U.S. DEPARTMENT OF STATE DISPATCH
VOLUME 5, SUPPLEMENT NUMBER 10, NOVEMBER 1994
FURTHER DEVELOPMENTS IN THE MIDDLE EAST PEACE PROCESS
PUBLISHED BY THE BUREAU OF PUBLIC AFFAIRS



       Further Developments in the Middle East Peace Process

CONTENTS OF THIS ISSUE:

                      Middle East Negotiations
1.  Maintaining the Momentum for Peace in the Middle East--Secretary 
Christopher

                      Jordan-Israel Breakthroughs
2.  New Steps Toward Peace and Security in the Middle East--President 
Clinton
3.  U.S. and Egypt Reaffirm Commitment to Middle East Peace--President 
Clinton, Egyptian President Mubarak
4.  Jordan and Israel Sign Treaty of Peace--President Clinton, Secretary 
Christopher, Jordanian King Hussein, Israeli Prime Minister Rabin, 
Israeli Foreign Minister Peres, Russian Foreign Minister Kozyrev
5.  Text of Jordan-Israel Treaty of Peace
6.  U.S. Goal of Peace in the Middle East To Produce Tangible Benefits--
President Clinton 
7.  Progress Toward Achieving a Common Goal of Peace in the Middle East-
- President Clinton, Syrian President Asad 
8.  Realizing the Blessings of Peace in the Middle East--President 
Clinton 
9.  Moving Toward Peace in the Middle East--President Clinton, Israeli 
Prime Minister Rabin 

   Recent Developments in U.S. Relations With Saudi Arabia and Kuwait
10.  U.S.-Saudi Arabia Joint Communique
11.  The U.S. and Kuwait: Partners Into the Future--President Clinton, 
Kuwaiti Amir Jabir al-Sabah
12.  U.S. Leadership Advances Peace in the Middle East and the World--
President Clinton 

                           Casablanca Conference
13.  Promoting Economic Development in the Middle East--Secretary 
Christopher
14.  Building the Structures of Peace and Prosperity in the Middle East-
-Secretary Christopher
15  Casablanca Declaration
16.  The Private Sector: Engine For Growth in the Middle East--Secretary 
Christopher 
17.  Turning Peace Into Prosperity at the Casablanca Conference--
Secretary Christopher
18.  Overview of the Multilaterals--Robert H. Pelletreau



                Middle East Negotiations

ITEM 1:

Maintaining the Momentum for Peace in the Middle East
Secretary Christopher
Address at Georgetown University, Washington, DC, October 24, 1994

Father O'Donovan, ladies and gentlemen:  Thank you, Dean Krogh, for that 
introduction. Few institutions have done more to train and test the 
future leaders of our foreign policy than Georgetown.  There is, of 
course, President Clinton.  Only in America could one go on from the 
high office of undergraduate Chairman of the Georgetown Food Service 
Investigation Committee to become Commander-in-Chief.  Georgetown also 
provided a home for Professor Madeleine Albright, our superb Ambassador 
to the UN.  It has sharpened the minds of countless other past, present, 
and future ambassadors and other diplomats.

Much has changed in the world since the cruel divisions of the Cold War 
disappeared.  Containment of the Soviet Union need no longer be the 
focal point of American diplomacy.  The United States has a new 
opportunity to build a more secure and integrated world of open 
societies and open markets.

But some things do not change.  Four decades ago, in his final State of 
the Union address, President Truman captured the abiding nature of our 
national purpose:  "Circumstances change," he said, "and current 
questions take on different forms, new complications, year by year.  But 
underneath, the great issues remain the same--prosperity, welfare, human 
rights, effective democracy, and above all, peace."

The extraordinary events of the last few weeks remind us once again that 
our nation's enduring interests do not shift with the times.  And 
neither does our obligation to pursue those interests through persistent 
and steady diplomacy, backed by a willingness to use force when 
necessary.  That kind of diplomacy does not seek immediate results at 
the expense of long-term goals.  As we have seen so far in this 
remarkable autumn, the pay-off comes over time.

In Haiti, President Aristide's triumphant return capped a three-year 
commitment to restore democratic government.  When every avenue for a 
peaceful resolution was exhausted, we mobilized military action.  Our 
willingness to back our commitments with force allowed us to meet our 
initial goals with maximum speed and minimum bloodshed.  The coup 
leaders are gone.  The legitimate government is back in place.  Refugees 
are returning.  We have sent a powerful message to would-be coup 
plotters:  Democracy, the key to stability in the Americas, cannot be 
overturned with impunity and cannot be stolen from the people.  In 
Haiti, as elsewhere, we must not be complacent.  But we have made great 
strides.

Our determined diplomacy on the North Korean nuclear issue has yielded 
an Agreed Framework that advances long-standing American objectives.  As 
implemented, it will lift the specter of a nuclear arms race from 
Northeast Asia.  Over 16 months of negotiations, we consulted closely 
with South Korea, Japan, and the International Atomic Energy Agency.  We 
worked with China, Russia, and the other Security Council members and 
made real the threat of economic sanctions.  The result is a broadly 
supported, verifiable agreement that preserves peace and stability in a 
region vital to our interests.

The recent achievements in Haiti and on the North Korean nuclear issue 
were the direct result of sustained American leadership, coalition 
building, and diplomacy backed by force.  That same consistent purpose 
and engagement have been the hallmark of this Administration's policy 
toward the Middle East.  Today, I would like to focus on the dramatic 
changes that are occurring in this vital region.  The Arab-Israeli 
conflict is coming to an end, with American leadership playing a 
critical role. What I want to do is to set the scene for the President's 
trip to the Middle East, which begins tomorrow morning.

The day after his election, almost two years ago, President Clinton 
reaffirmed America's enduring interest in the Middle East.  He vowed to 
make the pursuit of Arab-Israeli peace one of his top priorities.  And 
he put in place a comprehensive strategy to accelerate progress.

Diplomatically, the United States has helped to energize and sustain 
negotiations launched in Madrid and based upon UN Security Council  
Resolutions 242 and 338.  Economically, we have marshalled international 
support for the Israeli-PLO Declaration of Principles.  We have 
established the U.S.-Israel-Jordan Economic Commission.  And we have 
pressed for an end to the Arab boycott.  Strategically, we have 
strengthened our security ties with Israel and our key Arab friends, and 
thus formed a bulwark against aggression by the region's rogue regimes, 
especially Iraq and Iran.

Today, this strategy is producing historic results.  In 24 hours, the 
President will embark on a trip that will reinforce every element of the 
basic approach he laid down almost two years ago.

First, to advance the peace process, he will witness Jordan become only 
the second Arab state to sign a full peace treaty with Israel.  In 
Damascus, he will seek to build on this momentum by pressing for 
progress in negotiations between Israel and Syria.

Second, in his meetings in Israel, Jordan, Egypt, and Saudi Arabia, the 
President will preview next week's economic conference in Casablanca.  
There, 900 chief executive officers and senior executives from Israel, 
the Arab states, and around the world will explore the opportunities 
being created by the transformation of the Middle East and North Africa.

