MAURITIUS: MODERATE GOVERNMENT THREATENED AT POLLS (SANITIZED)

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CIA-RDP84B00049R000802030008-6
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S
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25
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December 21, 2016
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September 9, 2008
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8
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Publication Date: 
June 1, 1982
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REPORT
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Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Directorate of secret Intelligence Mauritius: Moderate Government Threatened at Polls An Intelligence Memorandum State Dept. review completed Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 25X1 I f~a.25X1 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Directorate of Intelligence Mauritius: Moderate Government Threatened at Polls An Intelligence Memorandum Information available as eL4fgy 1982 has been used in the preparation of this report. This memorandum was prepared by of the Office of African and Latin American Analysis, with contributions from 0 of the Office of Central Reference. Comments and queries are welcome and may be addressed to the Chief, West-East Africa Division, ALA This memorandum has been coordinated with the Directorate of Operations and the National Intelligence Council. Secret ALA 82-10079 June 1982 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 25X1 25X1 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret Mauritius: Moderate Government Threatened at Polls Summary influence through the provision of military aid and training. Public statements by leaders of the Movement leave no doubt that the 25X1 installation of.an MMM government. would result in increased Soviet and Libyan influence in Mauritius and the southwest Indian Ocean region at the expense of the United States and the West. The Western powers almost certainly would lose naval and other military access to Mauritius they now enjoy. Though the Soviets might also be denied such access in accordance with the MMM's putative nonaligned stance, they probably would gain Ramgoolam government and its poor, economic performance. The parliamentary election in Mauritius scheduled for 11 June is likely to result in defeat for Prime Minister Ramgoolam's moderate, pro-Western, Labor government at the hands of the Mauritian Militant Movement (MMM), a Soviet- and Libyan-supported opposition party. The Move- ment's appeal is based on its image as the youthful party of change and on the unhappiness of many Mauritians with the unresponsive, corrupt forces from the region US military presence on Diego Garcia and would stridently reassert Mauritian claims to the archipelago. An MMM regime would join with like-minded neighbors in strongly advocating the Soviet-supported Indian Ocean zone of peace concept and in calls for the withdrawal of all outside An MMM regime would attempt to focus international attention on the An MMM regime's attempts to loosen the country's economic ties with the West, however, would be constrained by economic realities. Mauritius is dependent on Western trade, investment, and economic assistance, espe- cially from France. Domestically, the MMM would attempt gradually to socialize the economy, moving cautiously to nationalize key enterprises. It would also attempt to restrict civil liberties, and perhaps try to scrap the Western parliamentary form of government. Mauritius, however, has a long democratic tradition, including a free press, and such a move could re- sult in violence that the MMM might find hard to contain. Should the MMM need the support of its less radical coalition partner, the Mauritian Socialist Party, to form a government, such a coalition would further slow MMM efforts to socialize the economy or institute repressive measuresF_ Although unlikely, the wily Ramgoolam could still eke out a victory by per- suading a former coalition partner to run with Labor in selected districts. A Labor victory would result in the continued preeminence of Western 25X1 Secret ALA 82-10079 June 1982 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 political influence in Mauritius, although it probably would also mean increased need for Western aid to keep the economy afloat and avoid unrest. A new Labor government's majority would be small, and it would govern on a day-to-day basis because of the constant threat that its partners would leave the coalition Violence against the US Embassy or individual Americans at the time of the election is possible no matter which side wins. Opposition allegations of US interference in the campaign would lead MMM extrem- ists to blame the United States in the event their party lost Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret Mauritius: Moderate Government Threatened at Polls Introduction The leftist Mauritian Militant Movement (MMM), supported by Libya and the Soviet