Presidential Determination With Respect to Foreign Governments' Efforts Regarding Trafficking in Persons

• Make the determination provided in section 110(d)(1)(A)(i) of the Act, with respect to Burma, the Democratic People's Republic of Korea (DPRK), and Syria, not to provide certain funding for those countries' governments for Fiscal Year 2009, until such government complies with the minimum standards or makes significant efforts to bring itself into compliance, as may be determined by the Secretary of State in a report to the Congress pursuant to section 110(b) of the Act;
• Make the determination provided in section 110(d)(1)(A)(ii) of the Act, with respect to Cuba and Iran not to provide certain funding for those countries' governments for Fiscal Year 2009, until such government complies with the minimum standards or makes significant efforts to bring itself into compliance, as may be determined by the Secretary of State in a report to the Congress pursuant to section 110(b) of the Act;
• Make the determination provided in section 110(d)(3) of the Act, concerning the determination of the Secretary of State with respect to Moldova and Oman;
• Determine, consistent with section 110(d)(4) of the Act, with respect to Algeria, Fiji, Kuwait, Papua New Guinea, Qatar, Saudi Arabia, and Sudan, that provision to these countries' governments of all programs, projects, or activities of assistance described in sections 110(d) (1)(A)(i) and 110(d)(1)(B) of the Act would promote the purposes of the Act or is otherwise in the national interest of the United States;
• Determine, consistent with section 110(d)(4) of the Act, with respect to the DPRK, that a partial waiver to allow funding for programs described in section 110(d)(1)(A)(i) of the Act that support the goals of the Six-Party talks would promote the purposes of the Act or is otherwise in the national interest of the United States; and
• Determine, consistent with section 110(d)(4) of the Act, with respect to Iran, that a partial waiver to allow funding for educational and cultural exchange programs described in section 110(d)(1)(A)(ii) of the Act would promote the purposes of the Act or is otherwise in the national interest of the United States.

You are hereby authorized and directed to submit this determination and the certification required by section 110(e) of the Act to the Congress and to publish this determination in the Federal Register.

GEORGE W. BUSH

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The President has made determinations regarding the 14 countries placed on Tier 3 of the State Department’s 2008 annual Report on Trafficking in Persons. The President has determined to sanction Burma, Cuba, the Democratic People's Republic of Korea (DPRK), Iran, and Syria. The United States will not provide funding for participation by officials or employees of the Government of Cuba in educational and cultural exchange programs until such government complies with the Act’s minimum standards to combat trafficking or makes significant efforts to do so. The United States will not provide certain non-humanitarian, non-trade-related foreign assistance to the Governments of Burma or Syria until such government complies with the Act’s minimum standards to combat trafficking or makes significant efforts to do so. Furthermore, the President determined, consistent with the Act’s waiver authority, that provision of certain assistance to the Governments of the DPRK and Iran would promote the purposes of the Act or is otherwise in the national interest of the United States. The President also determined, consistent with the Act's waiver authority, that provision of all bilateral and multilateral assistance to Algeria, Fiji, Kuwait, Papua New Guinea, Qatar, Saudi Arabia, and Sudan that otherwise would have been cut off would promote the purposes of the Act or is otherwise in the national interest of the United States.

The determinations also indicate the Secretary of State's subsequent compliance determinations regarding Moldova and Oman. It is significant that 2 of the 14 Tier 3 countries took actions that averted the need for the President to make a determination regarding sanctions and waivers. Information highlighted in the Trafficking in Persons Report and the possibility of sanctions, in conjunction with our diplomatic efforts, encouraged these countries’ governments to take important measures against trafficking.

Section 110(d)(1)(B) of the Act interferes with the President's authority to direct foreign affairs. We, therefore, interpret it as precatory. Nonetheless, it is the policy of the United States that, consistent with the provisions of the Act, the U.S. Executive Director of each multilateral development bank, as defined in the Act, and of the International Monetary Fund will vote against, and use the Executive Director’s best efforts to deny any loan or other utilization of the funds of the respective institution to the Governments of Burma, Cuba, the DPRK, Iran, and Syria for Fiscal Year 2009, until such a government complies with the minimum standards or makes significant efforts to bring itself into compliance, as may be determined by the Secretary of State in a report to the Congress pursuant to section 110(b) of the Act.