Finally, in Kuwait, the President will visit with American soldiers--
part of the force he deployed there two weeks ago to turn back Saddam 
Hussein's threat to his neighbors.

Throughout his trip, the President will deliver an unmistakable message:  
The United States will do everything in its power to advance the 
opportunity that exists to build a new future for the Middle East.  We 
cannot allow the terrorists of Hamas and Hezbollah, or the rogue regimes 
of Iraq and Iran, to kill the prospects for peace.  Standing shoulder-
to-shoulder with Israel and our Arab partners, the United States will 
stay the course to ensure that the forces of the future triumph over the 
forces of the past.

This is also the message that Jordan and Israel will send at their 
signing ceremony on Wednesday.  King Hussein and Prime Minister Rabin 
are committed to building a "warm" peace.  These two courageous leaders 
are determined that their border will become a gateway rather than a 
barrier.  Already, there are ads in Israeli papers for tours of Jordan's 
great historical sites in Petra and Jerash.  Through the work of the 
U.S.-Jordan-Israel Trilateral Committee, plans are underway to develop 
joint economic projects, to share water resources, and to develop the 
Jordan Rift Valley.  These projects will build bonds of human contact 
and common interest.  They will cement an enduring peace.

Over the last year, the Middle East has begun a broad transformation 
that I believe is fundamental.  The changes have been so rapid and 
constant that, today, we take for granted developments that two years 
ago seemed fantastic.

The Israeli-PLO Declaration of Principles is giving more than 800,000 
Palestinians in Gaza and Jericho control over their lives.  An agreement 
has been reached on early empowerment for the West Bank, and 
negotiations have begun for Palestinian elections.  Of course, great 
difficulties remain.  But Prime Minister Rabin, Foreign Minister Peres, 
and Chairman Arafat are determined to make peace a reality.

Economic development is essential to the Palestinians' success.  
Palestinians need proof that peace will improve their lives.  That is 
why the United States has mobilized the donor community to support 
Palestinian self-government.  That is why we have worked so closely with 
Chairman Arafat to allow aid projects to begin in Gaza and Jericho.  But 
more must be done to facilitate the flow of assistance and maximize its 
effect so it can be felt by people on the ground.

If the Palestinians' greatest need is economic development--and it is--
the greatest threat they confront is Hamas terror.  As surely as last 
week's bus massacre was targeted at Israelis, it was also aimed at 
destroying Palestinian aspirations.  If peace brings nothing but more 
terror, the process of reconciliation surely will not succeed.  
Palestinians, more than anyone, will suffer.  It is imperative that 
Chairman Arafat fulfill his responsibility to root out terror in the 
areas he controls.  The same courage he has demonstrated in making peace 
must now be shown in fighting the enemies of peace.

The Israeli-Syrian negotiating track has also undergone important 
changes in the last year.  For the first time, these once bitter enemies 
are engaged in serious negotiations to end their conflict.  I have spent 
dozens of hours in intensive discussions with President Asad and Prime 
Minister Rabin.  I can tell you that both men are deeply engaged in 
addressing the central issues of a settlement.  We have succeeded in 
narrowing differences, but important gaps remain.

In my view, the time is fast approaching when some very difficult 
decisions must be made.  If these talks are to succeed, if they are to 
produce the "peace of the brave" of which President Asad speaks, then 
the deliberate pace of the current negotiations must give way to a 
bolder approach.

We understand the risks and costs involved.  For Syria, peace requires 
overcoming decades of suspicion and ending policies geared to 
confrontation.  In an environment of genuine and comprehensive peace, in 
which there will be no place for terrorists on Israel's borders, we can 
look to the day when relations between Syria and the United States will 
improve.  For Israel, peace with Syria will require difficult decisions.  
But the promise of peace is powerful:  an end to the Arab-Israeli 
conflict, an end to the threat of war, and Israel's full integration 
into the political and economic life of the Middle East.  There are 
stern tests for peace between Israel and Syria.  

First, it must be a real peace that reflects an active commitment to 
reconciliation.  It is significant that President Asad has said that 
Syria has made a strategic choice for peace with Israel and is prepared 
to meet its objective requirements.  The requirements of real peace are 
clear to all:  agreed-upon withdrawal, full diplomatic relations, 
borders that facilitate the movement of people and goods, and a 
commitment never to threaten each other again.

Second, peace between Israel and Syria must provide security for both 
sides.  After decades of hostility, each side needs to be sensitive to 
the security concerns of the other.  If requested, the United States 
stands ready to participate, in an appropriate form, in the security 
arrangements negotiated between the parties.

Let there be no doubt on this point: America's strategic commitment to 
Israel's security is unshakable.  We will maintain Israel's qualitative 
military edge and its ability to defend itself, by itself.  As President 
Clinton has pledged, the United States will do all it can to help Israel 
minimize the risks it takes for peace.

Finally, peace between Israel and Syria must open the way to a 
comprehensive peace.  An Israeli-Syrian agreement will inevitably widen 
the circle of Arab states making peace with Israel.  And it will build 
the confidence of all that peace will endure.  This is why we say an 
agreement between Israel and Syria is a key to a comprehensive peace.  
Our vision is simple:  on the one hand, an Israel that is secure and at 
peace with every Arab and Islamic state of goodwill; on the other hand, 
an Arab world liberated from conflict, able to devote its resources to 
economic development and the needs of its people.

We are making dramatic progress toward a comprehensive peace.  In just 
the last month, with American encouragement, Morocco and Tunisia 
established official ties with Israel.  And in a meeting with me at the 
UN a very short time ago, Saudi Arabia and the other states of the Gulf 
Cooperation Council announced an end to the secondary and tertiary 
boycott of companies that deal with Israel.  This opens enormous trade 
and investment opportunities both for Israel and American business.  
Very soon, we hope to see the entire boycott relegated, as it must be, 
to the history books.

Next week in Casablanca, the Middle East's progress toward a new future 
will take a leap forward when Morocco's King Hassan convenes the Middle 
East/North Africa Economic Summit conference.  Just as the Madrid 
conference shattered the taboo on political contacts between Israel and 
the Arabs, so, too, will Casablanca shatter the taboo on private sector 
cooperation.

Our message there will be powerful:  The Middle East is open for 
business.  Through investment, trade, and joint ventures, private 
commerce can build the ties that will transform peace between 
governments into peace between peoples.  Only a vibrant private sector 
can generate the growth and integration needed to undergird an enduring 
peace.  I am pleased that American companies will be well represented at 
Casablanca and that they are poised to take advantage of tremendous new 
opportunities in the Middle East and North Africa.  Governments, too, 
must do their part.  They must reduce economic barriers and help build 
the infrastructure that joins the Middle East by road, air, fax, and 
microchip.

Redefining the Middle East from a zone of continuing conflict to one of 
expanding reconciliation is the opportunity that we must seize now.  And 
that is the opportunity that we must protect from the enemies of peace.  
The recent wave of terror against Israel has been undertaken by 
desperate forces who know that their extremism has no future in a region 
moving toward peace.  Their only hope is to fight a rear-guard action of 
violence designed to return the Middle East to a tragic past of fear and 
conflict.  We will not let them succeed.

