PRS-NEA-91-074'OCTOBER 1991

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1941 - 1991 u-PRS Report-

Near East &South Asia

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REPRODUCED BYU.S. DEPARTMENT OF COMMERCE

NATIONAL TECHNICALINFORMATION SERVICE Apmg fopublic releaise,SPRINGFIELD, VA 22161 .. .. but.on 'Unlimited

Near East & South Asia

JPRS-NEA-91-074 CONTENTS 30 October 1991

NEAR EAST

ALGERIA

Impact of New Soviet Military Supply Conditions [Paris LE MONDE 8 Oct] ................................ I

EGYPT

Open Border With Libya Sparks Commerce [AL-AHALI 21 Aug] .................................................... ISouth Korea Extends $16-M illion Grant [M ENA] ........................................................................... 4Mubarak Appoints Two New Governors [Cairo Radio] ................................................................... 4AL-WAFD Gives NDP Membership Figures [AL- WAFD 25 Sep] ................................................... 4NDP Addresses Economic Issues [AL-AHRAM 27 Sep] ................................................................... 4Ministry Studies Tax Incentives for Investors [AL-AHRAM 23 Sep] ................................................ 5Companies Transfer Debts to Investments [AL-AHRAM AL-DUWALI 3 Oct] ................................ 6Ministry Studies Public Services Price Hikes [AL-WAFD 25 Sep] .................................................. 6Sales Tax Evasions Reach 5 Million Pounds [AL-WAFD 25 Sep] .................................................... 6Commodity Shortage Belies Export Report [AL-WAFD 20 Sep] ...................................................... 6Domestic Production of Oil Seeds Inadequate [AL- WAFD 17 Sep] ................................................ 8Effects of Communism's Failure on Economy Analyzed [AL-AHRAMAL-DUWALI 31 Aug] ....... 8Column Discusses Russian Scientists' Emigration [AL-AHRAM AL-DUWALI I Sep] .................... 9Commentator Warns Against Ignoring Imbabah Riots [ROSE AL-YUSUF 4 Oct] ........................ 10

IRAQ

Professor Profiles Saddam's Meetings With Citizens [AL-THA WRAH 18 Aug, 19, 21 Sep] ........... 11Oil Minister on Production, Rebuilding [AL-'IRAQ 7 Sep] ........................................................... 17

ISRAEL

Role of Associations in Settlement Process [YEDI'OTAHARONOT 27 Sep] ................................ 19

JORDAN

Water Resources Official on Dam Construction Plans [AL-DUSTUR 7 Sep] ................................ 21MB Spokesman Abu-Ghanimah on Political Program [Beirut AL-SHIRA' 12 Aug] ...................... 22Communist Party Head on Members' Crisis of Confidence [Beirut AL-SHIRA' 19 Aug] ............... 26Returnees, Visitors Create Amman Transportation Crisis [AL-RA'Y 4 Sep] .................................. 29Delay in Industrial City Services Stymies Investment [JORDAN TIMES 11 Sep] ........................ 29

KUWAIT

Economic Life Returns to Normal [London SAWTAL-KUWAYTAL-DUWALI 31 Aug] .............. 30Reassembling Family Structure Proves Difficult [London AL-MAJALLAH 21 Aug] .................... 31Bank Head on Economic Policy, Progress [London SAWTAL-KUWAYTAL-DUWALI 30 Sep] ... 36Official on Status of Religious Education [London SA WT AL-KUWA YT AL-DUWALI 26 Sep] ... 39

MOROCCO

Spanish Trade Minister's Visit Detailed [LE MATIN DU SAHARA 5 Sep] .................................. 40Spanish Investment Activities Summarized [LA VIE ECONOMIQUE 13 Sep] ............................. 42Ministers Note Development of Saharan Province [L'OPINION 28 Sep] ...................................... 43Newspaper Defends Idea of New 'Green M arch' . ............................................................................. 45

Territorial Integrity Invoked [L'OPINION 21 Sep] ................................................................ 45

JPRS-NEA-91-07430 October 1991 2

Infiltrations Denounced [L'OPINION 21 Sep] ...................................................................... 45Polisario 'Fears' [L'OPINION 21 Sep] ..................................................................................... 46

Status of Inter-Maghreb Trade Examined [LA VIE ECONOMIQUE 13 Sep] ................................ 46Polisario Founding Member Discusses Career [L'OPINION 6 Sep] ................. ........... 48Istiqlal Party Publishes CC Communique [MAROC SOIR 11 Sep] ................................................ 50National Demographic Trends Examined ................................................. .................................. 51

Family Size Decreases [ALMAGHRIB 30 Aug] ....................................................................... 51Number of Households [ALMAGHRIB 30 Aug] .................................................................... 52Death Rate, Aging [ALMAGHRIB 5 Sep] .............................................................................. 53Birth Rate, Urbanization [ALMAGHRIB 5 Sep] ..................................................................... 54

1974 Census as Basis for Voter Lists Criticized [L'OPINION 28 Sep] ........................................... 55Cost of Living Continues To Increase [L'OPINION 3 Sep] ........................................................... 56Improvement in Standard of Living Noted [MAROC SOIR 11 Sep] ............................................. 56Fisheries Minister on Production, Conservation [London AL-SHARQ AL-A WSAT 10 Sep] ........... 58Nador Port Potential Discussed [ALMAGHRIB 11 Sep] ................................................................ 60Important Role of Casablanca Port Outlined [LE MATIN DU SAHARA 2 Sep] ........................... 63Mining Industry Figures Reveal Growth [LE MATIN DU SAHARA 28 Aug] ................................ 64

SAUDI ARABIA

Editorial on Economy's Stability, Strength [AL-RIYAD 27 Sep] ..................................................... 66

WESTERN SAHARA

UN Warned Against Haste in Referendum Effort [Rabat L'OPINION 25 Sep] ............................. 66Spanish Census Described as 'Superseded' [Rabat L'OPINION 25 Sep] ....................................... 67Formulation of 'National Truce' Urged [Casablanca AL BAYANE 10 Sep] .................................. 68Former Polisario Member on Rights Violations [Rabat L'OPINION 25 Sep] ................................ 69Polisario Propaganda Campaign Condemned [Rabat ALMAGHRIB 8 Oct] .................................. 69Impartial Identification of Electorate Needed [Rabat L'OPINION 23 Sep] .................................. 70Thousands Cross Moroccan Border to Laayoune [Rabat L'OPINION 5 Oct] ................................ 71Plight of Tindouf Camp Internees Noted [Rabat L'OPINION 2 Oct] ........................................... 72

REPUBLIC OF YEMEN

Editorial Denounces Jewish Yemeni Artist [AL-SAHWAH 29 Aug] .............................................. 72

SOUTH ASIA

BANGLADESH

Final Referendum Results Given [THE NEW NATION 17 Sep] ..................................................... 74Border Meet Agrees on Steps To Reduce Crime [THE NEW NATION 31 Aug] ........................... 74Report on Finance Minister's Visit to Nepal [THE BANGLADESH OBSERVER 14 Sep] ............. 75Foreign Groups Stir Trouble in Hill Tracts [THE NEW NATION 10 Sep] .................................... 75Burmese Refugees Cross Into Bangladesh [THE NEW NATION 24 Sep] ...................................... 76Paper Reports Prime M inister's Swearing-In ..................................................................................... 76

Ceremony Described [THE NEW NATION 20 Sep] .............................................................. 76Remarks to Press [THE NEW NATION 20 Sep] .................................................................. 77

Awami League 'Terrorism' at Polls Alleged [THE NEW NATION 12 Sep] .................................. 77Awami League Central Executive Committee Meets

[THE BANGLADESH OBSERVER 19 Sep] .................................................................................. 78Leftist Parties React to Soviet Events ............................................................................................... 79

Bangladesh Communist Party [THE BANGLADESH OBSERVER 27 Aug] ........................ 79Marxist-Leninists Issue Statements [THE BANGLADESH OBSERVER 1 Sep] ................... 79

Workers Party Leader Speaks at Meeting [THE BANGLADESH OBSERVER 4 Sep] .................. 80Communists Sponsor Rally Against Communalism [THE BANGLADESH OBSERVER 27 Aug] . 80World Bank Report on Economy Summarized [THE BANGLADESH OBSERVER 24 Sep] ......... 80Reportage on Dhaka University Reopening ...................................................................................... 81

Opening Described [THE BANGLADESH OBSERVER 18 Sep] ......................................... 81Zia Speech [THE BANGLADESH OBSERVER 18 Sep] ....................................................... 82

JPRS-NEA-91-07430 October 1991 3

IRAN

New Ambassador to Greece Appointed [KAYHAN INTERNATIONAL 24 Sep] ........................... 82Members of 'Freedom Movement' Repent Past Deeds [ABRAR 19 Sep] ....................................... 83Health Minister Concerned About Population Growth [KAYHAN INTERNATIONAL 24 Sep] ..... 84Heavy Industry Policies Beginning To Pay Dividends [KAYHAN INTERNATIONAL 23 Sep] ...... 84First Phase of Khameneh Textile Mill Operational [KEYHAN-E HAVA'1 11 Sep] ........................ 85Editorial on Need for Better Education Policy [KA YHAN INTERNATIONAL 24 Sep] ................ 85

SRI LANKA

'Tigers' of Tamil Eelam Show Their Hands [THINAKARAN 25 Sep] ........................................... 86

JPRS-NEA-91-07430 October 1991 NEAR EAST 1

ALGERIA Moscow, which is now experiencing a major economicand political crisis, is worrying about repayment of the

Impact of New Soviet Military Supply Conditions Algerian debt, which it puts at some $4 billion.

