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### Viewing cable 07MANAGUA2532, NICARAGUA AND SUSPENSION OF TITLE III OF THE

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Reference ID | Created | Released | Classification | Origin
--- | --- | --- | --- | ---
07MANAGUA2532 | 2007-12-06 18:42 | 2011-06-23 08:00 | CONFIDENTIAL | Embassy Managua

`

    VZCZCXYZ0009
    RR RUEHWEB

    DE RUEHMU #2532/01 3401842
    ZNY CCCCC ZZH
    R 061842Z DEC 07
    FM AMEMBASSY MANAGUA
    TO RUEHC/SECSTATE WASHDC 1746
    INFO RUEHZA/WHA CENTRAL AMERICAN COLLECTIVE
    RUEHUB/USINT HAVANA 0040

` `

    C O N F I D E N T I A L MANAGUA 002532

    SIPDIS

    SIPDIS

    STATE FOR WHA/CCA AND WHA/CEN

    E.O. 12958: DECL: 12/05/2017
    TAGS: ETRD ETTC PREL CU NU
    SUBJECT: NICARAGUA AND SUSPENSION OF TITLE III OF THE
    LIBERTAD ACT

    REF: SECSTATE 158768

    Classified By: CDA Richard Sanders for reasons 1.4 b&d.

    ¶1. (C) Summary: Nicaragua under President Ortega, in contrast
    to the past three administrations, is establishing closer
    relations with Cuba.  We expect Nicaragua to vote more
    consistently with Cuba.  The trading relationship between the
    two countries has increased, but continues to be
    insignificant.  No high-level Cubans have visited Nicaragua
    in the last six months.  140 Cuban doctors are now working in
    Nicaragua.  Cuba provides Nicaraguans with scholarships and
    medical treatment in Havana.  While we expect the
    Cuba-Nicaragua relationship to strengthen over the next few
    years, what shape it will take remains unclear.  At this
    time, post believes that failure to waive Title III of the
    Libertad Act for Nicaragua would allow Ortega to trumpet U.S.
    "hostility" toward his new government.  Post recommends
    another waiver for Nicaragua.  End Summary.

    Bilateral Relationship
    ----------------------

    ¶2. (C) The Cuba-Nicaragua relationship has changed and
    intensified since President Ortega took office in January.
    The head of the Cuban mission in Nicaragua has been upgraded
    from Charge d'Affaires to Ambassador, Nicaragua has sent an
    ambassador to Cuba, and Cuba sent a successor to its recently
    departed Defense Attache.  We now expect Nicaragua to vote in
    international fora more consistently with Cuba than in the
    recent past.  During the previous three governments, the GON
    generally voted with the United States on Cuba-related
    matters and occasionally abstained.  The notable exception
    was when Nicaragua joined international calls for an end to
    the U.S. embargo of Cuba -- reflecting a disagreement over
    tactics.  Neither President Ortega nor any member of his
    cabinet has made any statement against Castro or in support
    of the democratization of Cuba.

    Trade and Investment
    --------------------

    ¶3. (U) Nicaraguan-Cuban bilateral trade declined steadily
    from 1991 to 2005, but has increased in the last two years.
    Two-way trade between Nicaragua and Cuba totaled USD 550,000
    in 2005, down from USD 800,000 in 2003.  By the end of
    September 2007, two-way trade had reached USD 4.4 million,
    mostly the result of Nicaragua's purchase in March of USD 3.7
    million of energy saving light bulbs for distribution to
    pensioners and the poor.  Nicaragua's investment promotion
    agency, ProNicaragua, reports no significant Cuban investment
    in Nicaragua since the 1990s.  On January 11, Nicaragua
    joined the Bolivarian Alternative for Latin America (ALBA), a
    trade and cooperation agreement, of which Venezuela, Cuba,
    and Bolivia are members.

    Visits
    ------

    ¶4. (C) No high-level Cubans have visited Nicaragua in the
    last six months.  Ortega visited Cuba on June 16 during the
    first leg of his trip to Venezuela, Libya, Iran and Italy.
    There are rumors that Ortega has visited Cuba on at least two
    occasions for medical treatment, but these cannot be
    confirmed.

    Training and Scholarships
    -------------------------

    ¶5. (C) Post has seen an increase in Cuban training and
    education assistance, as well as more personnel exchanges
    with Nicaragua.  The Nicaraguan military has traditionally
    used Cuban trainers and Cuban facilities for both military
    and civilian educations.  Various sources report that the
    Nicaraguan military has been moving away from Cuban training
    as they consider it ineffective.  The military is focusing
    its training and assistance efforts on European countries,
    notably Spain, as well as with the United States.  Post knows
    of at least 17 Cuban teachers currently working on the
    Atlantic Coast of Nicaragua.

    ¶6. (C) Cuban medical assistance is the most extensive example
    of this increased relationship.  There are 72 Cuban medical
    personnel in the Northern Atlantic coast region, all of whom
    stayed through hurricane Felix.  An additional 70 Cuban
    medical personnel augmented this contingent after the
    hurricane to assist with post-recovery operations.  Cuban
    doctors have also been providing long-term medical care on
    the outskirts of Managua and rural areas around the country.

    ¶7. (C) For years, Cuba has offered full scholarships to
    Nicaraguan students to attend Cuban universities.  According
    to press reports, over 977 Nicaraguan students are currently
    in Cuba, mostly studying medicine.  Further, under a
    long-standing agreement, any member of the Nicaraguan
    military can receive free medical treatment in Havana.  Since
    January, over 500 Nicaraguans have been transported to
    Venezuela and Cuba for surgery, primarily for cataracts, paid
    for by Venezuela.

    Comment
    -------

    ¶8. (C) Both Cuba and Nicaragua have expressed a desire to
    continue a steady increase in their bilateral relationship.
    So far, this desire has manifested itself most prominently in
    the health sector.  Post believes that failure to waive Title
    III of the Libertad Act for Nicaragua would allow Ortega to
    trumpet U.S. "hostility" toward his new government.  Failure
    to waive Title III would hand hard-core Sandinistas the
    argument that Cuba and Venezuela are more reliable, generous
    allies for Nicaragua.  Post recommends a waiver of Title III
    of the Libertad Act for Nicaragua.
    SANDERS

`