Union, is likely to defeat Prime Minister Ramgoolam's moderate Labor Party in parliamentary elections on 11 June, ending Ramgoolam's 14-year hold on power. Recent polls indicate a big advantage for the MMM, and Labor leaders are very pessimistic about their party's chances. The US Embassy also has reported a definite shift in public mood in favor of the MMM. The MMM has capitalized on the government's out-of-touch image, reputation for corruption, and the country's growing economic difficulties. In the last elections in 1976, the MMM won a plurality, but was denied control of, or participation in, government by Ramgoolam's ability to arrange a coalition with other smaller parties. This appeal of the MMM has grown as that of Labor has diminshed. time, Ramgoolam has been unable to forge an effective alliance, and the 25X1 An MMM regime would attempt to alter fundamentally the country's domestic and foreign policies-despite major constraints such as the island's economic dependence on the West-and would work against US strategic interests in the region. An MMM victory probably would lead to the formation of a group of left-leaning Indian Ocean island states that would strongly criticize the US naval presence in the Indian Ocean. F Should Ramgoolam believe that he faces almost certain defeat, there is an outside chance that he might decide at the eleventh hour to postpone the election or declare a state of emergency-as he did in 1971-and cancel the balloting altogether. Such a move would almost certainly result in serious rioting that could in turn threaten Ramgoolam's ability to hold onto power. Alternatively, should the elections result either in the MMM or Labor failing to win a clear victory, differences between coalition partners-such as disputes over the distribution of ministries-could result in the failure of either side to form a government. New elections would then have to be held within a year. This would be likely to be a period of continuous political maneuvering and instability, with a high likelihood of increased foreign meddling in Mauritius's domestic politics. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Aldabra Islands Madagascar Amirante Islas Seychelles Ile Tromelin (Fr.) Cargados Cara/.s Shoals Mauritius Reunion Rodriguez (Fr.) he do - me Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Flat Island Gunners Quoin Gabriel Island Mare ~~~fff ear Vacoas Tamarin Falls'- Pen. Mare Longue Res Chemii Choisy Grenie a io!;L" our, crrc Terre Rouges ,Petite _ Riviere? cis I:11! La Ferme :,Res ' P Phoen ~ vecors-=hfl War: Vacoas C e T Surinam 10 Souillac `~ ?G geode (( Bale 'Saint- Andre La Nicoliere Reservoir( Nouvelle ? France Camp' Diable Rivibre,des Fond ?du Sac Quartier Militaire Eau Bleua ?Res ?Gra o ~'iRoche %U it Goodl Riviere du Rampart du Milieu . .............._ -'Res Olivia. aS Bel Air. - intius ? Granry giver South e Plain Magnien /-Centre de Flacq Mahdbourgt Kenya `Serpent Island '~rou;d'~Eau Douce 00 '~ C/lies aux gentle Ceris '1 r/ Mdeagascar y dzambique Secret 2 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret Percent of Predominantly Population Urban or Rural Creoles 26 Urban Dockworkers, Industrial Workers Muslims 18 Urban Traders, Industrial Workers Parties Seats Won in 1976 Elections Major Sources of Communal Support Political Orientation Progress and Liberty Assembly (RPL) Creoles Center Mauritian Group a Creole Center Mauritian Militant Movement (MMM) 34 Muslims, Creoles Radical left Mauritian Socialist Party (PSM) Hindus Moderate left Mauritian Social Democratic Party (PMSD) 8 Creoles Right Mauritian Islamic Party (PIM] Muslims Unclear Rodrigues People's Organization (OPR) c Creoles Left Mauritian Democratic Union Probably Creoles Center c Competing only for the two seats on the island of Rodrigues. d The Muslim Action Committee is not contesting the 1982 elections. Several of its members are running as Labor Party candidates. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Current Electoral Bloc Labor Labor MMM Independent 25X1 Unclear Independent Independent Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 The Contestants Mauritian Militant Movement (MMM). The MMM is led by 37-year-old Paul Berenger. The US Embassy reports that the party draws most of its support from Mauritius's Muslim and Creole communities, which are concentrated in the urban areas. The Muslim minority, disgruntled youth, and the urban poor and unemployed have been especially receptive to Berenger's calls for nationalizing large sectors of the economy, higher wages, and more equal income distribution. The MMM consistently takes anti-Western and US stances and receives financial and ideological support from the Soviets, Libyans, and leftist nonaligned states. The amounts and channels through which the Soviets provide funding to the MMM are unclear The Libyans more openly provide generous financial aid to the party. The varied means of dispersal make it impossible to determine the exact amount of Libyan aid to the Movement. We doubt that MMM officials know exactly how much Libyan money is flowing