92AF0047A Paris LE MONDE in French 8 Oct 91 p 8 According to certain sources, 90 percent of this sumrelates to military expenditures, a proportion not pecu-

[Article by Georges Marion: "Moscow Refuses To Con- liar to Algeria inasmuch as, according to the Sovietstinue Supplying Military Equipment 'on Previous themselves, 82 percent of all the money owed them byTerms.'] developing countries (except for Cuba, Vietnam, and

Mongolia) is for military goods.[Text] The unrest shaking the USSR is being closelymonitored by Algeria, which maintains important eco- However, the Soviets now note, Algeria, which untilnomic, political, and particularly military ties with the 1986 paid for its purchases of weapons and equipmentformer fatherland of socialism. The Soviets are already on time, has since then experienced difficulties honoringexpressing a change in attitude, claiming to be forced to its commitments. Rescheduling agreements concludedreconsider the size of Algeria's debt and exact stricter between the two parties in 1987 and 1989 have appar-terms, particularly insofar as weapons shipments are ently not ironed out difficulties. If one is to believe theconcerned. Soviets, the Algerians have reportedly still not made the

payment for the 1989-90 period, estimated at 500 mil-On the heels of the abortive coup against Gorbachev, lion rubles. Under such conditions, Moscow says it canAlgiers, which had refrained from any reaction during no longer continue deliveries "on previous terms." Tothose difficult days, politely congratulated the Soviet what extent halting Soviet military shipments wouldpresident on the failure of the conspirators. It was a affect the Algerian Army's capabilities is not known. Norreaction visibly lacking in warmth compared with the does anyone know whether other countries would beemphatic speeches that not so long ago were the rule technically or financially capable of taking the defaultingwhenever there was any celebration of the friendship supplier's place in the near future.linking the two countries. At the time of the meeting between the governments and

Officially speaking, relations between Moscow and Alg- parties on 30 July, Algerian Prime Minister Sid Ahmediers have not deteriorated, but their mutual affection is Ghozali made brief reference-publicly for the firstvisibly no longer the same. time-to the matter of the military debt, a substantial

addition to the civilian debt of $24 billion burdening hisLike many Arab countries, Algeria was caught off guard country (LE MONDE, 1 August 1991). And yet, theby the rapid changes that have occurred in East Europe, problem does not seem to be truly urgent. Unlike sumsparticularly the USSR, forcing it to question some of its due on short terms to Western banks, the Algerian debtmost hallowed dogmas. Whether the war in the Gulf or to the Soviet Union is stretched out until the year 2010,the Palestinian issue, Algiers was slow to understand the long enough for a reasonable solution to be found.change, not always concealing its disappointment. Onthe other hand, according to Alexandr Aksenyonok,Soviet ambassador to Algeria, the situation in the USSR EGYPTno longer allows it to be sentimental or guided by"ideological criteria" in relations with Third [World]countries. Henceforth, business will be strictly on a cash Open Border With Libya Sparks Commercebasis. 91AAO629A Cairo AL-A HALI in Arabic 21 Aug 91 p 7This new approach affects all areas of Soviet-Algerian

relations, including military, the most important of all.Led by many officers trained in the Soviet Union or [Article by Mahmud al-Hadri: "Fifty Pounds to Libyaformer Warsaw Pact countries, the Algerian Army relies Instead of 400 Pounds Before Border Opening; Newalmost exclusively on Soviet equipment. A visible man- Measures To Protect National Industries in the Twoifestation of this dependency, a third of all Soviet tech- Countries"]nicians now stationed in Algeria are involved in militarycooperation, directly or indirectly. Some 4,500 Soviet [Text] The al-Sallum checkpoint at the Egyptian-Libyancitizens, men, women, and children, now reside in the border is experiencing unusual activity with regard tocountry. travel from Egypt into Libya, and vice versa. The expe-

rience of waiting that has prevailed for many years hasBurden of the Debt changed. The traveler used to be forced to remain at the

checkpoint for several nights until the passport, customs,According to the Soviet ambassador, his country's new and security activities were completed. With the openingguidelines should not affect this military cooperation of the border on 5 August 1991, the passport formalitieswith Algeria, which "is guided by a reasonable, balanced have been limited to less than 400 non-Egyptian andpolicy." Nevertheless, clouds do loom on the horizon of non-Libyan travelers and emigrants daily, instead of theAlgerian-Soviet relations. Like many Western nations, 7,000 per day before the border opening.

JPRS-NEA-91-0742 NEAR EAST 30 October 1991

Over a five-day period, AL-AHALI monitored the traffic form of border opening must be found, so that thisentering and exiting, as well as travel between the two decision will not be overturned someday.countries, and closely followed the progress in the twocountries from Cairo to Tubruq in order to ascertain the Twenty-Four Hour Citiespositive and negative results of the decision to open theborder. Our object was to emphasize these aspects so When you pass through Sidi [Barani], al-Sallum,that no cracks will appear and hinder the rapprochement Musa'id, and Tubruq for the first time, you feel as if youbetween the two countries. were in new cities that do not sleep, and whose day goes

for 24 hours in constant movement. Libyan goods areSpeedier Travel, Less Cost distributed in the streets of al- Sallum, Sidi Barani, andMarsa Matruh. The same thing happens with EgyptianTraveling directly from Cairo to Tubruq takes between goods in Libyan cities. The Libyan merchandise concen-10 and 12 hours, less than half the time before the border trates on food products and commodities such as rice,opening. The trip might take 15 hours to Banghazi by the sugar, tea, corn oil, tomato sauce, soap, hair oils, andcoastal road. The border opening has freed up about 12 shampoo. These goods are sold at lower prices than theirhours that the traveler used to be forced to spend at the Egyptian counterparts. Libyan sugar is sold for 150al-Sallum checkpoint in passport, customs, and security piasters per kilogram, compared with 160 for Egyptianformalities. sugar; corn oil for 275 piasters, compared with 450

piasters for the Egyptian brand; and a 450-gram can ofAccording to Major General Kamal Mansur, the gov- sauce is sold for 125 piasters, which is 50 percent cheaperernor of Marsa Matruh, Egyptian and Libyan citizens than the Egyptian brand.can have breakfast in Tubruq and dinner in MarsaMatruh, and then return again to Tubruq. Aside from those goods, reinforced iron is brought into

Egypt in large quantities. Vehicles carrying scrap ironIdris Musa 'Abd-al-Rahman, secretary of the People's and copper have also begun to arrive in Egypt in largeConference in the town of Musa'id Yakfi, said that the quantities, and their cargoes go to copper and ironcitizens of Musa'id, Tubruq, Marsa Matruh, and al- smelting plants. Libyan metal and wooden desks areSallum are closely related. If they wished to visit their beginning to be seen on vehicles returning to Egypt. Asrelatives before the border opening, it was like a trip for Egyptian goods reaching Libya, the majority arearound the Cape of Good Hope, taking several days to plastic products, such as mats and plates, in addition toreach their relatives in al-Sallum or Musa'id, passing cigarettes, mild tobacco, Ideal [brand] refrigerators, andthrough Cyprus or Tunisia, despite the fact that the livestock. Some types of fabrics, especially curtain anddistance between the two countries was only 20 kilome- carpet material; certain chemical products, such as paint,ters. cosmetics, and insecticides; and furniture are also

Since the border opening between Egypt and Libya, included.travel costs between the two countries have been Ghazi 'Abd-al-Rahim, the owner of a Tubruq shop, toldreduced. The Egyptian citizen can go to Tubruq or me that Egyptian goods are commonly seen in theBanghazi from Cairo or Alexandria for a cost of between Libyan market, and that sales will increase with time,50 and 70 Egyptian pounds if he uses a direct means of since the Libyan market needs many commodities, suchtransportation. Travel costs from Libya to Egypt-via as automobile spare parts and chicken farm necessities.the same means-range between 20 and 40 Libyandinars. The Egyptian citizen used to be forced to spend Among the Egyptian goods that have begun to circulateapproximately 400 pounds for that trip before the border in Libyan markets are empty egg cartons. On the roadopening. leading to Banghazi, trucks carrying piles of cartons are

seen from time to time.With regard to beneficial advantages to the people ofMarsa Matruh, Dr. 'Adil 'Abd-al-Karim, assistant secre- In a conversation with a senior Egyptian customs offi-tary of the National Progressive Unionist Grouping cial, he said that Egyptian goods do not just go to Libyan[NPUG] in the governorate, said that this decision gave cities, but reach other countries as well, such as Algeria,the people of Marsa Matruh exoneration from nine Tunisia, and Mauritania. This will achieve expandedmonths imprisonment. This used to be imposed on them growth for Egyptian goods, and will lead to stimulatingwhen they were caught slipping into Libyan territory to Egyptian factories and companies.visit their relatives or to work, in light of the state ofeconomic stagnation and unemployment from which the First Decision Appliedgovernorate has suffered for the many years that theborder was closed. Opening the border was like a deci- Since the opening of the border at 1200 hours on 5sion to abolish unemployment throughout Marsa August 1991, the role of Ports and Passport Security inMatruh. supervising entries and exits was abolished, except for

non-Egyptians and non-Libyans. Egyptian and LibyanDr. 'Abd-al-Karim added that the NPUG party has border guards have taken over this function. Brigadieralways called for the creation of a new kind of integra- General 'Abd-al-Hamid Hidayah, chief of the Portstion between the two countries. Therefore, a regularized Security Branch at the al-Sallum checkpoint, stated that

