mrz
26-11-02, 22:54
Israel Seeks Additional Military Aid From U.S.
By Barry Schweid The Associated Press
Published: Nov 26, 2002
WASHINGTON (AP) - Israel is asking the Bush administration for about $4 billion in new military aid and $8 billion to $10 billion in loan guarantees to bolster its economy, a U.S. official said Tuesday.
Prime Minister Ariel Sharon's chief of staff, Dov Weisglass, and the director general of Israel's finance ministry, Ohad Marani, made the request at a meeting Monday with Condoleezza Rice, President Bush's national security adviser.
The Israeli Embassy declined to disclose how much help was requested, but said the Israelis were promised a prompt reply. An administration official provided the price tag on condition of anonymity.
Marani presented an account of the economic situation in Israel and he and Weisglass had a detailed discussion with Rice, the embassy said in a statement.
A 26-month conflict with the Palestinians has strained Israel's defense budget while the violence has sharply reduced foreign investment and tourism.
Israel is the largest recipient of U.S. loans and grants, which amount to $2.9 billion.
The State Department said last week it would ask Congress for $2.16 billion in military aid for Israel for fiscal year 2004, which begins next September. That is an increase of $120 million from a request for $2.04 billion for this year.
Israel relies on loan guarantees to borrow at lower interest rates. There is no cost to the United States if the loans are repaid, and Israel never has defaulted on a loan.
Israel's role, if any, in a U.S. war with Iraq is not clear.
Sharon has said Israel reserves the right to respond if attacked. In the 1991 Persian Gulf war, even while under Iraqi missile fire, Israel complied with U.S. requests and did not respond.
In any event, preparations for a possible war are contributing to Israel's military expenses.
AP-ES-11-26-02 1647EST
http://ap.tbo.com/ap/breaking/MGAHAD6D09D.html
By Barry Schweid The Associated Press
Published: Nov 26, 2002
WASHINGTON (AP) - Israel is asking the Bush administration for about $4 billion in new military aid and $8 billion to $10 billion in loan guarantees to bolster its economy, a U.S. official said Tuesday.
Prime Minister Ariel Sharon's chief of staff, Dov Weisglass, and the director general of Israel's finance ministry, Ohad Marani, made the request at a meeting Monday with Condoleezza Rice, President Bush's national security adviser.
The Israeli Embassy declined to disclose how much help was requested, but said the Israelis were promised a prompt reply. An administration official provided the price tag on condition of anonymity.
Marani presented an account of the economic situation in Israel and he and Weisglass had a detailed discussion with Rice, the embassy said in a statement.
A 26-month conflict with the Palestinians has strained Israel's defense budget while the violence has sharply reduced foreign investment and tourism.
Israel is the largest recipient of U.S. loans and grants, which amount to $2.9 billion.
The State Department said last week it would ask Congress for $2.16 billion in military aid for Israel for fiscal year 2004, which begins next September. That is an increase of $120 million from a request for $2.04 billion for this year.
Israel relies on loan guarantees to borrow at lower interest rates. There is no cost to the United States if the loans are repaid, and Israel never has defaulted on a loan.
Israel's role, if any, in a U.S. war with Iraq is not clear.
Sharon has said Israel reserves the right to respond if attacked. In the 1991 Persian Gulf war, even while under Iraqi missile fire, Israel complied with U.S. requests and did not respond.
In any event, preparations for a possible war are contributing to Israel's military expenses.
AP-ES-11-26-02 1647EST
http://ap.tbo.com/ap/breaking/MGAHAD6D09D.html