The international community must reject the terrorism of Hamas, 
Hezbollah, and other extremists.  Strong condemnation of terror, 
especially from Israel's Arab partners, is an essential starting point.  
But condemnation is not enough.  A real penalty must be imposed.  We 
must join together to turn off all foreign sources of funding for 
terrorism, both public and private.  Front organizations based abroad 
that are linked to terrorism must be shut down.  And the perpetrators 
and organizers of terror must be punished.

That is the course we are urging upon governments in the Middle East and 
around the world.  And that is the course we are pursuing.  We will do 
everything we can--and seek legislation where necessary--to ensure that 
Hamas and other terrorists do not get support from inside the United 
States.Of course, radical groups could not continue their atrocities 
without the support of rejectionist states.  Iran and Iraq remain the 
region's most dangerous actors.  Through our policy of dual containment, 
the United States is leading the world in combatting the threat they 
pose.

Iran is the world's most significant state sponsor of terrorism and the 
most ardent opponent of the Middle East peace process.  The 
international community has been far too tolerant of Iran's outlaw 
behavior.  Arms sales and preferential economic treatment, which make it 
easier for Iran to divert resources to terrorism, should be terminated.  
The evidence is overwhelming:  Iran is intent on projecting terror and 
extremism across the Middle East and beyond. Only a concerted 
international effort can stop it.

In recent days, the rogue state of Iraq has tested our resolve, and we 
have met the test.  In a scenario chillingly like that preceding the 
1990 invasion of Kuwait, Saddam Hussein moved troops to the Kuwaiti 
border.  Within hours, President Clinton deployed U.S. forces to Kuwait.  
Saddam got the message, stopped dead in his tracks, and pulled back.

The UN Security Council--acting under U.S. leadership--passed a 
unanimous resolution demanding that Saddam withdraw the forces he had 
moved to the south.  It barred him from taking any actions in the future 
to enhance his military forces there.  And it warned Saddam never again 
to threaten his neighbors or UN operations in Iraq.

Saddam has shown himself to be a repeat offender, trusted neither by the  
international community nor by the Arab world.  We have put him on 
notice that any repetition of his recent threats will be met by all 
means necessary, including military force.

The Iraqi people should understand that Saddam's brutal regime bears 
full responsibility for their suffering.  Saddam has continued to waste 
Iraq's resources on military ventures.  He has refused to take advantage 
of UN resolutions that would permit humanitarian needs to be met.  I 
assure you that Saddam will not intimidate the UN into lifting 
sanctions.  He knows that sanctions can only be eased after Iraq 
complies in full with all relevant Security Council resolutions.  Not 
surprisingly, that is the only approach he has not tried.

Saddam's continued aggression and Hamas' recent campaign of terror 
underscore that forces of hatred and extremism still stalk the Middle 
East.  But we will not allow their violence to blind us to the broader 
sweep of history at work in the region.  Amazing change is underway.  As 
this century draws to a close, Arabs and Israelis stand on the threshold 
of a new future--one of hope and peace, not despair and war.

American leadership, power, and diplomacy, through administrations of 
both parties, has been indispensable in bringing us to this moment of 
promise.  If the United States had not stepped forward, Iraqi forces 
might today be back in Kuwait City, North Korea would be proceeding to 
build nuclear weapons, and Haitians would still be suffering under 
military dictators.  Our recent achievements remind us that only the 
United States has the strategic vision and the global capabilities to 
lead.

Now more than ever, American leadership is critical to ensure that the 
promise of peace becomes a reality.  We cannot--we will not--allow the 
forces of the past to destroy this historic opportunity.  The momentum 
for peace must be maintained.  

(###)



                       Jordan-Israel Breakthroughs

ITEM 2:

New Steps Toward Peace and Security in the Middle East
Remarks by President Clinton upon departure for the Middle East, 
Washington, DC, October 25, 1994.

Good morning.  Today, I embark on a mission inspired by a dream of 
peace--a dream as ancient as the peoples I will visit; a dream that, 
now, after years of struggle, has a new chance of becoming a reality. 

Tomorrow, in the desert between Israel and Jordan, two neighbors will 
agree to lay to rest age-old animosities, and give a new future to their 
countries and their children.  King Hussein and Prime Minister Rabin 
will enter into an historic peace treaty.  By their courage, they help 
their peoples, their region, and the entire world.  They help to begin a 
final journey to peace, in one of the most perilous conflicts of our 
age.  By taking part in that ceremony, I will help to fulfill a mission, 
pursued vigorously by the United States, by presidents of both parties, 
since the end of World War II.

Peace in the Middle East is in our fundamental interests, and our 
continued participation in the peace process is crucial to its success.  
The signing ceremony I will witness rose out of the peace process we 
have helped to build.

The treaty between Israel and Jordan will be only the second full peace 
treaty between Israel and one of its Arab neighbors and the first ever 
signed in the Middle East itself.  The roots of this process reach back 
to the Camp David accords, between the late Anwar Sadat of Egypt and 
Menacem Begin of Israel, in which President Carter played such a pivotal 
role, and to the historic peace treaty they signed here 15 years ago.

But this trip is more than a celebration of another important step 
toward peace; it's an opportunity to pursue new steps.  Israel and 
Jordan have shown that contact can overcome conflict and that direct 
talks can produce peace.  My goal is to make clear that the time has 
arrived for all parties to follow the brave and hopeful inspiration of 
Israel and Jordan.  With so much at stake, it is more important than 
ever for the United States to stand shoulder-to-shoulder with those who 
are taking risks for peace.

For all the progress toward peace--indeed, because of that progress--we 
have witnessed a new wave of terrorism and violence.  No step on this 
long journey requires more patience, more discipline, more courage than 
the steps still to come.  At this crucial moment, the people of the 
Middle East stand at a crossroads.  In one direction lies the dark past-
-of violence, terrorism, and insecurity the desperate enemies of peace 
seek to prolong.  In the other lies a brighter future--a brighter future 
that Israel and all her Arab neighbors can achieve if they have the 
courage to stand up to violence, to terrorism, and to mistrust to build 
that future.

Above all else, I go to the Middle East to deliver one clear message:  
The United States stands by those who, in the words of  the Psalms, 
"seek peace and pursue it."  And we stand up to those who threaten to 
destroy the dream that has brought us to this historic moment.

Standing up for peace in this region includes countering the aggressive 
acts of Iraq toward its neighbors.  Like our troops around the world, 
the men and women of our armed forces stationed in Kuwait are the 
strength behind our pledge to support peace and security.  They are 
doing a magnificent job, and I want them to know how proud all Americans 
are of their efforts.

When I visit them on Friday, I know I will carry the good wishes of all 
their fellow Americans--just as I know all Americans will pray this week 
for the progress toward peace as we witness this historic treaty and 
carry the peace process forward.  


ITEM 3:

U.S. and Egypt Reaffirm Commitment To Middle East Peace
Opening remarks by President Clinton and Egyptian President Mubarak at a 
press conference, Cairo, Egypt, October 26, 1994.