JPRS-NEA-91-07430 October 1991 NEAR EAST 3

opening the border was the first decision issued and was for the Libyan consumer and are sold at prices equiva-implemented immediately. The border was opened lent to 40 percent of their prices in Egypt. However,without any restrictions or regulations on either individ- some Egyptian merchants are buying them and bringinguals or goods. Police stations are limited to issuing them back into Egypt in commercial quantities and herecommuniques to the two sides. Smugglers from either is where the danger lies. As this activity increases,country will be subjected to legal and security measures Egyptian factories might run the risk of bankruptcy--orin each country. Brig. Gen. Hidayah expects that there more precisely, be responsible for customs [fees]--or sellwill be regulations to protect security in both countries. at the same prices in the Egyptian market for up to 100They will be discussed between the two responsible percent profit, despite the fact that some of these goodsministers in Egypt and Libya. are stamped "made in Egypt especially for the Libyan

Brig. Gen. 'Awad Muhammad Sha'ib, Musa'id's chief of al-Jamahiriyah."

police, stated, "We hope that there will be unlimited I made this statement to Maj. Gen. Kamal Mansur, thecooperation between the two countries and that it will governor of Marsa Matruh, and he stressed that this isnot be confined merely to the exchange of goods. We considered smuggling. He wants this practice stopped.desire full unity." Those who have goods for personal consumption are not

in any violation, but it is a different matter for mer-Idris Musa, the People's Congress secretary in Musa'id, chants. Those who are caught must be punished. When Isaid, "Our hope is to create one political and economic spoke with the director of security in Marsa Matruh,system. Our two peoples must take responsibility for Maj. Gen. Faruq Khadiri, he said that he was responsiblepreserving this step for the future." for security inside the governorate. As for the al-Sallum

In Tubruq, we met with a senior Libyan official who said checkpoint, that was the responsibility of port security.that opening the border was an overdue step. It was I learned that the Libyan liaison officer at the al-Sallumnecessary to evaluate it and draw up regulations, so that checkpoint has asked Egyptian officials to put an end toit will succeed completely. He said that there were this pracckpoi h edigpting supplied goods so that theLibyan committees that are preparing reports to expand Libyan consumer would not be affected. He did this aftermutual cooperation. He added, "We have heard that Lba onume o u not eated. E did tisyaEgypt is still placing some regulations on the border. We the volume of these goods entering Egypt from Libyawant them removed!" increased.

A Libyan official told me that two prices for theseTwelve Thousand Daily subsidized goods were applied in Libya. Goods sold by

ration cards and in cooperatives for Libyan consumersThe latest border-crossing statistics show that the have subsidized prices, while goods sold in shops havenumber of travelers from Egypt to Libya and back commercial prices for those who wish.through the al-Sallum checkpoint is right around 12,000.Of these, 60 percent are enroute to Libya and 40 percent The governors of Marsa Matruh and Tubruq told meare returning to Egypt, including 10 percent who fre- that fewer of these kinds of goods began to ender Egyptquent the crossing point on a daily basis. after the gap between Libyan and Egyptian prices nar-

Egyptians constitute 65 percent of the border crossers. rowed. It had ranged between 10 and 30 percent.We met with an Egyptian driver named MuhammadShanbu, who said: "Large numbers travel with me Reinforced Ironalmost daily, but there are specific kinds of travelers whomust be stopped, especially since they are harmful to Among the observations that should be studied is theEgypt." fact that the reinforced iron coming into Egypt from

Libya costs between 220 and 250 Libyan dinars per ton.With regard to vehicles crossing between the two coun- After adding transportation costs, the price reaches 800tries, Shanbu said that between 1,000 and 1,200 go to 850 Egyptian pounds per ton. The danger in sellingthrough the al-Sallum checkpoint daily, both coming and locally lies in the fact that Egyptian reinforced iron sellsgoing. More than 55 percent are enroute to Libya. Half for 1,200 Egyptian pounds per ton. The question here is:the vehicles are trucks transporting Egyptian goods to Are there any guarantees with regard to selling LibyanLibya and returning. It is noteworthy that the traveler to iron for less than its Egyptian counterpart? What is theLibya at the al-Sallum checkpoint feels like he is passing position of Egyptian factories, especially since thefrom one governorate to another, and that the situation volume of Libyan reinforced iron brought into Egypt-is only slightly different upon returning. in a seven-day period-amounted to 5,000 tons?

Returning Goods, Prices One of the merchants in al-Sallum stated that Libyanand Egyptian iron sells at the same price. Then who

One of the observations that deserves reconsideration profits?and serious study is that Egyptian goods are beingexported to Libyan markets under agreements, such as A customs official said that the market was supply andpaint, cosmetics, and insecticides, which are subsidized demand, and prices would stabilize.

JPRS-NEA-91-0744 NEAR EAST 30 October 1991

Another official pointed out the need for regulations to South Korea Extends $16-Million Grantprevent commercial fraud in certain foreign goods NC1010200991 Cairo MENA in Arabic 1522 GMTentering Egypt via Libya on the pretext that they are 10 Oct 91Libyan goods. One has only to change the commercialmarkings from Italian or Tunisian to Libyan. Who is [Text] Egypt and South Korea signed today a memo-responsible for this? randum of understanding by which the latter would

extend a $16-million grant to Egypt to bolster itsThe most serious danger that has begun to appear in economy. The agreement comes as part of the devel-Libya and Egypt is currency trade in the Libyan dinar, oping economic relations between the two countries.which is pegged at 310 to 315 Egyptian piasters. Iinquired at Egyptian and Libyan banks about these The grant includes $10 million for financing the pur-transactions, and the reply was that "we have not yet chase of equipment for the Egyptian Manpower andreceived any instructions." I questioned merchants in Training Ministry's vocational training centers.Marsa Matruh, al-Sallum, Musa'id, and Tubruq, and Dr. Maurice Makramallah, minister of state for interna-they said that they were forced to buy the dinar and tional cooperation, and South Korea's Consul General inpound on the black market for commercial exchange. Cairo Reng Song-Pak [name as received] signed the"The two governments are responsible for the rise of the airoemengrcurrency trade. What can we do if the banks refuse to do agreement.business?" Mubarak Appoints Two New Governors

The director of security in Marsa Matruh said that this NC1110072791 Cairo Radio in Arabic 1500 GMTwas a violation of the law. "We will arrest those who are 9 Oct 91caught dealing in currency." However, the governorstated that this would be dealt with in the future. [Text] President Husni Mubarak has issued a republican

decree appointing Counselor Mahir Muhammad al-JindiThe Musa'id chief of police said that dealing in currency governor of al-Gharbiyah and Sabri Ma'mun al-Qadi aswas forbidden and violated the law. "Until further governor of Kafr al-Shaykh. The decreee goes into effectinstructions are issued, we will apply the law." today.

AL-AHALI has learned that the problem relates to AL-WAFD Gives NDP Membership Figuresestablishing the value of the dinar. Should this be calcu- 92AF0023C Cairo AL- WAFD in Arabic 25 Sep 91 p 1lated on the basis of the volume of commercial exchange,or on its value vis-a-vis the American dollar? Perhaps [Article: "Sharif Candidate for NDP Organization Sec-instructions will be issued for a unified currency between retary"]the two countries in a few days.

[Text] President Husni Mubarak has received an impor-tant report that revealed that the National Democratic

Secriity, Security Party [NDP] has 612,000 registered members nation-

It has been noted that individuals can enter and exit wide. The report affirmed the absence of the 200-

without regulations or registration. Some expect that a member minimum established for each party unit for

large number of travelers are smuggling items from holding secretarial elections, Cairo Governorate in par-

Egypt into Libya and vice versa. ticular. The party has 44,000 members in Cairo, 86,000in al-Jizah, and 51,000 in Alexandria. AL-WAFD hasI asked the chief of the Ports Security Branch, who said learned that Dr. Mahmud Sharif, minister of local gov-that "our work is confined to relations only. Security ernment and NDP assistant secretary, is now the sole

operations will be within the framework of agreements candidate for replacing Kamal al-Shadhili as the party's

between the two countries." organization secretary to oversee party elections sched-uled for this November. The report sent to President

Both the Musa'id and Tubruq chiefs of police and the Mubarak affirmed that Kamal al-Shadhili failed to meetsecretaries of the People's Congress in both cities, said his responsibilities as organization secretary in previousthat regulations should be drawn up to prevent suspi- years and revealed the absence of orderly membershipcious entries and exits into both countries. The four records.officials called for the al-Sallum area to be made into ajoint security zone, in which those traveling to and from NDP Addresses Economic IssuesEgypt and Libya could be registered in order to prevent 92P40011A Cairo AL-AHRAM in Arabic 27 Sep 91 p Ithe infiltration of criminals and smugglers.

