UNITED NATIONS N. Y. (Jun. 24)
The losses sustained by Israel and Egypt as an aftermath of the Simi campaign are dealt with in a report issued today by the United Nations Department of Economic and Social Affairs reviewing economic developments in the Middle East.
The report says that “direct material losses were incurred wholly by Egypt.” As for Israel, the report states; “Preparation for the campaign by purchases of arms. the slow-down in production owing to extensive mobilization for a period of weeks, the cost of the campaign itself, the consequent suspension of United States aid and the fall in receipts from tourists–all these factors strained Israel’s foreign exchange position and generally reduced output in the last two months of 1956. In consequence, the inflationary pressures within the economy appear to have increased and prices showed a tendency to rise.”