into the pockets of party officials The MMM, with its wide range of leftist political thought, resembles a leftwing front more than an orthodox political party. Despite its Marxist orientation, it does not have the rigid hierarchical structure characteristic of orthodox Soviet-style Communist parties. Because of its diverse nature, the MMM suffers from disputes between moderates and its violence-prone radicals. Additionally, we believe that the potential for ethnic factionalism within the party exists some MMM members resent Berenger's unwillingness to accept advice or criticism. We believe that Berenger's political skills will enable him to overcome these problems and that a future MMM government would not be severely hampered by intraparty disputes unless it had a narrow majority. The party has had seven defections from its complement of 34 parliamentarians elected in 1976. With only a small majority Berenger would, in our view, be forced to make concessions to a number of factions, making it extremely difficult for him to govern the country effectively. Berenger, who is white, is the party's secretary general and the de facto leader of the MMM. The MMM has announced that Berenger will initially serve as finance minister in an MMM government, but we believe that he will exercise effective power. He is a radical whose political ideas were shaped during the May 1968 riots in Paris and who draws much of his political philosophy from leading thinkers on the French left. The central core of his political thought appears to be the idea of workers' self- management-along the lines of the Yugoslav model. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret The group's titular leader and candidate for prime minister is Aneerood Jugnauth, a Hindu, who has taken a backseat to the dynamic Berenger. Based on Jugnauth's comments to US officials, we believe that as Prime Minister in an MMM regime, he may be tempted to become more assertive, especially on issues directly involving the Hindu community. 25X1 As the elections have approached, Berenger has attempted to attract more voters and reassure uneasy businessmen that despite previous MMM 25X1 rhetoric the Movement will not engage in wholesale nationalizations or legislated wage increases. We believe the MMM hopes to capitalize on its fresh image and on the government's poor economic performance. According to a variety of 25X1 reports, the youthfulness of MMM candidates-11 years younger on average than their Labor counterparts-will appeal to the large number of young voters. The MMM is also gaining from its allegations of US Government involvement on Labor's side in the campaign 25X1 The MMM's smaller and less radical ally, the Mauritian Socialist Party (PSM), was formed by dissident Labor Party members. The Hindu-based PSM disagrees with the MMM on a number of issues. The PSM has embarrassed the MMM by criticizing Libyan activities in Mauritius. An MMM-dominated government dependent on PSM support would be subject to moderating influences from its coalition partner. The Labor Party and Its Allies 25X1 The Labor Party, headed by 81-year-old Prime Minister Ramgoolam, relies on the primarily rural Hindu community as its basis of support. The party favors a mixed economy and generally supports Western positions on foreign policy issues Ramgoolam has formed a coalition (the National Alliance Party) which includes the Labor Party; the small Mauritian Group, formerly a faction of the Creole-based Mauritian Social Democratic Party (PMSD); and the Creole-based Progress and Liberty Assembly (RPL). The US Embassy reports that Labor's chances of winning the election were badly damaged by delays in forming the coalition and the failure of the PSMD, Labor's traditional coalition partner, to ally itself again with Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Ramgoolam. PMSD leader Gaetan Duval refused to join the Labor coalition this year because he considered the leaders of the less important smaller coalition partners to be challenging his leadership of the Creole community. The Labor Party itself is weakened by factionalism, corruption, and the age of its leadership. Embassy and press reporting indicates that Mauri- tians want change and that Ramgoolam's failure to purge Labor's candidate list of unpopular old-guard members probably deprived the part of its best opportunity to challenge the MMM. Ramgoolam has sought to discredit his opposition by emphasizing the radical nature of the MMM. He has characterized the elections as a struggle between democracy and totalitarianism, and frequently points to the MMM's Soviet and Libyan connections. The government's warning last January to the Libyan "People's Bureau"-the diplomatic mission-to stop interfering in Mauritian internal affairs proved to be an effective campaign move. Most Hindus applauded the action while the MMM alienated some of its Muslim constituent b not s eaking out vigorously against the crackdown. Labor is concentrating its campaigning in the rural areas, where the Hindus predominate, leaving its coalition partners