President Mubarak.  Good morning.  It is a source of great pleasure for 
me to welcome President Clinton and his able assistants in Cairo on 
behalf of the people of Egypt.  We look upon President Clinton with 
great admiration and esteem.  He's a man of courage and conviction; a 
man of ideals and action alike.

Since he has assumed his awesome responsibilities, he has demonstrated 
an exceptional ability to combine his evident concern of domestic 
matters with a genuine interest in foreign policy.  Under his 
leadership, the United States has played a pivotal role in the 
maintenance of worldly peace and security.  Such a role is indispensable 
in an era of profound change--it was only natural that the Middle East 
received much attention from the President and the American people.

During the past two years, much has been achieved on the road to peace.  
To a great extent, this was due to the active role the Clinton 
Administration undertook with vigor and perseverance.  And it has been a 
success story all along.

We are not unmindful of the obstacles that remain on the road to a 
comprehensive and lasting peace.  But we are determined to pursue that 
goal with vigor and determination.  As you move to consolidate the steps 
which were taken on the Palestinian and Jordanian tracks, we cannot lose 
sight of the centrality of the Syrian and Lebanese track.  Today, I 
discussed with President Clinton the necessity of making meaningful 
progress on these tracks.  I assured our guests that President Asad is 
wholeheartedly committed to a just and honorable peace; so is the 
Lebanese leadership. Hence, we should spare no effort in order to reach 
that goal without delay.  In the weeks ahead, we shall work together, 
and more, in harmony toward that end.

We must rekindle hope in the hearts of the peace-loving forces in the 
region.  And with the same goal, we must fight despair and violence.  We 
deplore the killing of innocent people and attempts to spread fear and 
hatred.  The time has come for healing all wounds of the past and for 
creating a better future for Arabs as well as Israelis.

President Clinton, you have made a great contribution to the 
solidification of the ever-growing friendship between our two nations.  
Through your words and deeds alike, you have cemented our partnership 
for peace and development.  This role is highly appreciated by our 
people.

In our discussion this morning, we explored new ways and means for 
strengthening our cooperation even further.  We are determined to make 
it a stable and everlasting aspect of our policy.

In short, we are in agreement that this relationship, which is based on 
mutual respect and mutuality, is a constant element of progress and 
stability--a model for cooperation and solidarity among nations.

Much credit goes to you, Mr. President, and your vision and sound 
judgment.  I wish you success in the efforts you are exerting during 
this trip.  Your decision to make Cairo your first stop is a good omen, 
for it is here in this proud city that the first and most difficult 
steps in decisions toward peace were taken.  May Almighty God bless your 
endeavor and guide your steps.


President Clinton.  Thank you. Thank you, President Mubarak.  It is 
fitting that we begin this day, which will include the celebration of a 
new peace between Israel and Jordan, in Egypt with President Mubarak.  
Egypt's courageous example set at Camp David and President Mubarak's 
tireless leadership in the peace process have paved the way to the 
historic progress we celebrate on this day.

Mr. President, this region--indeed, the entire international community--
owe to you and your nation a deep debt of gratitude.  Egypt led the way, 
and I am proud to stand here with you; the United States is proud to 
stand with Egypt as partners in the pursuit of peace.

Today, I reaffirmed to President Mubarak my commitment to do all I can 
to achieve a comprehensive settlement.  The peace we seek calls on the 
parties to do more than lay down arms.  We seek reconciliation between 
peoples, cooperation between governments, joined by a vision of shared 
destiny.

The United States has walked each step with Egypt.  Despite many 
sacrifices, the journey to peace has brought Egypt to better times.  
After so many years of conflict and so many casualties, no Egyptian has 
died in battle against Israel since 1973.

Now we're on the verge of seeing those and other benefits extend 
throughout the region.  I salute President Mubarak for the crucial role 
he has played in bringing the Palestinians and Israelis together.  Your 
work helped make possible the historic handshake between Prime Minister 
Rabin and Chairman Arafat in the White House last year.

To keep moving on that front, President Mubarak and I have just met with 
Chairman Arafat.  We had a useful discussion about the need to fully 
implement the Declaration of Principles between the Palestinian 
Liberation Organization and Israel.  We reviewed the progress toward 
elections and the early empowerment of Palestinian authorities in the 
West Bank.

I made it clear that the United States places great importance on 
establishing strong and accountable democratic institutions.  I also 
told Chairman Arafat that as the Palestinian administration starts to 
work on setting up a system to raise revenues, the United States will 
lead an international effort to support the Israeli-Palestinian 
agreement on early empowerment in the West Bank.

We also discussed a matter of great urgency--the absolute necessity to 
combat Hamas and all other extremist groups using terror to perpetuate 
hatred.  We agreed that the same courage is needed to fight the enemies 
of peace that Chairman Arafat showed in making peace.

I want to reaffirm that the United States will stand with all friends of 
peace.  Terrorists must not be allowed--must not be allowed--to 
intimidate the peoples of this region into abandoning the peace process.  
At this moment of opportunity, those who perpetuate violence pose the 
greatest threat to the Palestinian people and to all Arab people.  The 
enemies of peace are desperate, but they must not defeat the hopeful 
forces of the future.

President Mubarak and I discussed our determination to stand as partners 
in this and many other efforts.  We have worked on many things around 
the world in the past; we do in the present.  I congratulated him again 
on the success of the remarkable population conference here at Cairo.  
We will continue to work together on many fronts, including the need to 
stand up and repel the Iraqi threat to Kuwait.

Our countries share a commitment to promote economic growth in Egypt as 
well.  At my request, the Vice President met with President Mubarak when 
he was in Cairo in September, and they initiated a new partnership for 
economic growth.  Earlier this week, our two countries agreed to 
establish a new committee to support this partnership.  The Vice 
President will be saying more about that in the next few months.  I 
believe he'll have the opportunity to come back here.

Again, let me thank President  and Mrs. Mubarak for their gracious 
reception.  And let me thank President Mubarak, especially, again for 
his leadership in this process.  I am confident we would not be where we 
are today had it not been for him.


ITEM 4:

Jordan and Israel Sign Treaty of Peace 
Remarks by President Clinton, Secretary Christopher, Jordanian King 
Hussein, Israeli Prime Minister Rabin, Israeli Foreign Minister Peres, 
and Russian Foreign Minister Kozyrev at the signing of the Treaty of 
Peace Between the State of Israel and the Hashemite Kingdom of Jordan, 
Wadi Arava Crossing, Jordan-Israel border, October 26, 1994.

King Hussein.  Peace be upon you;  God's peace:  the greeting with which 
Muslims and Arabs receive  their guests--exchange amongst each other; 
the greeting that has been taken to every part of the world over a long 
and cherished history and past.

It is with a sense of enormous pride, a sense of fulfillment, that I 
stand here before you today, together with President Clinton, Prime 
Minister Yitzhak Rabin, President Weizman, and all our distinguished 
colleagues  and friends--an unusual day, a day like no other in terms of 
the hopes, in terms of the promise, and in terms of the determination.