[Text] Dr. Maurice Makramallah, minister of state forThe governor of Marsa Matruh stated that there must be international cooperation, said yesterday in a meeting ofregulations to safeguard security in the two countries. the economic committee of the National Democratic"The officer whose job it is to investigate the person Party [NDP], chaired by Dr. Samir [Tubar], that themust make sure of the person's identity." deficit in the public budget would be paid with actual

JPRS-NEA-91-07430 October 1991 NEAR EAST 5

revenues, not through inflationary measures, such as owning the project will be obliged to liquidate its duesprinting currency, which has no productive equivalent. and obligations before anybody else, depending on itsHe also said that the government is working now to financial position at the time it is being sold. Eachmarshal financial resources to establish a fund for the governorate will sell its projects in accordance with thefinancial restructuring of bankrupt companies and principles to be agreed upon, and the sales committeeremoving barriers to their developing their staying should include a representative from the Ministry ofpower and bettering their lot. Likewise, the government Finance. The public sector banks should perform the saleis determined to reconstitute the public sector and its transactions in view of their experience in the fields ofmanagement on a sound economic foundation and to appraisal, marketing, and investment, particularly sinceencourage the private sector in business leadership they have funds and contributions in these projects. Thedevelopment. assistance of experts from national offices known for

their efficiency and integrity can be sought in the sale ofMr. Fathi 'Abd-al-Baqi, head of the Revenue Adminis- these projects.tration, announced that tax revenue collected from joint-stock financial companies is estimated at around four In all cases, a working group will be set up in the primebillion Egyptian pounds. minister's office to follow up the steps and results, and

In another matter, the committee approved a working propose solutions for problems that might obstructpaper on stimulating the financial market. The paper implementation.requested the issuance of instruments for financing somelocal development projects at the governorate level to An official source in the prime minister's office statedease the burden on the general budget. that establishing a fund in which revenues from project

sales will be deposited is under consideration. It has beenIt also requested that instruments and contracts for some proposed to set up a bank account in the Central Bank ofpublic services and utilities projects be issued, that Egypt under the name "proceeds of governorate projectsshares in public sector companies be offered on the stock sale." The proceeds are to be used for the realization ofexchange, and that all projects be required to offer their local administrations' economic and social developmentstocks for public registration. objectives, according to what the cabinet may deem fit in

this regard.

Ministry Studies Tax Incentives for Investors In order to ensure the sale procedures, their legality, and92AFOOI5A Cairo AL-AHRAM in Arabic 23 Sep 91 p I the stability of the investors' situation; and to encourage

investors, discussions are underway to pass a law gov-[Text] As part of government efforts to encourage inves- erning the sale of projects and regulating the situation oftors and increase the private sector's share in economic those working in them, in accordance with the principlesdevelopment, Prime Minister Dr. 'Atif Sidqi announced to be decided upon.that the government is now considering giving a five-year exemption from taxes on commercial and industrial Minister of Economy Dr. Yusri Mustafa said that sellingprofits to projects sold by the governorates. The tax governorate projects aims to achieve basic objectives,exemption would begin from the sale date and the foremost of which is to alleviate the budgetary burden ontransfer of property to the new investors, the local administrations and, consequently, the burden

on the general budget, and to deal with its mountingThe prime minister added that several new incentives deficit. It also aims to activate the money market in aare being offered to investors who buy these projects, manner that would contribute to creating channels forforemost of which is exempting inheritors from 50 the transfer and attraction of investment capital. It alsopercent of the title deed charges that may be due on the aims to benefit from the distinctive characteristics ofvalue of projects they inherit, provided that they con- financing through the money market. Most outstandingtinue their activity. They will also be offered banking of these is turning to real savings, since they are aand credit incentives that may suit them. noninflationary source of financing, in view of the effect

Dr. Sidqi affirmed that the cabinet has finished working this has on keeping part of the savings from going intoout the principles on which major projects will be consumption; reducing the amount of currency in circu-appraised. These call for estimating the value of land and lation; increasing the GNP; providing real income;buildings at market price by the relevant experts in each curbing the phenomenon of hoarding savings; andgovernorate. This estimate is considered the minimum encouraging those who hoard savings to direct theirvalue. The fixed assets of each project, e.g., machinery money toward investment, given the improved manage-and cattle, will also be appraised at market price. The ment of existing projects; freeing them from bureau-sale will be by public auction, by sealed bids, or by any cracy; and boosting the effectiveness of money utiliza-other means the governorate may deem fit, in accor- tion.dance with current laws. The minister of economy affirmed that selling projectsIn his statement to AL-AHRAM correspondent Sharif also aims to deepening the concept of expanding the baseJaballah, the prime minister said that the governorate of the citizens' property and encouraging the workers'

JPRS-NEA-91-0746 NEAR EAST 30 October 1991

ownership of property shares in projects, thus contrib- ministry is reviewing revenue-collection laws with a viewuting to confidence, given the stability of the govern- to amending them. Amendments are expected to bement's policy in backing and encouraging the private submitted to the People's Assembly soon for debate thissector, since turning the ownership of projects to the November. Budget-monitoring reports in the last threelargest number of citizens and workers constitutes a months revealed a discrepancy between ministry deficitguarantee that the private sector will not turn into a estimates and revenues collected in the last threepublic sector. months, particularly in light of the 25-percent drop in

The sale of those projects also aims to attract expatriate projected customs fees and sales tax revenues. Govern-workers' investments in order to contribute to financing ment measures will soon focus on actuating the prices ofprojects and curb the trend of maintaining investments electric power, water, natural gas, public transportationin foreign currencies, thus boosting the national tickets, telephone services, and local fees for services.economy and curbing inflationary recession.

Companies Transfer Debts to Investments Sales Tax Evasions Reach 5 Million Pounds92AF0023E Cairo AL-AHRAM AL-DUWALI in Arabic 92AF0023B Cairo AL- WAFD in Arabic 25 Sep 91 p 13 Oct 91 p 5

[Article by 'Adil Shafiq: "$600 Million in Foreign Debts [Article: "Evaders' Files Submitted to Minister of Inte-To Be Converted to Investments in Egypt"] rior; Two-Month Revenue Is 1.5 Billion"]

[Excerpt] Dr. Muhi-al-Din al-Gharib, chief of the Gen- [Text] An official government source has estimated theeral Investment Authority's executive board, said that value of sales tax evasion at about half a billion Egyptian$600 million worth of outstanding Egyptian company pounds, pointing to the lack of technical and oversightdebts-public and private sector-will be converted into agencies to monitor tax collection on various goods andinvestments and capital contributions in these compa- services.nies under the new investment law that allows foreigncreditors to convert their loans to Egyptian companies The source cited the legal deadline for paying the tax tointo investments and contributions to capital, thereby the Tax Authority, emphasizing that 7,000 taxpayers aremaking it easy for such companies to pay their debts in in violation of the law and subject to stringent penalties,Egyptian currency. Foreign creditors may transfer their from a jail sentence to a fine equal to three times theprofits, as well as their invested capital, outside the value of the unpaid tax.country after five years, thus relieving Egyptian compa-nies of their debt burden and allowing them to increase The source pointed to the Minister of Finance's instruc-their investments and capital. tion to the various tax commissions to prepare evaders'Dr. al-Gharib added that "Egypt's respect for the rights files to pave the way for a special Ministry of FinanceDffr. ign creGharb ad d ithat "yprt'sectin ofo ther rigsts committee to be formed in the next few days to look intoof foreign creditors and its protection of their invest- them. Some senior officials have moved to delay for-

ments are among the most important features of theteconomic policy, which is aimed at warding evaders' files to the competent legal authoritiescurrent ecnmcplcwihi ie tattracting to avert a state of panic in the markets in view of theforeign investment. This is best illustrated by Egyptian hart alties.measures during the Iran-Iraq war to shield and protect harsh penalties.foreign investments, notwithstanding Egypt's political AL-WAFD has learned that initial tax returns for lastdifferences with Iran, for the government's political May and June amounted to 1.5 billion Egyptian pounds,position is totally detached from its economic position, including the consumption tax that has not beenwhich affirms the legal rights of foreign investors, thus repealed on certain consumer goods such as sugar, tea,bolstering confidence in the Egyptian economy and ald onerattracting additional investments in it. From July 1990 and gasoline.to June 1991, foreign investments grew by 20 percent AL-WAFD was the first to publish the sales tax lawmore than the same period last year." provisions in their actual approved and implemented

This was stated in the joint Egyptian-Dutch investment form.seminar organized by the Egyptian Businessmen's Asso-ciation in cooperation with the Dutch embassy in Cairo.The seminar was attended by the Dutch delegation that Commodity Shortage Belies Export Reportis visiting Cairo and Alexandria. [passage omitted] 92AFOO15D Cairo AL- WAFD in Arabic 20 Sep 91 p 3

