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American Firm to Lend $10,000,000 to Israel for Dead Sea Project

David Horowitz, Governor of the Bank of Israel, reported on his return from the United States today that he had found an alternative source to finance the expansion of Dead Sea operations.

An alternative was made necessary when negotiations with two American financial organizations, the First Boston Corporation and Lazard Freres, failed. He said the new source, an American financial group, has agreed to lend the Dead Sea project $10,000,000 for seven years at five and one-fifth percent. The two other American financial firms wanted a much higher interest rate, he stated.

He also reported that after the agreement was concluded, a new bid would be made to the World Bank for a loan for the Dead Sea expansion project and that the chances of getting such a loan were “excellent.”