God willing and with God's blessing, all of us will remember this day as 
long as we live and for future generations--Jordanians, Israelis, Arabs, 
Palestinians--all the children of Abraham; to remember it as the dawning 
of the new era of peace, mutual respect between us all, tolerance, and 
the coming together of people of generations to come--we understand--to 
build and achieve what is worthy of them.

We will always cherish the memory and honor all those who have fallen 
over the years.  And amongst all of our peoples, I believe they are with 
us on this occasion and at this time as we come together to ensure, God 
willing, that there will be no more death, no more misery, no more 
suspicion, no more fear, no more uncertainty of what each day might 
bring, as has been the case in the past.  

Prime Minister Yitzhak Rabin and I had the honor of signing the 
Washington Declaration with President Clinton, our partner and our 
friend.  We took it upon ourselves--Prime Minister Yitzhak Rabin and 
myself--to shepherd the process of negotiations to a successful 
conclusion.  I believe that both of us share in this moment of 
achievement and pride and relief, and, hopefully, we have contributed 
toward a better future of our peoples for all times to come.

The Prime Minister of Israel and the Prime Minister of Jordan will 
shortly ratify the peace treaty between our two countries.  This will be 
witnessed by President Clinton.  In a matter of days, we will have 
completed, in Jordan, the passage of this peace treaty through the 
legislature.  I, who have accompanied my colleagues throughout this 
process--Prime Minister Majali since Madrid, my brother, Crown Prince 
Hassan, and every Jordanian who has been involved, and honored to be 
involved, in this peace process--fully support every word and every 
letter in this peace process between Jordan and Israel. 

I know it is supported by the overwhelming majority of our people, who 
have learned today of its passage by the Knesset by an overwhelming 
majority.  These are the moments in which we live--the past and the 
future.  

This great valley in which we stand will become the valley of peace.  
And when we come together to build it and to make it bloom as never 
before, and we come to live next to each other as never before, we will 
be doing so--Israelis and Jordanians together--without the need for any 
to observe our actions or supervise our endeavors.  This is peace with 
dignity.  This is peace with commitment.  This is our gift to our 
peoples and the generations to come. 

It will herald the change in the quality of life in people.  It will not 
be essentially a piece of paper ratified by those responsible, blessed 
by the world.  It will be real as we open our hearts and minds to each 
other, as we discover a human face to everything that has happened and 
happened to each other--for all of us have suffered for far too long.

President Clinton, you have been our partner.  You have been our friend.  
You have given us your support, together with the administration of the 
United States of America.  You are at the helm during this historic 
moment.  I will always remember the warmth of your welcome to us both in 
Washington and the warmth of the welcome of the people of the United 
States of America with which they received our news and lauded our 
achievements.

No one will ever forget this day.  In particular, they will always 
remember the fact that you personally came here to be with us on this 
most happy of occasions--at the end of a chapter of darkness and the 
opening of a book of light. 

I am proud of our friendship.  God bless you and give you every future 
success.  Maybe the world needs some good examples of what should happen 
between people.  Hopefully, this might herald similar progress not only 
on all the tracks here in this region--because we are all committed to a 
comprehensive peace; we wish it, and, hopefully, it will be--but 
throughout the world--the world that is the home to all of us, that in 
itself is so small, where so much needs to be addressed and met for 
humanity and for the future.

Behind us here you see Eilat and Aqaba, the way we have lived over the 
years, in such close proximity, unable to meet, to visit each other, to 
develop this beautiful part of the world.  No more, as we look into the 
future beyond this point with determination, with hope, with commitment.  
We survived the hard times.  Let our people beyond this point in time 
enjoy the good times.

I would like to thank all our friends, all our distinguished guests who 
join us here today:  representatives of President Yeltsin, Foreign 
Minister of Russia; distinguished foreign ministers; our Arab presidents 
of our Arab homeland; our guests from throughout the world; our friends.  
And a very happy welcome to all of you Jordanians and Israelis, alike, 
at this very precious moment.  God bless you all.


Prime Minister Rabin.  Your Majesty, King Hussein I; President Clinton; 
President Weizman; the foreign ministers of our countries; distinguished 
guests from all over the world; the peoples of Jordan and Israel:  From 
this podium, I look around, and I see the Araba.  Along the horizon--
from the Jordanian side and the Israeli side--I see only a desert.  
There is almost no life here; there is no water; no wells; and no 
spring--only mine fields.

Such were the relations between Israel and Jordan during the last 47 
years--a desert; not one green leaf, no trees, not even a single flower.  
There comes a time when there is a need to be strong and to make 
courageous decisions to overcome the mine fields, the drought, the 
bareness between our two peoples.

We have known many days of sorrow; you have known many days of grief.  
But bereavement unties us as does bravery, and we honor those who 
sacrificed their lives.  We both must draw on the springs of our great 
spiritual resources to forgive the anguish we caused each other, to 
clear the mine fields that divided us for so many years, and to supplant 
it with fields of plenty.  

For nearly two generations, desolation pervaded the hearts of our two 
peoples.  The time has now come not merely to dream of a better future 
but to realize it.  Leaders should clear the path, should show the way.  
But the road itself must be paved by both peoples.  I don't believe that 
we would have reached this great moment without the desire for peace in 
the hearts of both peoples; in the hearts of the soldiers and the 
intellectuals; in the hearts of the farmers and of the lorry drivers who 
drive through the Araba highways in Jordan and Israel; in the hearts of 
teachers and of the little children.  Both nations were determined that 
the great revolution in the Middle East would take place in their 
generation.

From this podium, I look around:  I see the Araba, and I see you--our 
generation--and the next.  We are the ones who will transform this 
barren place into a fertile oasis so that the red-browns and the dark 
grey will burst forth in vibrant greens.

Your Majesty, peace between states is peace between peoples.  It is an 
expression of trust and esteem.  I have learned to know and admire the 
quiet and the smiling power with which you guard your nation and the 
courage with which you lead your people. 

It is not only our states that  are making peace with each other today; 
not only our nations that are shaking hands in peace here in the Araba.  
You and I, Your Majesty, are making peace here--our own peace, the peace 
of soldiers, and the peace of friends.  

President Clinton, thank you for your tremendous support throughout the 
entire process, which was vital for the achievement of this final 
result.  I would like to thank many [inaudible] on the Israeli side, on 
the Jordanian side that worked very hard, day and night, that we would 
be allowed to reach this great moment--the Foreign Minister of Israel--
and many others that no doubt contributed a lot to this great 
achievement.

A dawn broke this morning, and a new day began.  New life came into the 
world.  Babies were born in Jerusalem; babies were born in Amman.  But 
this morning is different.  The peace that was born today gives us all 
the hope that the children born today will never know war between us, 
and their mothers will know no sorrow.  Allow me to end by the simple 
words, shalom, salaam, peace.


President Clinton.  King Hussein, President Weizman, Prime Minister 
Rabin, Prime Minister Majali, Crown Prince Hassan, Foreign Minister 
Peres, Foreign Minister Kozyrev, Mr. Secretary of State; to the people 
of Jordan and Israel--with a special thanks to those who are our 
cheering section up there--we thank you all.