to contest the MMM in the urban areas. (Despite these efforts, the continuing economic decline and Labor's unwillingness to 25X1 rid itself of unpopular and corrupt candidates will cause many voters to turn to the MMM, according to the US Embassy. In addition, the failure of the PMSD to join the Labor coalition will ensure the opposition's complete dominance in the urban districts, where Creoles and Muslims are the major ethnic groups A Labor loss, in our view, would lead to Ramgoolam's resignation as party leader and a power struggle in the party. We believe that Agriculture Minister Boolell, who has pushed hard for reform of the party, would emerge on top. He would have the support of the new generation of younger and more dynamic party members who probably would be able to push aside the party's "old guard" discredited by the election loss. As Boolell represents the party's moderate right wing, we do not believe the party's orientation would change greatly Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret Election Issues The Economy The current economic slump, marked by double-digit inflation, chronic unemployment, and economic stagnation, has led many Mauritians to support Berenger's socialist policies. Polls indicate that most voters hold Labor responsible for their troubles, even though external forces-bad weather and weak demand for su ar, the island's major export-are in part the culprits. 25X1 The collapse of sugar prices after 1975 and two consecutive bad harvests sent the economy into a tailspin from which it has yet to recover. The gov- ernment's inability to curb its spending resulted in steadily widening deficits in both the budgetary and international trade accounts. Economic growth slowed dramatically, from 16.6 percent to 2 percent, adding thousands of workers to already swollen unemployment rolls. Meanwhile, inflation rose to Al 7 percent in 1980_ Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 The government in recent years has resorted to substantial overseas borrowing-both private and public-including several loans from the International Monetary Fund. The country's international debts rose from $45 million in 1974 to $400 million in 1981, although the debt service ratio is still a low 8 percent. More recently Ramgoolam introduced a series of austerity measures- partly in response to IMF demands-to reduce government spending and curb imports. Heading the list was a currency devaluation of almost 17 percent last September. He also reduced a number of consumer subsidies, limited wage increases, and eliminated end-of-the-year salary bonuses for workers. The results of these measures are not yet clear. Any improvement in the economic situation must await the sale of this year's sugar harvest-forecast to be a bumper crop. Weather damage to the last two sugar, crops hamnered the stabilization impact of previous austerity measures. Labor is attempting to limit the political fallout from the restrictive measures and regain the political initiative by the announcement in mid- May of a locally unprecedented unemployment assistance program and a large public works program that would employ 8,000 people. The funds for the latter program are derived from the USAID "Food for Work" agreement. that these stopgap measures will restore Labor's image as a credible and forceful manager of the economy Diego Garcia and the Indian Ocean Zone of Peace The MMM strongly advocates an Indian Ocean zone of peace, a concept also supported by the Soviets. Consequently, the Western-especially US-military presence in the region has been the subject of MMM criticism. The MMM has also called for a ban on naval visits to Port Louis by non-Indian Ocean powers. This contrasts with the Ramgoolam govern- ment's policy of encouraging visits by foreign navies and Ramgoolam's quiet support for the Western military presence in the region. MMM attacks on the Western military presence center on the US military use of Diego Garcia, which was part of preindependence Mauritius. With strong Soviet encouragement, the MMM calls for Mauritian sovereignty over the island and the dismantling of the US military facilities. Berenger Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret charges that Ramgoolam illegally gave away the island to the British in re- turn for economic assistance and early independence.' Ramgoolam periodi- cally issues pro forma calls for Mauritian sovereignty over Diego Garcia to blunt the MMM campaign, but privately he has told US officials he takes comfort in the US military presence on the island. 25X1 Ramgoolam has managed to quiet the opposition on the Diego Garcia issue by obtaining US agreement for the use of some Mauritian labor on Diego Garcia. Even the MMM was unwilling to criticize directly anything that eased the island's unemployment problems. Although Ramgoolam lost some political ground when a US firm rather than a Mauritian concern was awarded a contract for construction materials used on Diego Garcia, the government's success in resolving the contentious matter of the displaced inhabitants of Diego Garcia has deprived the MMM of a major election issue. Ramgoolam and the United Kingdom recently agreed to compensate the 1,200 Diego Garcians, who were resettled on Mauritius in 1971 to make room for military construction, with almost $8 million and some land in Mauritius in exchange for renouncing further financial claims against London and Port Louis. 