Ministry Studies Public Services Price Hikes92AF0023A Cairo AL- WAFD in Arabic 25 Sep 91 p 8 [Article by Muhammad Amin and Ahmad Fu'ad: "Rid-dles of Wali and Abu-al-Dahab"]

[Article: "Soon, A Hike in Government and Local Ser- [Text] Supply Minister Dr. Jalal Abu-al-Dahab hasvice Fees"] issued a decision rescinding the ban on exportig food

[Text] The Ministry of Finance is now looking into a commodities. This has heightened economic circles' fearplan to multiply government and local service fees. The of the possibility of commodity prices soaring to a

JPRS-NEA-91-07430 October 1991 NEAR EAST 7

dangerous level, especially since this involves basic com- With regard to egg export, there is an acute shortage ofmodities that are now witnessing a substantial increase, eggs in the markets and food outlets. The price of one eggAlso, Egypt's diminishing commodity reserve and the went up to 20 piasters, i.e., more than 100 percent of thedrop in production shows that the decision is rash; it is price of eggs the ministry offers in the outlets (2.7heading toward economic liberation without studying pounds per tray of eggs). How can the decision also applymarket economics. It is true that ostensibly the decision to eggs, which would lead to doubling their prices?aims to encourage export of local production, but where Sources affirm that in the next few days, egg prices, bothis this production? subsidized and for tourist consumption, will be stan-

dardized to become 20 piasters per egg. The quota forThe primary objective of the decision could be the edible eggs and subsidized chickens for supermarketsLibyan market, especially after the borders have been (sold for 2.40 pounds each) is expected to be cancelled.opened and trade between Egypt and Libya is resumed. This is the best evidence of the irrationality of the exportTherefore, the decision will be of limited benefit. decision.

The irony is that the minister of supply's decision allows The quantity of poultry for sale dropped by 60 percent,the export of commodities of which there is an acute according to the figures of the distribution company thatshortage. This is the cause of the people's hardship. This comes under the Ministry of Domestic Trade.has led to tremendous price increases in these commod-ities, some exceeding 200 percent. Some 75 percent of What's astonishing is that the decision on exports cameour food requirements are imported, costing the govern- two weeks after the decision organizing the import of themeri $11bilion nnualysame commodities. This was decision Number 526 of 9ment $11 billion annually. January 1991. The decision prohibits tampering with

What is strange is that the decision allows importing prices of imported commodities, which include sheep,commodities like those being exported abroad in order beef of various types, fish of various types, milk, butter,to meet local demands. So what export is the minister of margarine, cooking oil, tea, sugar, flour, sesame seeds,supply is talking about? The following is a list of com- lentils, broad beans, black pepper, and tomato sauce.One can see that these items are the same as thosemodities allowed to be exported: wheat and its extracts, caned the desion al e the aim

tea, millet, sugar, sugar cane, unprocessed leather, black contained in the decision allowing exports, with the aimbeans, cattle, camels, barley, lentils, sesame, fenugreek, of increasing state hard currency revenues.starch, pigeons, quail, birds, poultry, sesame sweets, A big question crops up here that we cannot answer. Thecoffee, oil seeds, black olives, dry beans, black-eyed peas, question is: Is the purpose of the decision to re-exportgreen peas, vegetable oils and their by-products, soaps, goods that were imported in order to benefit from thedetergents, animal feed, oil cake, blankets, and wool price difference, or does the decision conceal an inge-textiles. nious idea which we cannot conceive?

Looking carefully at the goods listed in the decision, we Without apparent coordination between two elements inwould find that they are not enough to meet more than the same government, Deputy Prime Minister and Min-25 percent of consumption demand. The decision ister of Agriculture Dr. Yusuf Wali came out with aimplies that there is a surplus in wheat and flour, which decision banning the export of frozen meat two days ago.is contrary to the truth. The negotiations underway with Ostensibly, the decision aims at protecting the nationalwheat-exporting countries such as the United States, veal project. Protecting the local producer cannot beFrance, and Australia are the best evidence of the achieved only by decisions banning imports, but also byshortage from which warehouses of the ministry of discussing ways to develop local production in foreignsupply, the originator of the decision, are suffering. The markets [as published] and, at the same time, to save thequestion is: Why is the minister of supply asking the exhausted consumer the successive price increases sofarmers to deliver the current season's wheat crop to the that he may be able to buy at lower prices. Also, realmilling and baking companies' warehouses? Meanwhile, protection of the producer can be achieved by creating athe situation is aggravating and campaigns are being suitably stable climate through providing adequate guar-mounted in the wheat fields in order to prevent wheat antees for the prices of animal feed and medicine. One ofsmuggling. Each family is being alloted a fixed ration, the signs of lack of coordination is evident in the factwhile what is beyond the family's need is to be delivered that the Supply Ministry imports meat at a time when it[to the authorities]. has failed to take delivery of more than 50 percent of its

share of the veal project in the last season and resorted toIf the decision aims to export beans and lentils, then compensating for the acute shortage by offering frozenthere is the risk of price increase of two popular basic meat as substitute.commodities that Egyptian people of all classes con-sume. This threatens doubling their prices due to an Official correspondence of the Supply Ministry and theacute shortage in broad bean production and the Ministry of Agriculture are evidence of bungling. Whileexpected exportation. There has been a steep rise in the early this month the minister of supply issued a decisionprice of local broad beans in the markets; a kilogram of organizing the import of frozen meat, a few days laterbroad beans is being sold for three Egyptian pounds. Dr. Wali issued a decision banning the import of frozen

JPRS-NEA-91-0748 NEAR EAST 30 October 1991

meat. While, in principle, we do not object to the This is an assessment that concentrates on the languagedecision banning imports, we are in favor of a lower of interests-to determine what interests have been lostprice for the exhausted consumer, something which the and how to compensate for them-and on alternate andSupply Ministry is trying to achieve, potential actions from the perspective of state and indi-

vidual relations. For the fall, the dismemberment, andWe wonder why the Agriculture Ministry officials did the dismantling of empires have the same wastefulnot discuss whether the meat of the veal project is effects as bank failures. It is a maze of requisite rightssuitable for export during the days when there was a large and responsibilities and endless waiting lines in front ofsurplus of it in food outlets. This has led to the Supply new symbols, every one of whom refuses to bear theMinistry reducing the profit margin in order to promote "burdens and legacy" of the imperial deceased who sankthe sale of the surplus meat it had in the outlets, as a his teeth and fingernails into the world for many longresult of which, the price dropped from 7.5 pounds to 7 years.pounds per kilogram?

Many are committing the terrible folly of focusing onlyDomestic Production of Oil Seeds Inadequate on the political aspects of the Soviet empire's disman-92P40011B Cairo AL- WAFD in Arabic 17 Sep 91 p 1 tling, amid widespread contentions that this empire is

the essence of an economic vacuum, and its economic[Text] Dr. 'Abd-al-Maji Abu-'Aziz, president of the situation is too weak and emaciated to have any impactAcademy of Scientific Research, declared that Egypt is on the world economic situation. This is because itsfacing a critical shortage in the supply of vegetable oils. strength is concentrated in its military and arsenal ofHe explained that the domestic harvest of oil[pro- nuclear destruction, which has always overshadowedducing]- seeds meets only 20 percent of consumer and masked its totally powerless economic skeleton. Therequirements in Egypt. The remaining 80 percent is best evidence of such tremendous folly is the statisticscovered by imports. The president, in remarks made at that the American CIA published, indicating that thethe inauguration of the International Council for Oils 1989 Soviet share of the world gross product was 13.2Development and Production, affirmed that the only percent, an enormous share by any standard, especiallysolution to the problem is to increase the harvest yield of when compared to that of the super-industrialized coun-all oil seeds and to increase the area of arable land tries, which is 13 percent, not to mention 9.5 percent fordevoted to the cultivation of conventional oil seeds. Japan and 25.7 percent for the U.S. If we factor in the 4.5

percent share for socialist bloc countries in Europe, weEffects of Communism's Failure on Economy find that it is equal to Germany's pre-unification share of

Analyzed only 4.7 percent.