At the dawn of this peace of a generation, in this ancient place we 
celebrate the history and the faith of Jordanians and Israelis.  But we 
break the chains of the past that for too long have kept you shackled in 
the shadows of strife and suffering.  We thank those who have worked for 
peace before.  We celebrate the efforts of brace leaders who saw the 
bright horizon of this dawn, even while the darkness lingered.

This vast bleached desert hides great signs of life.  Today, we see the 
proof of it--for peace between Jordan and Israel is no longer a mirage; 
it is real.  It will take root in this soil.  It will grow to great 
heights and shelter generations to come.

Today, we honor the constant and devoted work of two courageous leaders-
-two who have risked everything so that their children and their 
children's children need fight nor fear no more.  King Hussein, today in 
this arid place, you bring to full flower the memory of the man who 
taught you to seek peace:  your grandfather, King Abudllah.  When he was 
martyred four decades ago, he left you with a great burden and a great 
dream.  He believed that one day, on both sides of the River Jordan, 
Arab and Jew would live in peace.  How bravely you have shouldered that 
burden and carried that dream.  Now after so much danger and so much 
hardship, Your Majesty, your day has come.  Truly, you have fulfilled 
your grandfather's legacy.

Prime Minister Rabin, you have spent a lifetime as a soldier, fighting 
first to establish your country and then for so long, to defend it.  For 
a lifetime, you have fought with skill and tenacity and courage, simply 
to achieve a secure and lasting peace for your people.  Now you have 
given them the hope of life after the siege.  In your own words, you 
have now given them the challenge to furnish the house of Israel and 
make it a home.  As a general, you have won many battles through 
strength and courage.  But now, through strength and courage, you 
command the army of peace, and you have won the greatest victory of all.  
We salute you.  

As has been said before, this treaty is the product of many hands.  
Crown Prince Hassan and Foreign Minister Peres know better than any of 
us that peace does not spring full-grown.  It requires cultivation; it 
requires patience and care.  We salute their devotion and persistence 
and the wise and determined counsel of Secretary Christopher.  We are 
all in their debt, and we thank them. 

I say to the people of Israel and Jordan:  Now you must make this peace 
real:  to turn a no-man's land into every man's home; to take down the 
barbed wire; to remove the deadly mines; to help the wounds of war to 
heal.  Open your borders; open your hearts.  Peace is more than an 
agreement on paper:  It is feeling; it is activity; it is devotion.

The forces of terror will try to hold you back.  Already they take 
deadly aim at the future of peace.  In their zeal to kill hope and keep 
hatred alive, they would deny all that peace can bring to your children.  
We cannot, we must not, we will not let them succeed.  

The United States stands with you.  Since President Truman first 
recognized Israel, we have wished for and worked for comprehensive peace 
between Israel and all her neighbors.  On behalf of all Americans, 
including millions of Jewish and Arab Americans for whom this day means 
so much, I thank you for trusting America to help you arrive at this  
moment.  The American people are very proud of the opportunity we have 
had.  

Now let the work of progress bear fruit.  Here at the first of many 
crossing points to be open, people from every corner of the earth will 
soon come to share in the wonders of your lands.  There are resources to 
be found in the desert, minerals to be drawn from the sea, water to be 
separated from salt and used to fertilize the fields.  Here, where 
slaves in ancient times were forced to take their chisels to the stone, 
the earth, as the Koran says, will stir and swell and bring forth life.  
The desert, as Isaiah prophesied, shall rejoice and blossom.

Here your people will drink water from the same well and savor together 
the fruit of the vine.  As you seize this moment, be assured that you 
will redeem every life sacrificed along the long road that brought us to 
this day.  You will take the hatred out of hearts, and you will pass 
along to your children a peace for the generations.

Your Majesty; Mr. Prime Minister: Here in the Rift Valley, you have 
bridged the tragic rift that separated your people for too long.  Here 
in this region, which is the home of not only both of your faiths--but 
mine--I say: Blessed are the peacemakers, for they shall inherit the 
earth. 


Secretary Christopher.  Your Majesty, King Hussein, President Weizman, 
President Clinton, Prime Minister Rabin, Prime Minister Majali, fellow 
foreign ministers, Crown Prince Hassan, ladies and gentlemen:  Less than 
90 days ago, I had the great honor of witnessing from this very spot the 
opening of the Israeli-Jordanian border crossing.  This place that for 
decades was nothing more than a field of mines was turned over night 
into a field of dreams.  Today, we're, again, honored to bear witness as 
those dreams come true.

King Hussein, Prime Minister Rabin:  The entire world salutes your 
courage, your vision, and your skill.  Each of you has dedicated your 
distinguished careers to a single, noble calling:  to build for your 
peoples and your nations a future of hope and a future of peace.  By 
your extraordinary achievement here this afternoon, your life's work is 
a long step toward completion.

As President Clinton has said, the United States stands shoulder to 
shoulder with Israel and Jordan.  We did three months ago when you ended 
your state of war, we do today when you inaugurate your state of peace, 
and we will be there tomorrow and beyond as you build the bonds of human 
contact and the common interest that will ensure a lasting 
reconciliation.  This is truly a day of rejoicing, of reconciliation, 
and of recommitment.  Thank you ladies and gentlemen.


Foreign Minister Peres.  Your Majesty, King Hussein, the President of 
the United States, the President of the State of Israel, the Prime 
Minister of Israel, Yitzhak Rabin, the Prime Minister of Jordan Majali, 
my colleagues, foreign ministers, distinguished guests, ladies and 
gentlemen: In addition to expressing my thanks to the President of the 
United States for his tremendous support and to King Hussein for his 
outstanding leadership, I shall do something improper and tell about my 
own Prime Minister--he did a great job, with great character and wisdom.

We were born as sons of Abraham.  Now we have to become brothers in the 
family of Abraham.  Not our [inaudible] but our outlook should be 
different:  where a person to a person will be a host, not a hostage; 
that we shall mutually help each other understand each other and, permit 
me to say, to pray for each other.  It is not just a peace of the 
braves, permit me to say, this is a peace of mothers with their children 
born and unborn--a peace for today and a peace for tomorrow. 

I see that as [inaudible].  Nature made it brown; science will make it 
green.  War made it dead; peace will make it alive.  And we shall see an 
entirely new landscape for us and for our neighbors.

This is the third time that we are making steps toward peace.  It's not 
the end of the road.  I hope what has happened today, under the 
brilliant leadership of King Hussein and Yitzhak Rabin, will go on, will 
walk on, will march on until the whole Middle East  is a region of 
peace, of promise, and of prosperity. 

Now please don't forget that I am a foreign minister, so I shall take 
this occasion to thank our friend, the foreign minister of Egypt--first 
to make peace, supporting peace all the time. 

I would like to thank the foreign ministers of Europe and their 
[inaudible] of today, Dr. Kinkel, for ongoing support to make this peace 
not just a matter of a policy but an issue of a new reality.  Thank you 
very much. 

We want to thank the United States for the Middle East.  It's a God-sent 
support.  No power has ever supported other nations that need peace as 
has the United States.  It's a pleasure to see the United States and 
Russia working together.  This wasn't always the case in the Middle 
East.  This is a new addition, and we welcome it with our full hearts. 

