The talks between the West German delegation and Arab leaders in Cairo have been suspended because of “exaggerated Arab demands,” a government spokesman revealed here last night. He disclosed that the delegation, headed by Dr. Ludger Westrick, Bonn’s Secretary of State for Economic Affairs, had been instructed to remain in Cairo.
The Egyptian demands for longterm credits, as the price for calling off the threatened economic boycott of West Germany for promising to pay reparations to Israel, are reported to have gone as high as $1,000,000,000 The Germans offered about $100,000,000. The Bonn Government was represented as refusing to pay “blackmail” although willing to grant “reasonable” credits.
Another reason for the suspension of talks was the arrival here this week of a trade delegation from Eastern Germany. The Bonn delegates had been promised that the East Germans would not be received during their visit here.
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