Foreign Minister Yigal Allon informed the Cabinet today that Israel has, unofficially, expressed “disappointment” to the United States over reports that President Ford has ear-marked only $200 million to fund aid for Israel during the transitional quarter between the end of fiscal 1976 on June 30 and the start of fiscal 1977 October 1. Allon said Israel’s feelings were conveyed through informal channels because Israel has not received any official word as to the Administration’s intentions.
Premier Yitzhak Rabin appeared to admonish Allon for his remark when he noted that any Israeli reaction would be premature in the absence of any official statement from Washington According to Cabinet sources there was some tension between the Premier and the Foreign Minister during today’s Cabinet session when Rabin took issue with a remark by Prof. Shlomo Avineri, director general of the Foreign Ministry, that there were improved prospects that “some Arab states” would agree to Israel’s proposal for an end of belligerency. Avineri, known for his “doveish” views, is regarded as a protege of Allon. Objections were raised in some quarters to his appointment by Allon earlier this year to the top non-ministerial post in the Foreign Ministry.
His prediction of better prospects for non-belligerency was denied by Rabin who said there was “no basis for any new assessment.” Rabin was replying to Transport Minister Gad Yaacobi who had asked for facts to support Avineri’s assessment. Avineri, who visited the U.S. last week, made his statement on an Army Radio interview on his return from Washington.
The funding for the transitional quarter has been a source of friction between Israel and the U.S. for the past few months. Israel had originally asked for $550 million to tide it over the three month period, a sum in line with its 1975-76 aid package. Ford objected to mat amount but according to recent reports he was amenable to a compromise of some $275 million. Officials here were confident that Israel would receive approximately that sum.
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