Explanations of the President's determinations regarding each of the 14 countries follow.

Moldova
On the basis of positive actions undertaken by the Government of Moldova since March 2008, the Secretary of State has determined that the Government of Moldova does not yet fully comply with the minimum standards in the Trafficking Victims Protection Act (TVPA) for the elimination of trafficking, but is making significant efforts to bring itself into compliance. This is the standard for placement on Tier 2 of the State Department’s Trafficking in Persons Report.

The Secretary of State has placed Moldova on the Special Watch List because the determination that the Government of Moldova is making significant efforts is based, in part, on commitments by the country to take additional future steps over the next year.

In June 2008, the Government of Moldova was presented with an action plan by the State Department that outlined steps to combat trafficking. Since that time, it has accomplished each of the items in the Department’s action plan or made commitments to take additional future steps over the next year, thus demonstrating “significant efforts.” These efforts include:

Since the release of the June 2008 TIP Report, the Moldovan government has presented evidence that it is taking tangible steps to address the problem of trafficking-related complicity, the primary factor for its Tier 3 ranking in the 2008 Report. Specifically, the government acknowledged a lack of adequate efforts to prosecute officials reportedly complicit in trafficking, and in June 2008, it re-opened investigations into high profile allegations of such complicity that had been previously dismissed without transparency. Furthermore, the government opened several new investigations of alleged trafficking complicity of law enforcement officials. In addition, since its Tier 3 placement, the Government of Moldova has: made high-level public statements condemning trafficking-related complicity, drafted a code of conduct for law enforcement personnel; initiated vetting procedures for public officials involved in combating trafficking; and established an anonymous reporting mechanism for trafficking related complicity.

Since the release of the 2008 TIP Report, the Government of Moldova has taken additional measures that include: improving data collection on trafficking-related law enforcement efforts; concrete outreach to anti-trafficking NGOs; releasing funds for victim protection (marking the first time the government has provided direct funding for victim services); and enacting regulations for facilitating and funding victim repatriation.

Oman

On the basis of positive actions undertaken by the Government of Oman since March 2008, the Secretary of State has determined that the Government of Oman does not yet fully comply with the minimum standards in the Trafficking Victims Protection Act (TVPA) for the elimination of trafficking, but is making significant efforts to bring itself into compliance. This is the standard for placement on Tier 2 of the State Department’s Trafficking in Persons Report.

The Secretary of State has placed Oman on the Special Watch List because the determination that the Government of Oman is making significant efforts is based, in part, on our expectations of additional future steps over the next year.

Since the June 2008 release of the TIP Report, the Government of Oman has adopted significant measures to prevent trafficking in persons for the purpose of forced labor by addressing abusive work conditions. Such measures include its recruitment of a total of 94 additional labor inspectors (male and female) – as well as 7 legal researchers – to strengthen enforcement of Oman labor laws and punish acts of trafficking for labor exploitation. In August, labor inspectors received training in collaboration with the International Labor Organization that, among other topics, highlighted their role in combating human trafficking and best practices against trafficking in persons. Oman’s Ministry of Manpower has publicly admonished the poor performance and excessive fees charged to workers by some Omani labor recruiting firms, and it has pledged to conduct more regular inspections of their operations.

Algeria
The Government of Algeria does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to waive all sanctions against Algeria, consistent with the provisions of the Act, in the national interest of the United States.

Justification: The Government of Algeria has not taken sufficient steps to address the significant problem of trafficking of men, women, and children both within and through Algeria. The government did not prosecute any individuals for trafficking offenses, and did not train law enforcement or judicial officials on anti-trafficking measures. The government does not offer protective services to victims and did not institute a victim identification procedure to prevent the punishment or summary deportation of trafficking victims. The Government of Algeria also has not developed a public awareness campaign or other trafficking prevention programs. The granting of a full waiver of sanctions against Algeria, however, is in the national interest because it will allow us to continue democracy programs in Algeria in support of the President’s Freedom Agenda through the Middle East Partnership Initiative (MEPI), and will permit continued security cooperation to effectively prosecute the Global War on Terror.