We seek among us some other candidates for peace:  Welcome to the club; 
the sooner the better.  Ladies and gentlemen:  It's a great day; it's a 
great hope; it's a moving occasion for many of us who dreamed it.  Now 
it has become a reality.  It is not just the end of war, this is the 
beginning of a new cooperation.  Let's dream together; we've got the 
license.  Thank you.


Foreign Minister Kozyrev.  Your Majesty, King Hussein bin Talal, Your 
Excellencies Prime Minister Yitzhak Rabin, President Weitzman, President 
Bill Clinton of United States, dear colleagues, ladies and gentlemen:  I 
would like to convey to this gathering a welcoming address of the 
President of the Russian Federation Boris Yeltsin.  I quote: 

I wish to extend my cordial congratulations to His Majesty King Hussein 
and His Excellency Prime Minister Yitzhak Rabin, as well as to the 
peoples of Jordan and Israel, with the historic accomplishment, 
signature of the treaty of peace.  It has become possible due to 
political courage and statesmanship of the leaders of Jordan and Israel. 
Having surmounted all the apprehensions and having broken down the wall 
of mistrust, you extended a hand of peace to each other.  And now, you 
lay down a foundation for further reinforcement and development of 
mutual understanding and good neighborly relations between Jordan and 
Israel.

We are confident now that creative energy of the peoples of both 
countries will be aimed at their prosperity and well being and at 
building of a happy future for the succeeding generations.

Today's event is impressive success of the Madrid peace process that has 
developed under the co-sponsorship  of Russia and the United States of 
America.  Russia intends to go on with its practical promotion of the 
final cessation of the Arab-Israeli conflict and support for the 
implementation of the Israeli-Jordanian agreements. 

Signed, Boris Yeltsin.

Allow me, on my part, just to express my personal admiration for the 
political courage of all present here--heads of states and governments 
of both Jordan and Israel--and assure you that Russia, as a co-sponsor 
of the peace process, will be with you and with others on all tracks 
until there is firm peace and, after that, in building a truly 
prospective life in this region.


ITEM 5:

Text of Jordan-Israel Treaty of Peace
Following is the text of the Treaty of Peace Between the State of Israel 
and the Hashemite Kingdom of Jordan, signed at Wadi Arava Crossing, 
Jordan-Israel border, October 26, 1994.  Annexes and appendices, which 
constitute an integral part of the treaty, are not included here.

Preamble

The Government of the Hashemite Kingdom of Jordan and the Government of 
the State of Israel:

Bearing in mind the Washington Declaration, signed by them on 25th July, 
1994, and which they are both committed to honour, 

Aiming at the achievement of a just, lasting and comprehensive peace in 
the Middle East based on Security Council resolutions 242 and 338 in all 
their aspects;

Bearing in mind the importance of maintaining and strengthening peace 
based on freedom, equality, justice and respect for fundamental human 
rights, thereby overcoming psychological barriers and promoting human 
dignity;

Reaffirming their faith in the purposes and principles of the Charter of 
the United Nations and recognising their right and obligation to live in 
peace with each other as well as with all states, within secure and 
recognised boundaries;

Desiring to develop friendly relations and co-operation between them in 
accordance with the principles of international law governing 
international relations in time of peace;

Desiring as well to ensure lasting security for both their States and in 
particular to avoid threats and the use of force between them;
Bearing in mind that in their Washington Declaration of 25th July, 1994, 
they declared the termination of the state of belligerency between them;

Deciding to establish peace between them in accordance with this Treaty 
of Peace;

Have agreed as follows:

ARTICLE I

Establishment of Peace

Peace is hereby established between the Hashemite Kingdom of Jordan and 
the State of Israel (the "Parties") effective from the exchange of the 
instruments of ratification of this Treaty.

ARTICLE 2

General Principles

The Parties will apply between them the provisions of the Charter of the 
United Nations and the principles of international law governing 
relations among states in time of peace.  In particular:

1.  They recognise and will respect each other's sovereignty, 
territorial integrity and political independence;

2.  They recognise and will respect each other's right to live in peace 
within secure and recognised boundaries;

3.  They will develop good neighbourly relations of co-operation between 
them to ensure lasting security, will refrain from the threat or use of 
force against each other and will settle all disputes between them by 
peaceful means;

4.  They respect and recognise the sovereignty, territorial integrity 
and political independence of every state in the region;

5.  They respect and recognise the pivotal role of human development and 
dignity in regional and bilateral relationships;

6.  They further believe that within their control, involuntary 
movements of persons in such a way as to adversely prejudice the 
security of either Party should not be permitted.

ARTICLE 3

International Boundary

1.  The international boundary between Jordan and Israel is delimited 
with reference to the boundary definition under the Mandate as is shown 
in Annex I (a), on the mapping materials attached thereto and 
coordinates specified therein.

2.  The boundary, as set out in Annex I (a), is the permanent, secure 
and recognised international boundary between Jordan and Israel, without 
prejudice to the status of any territories that came under Israeli 
military government control in 1967.

3.  The Parties recognise the international boundary, as well as each 
other's territory, territorial waters and airspace, as inviolable, and 
will respect and comply with them.

4.  The demarcation of the boundary will take place as set forth in 
Appendix (I) to Annex I and will be concluded not later than 9 months 
after the signing of the Treaty.

5.  It is agreed that where the boundary follows a river, in the event 
of natural changes in the course of the flow of the river as described 
in Annex I (a), the boundary shall follow the new course of the flow.  
In the event of any other changes the boundary shall not be affected 
unless otherwise agreed.

6.  Immediately upon the exchange of the instruments of ratification of 
this Treaty, each Party will deploy on its side of the international 
boundary as defined in Annex I (a).

7.  The Parties shall, upon the signature of the Treaty, enter into 
negotiations to conclude, within 9 months, an agreement on the 
delimitation of their maritime boundary in the Gulf of Aqaba.

8.  Taking into account the special circumstances of the 
Baqura/Naharayim area, which is under Jordanian sovereignty, with 
Israeli private ownership rights, the Parties agree to apply the 
provisions set out in Annex I (b).

9.  With respect to the Al-Ghamr/Zofar area, the provisions set out in 
Annex I (c) will apply.

ARTICLE 4

Security

1.  a.  Both Parties, acknowledging that mutual understanding and co-
operation in security-related matters will form a significant part of 
their relations and will further enhance the security of the region, 
take upon themselves to base their security relations on mutual trust, 
advancement of joint interests and co-operation, and to aim towards a 
regional framework of partnership in peace.

b.  Toward that goal, the Parties recognise the achievements of the 
European Community and European Union in the development of the 
Conference on Security and Co-operation in Europe (CSCE) and commit 
themselves to the creation, in the Middle East, of a Conference on 
Security and Co-operation in the Middle East (CSCME).

This commitment entails the adoption of regional models of security 
successfully implemented in the post World War era (along the lines of 
the Helsinki Process) culminating in a regional zone of security and 
stability.

2.  The obligations referred to in this Article are without prejudice to 
the inherent right of self-defence in accordance with the United Nations 
Charter.

