The Export-Import Bank today confirmed to the Jewish Telegraphic Agency reports that the bank is now willing to consider “project type” loans to Israel. Bank spokesman Sidney Sherwood said the decision was made ten days ago after the State Department indicated “greater political stability in Palestine” and recommended that the bank again consider the possibility of making credits available.
New type loans would require Israel to make application for a specific project such as a power plant or harbor development with complete details as to cost of all items involved. If the Bank felt the project “sound and with a reasonable prospect or repayment,” the loan would be granted. This, of course, would exclude arms or ammunition.
Unlike the more general terms in the $100,000,000 loan application last spring, which the bank shelved, there would be no money available for consumer goods. Sherwood said that “in the light of the State Department’s report of a greater degree of political stability in Israel, we have agreed to reexamine conditions and study any applications for project-type loans. If they want to break down the $100,000,000 loan into specific projects, that’s up to them. We will judge loans on merit and what they could contribute to productive capacity and what they can do to increase capacity for export.”
The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
