK IN REVIEW, DECEMBER 8 - 14, 2008) 
 
CONTENTS 
-------- 
 
-- MPS APPROVE COSTLY MEASURES THAT COULD BREAK THE BUDGET 
-- ENERGY MINISTER WORKING ON NEW ELECTRICITY TARIFF 
-- WORLD BANK DELEGATION PRAISED BUDGETARY REFORM 
-- TELECOM MINISTRY WILL TAP DIASPORA FOR ICT EXPERTS 
-- INDUSTRIAL EXPORTS RISE IN FIRST NINE MONTHS OF 2008 
-- IIF: LEBANESE BANKS REMAIN WELL-CAPITALIZED AND HIGHLY LIQUID 
-- BYBLOS BANK ACQUIRES LEBANESE BRANCH OF BANCA DI ROMA 
-- MOODY'S RAISES LEBANON'S OUTLOOK TO POSITIVE 
 
MPS APPROVE COSTLY MEASURES 
THAT COULD BREAK THE BUDGET 
-------------------- 
 
1. (SBU) On December 11, a parliamentary committees approved a set 
of measures which, if implemented, will put a significant additional 
burden on state finances.  While the measures still require approval 
by the full parliament, their passage would dramatically increase 
Lebanon's already huge budget deficit, and prevent the government 
from meeting its Paris III budget commitments. 
 
2. (SBU) The committees approved the minimum wage and across the 
board public sector salary increase, as passed by the cabinet 
September 9.  The full parliament is likely to vote on and approve 
this law early next week.  Finance Minister Chatah told us 
previously that this measure will cost the Treasury approximately 
$500 million annually, and though the cabinet approved four measures 
meant to cover half of this additional cost, Chatah acknowledged 
that this measure will increase the deficit. 
 
3. (SBU) In addition, the committees approved the payment, over 
three years, of $800 million in salary arrears for civil servants 
and members of the armed forces who did not receive an authorized 
salary increase during the period 1996-1998. Opposition MP Yassin 
Jabir told us December 12 that Opposition Leader Michel Aoun 
proposed the draft law on this issue, and March 14 decided not to 
object in an election year, despite the fiscal pressure it would put 
on the state.  The committees also approved a five percent salary 
increase for teachers, and a 20 percent salary increase for army 
soldiers deployed outside their barracks.  These measures will cost 
the treasury an additional $53 million annually. 
 
ENERGY MINISTER IS WORKING ON NEW 
ELECTRICITY TARIFF STRUCTURE 
-------------------- 
 
4. (SBU) On December 11, national power utility Electricite du Liban 
(EDL) Chairman Kamal Hayek told us Minister of Energy and Water 
(MEW) Alain Tabourian is in the process of fine-tuning a new 
electricity tariff structure after receiving some recommendations on 
it from PM Siniora and Finance Minister Chatah.  Hayek said 
Tabourian's proposal was well-structured, would be acceptable to 
different socioeconomic groups, and would provide much-needed income 
to the treasury.  He added, "If this proposal does not pass in the 
cabinet, then it means there is no political will to improve EDL's 
financial situation."  The current tariff structure dates back to 
1994, when oil prices were 15-16 dollars a barrel, he said.  A 
senior source at the Finance Ministry confirmed that Tabourian was 
finalizing the new tariff structure and will hopefully submit it to 
the cabinet this month.  (Note: A revised tariff structure is one of 
the benchmarks in the new IMF Emergency Post Conflict Assistance 
(EPCA) program.  The USG will soon condition part of its Paris III 
budgetary support on the implementation of this reform.  End note.) 
 
WORLD BANK DELEGATION PRAISED 
BUDGETARY REFORM 
-------------------- 
 
5. (U) After meeting with Finance Minister Mohammad Chatah on 
December 5, a World Bank (WB) delegation praised the progress 
achieved in budgetary reform and indicated that the WB plans to 
expand support at a later stage to include reforms in the field of 
higher education, linking it to the job market, according to local 
press reports. 
 
TELECOM MINISTRY WILL TAP 
DIASPORA FOR ICT EXPERTS 
 
BEIRUT 00001763  002 OF 003 
 
 
-------------------- 
 
6. (SBU) Minister of Telecommunications Gebran Bassil will hold a 
conference, called "Telecom for Lebanon- Tapping the Diaspora," to 
include telecom experts from the Lebanese diaspora.  The event, 
which Bassil conceived as a way to attract homegrown talent back to 
Lebanon, is meant to be a forum for expatriates to share their 
knowledge on telecom liberalization, as well as to help develop 
strategic telecom projects to stimulate economic growth and turn 
Lebanon into a hub for the MENA.  The conference, to be held 
December 29 in Beirut, is co-organized by Berytech Technology Pole 
(an incubator for ICT start-ups), the Partnership for Lebanon (a 
U.S. private sector initiative), and the Telecommunications 
Regulatory Authority (TRA). 
 