25X1 Foreign Policy The USSR Implications An MMM victory would be a political victory for the Soviets, shifting Mauritius from a pro-Western to a nonaligned or even pro-Soviet position in international forums 25X1 Based on MMM rhetoric, however, Moscow has reason to believe that an MMM regime would deny the Western powers the limited, though useful, military access they now enjoy on Mauritius. An MAIM regime 25X1 would be a valuable ally in Moscow's campaign for an Indian Ocean zone of peace and against the US military presence on Diego Garcia. 25X1 An MMM government would quickly establish warm relations with Moscow, but its support for Soviet positions probably would not come cheaply. We do not believe the Soviets would be willing to 25X1 ' Mauritius ceded the Chagos Archipelago (a group of islands including Diego Garcia) to the United Kingdom in 1965 in return for $7.2 million in development aid. The terms of the transfer of Diego Garcia remain in'dispute. Ramgoolam, the principal Mauritian official in the negotiations, claims he was forced to cede the island to hasten Mauritian independence. 25X1 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 provide large-scale hard currency aid in view of Moscow's own economic problems. Based on past practice, we believe the Soviets are more likely to provide military equipment and training, the most important source of Soviet influence in much of the Third World Ramgoolam has long kept Moscow at arm's length. Soviet poaching in the fishing grounds off Mauritius led him to decide against renewing a fisheries agreement with the USSR. Soviet fishing, merchant, research, and naval vessels do call at Port Louis, however, and the Soviets are considering the use of Mauritian drydocking facilities for their fishing Libya In addition to funding the MMM, the Libyans have actively and openly proselytized among the island's Muslim minority, many members of which are unhappy with the community's underrepresentation in government and the professions. These efforts have struck a responsive chord among young Muslims, many of whom have flocked to the MMM, according to US Embassy sources The government circulated a communique last September warning foreign missions against interference in Mauritian internal affairs, a move widely interpreted by diplomats and, according to US Embassy sources, by much of the populace, as anti-Libyan. Early this year the government specifically warned the Libyan diplomatic mission to stop interfering in Mauritian internal affairs. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret We believe that under an MMM government the Libyans probably would work harder and with greater success to undermine US and Western influence in Mauritius and the region. Last year the Libyan mission 25X1 distributed anti-US leaflets on the Diego Garcia issue during the visit of a US naval ship. Cuba 25X1 There is little known Cuban activity in Mauritius at present. Our judgment, based on past Cuban performance is that an MMM regime would receive help in reorganizing the security services from the Cubans, We believe that Havana would follow its practice of sending medical teams or teachers to Mauritius and providing schooling in Cuba _,, , France and Other West European Countries Mauritius has close ties with Western Europe, especially France and the United Kingdom. Paris probably has the broadest overall interest in preserving Mauritius as a friend of the West. The US Embassy in Port Louis believes that an MMM regime would be likely to call, unsuccess- fully, for Paris to decolonize Reunion-a nearby island that is a depart- ment of France and the site of important French military facilities-and cede Tromelin, another nearby island, to Mauritius. We believe that an MMM government, in line with the Indian Ocean zone of peace concept, probably would also call for the removal of French military forces from the area and would include French ships in its ban on calls by foreign navies. Mauritius's declining economic situation leads us to believe that these demands on France would be muted, however, by the MMM's hopes for continued support from Paris. France is the largest single donor of economic assistance to Mauritius, providing approximately $15 million per year, and is Mauritius's third-largest trade partner. The presence of an important Franco-Mauritian minority and the prevalence of French cul- ture also would be likely to encourage continued strong ties with France. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 25X1 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 British influence is also strong on Mauritius. The Queen of England is the formal head of state, Mauritius is a member of the British Commonwealth, and the United Kingdom is Mauritius's largest trading partner. In 1976 the United Kingdom and Mauritius extended postindependence agree- ments that placed British technical advisers in several Mauritian minis- tries, and the British have provided training for the security forces. In addition, British capital developed Mauritian irrigation and port facilities. The proposed agreement on compensation for the displaced Diego Garcians will remove the thorniest issue between the United Kingdom and the Labor government. Mauritius also has important economic ties with the European Economic Community (EC). A quota agreement, presently under renegotiation, provided for the sale of 500,000 tons of sugar-the bulk of the country's crop-to the EC at prices that were, except in 1980, well above world market levels. United States The US military and strategic interest inf Mauritius is significant, though limited. Port Louis is one of the few ports in the southwest Indian Ocean that are accessible to US ships and suitable for rest and relaxation of crews. Mauritius is the only remaining democratic, pro-Western island state in the area. It supports US positions in international meetings, and has often played a moderating role in contentious debates affecting US interests. We believe an MMM regime would reverse this and pave the way for more concerted attacks on US and Western policies by the island states acting as a group. Mauritius depends on the United States to purchase a large portion of the sugar crop that remains after fulfilling the EC quota and domestic needs. Mauritius may have as much as 130,000 tons to put on the world market if this year's crop is up to expectations. Mauritian officials are now upset by the recent imposition of a sugar quota by the United States. The United States has sharply increased food aid in recent years; agreements for 1982 provide for $3.5 million in concessional sales of food and a food-for-work program based on a $2 million grant. A proposed extension of $2 million in US economic support funds for Mauritius is pending. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret India Relations between Mauritius and India traditionally have been close as a result of cultural, religious, and political affinities. Approximately two- thirds of all Mauritians are of Indian descent. The US Embassy in New Delhi reports that India badly wants to lay the groundwork for good relations with a future MMM government despite New Delhi's apprehension about the party's radical nature and the possible decline in the Hindu community's influence under an MMM government. 25X1 China China hosted a high-level Mauritian Government delegation late last year. We believe Beijing's motivation was its desire to improve Labor's election prospects with Mauritius's small but influential Chinese minority. This strongly suggests that Beijing supports the Ramgoolam regime as an obstacle to increased Soviet influence in the southwest Indian Ocean. C 25X1 25X1 Other Indian Ocean States and South Africa Despite officially adhering to sanctions by the Organization of African Unity against Pretoria, Mauritius is heavily dependent economically on 25X1 South Africa, its second most important trading partner. South Africa buys a large portion of Mauritius's tea crop and supplies about 20 percent of Mauritius's imports, including much of its food. ewe believe Pretoria has discreetly helped offset some of Labor's campaign costs. Should the MMM come to power, Berenger will be on guard against a South African-backed coup attempt. We believe that the unsuccessful coup attempt late last November against the leftist regime in Seychelles-and the mercenary-led installation of a conservative government in Comoros several years ago-has heightened Berenger's 25X1 Fear of South Africa also would serve as an incentive for an MMM 25X1 government to cooperate with the leftist regimes in Madagascar and Seychelles, which feel similarly threatened. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Berenger has said that he and Sey- chelles President Rene are especially close and we believe the two are likely to join Madagascar in promoting the Indian Ocean zone of peace in international forumsJ Election Results: Labor's unresponsive image, its difficulty in organizing a coalition, the Implications for the island's continuing economic decline, and the widely perceived need for United States change point to a likely MMM victory. Polls indicate that there is a good chance the Movement will win an outright majority in the Legislative Assembly, thereby freeing the party from any dependence on its ally, the smaller Socialist Party. MMM Controls Parliament Soviet prospects in Mauritius under an MMM government would definite- ly improve. We believe that Berenger probably would establish an army, which Mauritius now lacks, and that he would be likely to seek Soviet equipment and training. In addition, we believe an MMM government would sign fishing an cultural accords with Moscow. Past statements by MMM leaders suggest also that an MMM government would almost