Impact of Sanctions: Approximately $1.3 million in security assistance, including $800,000 in International Military Education and Training (IMET), and an anticipated $4 million in MEPI assistance would have been restricted by sanctions under the Act. A full waiver has been granted in the national interest of providing this assistance in order to advance goals of the Global War on Terror and U.S. security interests. Development assistance of approximately $965,000 would have also been subject to sanction. Sanctioning this and MEPI aid would have removed United States Government tools in promoting democratic reform and human rights in Algeria.

Burma
The Government of Burma does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to sanction Burma.

Justification: The Burmese military remains directly involved in forced labor, and there are reports that some children have been involuntarily conscripted into the Burmese Army for the purpose of forced labor. Although the Burmese Government has taken increased steps to combat trafficking for sexual exploitation, the significant state-sanctioned use of internal forced labor, especially by the military, continues.

Impact of Sanctions: The United States does not provide direct assistance to the Burmese government. In Fiscal Year 2008, the Government of Burma received $1.2 million in U.S. assistance through the United Nations World Health and Food and Agriculture Organizations for avian influenza preparedness and response. In response to the devastating Cyclone Nargis that hit in May 2008, the United States has provided $50 million to date in assistance to the people of Burma. Some in-kind assistance initially went through the Burmese government; however, once transportation lines were established, assistance was channeled through the United Nations and various NGOs. The United States Government provides humanitarian assistance along the Thai-Burmese border through various nongovernmental organizations, supports democracy activities both inside and outside the country, and supports the provision of services to those with or at-risk of HIV/AIDS. The United States also has supported a nongovernmental organization working in Burma to assist victims of trafficking repatriated from Thailand.

Existing sanctions on Burma include restrictions on new investment, imports, exports of financial services, bilateral assistance, and arms sales. Additionally, travel restrictions and/or financial sanctions have been imposed against senior Burmese officials and their immediate relatives, a number of state-owned enterprises, and other individuals and entities affiliated with the regime.

Cuba
The Government of Cuba does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to sanction Cuba.

Justification: The Government of Cuba continues to dismiss as politically motivated requests for information on any anti-trafficking efforts it may be making. Furthermore, the Cuban government does not appear to have made tangible efforts to prosecute traffickers, identify victims, and provide victims with protections and legal aid. Cuba's state-sponsored tourism industry tacitly promotes the prostitution of children and is a draw for foreign sex tourists. The government has avoided developing a strategy to address the problem and has no discernable anti-trafficking law enforcement, victim protection, or prevention policies.

Impact of Sanctions: The Government of Cuba is already subject to an extensive economic embargo tied to Cuba’s poor record on, among other things, democracy, human rights, and economic reform. No Cuban Government officials or employees participate in current or planned United States Government-funded educational or cultural exchange programs. The United States Government does not offer economic assistance to the Government of Cuba and will not allow any significant new investment in Cuba by U.S. companies until democratic and economic reforms are instituted. While the embargo-related sanctions will remain in place until there are fundamental political and economic reforms in Cuba, sanctioning Cuba for activities related to trafficking in persons expresses clear U.S. disapproval of the Cuban Government’s acceptance, if not endorsement, of such activities. The United States Government supports non-governmental entities under specific authorities, including Section 109 of the LIBERTAD Act of 1996, and sanctions against Cuba do not restrict these activities.

Democratic People's Republic of Korea (DPRK)
The Government of the DPRK does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to sanction the DPRK. The President has also determined that provision of funding that supports the goals of the Six-Party Talks would promote the purposes of the Act or is otherwise in the national interest of the United States.