IPR TRAINEES EXPRESS 
SATISFACTION WITH USPTO PROGRAMS 
-------------------- 
 
7. (SBU) On November 26, EconOff and staff met with Dr. Colette 
Raidy and Rasha Hamra from the Ministry of Public Health (MOPH), 
following their participation in the USPTO IPR Patent Advanced and 
Patent Basic programs respectively.  While both were very satisfied 
with their programs, Hamra wished that her program had focused more 
on pharmaceutical issues.  They also suggested the training could 
include time at the Food and Drug Administration (FDA), which would 
be more specific to the MOPH's needs and highly beneficial for them 
in terms of registration and pricing of drugs.  Raidy and Hamra 
noted that one obstacle to effective drug registration and IPR 
enforcement in Lebanon was the lack of any link between the 
databases of the MOPH and the Ministry of Economy and Trade, where 
patents must be registered. 
 
8. (SBU) Meanwhile, Judge Ziad Abou Haidar, who attended the USPTO 
Enforcement Program for Prosecutors in October 2008, considered that 
attending live proceedings was the most beneficial part of his 
training. 
 
INDUSTRIAL EXPORTS RISE IN 
FIRST NINE MONTHS OF 2008 
-------------------- 
 
9. (U) According to the Ministry of Industry (MOI), industrial 
exports rose by 31.2 percent to $2.27 billion during the first three 
quarters of 2008 compared to the same period in 2007.  Metallurgical 
products comprised 20 percent of exports, followed by machinery (17 
percent), and chemical products (14.4 percent).  Imports of 
industrial equipment rose by 8.6 percent to $134.5 million during 
the first three quarters of 2008 compared to the same period in 
2007.  Germany was the main source of imports for industrial 
equipment (25 percent), followed by Italy (23.32 percent), and China 
(15.54 percent). 
 
IIF: LEBANESE BANKS REMAIN 
WELL-CAPITALIZED AND HIGHLY LIQUID 
-------------------- 
 
10. (U) In its most recent report on Lebanon, the Institute of 
International Finance (IIF) indicated that there have been no 
noticeable repercussions of the global economic crisis on Lebanon, 
noting that sovereign spreads increased less than in other emerging 
markets in October and November 2008.  The banking sector's 
regulatory framework limited banks' exposure to structured products, 
and remains well-capitalized and highly liquid.  The IIF warned that 
the main risk to Lebanon's outlook was the potential for instability 
in the run-up to the parliamentary elections in 2009.  The report 
projected GDP growth at 5.5 percent in 2008, 3.5 percent in 2009, 
with inflation to average 12 percent in 2008.  It estimated the 
primary surplus to exceed two percent in 2008.  The IIF also 
indicated that the GOL will face financing needs of around $5.5 
billion in 2009, but would meet them mostly from the market and 
donors. 
 
BYBLOS BANK ACQUIRES LEBANESE 
BRANCH OF BANCA DI ROMA 
------------------- 
 
11. (U) Local financial pres reported that on December 1 Byblos 
Bank approved the acquisition of all the assets, equity, and 
 
BEIRUT 00001763  003 OF 003 
 
 
obligations of the Lebanese branch of Italy's Unicredit Banca Di 
Roma (BDR) SpA.  In 2007, the Lebanese branch of BDR posted total 
assets of $80 million, compared to Byblos Bank's $10.86 billion at 
end-September 2008.  In 2006, BDR closed four of its five branches 
in Lebanon.  BDR was one of the first international banks to operate 
in Lebanon in 1919. 
 
MOODY'S RAISES LEBANON'S 
OUTLOOK TO POSITIVE 
-------------------- 
 
12. (U) On December 11, Moody's Investors Service changed its 
outlook on Lebanon's sovereign debt rating to positive from stable. 
To justify its improved outlook, Moody's cited the proven resilience 
of Lebanon's public finances to shocks, as well as the achievement 
of all the objectives endorsed at the Doha Conference (a new 
president, a consensus cabinet, and a new electoral law).  Moody's 
indicated that Lebanon was one of the few countries so far actually 
to benefit from the global economic crisis, as the Lebanese diaspora 
has moved funds into Lebanon's seemingly safer banks.  Nonetheless, 
Moody's noted that the country still presents a substantial credit 
risk, since the political situation remains fragile and tensions 
could grow before the parliamentary elections in 2009. 
 
SISON