certainly end foreign military access to Mauritius. Berenger is a strong nationalist who would not want to prejudice his claims to nonalignment and who probably would include the USSR in his ban on for- eign military access. In the near term it is unlikely he would grant them any exceptions unless he believed his regime to be seriously threatened by outside powers or by domestic unrest. An MMM government, according to its leaders' announced plans, would pursue a radical nonaligned policy that would generally coincide with Soviet goals and interests. The MMM would support Soviet efforts to promote the Indian Ocean zone of peace concept and would intensify demands for the United Kingdom to return Diego Garcia and for an end to the US military presence. (Both Madagascar and Seychelles receive substantial Western aid, however, and we believe they may be reluctant to offend present and potential Western benefactors. For Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret example, a Malagasy official told US Embassy officers that President Ratsiraka was trying to avoid offending France because of its sizable aid to Madagascar 25X1 We believe that Libya would try to persuade the new 25X1 government to sever, or at least curtail, relations with the United States. Nonetheless, the MMM would probably try to limit Libyan activities in Mauritius, recognizing that the issue of Libyan influence could disrupt the island's delicate ethnic and religious relations. Statements by MMM members indicate that Berenger would establish good relations with Yugoslavia-as one of the founders of the nonaligned 25X1 movement-and other "progressive" Third World nations such as Zim- babwe, Algeria, and India Although the French Government appears to favor Labor, the US Embassy in Paris reports that the MMM has a number of supporters among French socialist leaders, and we believe Berenger would look to them to help in eliciting political and economic support. Like leaders in Seychelles and Madagascar, which receive French financial assistance, Berenger might be reluctant to upset Paris should it come through with a sizable aid package. Domestically, it is our view that an MMM regime probably would move to restrict civil liberties, including freedom of the press, if significant opposition to MMM programs developed. We believe Berenger also may be planning to alter the Mauritian form of government because he has said that Western-style parliamentary systems are not "democratic." Mauritius has a long tradition of political participation and a vigorous press, however, and any attempt to stifle civil liberties could touch off violent demonstra- tions. 25X1 An MMM government would have trouble reviving Mauritius's sluggish economy. Berenger is unlikely to introduce radical economic changes immediately because sweeping nationalization of sugar and other indus- tries would risk discouraging vital Western investment and financial assistance. His most likely course of action will be a program of selective takeovers. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 MMM in Coalition Should the MMM fail to win a parliamentary majority and have to depend on Socialist Party support to form a government, Berenger's ability to implement his programs would be limited. The two parties thus far have submerged their differences but trouble probably would resurface in a coalition. The PSM is basically a communal party that in large part represents liberal Hindu interests. PSM officials have indicated that they would see an increase in Libyan influence in Mauritius or a disproportion- ate role for Muslims in a new government as a threatening development. influence in Mauritius, especially a large number of Soviet advisers, or the institution of repressive measures would also lead the PSM to withdraw from a future government, possibly causing the government to collapse. Should a future MMM-PSM government fall, we believe the MMM would be tempted to declare martial law to remain in power. In our view such a move would be strongly resisted by the majority Hindu community, which would see a threat to the democratic process as a challenge to Hindu influence, and by rightwing elements of the Creole population. Defections from Berenger's own party could also cause the fall of a future MMM government; of the 34 MMM deputies elected in 1976, seven have left the party. The MMM suffers from disputes between party radicals and moderates and from unhappiness with Berenger's unwillingness to accept advice and criticism Labor Forms a Government If the MMM wins a plurality of the votes rather than a majority, as it did in 1976, Ramgoolam, as current Prime Minister, would have the constitu- tional prerogative to try to form a coalition. It is possible that he could do this with a razor thin majority. Such a new and insecure Labor government would seek generous Western economic aid to keep the economy afloat and to avoid the serious disorders that would probably accompany increased economic hardship. Realizing these dangers, Ramgoolam, in our view, is likely to attempt to elicit more