US State Department Spokesman Richard Boucher said the United States is deducting $289.5 million from its loan guarantees to Israel due to concerns over Israeli settlement building and its construction of a security fence.
Boucher said the United States understands Israel's need for security measures, and affirmed that if the fence were built along the June 5, 1967, lines, it "would be an appropriate security measure." He expressed, however, that "there are concerns about the route of the fence which we have stated in policy terms and which are now included as deductions here."
Many human rights groups along with the United Nations (UN) have warned that Israel’s construction of the security fence in the West Bank is crippling the Palestinian economy and causing widespread poverty, unemployment and increasing health problems. The barrier will cut off 680,000 Palestinians from jobs and services, according to UN figures.
"There are substantial amounts being spent on the route of the fence, as well as substantial amounts being spent on settlement activity. And the total that we feel is appropriate to deduct this year is $289.5 million," said Boucher, speaking at the November 26 State Department briefing in Washington.
Boucher said the calculation of the total amount was based upon Israeli budget figures. While he said the figure did not reflect the total cost of Israel's settlement building and fence construction, the deduction "reflects issues of concern to the United States, including settlement activities and the route of the security fence."
He explained that under US law, the loan guarantees could only support Israeli activities "in geographic areas subject to Israeli administration before June 5, 1967," and that deductions could be withheld for activities "that the president determines are inconsistent with the objectives and the understandings reached between the US and the government of Israel regarding the loan program." — (menareport.com)
© 2003 Mena Report (www.menareport.com)
