Finance Minister Pinhas Sapir predicted a $1.3 billion foreign trade deficit for Israel by the end of the current fiscal year, a $200 million increase over his original prediction. Addressing the praesidium of the Economic Conference for Israel here last night, he said that $800 million of the deficit represented imports for defense. Mr. Sapir saw no improvement in Israel’s foreign trade position until 1975. By then, he said, it was hoped that industrial exports would contribute an additional $500 million to Israel’s side of the trade balance and that imports valued at $300 million would be replaced by Israel-made goods. He said that if the present cease-fire continues for any length of time, there may be a decline in Israel’s defense requirements. “We must be ready for such a hopeful outcome and I have already asked my staff to study the question,” Mr. Sapir said. The Finance Minister warned on a recent radio broadcast that a switch over from a war to a peace economy could have serious repercussions and might create unemployment for the first time since the June, 1967 war.
JTA has documented Jewish history in real-time for over a century. Keep our journalism strong by joining us in supporting independent, award-winning reporting.
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.
