Sharon: Israeli economy is basically strong

Globes ^ | 11 March 2003 | Noga Shavit-Raz

[anotherview]

Sharon: Israeli economy is basically strong

At the Globes Initiative “Business and Community” conference, Prime Minister Ariel Sharon called for greater personal effort and voluntarism.

Noga Shavit-Raz 11 Mar 03 15:04

“Israel is currently facing a hard struggle. I call on everyone to realize that we’re all in a struggle we must win. We must act calmly, without wailing or crying. This is no time for tears,” said Prime Minister Ariel Sharon today. He was speaking at the opening of the Globes Initiative “Business and Community” conference at the Tel Aviv David Intercontinental Hotel.

“The time has come for people to stop complaining and crying on each other shoulders. Everyone must do their best,” Sharon added.

Sharon called for greater personal effort and voluntarism. “Israel’s economy is in trouble. The state’s capacity has shrunk. You, the businesspeople, must fill the gap. It’s hard to ask for more from those already volunteering, but I call on you to make the effort.”

Sharon avoided spelling out his position on the economic plan being prepared by the Ministry of Finance, commenting only on the budget discussions.

Sharon said, “We will all have to make an effort and lower our standard of living. I expect everyone to understand that we must postpone demands, however justified, because we’re in a difficult struggle. As usual in times like these, many ministries are warning about collapse and crashes. There is hardship, but we’re a long way from collapse. The Israeli economy is basically strong and healthy. It’s in our hands. Act, manufacture and export, and the government will do its bit.”

Published by Globes [online] - www.globes.co.il - on March 11, 2003

[onedoug]

I wish I could go. But my wife won't let me right now.

[anotherview]

Is she afraid of terrorism? If you are careful and stay away from the territories Israel is pretty safe for tourists. You aren't likely to ride an Egged (public) bus or go to a bus station or visit the Judea, Samaria, or Gaza, are you? My main concern now would be the possibility of the war with Iraq spilling over. Waiting until Gulf War II is over may be prudent, but other than that, it's really not a bad time to visit Israel.

[onedoug]

Terrorism and the threat of war. I know she's right...at least to that extent. It's an old desire, really. I actually should have gone a long time ago. Though part of it now too, would be the sense of support.

I'm optimistic though. "Next year in Jerusalem!"

[Greybird]

Basically strong? Then why is the additional 12 billion dollars in bribes that Sharon is demanding from the United States, in order to stay out of the war, being disguised as help for the Israeli economy?

Cutting off welfare cheats was a good idea at home. Now we should extend it to foreign governments.

[anotherview]

United States Senate

Office of the Majority Leader

Washington D.C. 20510

March 5, 2003

The President

The White House

1600 Pennsylvania Avenue, N.W.

Washington, D.C. 20500

Dear Mr. President:

We are writing in relation to our Nation's ongoing efforts in the war against terrorism. Last week, you laid out an ambitious goal that we all share -to build a democratic and peaceful Iraq that can in turn lead to a stable and democratic Middle East. We commend you for that vision and want to work with you to take the necessary steps to ensure it becomes a reality.

Securing Israel is also a vital first step in realizing that vision. We are deeply concerned for the economic and military crisis Israel is currently facing. As you know, these challenges are unprecedented: a severe economic recession, caused in large part by the campaign of violence and terror being waged against it. Now, with the possibility of conflict with Iraq, Israel is confronted with skyrocketing defense expenditures to ensure that the Israeli people are not once again made innocent victims of attack by Saddam Hussein. We are concerned that, if not addressed soon, these issues could severely affect Israel's short and long term security.

Israel' s per capita GDP has fallen by six percent in the last two years-a decline virtually unprecedented in any western industrialized democracy since the end of World War II. At the same time, its defense spending now exceeds 11 percent of its GDP-the highest of any democracy. To keep its forces at the necessary level of readiness while preparing to meet homeland security needs of a possible unconventional weapons attack from Iraq, Israel is in danger of mortgaging its future qualitative military edge. We cannot allow this to happen.

In the past, the United States has always been there to help Israel get through tough economic and military challenges-and grow stronger in the process: in the 1980s, when Israel' faced triple digit inflation, immediately after the Gulf War, and in the early 1990s, as Israel confronted the enormous challenge of absorbing hundreds of thousands of immigrants from the former Soviet Union.

The situation Israel faces today is even more serious, but with American help, can be overcome. Additional loan guarantees-which cost the American taxpayer nothing-can help jump start Israel' s economy, especially if accompanied by further economic restructuring. At least as important, the provision of additional military assistance now can help assure Israel's security into the future, and ensure that we not allow any margin of error to a key American ally confronting both terrorism and the threat of attack from unconventional weapons.

We will work closely with you in the months ahead to address our country's priorities at home and abroad. As we take the steps necessary to secure the United States, and as other states in the Middle East look to the United States to help provide for their security, we are confident that you will view sympathetically Israel's request for urgent economic and military assistance and include it in the upcoming emergency appropriations.

Sincerely yours,

Senator Tom Daschle, Democratic Leader

Senator Bill Frist, M.D., Majority Leader