Sharply critical debate continued today in Israel’s Parliament on the devaluation of the Israel pound with voting scheduled tomorrow on three non-confidence motions. The non-confidence motions will be submitted by opposition parties against a coalition motion supporting the devaluation.
Finance Minister Levi Eshkol defended the new policy against criticism from Herut and the Liberal party which assailed it as too little and too late. The leftist Mapam and the Communists called the policy one of “robbery of the masses.” The Liberals intimated, however, they would support the Government, despite their criticism.
Achdut Avodah, a left-wing member of the coalition, refrained from committing itself on the issue. Pressured by the party’s rank and file, however, Achdut Avodah leaders demanded a Government guarantee that the devaluation would not harm agricultural settlers, wage earners, and owners of housing flats whose payments and mortgages are linked to the dollar rate. The leaders said that if no such assurances were given, they would have no alternative but to quit the coalition.
The Finance Minister told the Knesset that the policy was motivated by needs for more exports, increased efficiency and productivity. He said it was a preparatory steps toward reaching agreement with the expanding European Common Market. He assured the Parliament that problems created domestically by the new policy would be tackled by special committees to be assigned to deal with dollar-linked loans to settlements and popular housing owners, savings in banks, and maintenance of current prices.
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.