from the West in return for maintaining his benign neutrality and for facilitating US naval access. He recently approached the United States with a request for $30 million in economic assistance. A Labor victory probably would result in violence by MMM radicals. MMM allegations of US interference in the campaign increase the likelihood of violence directed against US citizens or the US Embassy Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 25X1 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 should Ramgoolam carry the day. The MMM may even have contingency plans to seize power if Ramgoolam were to survive, though we have no evi- dence indicating this to be the case. The Libyans have been rumored to be storing arms in the Seychelles for the MMM 'ng to the US Embassy in Seychelles. 25X1 Even without MMM-inspired troubles, however, a Labor coalition would be inherently unstable. Its narrow majority would give the smaller parties disproportionate influence and factionalism would be aggravated by in- creased maneuvering among aspirants for Ramgoolam's position. Ramgoolam, however, might use a victory-however narrow-as a face- saving opportunity to step down in the interest of rejuvenating the party. His most likely successor, Agriculture Minister Boolell, is widely viewed in the Labor Party as its most acceptable leader, and probably would continue Ramgoolam's policies. 17 Secret Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 A former physician, Sir Seewoosagur Ramgoolam has been parliamentary leader of the Mauritian Labor Party since 1948 and Prime Minister since independence in 1968. He is regarded affectionately by many Mauritians as the architect of independence. Ramgoolam views himself as a socialist in the British Labor Party mold and is one of Africa's most moderate leaders. His ability to compromise has enabled him to survive numerous political chal- lenges but he also has been criticized for failing to make hard decisions regarding the island's economic and social problems. C The son of indentured Indian immigrants, Ramgoolam, a Hindu, was born in 1900. In 1921 he traveled to the United Kingdom to study medicine. There he took an interest in politics and developed a strop belief in British socialism Paul Berenger, a young, left wing political activist who studied in France and the United Kingdom has led the oppositionist Mauritian Militant Movement (MMM) since he founded it in 1969. As Secretary General of the MMM Berenger has sought power through Berenger left Mauritius in 1963 to study journalism at the University of Paris. There he was attracted to socialist ideas and participated in the May 1968 student unrest. During the summer of 1968 he returned to Mauritius and founded the Club of Militant Students of Mauritius, which later became the Mauritian Militant Movement. In 1971 the government detained Berenger because of his "confrontation politics. "Berenger, the son ofa wealthy Franco- Mauritian plantation owner, was born in 1945 Aneerood Jugnauth, President of the Mauritian Militant Movement (MMM) since 1974 and leader of the opposition in the Legislative Assembly since 1977, is his party's shadow Prime Minister. He has few strong ideological beliefs and is viewed as a stalking horse for MMM Secretary General Paul Berenger. Jugnauth, who visited the United States in August 1981, has stated that if he wins the elections the MMM will maintain good relations with Washington. 25X1 A Hindu, Jugnauth was born in 1930. He is a lawyer and studied in the United Kingdom Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6 Secret An educator by training, Harish Boodhoo is a founding member of the left-of-center Mauritian Socialist Party (PSM). He and two other Labor Party dissidents established the PSM in 1979, a few months after they were expelled from the Labor Party because of their campaign to rid Labor of its corrupt leadership and return the party to stricter socialist principles. In March 1981 the PSM formed a coalition with the Mauritian Militant Movement to enhance the election prospects of both parties. Despite his socialist beliefs, Boodhoo is generally pro-Western. Boodhoo, a Hindu, was Gaetan Duval, one of Mauritius's most experienced and erratic politicians and former Foreign Minister (1969-73), has led the Mauritian Social Democratic Party (PMSD) since 1966. He originally opposed independence for the island in 1968 because he believed it would lead to Hindu domination of the government at the expense of his fellow Creoles. He eventually tempered his views, however, and in 1969 joined a coalition government as a cabinet member. This alliance ended in 1973 when Duval's lobbying for the establishment of a French naval base in Mauritius failed. Following the 1976 parliamentary elections the PMSD rejoined a coalition 25X1 government, but Duval again withdrew his party from the govern- ment in June 1981 after a power struggle with a PMSD faction that opposed his leadership Duval was born 1930 and studied law in London and Paris. Approved For Release 2008/09/09: CIA-RDP84B00049R000802030008-6