National Conference on Israel Bonds Decides on Intensive Drive

The three-day National Planning Conference for Israel Bonds, attended by more than 500 Jewish leaders from the United States and Canada, today closed with the adoption of a program of intensive campaign activity after receiving messages from Prime Minister Levi Eshkol stressing Israel’s reliance on wider American bond support.

Dr. Joseph J. Schwartz, vice-president of the Israel Bond Organization, reported that during the period from January 1 through September 13, 1963, cash sales of Israel bonds amounted to $34, 000, 000 or $5, 500, 000 more than the amount obtained during the same period of last year. The results of the 1963 drive to date represent an increase of approximately 18 per cent over the results of 1962. The 1963 quota is $75, 000, 000.

Reporting on redemption of bonds which began last May, Dr. Schwartz stated that since then the State of Israel paid out $7, 250, 000 in principal and interest on Israel bonds during that period, or 50 per cent of the total amount due to be redeemed. Bonds maturing in 1963 amount to $24, 500, 000.

Dr. Schwartz said the fact that only half of the maturing bonds have been presented for collection reflected a high degree of confidence on the part of bond holders. It was also a gratifying demonstration of solidarity with Israel that more than half of the $7, 250, 000 paid out was immediately re-invested in new Israel bonds.

ISRAEL’S URGENT NEEDS OUTLINED BY MINISTER ALMOGI

Josef Almogi, Israeli Minister of Development and Housing, told the delegates that while the Cold War is growing less intense in other parts of the world, things are getting hotter in the Middle East. Israel, he said, continued to be “the only country in the world whose neighbors daily threaten to destroy her” and subsequently must build deterrent power to prevent aggression.

Mr. Almogi outlined a program of pioneering development that would reclaim large portions of the Negev and the central Galilee for immigrant settlement. He said this undertaking depended on Israel bonds. He told of the need to develop 250, 000 acres in the Galilee and further exploit the resources of the Negev.

He cited as an example of problems the fact that Israel is now building 16 housing units per 1,000 population, as compared with a rate of seven per 1, 000 in the United States. The Israeli population, he said, was growing by four per cent annually–100,000 per year -based on immigration and natural increase compared with a rise of less than two per cent in wealthier nations.

U.S. CURTAILMENT OF AID TO ISRAEL CITED AT CONFERENCE

Abraham Feinberg, president of the Israel Bond Organization, characterized the beginning of the redemption of the first Israel bonds last May as “a giant step toward the attainment of economic self-reliance. ” Twelve-year Israel savings bonds purchased in 1951 are now being repaid at the rate of 150 cents on the dollar, he pointed out. He said this removed the last question mark about Israel’s economic future and affirmed the effectiveness of the bond program.

Aryeh Manor, Economic Minister of the State of Israel; told the delegates that Israel’s dependence on bonds is much greater as the state is being “phased out” of U. S. Government assistance programs because of her economic progress. He said some U.S. authorities feel that Israel, which no longer receives grants, should not even receive further low interest government loans. Bond sales are needed, said Mr. Manor to “get us completely over the hump” because “we can see the top.”

Dr. Abba Hillel Silver, chairman of the board of governors of the bond organization, noted that “the generous financial aid which Egypt has been receiving from the United States for non-military purposes” has helped President Nasser divert Egyptian funds to military acquisitions from the Soviet Union. He said “the people of Israel cannot and will not permit themselves to live in a fool’s paradise.”