Blaustein Calls for Industrial Aid and Government Loans to Jewish State

Present-day Israel is teeming with life, assurance and hope while at the same time, as is to be expected, it is confronted with gigantic tasks of reconstruction, rehabilitation and other problems, declared Jacob Blaustein, president of the American Jewish Committee, on his return here today from an intensive survey of Israel.

Emphasizing that the major problems facing Israel are those of immigration, housing and employment of new settlers, as well as the war against inflation, Blustein said: “The Israeli Government is fully aware of these problems and is considering a number of projects aimed at overcoming them, and believes it will. However, the task of adjustment in Israel cannot be accomplished simply from within. In addition to voluntary private contributions from the United States and other countries, such as through the United Jewish Appeal, help must come in the form of additional foreign governmental loans, and particularly through the creation of new private enterprises by foreign industrialists utilizing the most modern scientific resources available.

Blaustein headed a five-man delegation which visited Israel at the invitation of Prime Minister David Ben Gurion. The delegates had thorough conference with the Israeli Prime Minister and other members of the Cabinet and with representatives of labor and industry. The also had several meetings with U.S. Ambassador James G. McDonald and with Mark Ethridge, U.S. member of the United Nations Conciliation Commission. The delegation included Irving M. Engel, chairman of the A.J.C. executive committee; Dr. John Slawson, executive vice-president; Dr. Simon Segal of the New York office and Zachariah Shuster of the Paris office.