Peres Says Economic Issues Will Dominate Talks with U.S. Officials

Premier Shimon Peres left on a four-day visit to the U.S. Monday morning, stressing before his departure that economic issues will loom large on the agenda of his talks with American officials but “I am not going in order to ask for money.” (Peres arrived in New York Monday afternoon and will be in Washington Tuesday.)

He said Israel’s role in the Reagan Administration’s Strategic Defense Initiative (SDI), popularly known as Star Wars, would “probably” come up. But his trip is not an official visit.

“Basically, the purpose of my trip to the U.S. is to attend the jubilee of the World Jewish Congress, an important organization in the life of the Jewish people, ” he said. “But then, being in Washington, I believe we shall try to summarize what are the openings for the continuation of the peace process on the one hand, and what are the necessary measures to be taken in order to meet the growing danger of international terrorism.”

WILL NOT PURSUE WALDHEIM ISSUE

Asked if he intended to pursue the issue of former United Nations Secretary General Kurt Waldheim’s alleged Nazi past–an issue vigorously being pressed by the World Jewish Congress–Peres replied, “No, that is not the purpose of my visit. ” The WJC has been urging Israel to take an official position on Waldheim who is running for the Presidency of Austria in elections scheduled for May 5. A flurry of speculation was raised by the fact that the Premier is flying to the U.S. in an Israel Defense Force Boeing jet instead of an El Al commercial flight. Asked if this was a security precaution in view of terrorist threats, Defense Minister Yitzhak Rabin told foreign correspondents that it was routine.

“We frequently take lifts on those (military) planes. El Al is perfectly safe, but the IDF is flying so we use them as well,” Rabin said. He explained that the IDF planes frequently fly to Europe and the U.S., transporting goods abroad for sale or repair and bringing other goods home. He did not specify the nature of the goods.

PERES OUTLINES ISSUES ON HIS AGENDA

Peres was unusually expansive in his statements to Israeli and foreign reporters before his take-off from Ben Gurion Airport. “I believe that the economic issue will be the chief issue in the Middle East in the coming years and if it’s not dealt with, we can expect very many jolts,” he said.

“I am not going (to the U.S.) in order to ask for money. I am not going in order to propose how to spend money. But I think there are ways to deal with improving the economic situation through an important international effort,” Peres said, adding, “I do not intend to go into the details of the plan at the moment.”

He elaborated, however, on his reasons for not seeking more money in the U.S. at this time. “I am aware of the Gramm-Rudman (budget-balancing) measure, which is not just a financial issue but is a state of mind, and I shall respect it.” the Premier said.

“I think there is a lot to be done there (the U.S. with respect to helping Israel’s economic recovery). As you know, we have a task force with the purpose of increasing investment in Israel, of enlarging the exports of Israel, of building joint ventures between American investors and Israeli enterprise.

“This plan is much supported by the American Administration–by President Reagan, by Secretary of State (George) Shultz, and it has had a fine start. We are going to enlarge it, develop it.

“Then again, I shall be talking with (American Jewry) about the continuation of a plan which exists already for seven years–Project Renewal–to give it some new life and new dimensions. And really, to see what are the best opportunities to go from a policy of economic restraint to a policy of economic development and growth. I think we have some opportunities and I do believe it is not necessarily through grants or money.”

Peres disclosed that over the last few months, the government has sold off some of its companies to private enterprise, one of them a company for the development of Ashdod and the other a chemical plant in Haifa.

Peres said the U.S. has not approached Israel on its problem with Libya. But ways to combat international terrorism will be on his agenda in the U.S. “As you know, Vice President (George) Bush heads the U.S. Administration team that is dealing with the subject of international terrorism,” Peres said.

Asked if Israel’s role in Star Wars would come up, the Premier replied, “Probably yes. It’s one of the topics which is under discussion between the U.S. government and the Israeli government. In effect, we are in full agreement, but again we shall go a little bit into depth in order to see what is the right way to proceed.”