91AA0628A Cairo AL-AHRAM AL-DUWALI in Arabic Accordingly, having 13.2 percent of the world gross31 Aug 9 1 p 5 product in the realm of severe economic disarray is

indeed an event of a severely negative impact on the[Article by Usamah Ghayth: "Fall of the Soviet Empire: course of economic activity and international economicWill It Cause a World Economic Disaster?"] transactions, and an "international economic disaster"

whose negative aspects must be carefully and cautiously[Text] The thunderous fall of Marxist philosophy is assessed. For, according to CIA estimates, Soviet pro-significant in itself, but more significant and momentous duction is almost equal to that of the two world eco-is paying last respects to communist ideology as a system nomic superpowers, Japan and Germany, and that cur-of rule, and as an empire that took part in steering rent events are not limited to the collapse of a worldinternational events and dominated an important part of political power, but include the breakdown of a weightyworld balances. world economic power as well. This is notwithstanding

The joy associated with the decline of Marxism and the all the facts that point to backward production andcommunist ideology cannot be a substitute for serious management methods, and lagging technological stan-evaluation and contemplation of the pragmatic political dards, production, and productivity rates, besides otherand economic outcome of the fall of an empire that used factors on the long list of charges of backwardness.to be the second axis in the international contest todominate and prevail. For the very existence of a contest Since Soviet markets offer opportunities not found inbetween two international axes created rules of interna- advanced and developed industrialized countries' mar-tional struggle radically different from the new situation, kets, the Soviet economic situation was a boon to manywhere the international contest has vanished and events Third World countries, especially those with great capac-are dominated by only one international axis, namely the ities for exporting modest and medium-quality con-United States. sumer goods. Also, their long list of import needs used to

be managed and amply satisfied under government tradeThis necessitates a profoundly serious and accurate and payment agreements, in spite of their alleged disad-assessment of the negative aspects of the fall of the vantages and drawbacks. Moreover, loans offered forSoviet empire, along with the rapid steps to dismember development and major projects have had very easyit and dismantle its political and economic structure. terms and have been very effective, despite the rude and

JPRS-NEA-91-07430 October 1991 NEAR EAST 9

despicable political intrusions that they entail, particu- and disintegration of countries, versus the language thatlarly since other intrusions carried the same qualities and almost prevailed, advocating integration as the only pathmore; qualities perpetually linked to the relationship to progress, and further conglomeration of resources asbetween those with the power 'to deny and bestow," and necessary for a viable economic power. It is a newthose compelled "to acquiesce and submit." language whose vocabulary is not confined to the Soviet

Union. Indeed, some of its scenes are being acted out inThis has nothing to do with crying over the ruins of Yugoslavia, with a view to dismantling the federation inbygone communism. Rather, it is an appeal to assess the favor of mini-entities, in addition to many acts beingpragmatic and realistic impact of its fall as a state, as a played out on Third World lands. Arab world fragmen-system, and as an order of relations which, for many tation, disunion, and consecration of discord and dis-years, forged a stack of rules to calculate interests and unity add fuel to the fire, and much more is being said inbenefits found in communist action, production, invest- secret.ment, trade, import, and export ties worth billions uponbillions. In the Egyptian economy, for example, this One very important part of the breakup is linked to theamounted to 3 billion Egyptian pounds a year. More position of the Islamic republics, areas that are moreimportant than the amount is the fact that there are backward and densely populated than the Soviet Union,several kinds of imports that cannot be procured from and to the magnitude of the economic disaster they willalternate markets, and a long list of exports that other face, and whether the situation there will lead to faminemarkets are unable to absorb. or something less severe. Will it bring about change in

the Islamic world's political map? What internationalThe gravity of the empire's disintegration is not arrangements ought to be made to turn this map into arestricted to economic, trade, and financial transactions. pickaxe for further destruction, disunity, and schism?Rather, it extends to a field of utmost importance to What techniques must be used to turn it into a factor ofmost Third World countries, namely, arms imports. strength for the Islamic world, whose historic legaciesUntil two years ago, the Soviet Union used to be the include several episodes of nationalistic aspirations, andchief source of arms for these countries, and despite the whose escape from the imperialist genie's bottle is aevils of military spending, all countries need a strong precious and treasured hope blocked by horror uponarmy to protect their national security, particularly with horror and boundless hostile designs?the irrational conflicts and disputes among Third Worldcountries. The empire's disintegration has caused serious As much as we need principles, values, and ideals toand intense talk about converting Soviet military indus- build the future, there is another, no less important ortries-the most advanced, in terms of technology, pro- momentous need, which prescribes "cool-headed" calcu-duction methods, management, organization, and effi- lations, because what is happening is a world hurricaneciency, compared to other Soviet production sectors- that will inevitably uproot an old world to build a newinto civilian industries, a plan that has actually been put one. Whatever happens will be subject to the rules andinto effect, causing a downturn in Soviet arms exports. terms of the powerful. However, it is incumbent upon usWhen this plan is completed sometime in the future- to reduce the negatives and take advantage of the hurri-particularly since such industries, given their relative cane to plan early for tomorrow's world. The properadvancement, are the only ones qualified to compete starting point lies in awareness, discernment, andextensively and effectively with Western capital-many reason, instead of stupor and unconsciousness.Third World countries' ability to jockey for internationalalternatives to procure the arms that they need will wane, Column Discusses Russian Scientists' Emigrationbecause factories that used to produce tanks will beconverted to produce motorcycles and other goods. 91AA0628B Cairo AL-AHRAM AL-DUWALI in Arabic

I Sep 91 p 7The assessment logic here is not subject to abstractconsiderations of "good and evil," but rather to actual ["Just an Opinion" column by Salah Muntasir: "Sovietinternational circumstances and the impact events have Scientists"]on the interests and national security of many countries,our Arab region in particular, where conflicts are ablaze, [Text] But what about the Soviet scientists? These scien-wreaking havoc on the area. This is in addition to Israel's tists, who have the most dangerous nuclear secrets indrastic intransigence, rejection of peace, and expan- their heads will inevitably be, amid these Western eventssionist designs aimed at wreaking more havoc and we are witnessing inside the Soviet Union, the mostseizing water resources. This is besides the impact of the important commodity to be snatched up by those whohideous and frightful aftermath on Arab military capa- want to develop and bolster their nuclear arsenals.bilities following the destruction of the Iraqi force Anything is possible in anarchy.through a plot so blatantly and openly carried out bySaddam Husayn's regime. The Americans will be in the forefront of those whowould love to get their hands on these scientists, not only

With the dismemberment of the Soviet empire, a new to acquire the information they have, but also, and morelanguage has been introduced into the world economic importantly, to prevent them from going to any otherdictionary, advocating the phenomenon of the breakup country.

JPRS-NEA-91-07410 NEAR EAST 30 October 1991

To be sure, all the countries involved in nuclear research happenings should be leaked, we nonetheless ignorehave their eyes set on these scientists and have sent their them, and are content with issuing a statement to satisfy,spies to try to conclude secret deals with them. or perhaps heighten, curiosity!

It would not be strange to hear that some of these Even though this policy has failed us every time we havescientists have gone to Israel, because this is part of tried it, yielding nothing but harmful rumors, we haveIsrael's goals and designs. According to information not given it up, and are still following it with curiousgleaned by some countries, Israel is now reconsidering its persistence at a time when the world is tending towardopen-door policy in regard to all Jewish immigrants, and instituting a freedom of information act and lifting theis rejecting certain classes of such immigrant groups, ban on reporting news.Ethiopian Falashas in particular. The Ethiopian regimerecently offered to send 7,000 of them to Israel for any We have, on many occasions, tasted the success of theprice, but Israel refused to take them in, even for free. "open media" policy, the sweetest instance being the

State Security Agency events, but we always revert to ourThe same situation applies to Soviet and East European old policy, the "lid policy."Jewish immigrants. Israel has discovered that, due totheir high birthrate, most of these classes who came We applied this policy to the events that erupted recentlypouring in over the last few years are multiplying rap- in Imbabah. As State Security troops and chiefs of policeidly. began converging on the area, we were talking about anordinary altercation!Even though Israel is trying to keep pace

with the

Palestinians in population growth, and places the Pales- And, as the prosecution that opened the investigationstinian high birthrate at the top of perils threatening its was reporting that these events claimed 21 casualties, wefuture, the Israelis now feel that it would be better for were reporting that the altercation was between twothem to keep their population growth in check, so as not persons only!to be overwhelmed with growing waves of immigrantsfrom Ethiopia and East Europe who, according to a But when security agencies arrested a number ofrecently-concluded Israeli study that tracked the activi- extremist religious group members, we reaffirmed thatties of immigrants who came to Israel in the last 20 years, this behavior was unintentional.have not shaken off their indolence, infecting their The important thing is that we determined that thechildren with their laziness and lassitude. The study also Imbabah events were not newsworthy, deliberatelynoted that their growing numbers would turn Israel into making light of them. We advised one another not to goa backward country, mentally, ideologically, spiritually, into them, and were content with reiterating the officialand physically! Ministry of Interior statement, forgetting that foreign

Thus, whoever hears about a decline in Jewish immigra- radio stations and world news agencies do not shy awaytion to Israel must not attribute it to any favor to the from publishing any kind of news!Arabs, but rather, to an Israeli policy aimed at being The result was a flood of rumors that swept Imbabah andmore selective in terms of who will be allowed into the from there flowed to other Cairo districts, spreading tocountry. Soviet scientists and researchers will definitely other regions as well.be the first ones to be lured into going to Israel, that is, ifIsrael has not already opened its secret doors to some of Every one of these rumors was enough to trigger anotherthem. flare-up in Imbabah and elsewhere, causing riots, or

disorders, as we like to call them!Commentator Warns Against Ignoring Imbabah Rumors have not yet been put to rest, and with everyRiots passing day-amid the blackout we are so intent on92AF0023D Cairo ROSE AL-YUSUF in Arabic preserving-such rumors are indeed multiplying and4 Oct 91 p 22 being blown out of proportion. Does this make sense?

