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U.S., Israel in talks on aid for Gaza pullout

Special to World Tribune.com
MIDDLE EAST NEWSLINE
Tuesday, July 12, 2005

Israel has launched formal talks with the United States for $2.2 billion in aid to facilitate the withdrawal from the Gaza Strip and northern West Bank.

Israeli officials said the U.S. funding would be used, among other things, for the eviction of about 10,000 Jews from the areas slated for evacuation. They said Israel's military has sought non-lethal and other equipment from the United States.

An Israeli government delegation began talks in Washington on Monday with senior officials from the National Security Council. Officials said they did not believe an aid agreement would be reached by the time the withdrawal begins on Aug. 17.

"U.S. officials will now study the presentation and see what additional questions we may have," a National Security Council spokesman said. "A number of programs and needs were described and we will, as the president has said, be working with the government of Israel to understand the proposal and see how we can assist in making the plans a reality."

[On Tuesday, Chief of Staff Lt. Gen. Dan Halutz said the military has completed preparations for the withdrawal of the Gaza Strip and northern West Bank. Halutz, appearing in front of the Knesset Foreign Affairs and Defense Committee, did not elaborate.]

Officials said Israel has asked the Bush administration for $2.2 billion in special aid. They said the assistance would facilitate the withdrawal from the Gaza Strip and northern West Bank, the establishment of military bases inside Israel and the development of the southern Negev desert for Israeli farmers evicted from the Gaza Strip.

"The principal purpose of those discussions here is to talk about development in the Negev and Galilee regions of Israel," State Department spokesman Tom Casey said.

Later, the White House issued a statement that praised Prime Minister Ariel Sharon and his withdrawal plan. The statement did not cite details of the Israeli request.

On Monday, Israeli Deputy Prime Minister Shimon Peres said some of the proposed U.S. funding would be employed to evict Jewish residents and remove their belongings from the Gaza Strip and northern West Bank. Peres said other U.S. funds would be allocated to develop the Galilee and Negev regions.

"It's $2 billion over four years," Peres said.

Israeli sources said the White House has signaled its intention to consider a generous aid package for Israel. They said the proposed aid would be allocated over the next few years.

The proposal calls for the U.S. aid to be presented as a grant rather than from loan guarantees to Israel, the sources said. In 2003, the administration approved $9 billion in U.S. loan guarantees in wake of the war against Iraq.


Copyright © 2005 East West Services, Inc.

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