A Ministerial Committee which discussed the West German economic aid talks under way in Bonn, envisaged the possibility here today that the conference in the West German capital would be concluded successfully this week.
The committee, headed by Prime Minister Levi Eshkol, heard reports on the Bonn conference from two members of Israel’s negotiating team who came here Saturday night for a quick review, and flew back to Bonn late last night, in time for resumption of the negotiations there today. The reports were given by Yaacov Arnon, director-general of the Finance Ministry, and Zeev Shek, director of the Foreign Ministry’s department of West European affairs. The third principal member of the Israeli negotiating team is Ambassador Asher Ben-Nathan, Israel’s envoy to Bonn.
The Ministerial Committee authorized the negotiators to accept Germany’s offer of a loan of $40,000,000 for this year. It was understood that, due to Bonn’s budgetary problems, West Germany may not be able to raise the figure beyond the $40, 000, 000 or to commit itself for a loan beyond this year, but might, when the pact is signed, issue a “declaration of intent” to continue economic aid to Israel in the coming years.
The latest German offer is understood to have improved by comparison with Bonn’s previous position, containing better terms for long-term loans, including repayment in 20 years at interest of 3 percent.
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.
