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September 20, 1991 - Image 22

Resource type:
Text
Publication:
The Detroit Jewish News, 1991-09-20

Disclaimer: Computer generated plain text may have errors. Read more about this.

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appeared to believe that the
loan guarantees targeted
humanitarian needs.
Since Mr. Bush's strong-
worded press conference last
Thursday, local activists
have devoted their time to
creating a new lobbying
strategy based on convincing
the White House of the hu-
manitarian nature of the
loan guarantees. Locally, a
telephone and telegram
campaign is underway. In-
stead of focusing on Con-
gress, where the loan guar-
antee would be debated,
citizens are asked to send
comments to the White
House.
The goal, said the local ac-
tivists, is to show continued
support for the loan guar-
antees without provoking
the President.
"We have to be delicate;
we have to be tactful; we
have to be non-
confrontational," said Mr.
Mann. "But we have to stick
to something.
"Can we abandon our

commitment to this aid? To
abdicate our obligation to
fight for these people (Soviet
Jews) would be un-
conscionable," Mr. Mann said.

Mrs. Weiner added that
support for Israel's right to
exist requires the support for
Israel to accept and resettle
Jews from around the world.
Not fighting for the loan
guarantees, she said, would
not be consistent with sup-
port for Israel.

While the activists were
surprised by Mr. Bush's
strong reaction, they ex-
pressed hope for com-
promise. Even at the cost of
offending the president, who
will control the pace of the
Mideast peace process and
perhaps the White House for
the next five years, the vol-
unteers vow continued sup-
port.

"If we lose this fight, it
won't be the end of this
movement," said Mr.
Mann. ❑

Budget Demands
Met By Sharon

Jerusalem (JTA) — After
17 hours of debate that
stretched into the wee hours
of the morning, Israel's
Cabinet adopted a budget
that essentially says "yes"
to demands for increased
defense spending and "no"
to Ariel Sharon's request for
more immigrant housing.
The $33.9 billion budget
for 1992 also leaves a deficit
equivalent to 6.3 percent of
Israel's gross national pro-
duct.
While this is down from
6.9 percent of GNP in the
1991 budget, Treasury offi-
cials had warned that any
deficit larger than 5.5 per-
cent of GNP would cause a
renewed spiral of
unemployment and infla-
tion, which has hit 21 per-
cent in the last year.
Treasury officials also told
the Cabinet that such a
large deficit could make the
United States uneasy about
granting Israel guarantees
for $10 billion in commercial
loans it is now seeking for
immigrant resettlement.
At a news conference, Fi-
nance Minister Yitzhak
Moda'i said Israel had
"already received queries
from the Americans regar-
ding our ability to repay the
loans."
In an apparent move to
assuage such concerns,
members of the Cabinet
committee on economic af-
fairs convened to begin

discussions on how to grad-
ually reduce the budget
deficit. Mr. Moda'i proposed
that it be eliminated entire-
ly by 1995.
The Cabinet's 11-6 vote to
approve the budget took
place around 1:30 a.m., after
hours of grueling debate
over conflicting demands
from the various ministries.
In the end, the governing
body decided on a 3 percent
across-the-board cut for all
ministries except Defense,
which will receive an in-
crease of some $158.6 mill-
ion.
The Treasury had
demanded substantial cuts
in both the defense and
housing budgets, in order to
curb inflation. But the
Defense Ministry, citing the
need to draw lessons from
the Persian Gulf War, had
asked for an additional $440
million every year over the
next five years.
In the end, Defense Min-
ister Moshe Arens prevailed,
thanks to the backing of
Prime Minister Shamir.
In order to free up some
$220 million for the defense
budget, the Cabinet cut into
the allotment for immigrant
absorption.
It did so not by cutting the
amount needed to absorb
each immigrant but rather
by lowering the estimate of
how many immigrants will
arrive during the next year
from 250,000 to 200,000.

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