Justification: The Government of the DPRK is making no effort to address trafficking in persons. The government does not recognize trafficking as a problem and imposes forced labor conditions and other forms of severe punishment on its prisoners, including North Koreans forcibly returned from China. Further, conditions in the DPRK drive many North Koreans to seek a way out of the country, putting them at risk of becoming trafficking victims. Women who enter northern China from the DPRK may be sold as brides and trafficked for purposes of sexual exploitation. Although other U.S. measures against North Korea are in place, the President's determination indicates the strong U.S. disapproval of the DPRK Government's failure to address trafficking in persons.

Impact of Sanctions: The imposition of partial sanctions will further the national interest of the United States by allowing certain activities that promote the goals of the Six-Party Talks.

Fiji
The Government of Fiji does not fully comply with the Act's minimum standards for the elimination of trafficking, and is not making significant efforts to bring itself into compliance. The President has determined to waive all sanctions against Fiji, consistent with the provisions of the Act, in the national interest of the United States.

Justification: The Interim Government of Fiji has taken no significant steps to address the problem of children exploited in the commercial sex trade. The Interim Government has, however, begun a positive dialogue with the United States on trafficking issues. Fiji’s diminished vigilance on TIP is due in large part to the illegitimate and increasingly ineffective nature of the interim government installed after the military coup d’état in December 2006. The coup ousted a democratically-elected government and, as a result, most United States assistance to the Interim Government is restricted and will continue to be restricted until the country’s constitutional democracy is restored. A full waiver of sanctions is in the U.S. national interest as it will enable the United States to offer meaningful inducements to Fiji’s leaders to encourage them to restore democratic rule and to provide timely assistance to a new government once it assumes power. Thus, a second layer of sanctions would greatly complicate the United States’ ability to promote democracy.

The United States Government coordinates closely its policy and sanctions on Fiji with the Pacific Island Forum (PIF), the regional organization that includes all the Pacific Island countries, Australia, and New Zealand. The explicit goal sought by the United States and its regional partners is a restoration of democracy. In 2007, Interim President Bainimarama pledged to hold elections by the end of March 2009 but reneged on this commitment in mid-2008. Immediately after his announcement, Secretary of State Rice met senior officials from the Pacific region in Samoa and urged them to remain determined to press the Interim Government to fulfill its commitment to restore democracy. A regional summit meeting in August did just that, sending a strongly-worded message to Fiji’s interim leaders that urged it to hold elections on schedule or face possible expulsion from the PIF.

Impact of Sanctions: The Interim Government of Fiji is already subject to sanctions that bar bilateral assistance from the United States government. Thus, additional sanctions would not increase the pressure on Fiji’s Interim Government to address its trafficking problem. The waiver enables the United States Government to more effectively promote democratic reform and human rights in Fiji.

Iran
The Government of Iran does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to sanction Iran. The President has also determined that provision of funding for educational and cultural exchange programs that would promote the purposes of the Act or is otherwise in the national interest of the United States.

Justification: The Government of Iran continues to dismiss criticism of its inadequate anti-trafficking efforts while continuing to punish -- often severely, including beatings, imprisonment, and execution -- victims of trafficking. Specifically, children who have been trafficked in Iran's illegal commercial sex trade have been punished as adulterers by Iran's Islamic courts; some have been executed. The government has avoided developing a comprehensive strategy to address Iran's human trafficking problem.

A partial waiver of sanctions is in the national interest as it will allow certain types of individuals who are influential in Iranian society to learn about and be exposed to the United States and its people.

Impact of Sanctions: The Government of Iran is already subject to economic sanctions due to, among other things, its support for international terrorism. The United States Government does not provide economic assistance to the Government of Iran. The partial waiver will allow the provision of funding for educational and cultural programs that involve the participation of individuals who in some cases may be affiliated with the government.

Kuwait
The Government of Kuwait does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to waive all sanctions against Kuwait, consistent with the provisions of the Act, in the national interest of the United States.