Having riots or factional discord in our country does not[Commentary by 'Abd-al-Qadir Shuhayb: "The 'Lid' hurt us in any way. All countries of the world, large andPolicy"] small alike, heave with such, and perhaps more serious,

[Text] "Put a lid on it!" incidents. It does not belittle the security agencies in ourcountry to face such unexpected events every now and

But it seems that we are no longer satisfied with just that. then. Do we not contend that our country's stability isIndeed, we have adopted this well-known adage as our being targeted?!policy in dealing with unpleasant news. It will, however, hurt us a great deal to ignore theseEvents suddenly erupt somewhere, and we immediately events or deny that they even happened, being contenthasten to contain them and block any news or informa- with putting our favorite lid on them. For such eventstion leaks. We resort to reticence by putting our favorite will recur in a more serious fashion, one that will belid on happenings, and if, God forbid, news of such more than security agencies alone can handle!

JPRS-NEA-91-07430 October 1991 NEAR EAST 11

We can contain such events in the light, and can nip chieftainship's societal influence and social and religiousthem in the bud. We cannot, however, do that in the distinction can be employed to protect numerous socialdark, and therefore, we can bid stability goodbye! structures and can contribute to establishing the moral

balance which by necessity produces balanced behaviorIRAQ and balanced social and political conduct on the path of

performing the varied tasks for building the new Iraq.Professor Profiles Saddam's Meetings With Simultaneously with this conduct, the concept of controlCitizens will change. Under the circumstances of our revolution's

principled pan-Arab experience, preference belongs to91AEO616A Baghdad AL-THAWRAH in Arabic preventive, not disciplinary, control because the main18, 19, 21 Aug91 issue is summed up in creating a condition that does not

permit the committal of acts conflicting with the true"TFour-part article by Dr. 'li 'Aziz, Babil University: national interest. The distinguishing mark of our social"Trip With Leader Saddam Husayn During His Meet- control and societal influence should be to avert at theings With Iraqis; Will State Grant Some of Its Positions right time, through societal influence, any likely strayingto Channels of Social Distinction and Influence- Let Us rihtmetrogscealnfucaylklytaigtaro nhannBelsofSocialDistinctin Wand Inuen ; Lt U from the rules, principles, traditions, and laws. The waysHarmonize What We Believe With What We Do; Our in which this control is exercised and the nature of theDemocracy Is in Preventive Control, Not in Political ie of thes control chann t be chaInfancy and Social Childishness"] activities of the social control channels must be charac-

terized by distinguishing qualities and forms. To us,

[18 Aug p 31 control is fundamentally the issue of all the strugglingcitizens and a link in national self-management by the

[Excerpt] [passage omitted on first part of article] Let us people. Thanks to the ever-renewed democratic core inbegin in the party what we plan to carry out in the our society, social control and influence are assuming acountry. This is the slogan raised by our party. It means more popular character. The leader president hasconstantly expanded and entrenched democracy, more attached great importance to this aspect, stating in theeffective popular participation in the revolution's context of his precepts for the bright future of the Iraq ofmarch, broader liberties and civil rights, and an "Allah is great" that chieftains, notables, and the counincreased role for social influences in all spheres of life Alais get"t hat citins notabesoan the ounout of the realization that all this constitutes an objective try's outstanding citizens must perform their role innecessity for developing the revolution's experience. helping people, and consequently the government, to

entrench our country's great historical role. The leaderIn the phase of building, reconstruction, and political has also stated that each must work from his position topluralism, our revolution links closely today, as it did in stir the sources of creativity in a manner compatible withthe past, development in all the political, economic, and the humanitarian and national status of our people in thesocial aspects of life with continued expansion of the awareness and conscience of others. These methods aredemocratic bases of managing the state's and society's being practiced at present with promising success thataffairs, in which social control and influence has an matches the degree of development and progress in theimportant. Our country's profound and rich experience popular democratic principles. This aspect undoubtedlyhas proven that such control and influence dons various encompasses the profound and genuine steps taken byrobes and assume various forms, beginning with the our party's leadership and the steps included in the Iraqishaykhs and notables of the country and its tribes, and cabinet's program for active collective participation inending with the nucleus of control from the base, enhancing the effectiveness and influence of the govern-embodied in the Iraqi individual and family and in the ment's control and social standing through individualpopular and party organization in the provinces. This is acts, with each individual acting from his position in thebecause it is impossible to maintain the stability and channels of social control and influence, considering thatunity of the state system without rules that control they are important means to develop the citizen's polit-individual and collective behavior and without proce- ical maturity and his effectiveness in defending thedures, rules, principles, and institutions that ensure c f a tadherence to these dictates. The significant part of the country's future and to educate the citizen with a spiritissue is confined to the map that represents the rules of of responsibility regarding the state's and society'spopular social control and influence to which the massinterests are tied. The need for this control and this promising society is tied organically to control "frominfluence determine the quality of this control and above," i.e. by the government which truly reflects theinfluence in the various social organizations. In the interest of the people in their entirety. These two aspectsfeudalistic monarchic system, the chieftains' social influ- together constitute the social control system whichence serves the feudalist interests. But in the revolution becomes effective through participation by the leader-era, it is not required that we hold all chieftains respon- ship in several interconnected directions. This participa-sible for the failure of the feudalistic system and of its tion has been reflected clearly and frankly in the leader'srelations. The developments have proven, through the conversations with Iraqi urban and rural chieftains andleader's mental discernment primarily, that under the notables. These conversations can be interpreted asumbrella of the country's revolution command, the follows:

JPRS-NEA-91-07412 NEAR EAST 30 October 1991

First, every citizen is entitled to take part in managing pushes all legislation and laws toward the people's rep-society's affairs and influencing the action of the social resentatives in the National Assembly so that the repre-and functional channels through the prescribed social, sentatives could debate and express opinions on themfunctional, party, and popular routes and, secondly, and then either pass or reject them without any pres-through the specialized social and popular routes that sures. The powers of the people's representatives havemust perform their role within the popular control and expanded and they have the right to summon any Iraqiinfluence channels. As for making certain that resolu- cabinet minister or official for questioning, clarification,tions and directives are implemented, this is not just the and debate. What this fundamentally means is greaterleadership's responsibility. It is also the responsibility of rights for the citizens to debate the basic documents ofthe notables in the field. This combination is essential the state's organizations and institutions and to decidefor making the process of control and influence suc- on these documents through the vote cast by theircessful. What ensures that this process succeeds and representatives in the National Assembly. But it is aachieves the desired objective is that the leader and the foregone conclusion that not all the problems can beleadership are constantly concerned with continued solved at once by way of the people's representatives.expansion of the principles of democratic control and This is why the past experience which abounds withsocial influence. lessons and examples and with dignity and pride dictates

to us two interconnected forms of the people's popularIn the context of building the new and advanced Iraq, authority that remain simultaneously valid. The first ischanges occur among us in all spheres of life. This the authority that can be defined as the social principleenhances the public's role of social control and influence, of influencing the various economic, cultural, and socialOne of these most principled and significant changes is spheres of life. This form dictates that a number of statethe transformation of the State of Iraq under the com- tasks be shifted to the points of social influence, such asmand of Leader Saddam Husayn into the state of the the country's chieftains and notables and prominentpeople in their entirety and with all their sects, minori- figures in the various scientific and cultural areas-ties, ethnic groups, and denominations. The moral polit- prominent figures and notables who can voluntarilyical principle lies in eliminating any barriers between the engage in action serving the interest of the government'sleadership and the leader on the one hand and the people societal influence by safeguarding and developing theon the other. The Iraqi people understand profoundly country. Such channels can go beyond many of thethe meaning of the phrase "every Iraqi is Saddam ordinary organizational frameworks of some mass andHusayn." We can cite here the song "0 Saddam, the popular councils. This action assumes a new form whichOthers Will Be Humiliated," written by Umm 'Ali, an combines civil service with the means and tasks ofIraqi woman, while she was in captivity in Iran, as voluntary participation. The disciplined democraticconvincing proof of the deep-rooted and genuine spiri- character and activity of such social governmental chan-tual and material bond between the leader and our great nels or governmental social channels broadens the pop-people. The party state works in the name of the entire ular base of the state institutions greatly and permitsIraqi people, and even on their mandate. The leader, not numerous problems to be solved soundly and correctlyothers, is the one who has said explicitly: "I wish I had a without increasing the number of government depart-robe as big as Iraq itself to cover the people so that they ments, employees, and offices. Simultaneously, thiswould not be touched and affected by what the black character creates the right conditions to promote effi-cloud of March has brought." Yes, it is with this spirit cient societal control over the activities of organizations,and in this sense that Iraq's political leadership is con- government departments and institutions, individuals,cerned with the people's past, present, and future. These and officials and emphasizes more strongly the role andsocio-political accomplishments and numerous other influence of the voices from the "base."accomplishments, the stability of our political system,and the entrenchment of the legitimate national revolu- Leader Saddam Husayn tries to polarize more com-tionary authority have transformed outhe Revolution pletely the permanent and careful control and influence