Justification: The Government of Kuwait has not taken sufficient steps to address the significant problem of involuntary servitude in which many foreign domestic workers and laborers are found in Kuwait, but has committed to work with the United States. Government on this problem through a constructive dialogue. The government has opened a shelter for victims of forced labor, though it has helped few victims, and it reportedly has turned away other victims. The government has ample resources to address Kuwait’s trafficking problems, but has not yet reported any significant law enforcement efforts to investigate and prosecute trafficking crimes and convict and sentence trafficking offenders. The granting of a full waiver of sanctions against Kuwait is in the national interest because it will allow us to continue democracy programs in Kuwait in support of the President's Freedom Agenda through the Middle East Partnership Initiative (MEPI) and will permit continued security cooperation to effectively prosecute the Global War on Terror.

Impact of Sanctions: Approximately $2.7 billion dollars in projected foreign military sales (FMS) to Kuwait, $15,000 in International Military Education and Training (IMET) funding, and an anticipated $3 million in MEPI assistance would have restricted by sanctions under the Act. A full waiver has been granted in the national interest of providing these military sales in order to advance goals of the Global War on Terror and U.S. commercial interests. Sanctioning MEPI programs would have removed a key United States Government tool in promoting democratic reform and human rights in Kuwait.

Papua New Guinea
The Government of Papua New Guinea does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to waive all sanctions against Papua New Guinea, consistent with the provisions of the Act, in the national interest of the United States.

Justification: The Government of Papua New Guinea has not taken sufficient steps to address the significant problem of trafficking of underage girls for commercial sexual exploitation within the country. The government has not improved its poor anti-trafficking law enforcement record or shown an effort to identify and protect victims of trafficking for sexual exploitation and forced labor.

Impact of Sanctions: Approximately $280,000 in International Military Education and Training (IMET) funds would have been restricted by sanctions under the Act. A full waiver has been granted in the national interest of allowing for the uninterrupted continuation of important military-to-military security cooperation programs.

Qatar
The Government of Qatar does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to waive all sanctions against Qatar, consistent with the provisions of the Act, in the national interest of the United States.

Justification: The Government of Qatar has not taken sufficient steps to address the significant problem of involuntary servitude in which many foreign domestic workers are found in Qatar. The government offers protective services to victims through a shelter. Nonetheless, the government has not instituted a victim identification procedure to prevent the punishment of trafficking victims, and victims are believed to be among those detained indefinitely in deportation centers. Qatar continues to provide training to government officials through seminars and conferences and has committed to paying for comprehensive law enforcement training over the next year. However, the Government of Qatar’s record of prosecuting trafficking offenses remains poor; the government did not report any prosecutions of those suspected of trafficking crimes. Qatar also has not developed a public awareness campaign or other trafficking prevention programs. The granting of a full waiver of sanctions against Qatar is in the national interest because it will allow us to continue security cooperation to effectively prosecute the Global War on Terror.

Impact of Sanctions: Approximately $400 million in projected foreign military sales (FMS) and $15,000 in International Military Education and Training (IMET) funds would have been restricted by sanctions under the Act. A full waiver has been granted in the national interest in order to advance goals of the Global War on Terror and U.S. commercial interests. Sanctioning MEPI programs would have removed a key United States Government tool in promoting democratic reform and human rights in Qatar.

Saudi Arabia
The Government of Saudi Arabia does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to waive all sanctions against Saudi Arabia, consistent with the provisions of the Act, in the national interest of the United States.

Justification: The Government of Saudi Arabia has not taken sufficient steps to address the significant problem of involuntary servitude in which many foreign domestic workers and laborers are found in Saudi Arabia, but has committed to work with the United States Government on this problem through a constructive dialogue. The government offers only a small number of services for these victims of trafficking -- who are among millions of South and Southeast Asian workers brought to the Kingdom -- and prosecutes few of those suspected of trafficking crimes. The government has ample resources to address Saudi Arabia's trafficking problems, but has only recently begun to show an interest in tackling this serious human rights issue. The granting of a full waiver of sanctions against Saudi Arabia is in the national interest because it will allow us to continue democracy programs in Saudi Arabia in support of the President’s Freedom Agenda through the Middle East Partnership Initiative (MEPI), and will permit continued security cooperation to effectively prosecute the Global War on Terror.