Command before it, carry out their activity not just in of all the people and to develop the people's popularthe people's name but primarily and before anything else control on the path of developing and safeguarding thefor the people's interest. The devastation and destruc- country. The leader and the leadership realize the impor-ton accumuoplaeds inthrouh The demastagiogc 3 otry- tance of the popular quality of influence and control. Buttion accumulated through the demagogic 30-country by themselves, they cannot ensure efficient actionconspiracy has been overcome. without increased individual personal responsibility onThe leadership is eager to see our society permeated by a the part of each one of us as a citizen of this country. Thissignificant and purposeful characteristic, namely the is because the leader and the leadership realize that thebroadening of popular national participation in the fact that we are Iraqi citizens means that we shouldervarious political and intellectual tendencies on the path added duties and heavy responsibilities, considering thatof protecting Iraq's unity and of enhancing its develop- we are a people who have baptized their moral humanment. victory with rivers of noble blood. Our victory, as the

leader has characterized it, is not a victory that can beBefore this, what permeates our people's life and proces- measured by the criteria of a military battle betweension are numerous democratic actions. The leadership several armies on the one hand and one army on the

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other. The battle, our victory, and the hopes that we have Iraqi national makeup. Under the umbrella of the revo-given the Arab nation and mankind have great and lution's genuine pan-Arab experience, such a combina-profound dimensions and meanings which the allies in tion of religious, historical, and national responsibilitythe 30-state alliance are now trying to erase, deface, and dictates greater contribution to and role in developingbury so that they may not be used as added motives for and protecting the country and, at the same time, inour people and our nation's sons in their future proces- overcoming spiritually any contradictions that maysion. develop between the individual and the entire social

entity, in order to serve the interest of society and of theThe gradual transfer of some state jobs to societal and values and ideals which we assimilate. Here, consider-popular hands is a required adjustment. The phase and ations of the spiritual and moral values should have theirthe experience have demonstrated our need for such a desired positive effect in such a special circumstance astransfer. But let nobody blame the others' failures on his the one just experienced by our country, especially innational partner. Let a (spade be called a spade) in order such complex conditions when taking a position orto save time and effort. The objective is not inaccessible making a decision depends on the citizen's will, histo our people and our leadership as long as the people's spiritual inheritance, and his national conscience. In aaffiliation and social appellations are genuine and as circumstance when one finds himself faced with thelong as our leadership is from our blood, our flesh, our necessity of choosing from among possible positions andorigins, and our reality. forms of behavior, all of which may agree by the same

degree at times with the spiritual, moral, and ethical[19 Sep p 31 requirements, one should act, even if one acts according

to what is dictated by the weakest faith and even if it is[Text] An objective understanding of the link between not likely that this weak-in-faith action will gain socialhistorical and moral values, and social national action and religious approval at the critical moment whichrequires us to analyze the true reasons for any under- imposes on man a position that embodies his humanism,mining or disregarding of the inherited moral value. (It is principles, and patriotism. If one of us acts even againstimportant to respond accurately to this historical moral what is dictated by the weakest faith, thus contradictinglegacy, which embodies strongly the principle of funda- himself and his national and spiritual faith, then such amental belonging and continuity, and not the propa- citizen will be nothing more than a citizen engulfed inganda-oriented symbols of these values and principles, social and religious suspicions because he has reflected,While making this presentation, we cannot but fully without explanation, either a lack of understanding ofagree with the viewpoint Leader President Saddam the principles and values which he alleges to believe in orHusayn projected Wvhen he met with a distinguished a disavowal of these principles and values. Here, societygroup of Karbala' notables and honorable men-a view- and individuals who truly cling to their religious andpoint to the effect that some of us cannot fully disavow national principles and values must take vis-a-vis thethe responsibility for any violation by any of us and that misguided or misguiding few a position supporting thethe values and principles of our religious symbols cannot values of al-Husayn, may God be pleased with him, andbe denied in societal action, depending on the circum- all the religious and patriotic values that dictate astances). judicious and realistic application-not a dual applica-

tion-in which we have come to believe and which weNow thatiolo, the revolutionfhasrevedthe spirit of these have inherited knowingly, especially since our country'srelations, the course of any future position and tangible experience in steadfastly confronting the treacherousaction depends on the citizen himself and on the polit- Zionist-imperialist-reactionary aggression has openedical, social, and religious environment engulfing him. the doors of hope and of historical optimism. This hopeIntellectual convictions, moral principles and values, and optimism is based on words coupled with actionsdetermination, and the readiness to sacrifice for sublime that embody the principles and values in which weideals also dictate a greater striving for honesty, respon- believe. It is time for the entire world to understand thatsibility, and balance between what we believe and what if we had abandoned what we believed in, the devasta-we do, especially for personal responsibility, to which tion, aggression, and plotting that have taken placethere is no alternative. Such striving gives credibility to would not have taken place.man's spiritual, religious, and national belonging andprovides a greater opportunity for safeguarding the cit-izen and the country-an opportunity emanating from The revolution, and the leader's relations with the cit-loyalty to and embodiment of the ideals in which we izen and his eagerness to ensure social, economic, andbelieve, moral safety and security in a fundamental manner, have

changed the relationship o the Iraqi citizen's interestsIn his meeting with the notables and shaykhs of the holy with his society and have created the objective basis forcity, Leader President Saddam Husayn spoke of the dual eliminating the conflict between individual and society.subjective and moral responsibility of the people of New and remarkable elements have surfaced in theKarbala', considering that, first, the people of Karbala', leader's relations with the people. Despite the errors andand of all Iraqi cities for that matter, believe in the values mistakes made by some people, the leader's dear wish-and principles of al-Husayn, may God be pleased with dear to himself and to his conscience-is embodied inhim, and that, second, they are an indivisible part of the his words in which he wished he had a robe large enough

JPRS-NEA-91-07414 NEAR EAST 30 October 1991

to cover Iraq in its entirety so he could cover this great the forces and elements lurking with evil in their heartspeople and protect them from any harm or from what- for the country and the revolution. When moving to dealever could offend their history and their greatness. These with such soft spots in the social map, one should takegenuine visions have their reverberations in the Iraqi into account that it is most likely that these vacillatingsocial arena. few with their anxious awareness and behavior are loyal

to the revolution and the [public] interest on the basis ofIraq's notables, honorable men, and tribal chieftains the simple and rich equation which says that the citizenhave trooped to the guest hall of Iraq's great host, Leader is the revolution's goal and guaranteed reserve. WhenSaddam Husayn, to renew the pledge and to criticize the our media and our official and party bannerlines disap-negligence and the mistakes that have occurred in some peared from the arena and when rumor proliferated andplaces, thus strengthening between the leader and his the country was subjected to the most violent psycholog-people a bond which the wretched scoundrels have tried ical and military war, the vacillation of some people withto assassinate and which has always been the object of truncated awareness, behavior, and conduct (turnedtheir aggression and black hatred. Such a rejuvenated from from gray to near-black?) and the enemies imag-and deep-rooted system of values and morals between ined that they had a great popular asset in Iraq. Conse-the leader and the leadership on the one hand and the quently, they persisted in their aggression. Their clamorpeople on the other imposes on those engaged in political grew louder in the poisoned media channels and throughaction and activity new tasks that seek to create a setup some lackey elements which sneaked across the borders.which ensures a political approach and a concerted But this clamor turned ultimately into a catastrophe formoral political continuity that establishes harmony them and for their scheme and conspiracy. They failed inbetween society's values and traditions and the political their endeavor to turn the popular balance in their favormethod, especially at the level of field management by and against the revolution.the symbols of political, party, and official responsi-bility. The ethics and principles of our revolution are an In those critical days, the world learned for certain thatindivisible part of our values and our religious, histor- the Iraqi people can never contradict themselves or theirical, and social legacy. They certainly are not alien or history and can never turn their back to the dower whichimported. A legitimate marriage between society's values they have paid for the sake of the nation's hope andand traditions and the political method can produce which is embodied in the blood of their martyrs. Thevalues, traditions, and principles with which one can Iraqi people have emphasized to the world anew thatdeal without creating a dual behavior in which the even the few who were misled by the enemies have foundapparent contradicts the latent. When politics emerge as that their lives, their interests, and their future area fact that determines individual behavior, then politics ultimately compatible with the revolution line and incan influence individual behavior and action noticeably. conflict with the enemies' path. It has now become clearPolitics is reflected ordinarily in the form of national to them that their heads, their country's independence,developments and positions that have a historical pan- and the bright points in their spiritual and historicalArab and human dimension. An individual will not heritage and legacy are the target and that this target isinteract with and respond to these positions and activi- not the political regime, as Bush and those who are liketies positively unless he understands and comprehends him allege. The gallows in al-'Abbasiyah and al-them with his mind and his will. As for some images that Husayniyah parks in Karbala', the mutilation, and theare incompatible with the true nature of our people, their violation of honor are incriminating examples of themettle, their historical legacy, and their political and enemies' ceaseless efforts to deprive our people of allsocial stability, serious efforts on the front of collective spiritual and religious bonds to our genuine symbols andsocial and political enlightenment are required to correct principles. We have now realized the important role thatthem. The leader president described accurately and we have to perform in the various corners of our societyprofoundly some of the individual cases that exist in for a procession in which action is compatible with thesome of our society's segments. We notice that in their moral and behavioral principle. We also have to p