Impact of Sanctions: Approximately $2.2 billion dollars in projected foreign military sales to Saudi Arabia, $1.5 million in MEPI funds, and $15,000 in International Military Education and Training (IMET) funding would have been restricted by sanctions under the Act. A full waiver has been granted in the national interest of providing these military sales in order to advance goals of the Global War on Terror and U.S. commercial interests. Sanctioning MEPI programs would have removed a key United States government tool in promoting democratic reform and human rights in Saudi Arabia.

Sudan
The Government of Sudan does not fully comply with the Act’s minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to waive sanctions against Sudan, consistent with the provisions of the Act, in the national interest of the United States.

Justification: Since March 2008, the Government of Sudan has made no progress in rescuing and reintegrating victims of trafficking into their communities of origin, resulting in thousands of people continuing to remain in prolonged situations of forced labor and sexual exploitation. It also made no effort to address the trafficking of women for domestic servitude within and through the country. The government’s Council of Ministers did, however, in 2007, approve the draft Child Protection Act, which prohibits the recruitment or enlisting of children (under the age of 18) in the armed forces; the Act must be approved by parliament before it can be enacted. Southern Sudan also made progress in passing its own Child Protection Act.

A full waiver of sanctions is in the U.S. national interest as it will allow the funding of programs to, among other things, enhance security within the country, support democratic development, and carry out additional reconstruction projects in Southern Sudan.

Impact of Sanctions: Comprehensive sanctions against Sudan are already in place, including those imposed under the International Emergency Economic Powers Act, those related to its designation as a state sponsor of terrorism, and several other sanctions. Applying additional sanctions could have affected more than $365 million in assistance to bolster security within the country, implement peace agreements, and further the reconstruction of Southern Sudan.

The end of the 21-year civil war in Sudan, as marked by the signing of the Comprehensive Peace Agreement (CPA) by the Government of Sudan and the Sudan People’s Liberation Army on January 9, 2005, signaled a new era for Sudan. The United States continues to work with the parties to support the implementation of the peace agreement and bring about democratic transformation in Sudan. While the signing of the Darfur Peace Agreement two years ago provided an opportunity to contribute towards the resolution of the crisis in Darfur, the conditions on the ground remain tenuous, and the progress towards a bona fide peace process remains stalled. Under the CPA, we continue to implement a wide variety of programs to restore effective governance and allow economic growth in the South and other conflict areas. These include, but are not limited to, programs aimed at restoring a functioning judicial system and other elements necessary for the return to the rule of law and security, a functioning legislature, elements of a market economy, mitigating conflict, and ensuring security. Because both humanitarian and consensus-building efforts to support a peaceful transition in Darfur have been hampered by a delayed peace process, the United States Government remains cautious in exploring opportunities to begin to support recovery activities. However, the United States Government maintains diplomatic engagement to strengthen the peace process that will eventually allow opportunities for longer-term development activities. Bilateral programs and projects in both of these areas, in conjunction with other countries and international institutions, are currently underway. The President’s action will allow these important efforts to continue as appropriate.

Syria
The Government of Syria does not fully comply with the Act's minimum standards for the elimination of trafficking and is not making significant efforts to bring itself into compliance. The President has determined to sanction Syria.

Justification: The Government of Syria has not made significant efforts to address its trafficking in persons problem since the release of the June Report. The government made no efforts to develop an anti-trafficking policy, increase identification of trafficking victims or prosecutions of traffickers, or raise public awareness of the issue of trafficking. There was no discernable progress in passing and enacting a comprehensive anti-trafficking law drafted in 2006. Syria reported no law enforcement efforts to punish trafficking offenses this year. In addition, the government made no discernable efforts to identify and provide protection services to victims of trafficking; instead it appears to have arrested or prosecuted some victims for prostitution or immigration violations.

Impact of Sanctions: The Government of Syria is already subject to economic sanctions due to, among other things, its support for international terrorism.