3.  The Parties undertake, in accordance with the provisions of this 
Article, the following:

a.  to refrain from the threat or use of force or weapons, conventional, 
non-conventional or of any other kind, against each other, or of other 
actions or activities that adversely affect the security of the other 
Party;

b.  to refrain from organising, instigating, inciting, assisting or 
participating in acts or threats of belligerency, hostility, subversion 
or violence against the other Party;

c.  to take necessary and effective measures to ensure that acts or 
threats of belligerency, hostility, subversion or violence against the 
other Party do not originate from, and are not committed within, through 
or over their territory (hereinafter the term "territory" includes the 
airspace and territorial waters).

4.  Consistent with the era of peace and with the efforts to build 
regional security and to avoid and prevent aggression and violence, the 
Parties further agree to refrain from the following:

a.  joining or in any way assisting, promoting or co-operating with any 
coalition, organisation or alliance with a military or security 
character with a third party, the objectives or activities of which 
include launching aggression or other acts of military hostility against 
the other Party, in contravention of the provisions of the present 
Treaty;

b.  allowing the entry, stationing and operating on their territory, or 
through it, of military forces, personnel or materiel of a third party, 
in circumstances which may adversely prejudice the security of the other 
Party.

5.  Both Parties will take necessary and effective measures, and will 
co-operate in combating terrorism of all kinds.  The Parties undertake:

a.  to take necessary and effective measures to prevent acts of 
terrorism, subversion or violence from being carried out from their 
territory or through it and to take necessary and effective measures to 
combat such activities and all their perpetrators;

b.  without prejudice to the basic rights of freedom of expression and 
association, to take necessary and effective measures to prevent the 
entry, presence and operation in their territory of any group or 
organisation, and their infrastructure, which threatens the security of 
the other Party by the use of, or incitement to the use of, violent 
means;

c.  to co-operate in preventing and combating cross-boundary 
infiltrations.

6.  Any question as to the implementation of this Article will be dealt 
with through a mechanism of consultations which will include a liaison 
system, verification, supervision, and where necessary, other 
mechanisms, and higher level consultations. The details of the mechanism 
of consultations will be contained in an agreement to be concluded by 
the Parties within 3 months of the exchange of the instruments of 
ratification of this Treaty.

7.  The Parties undertake to work as a matter of priority, and as soon 
as possible, in the context of the Multilateral Working Group on Arms 
Control and Regional Security, and jointly, towards the following:

a.  the creation in the Middle East of a region free from hostile 
alliances and coalitions;

b.  the creation of a Middle East free from weapons of mass destruction, 
both conventional and non-conventional, in the context of a 
comprehensive, lasting and stable peace, characterised by the 
renunciation of the use of force, and by reconciliation and goodwill.

ARTICLE 5

Diplomatic and Other Bilateral Relations

1.  The Parties agree to establish full diplomatic and consular 
relations and to exchange resident ambassadors within one month of the 
exchange of the instruments of ratification of this Treaty.

2.  The Parties agree that the normal relationship between them will 
further include economic and cultural relations.

ARTICLE 6  

Water

With the view to achieving a comprehensive and lasting settlement of all 
the water problems between them:

1.  The Parties agree mutually to recognise the rightful allocations of 
both of them in Jordan River and Yarmouk River waters and Araba/Arava 
ground water in accordance with the agreed acceptable principles, 
quantities and quality as set out in Annex II, which shall be fully 
respected and complied with.

2.  The Parties, recognising the necessity to find a practical, just and 
agreed solution to their water problems and with the view that the 
subject of water can form the basis for the advancement of co-operation 
between them, jointly undertake to ensure that the management and 
development of their water resources do not, in any way, harm the water 
resources of the other Party.

3.  The Parties recognise that their water resources are not sufficient 
to meet their needs.  More water should be supplied for their use 
through various methods, including projects of regional and 
international co-operation.

4.  In light of paragraph 3 of this Article, with the understanding that 
co-operation in water-related subjects would be to the benefit of both 
Parties, and will help alleviate their water shortages, and that water 
issues along their entire boundary must be dealt with in their totality, 
including the possibility of trans-boundary water transfers, the Parties 
agree to search for ways to alleviate water shortages and to co-operate 
in the following fields:

a.  development of existing and new water resources, increasing the 
water availability, including co-operation on  a regional basis, as 
appropriate, and minimising wastage of water resources through the chain 
of their uses;

b.  prevention of contamination of water resources;

c.  mutual assistance in the alleviation of water shortages;

d.  transfer of information and joint research and development in water- 
related subjects, and review of the potentials for enhancement of water 
resources development and use.

5.  The implementation of both Parties' undertakings under this Article 
is detailed in Annex II.

ARTICLE 7

Economic Relations

1.  Viewing economic development and prosperity as pillars of peace, 
security and harmonious relations between states, peoples and individual 
human beings, the Parties, taking note of understandings reached between 
them, affirm their mutual desire to promote economic co-operation 
between them, as well as within the framework of wider regional economic 
co-operation.

2.  In order to accomplish this goal, the Parties agree to the 
following:

a.  to remove all discriminatory barriers to normal economic relations, 
to terminate economic boycotts directed at the other Party, and to co- 
operate in terminating boycotts against either Party by third parties;

b.  recognising that the principle of free and unimpeded flow of goods 
and services should guide their relations, the Parties will enter into 
negotiations with a view to concluding agreements on economic co-
operation, including trade and the establishment of a free trade area or 
areas, investment, banking, industrial co-operation and labour, for the 
purpose of promoting beneficial economic relations, based on principles 
to be agreed upon, as well as on human development considerations on a 
regional basis.  These negotiations will be concluded no later than 6 
months from the exchange of the instruments of ratification of this 
Treaty;

c.  to co-operate bilaterally, as well as in multilateral forums, 
towards the promotion of their respective economies and of their 
neighbourly economic relations with other regional parties.

ARTICLE 8

Refugees and Displaced Persons

1.  Recognising the massive human problems caused to both Parties by the 
conflict in the Middle East, as well as the contribution made by them 
towards the alleviation of human suffering, the Parties will seek to 
further alleviate those problems arising on a bilateral level.

2.  Recognising that the above human problems caused by the conflict in 
the Middle East cannot be fully resolved on the bilateral level, the 
Parties will seek to resolve them in appropriate forums, in accordance 
with international law, including the following:

a.  in the case of displaced persons, in a quadripartite committee 
together with Egypt and the Palestinians;
b.  in the case of refugees,

i.  in the framework of the Multilateral Working Group on Refugees;
ii.  in negotiations, in a framework to be agreed, bilateral or 
otherwise, in conjunction with and at the same time as the permanent 
status negotiations pertaining to the Territories referred to in Article 
3 of this Treaty;

c.  through the implementation of agreed United Nations programmes and 
other agreed international economic programmes concerning refugees and 
displaced persons, including assistance to their settlement.

ARTICLE 9

Places of Historical and  Religious Significance and Interfaith 
Relations

1.  Each Party will provide freedom of access to places of religious and 
historical significance.

2.  In this regard, in accordance with the Washington Declaration, 
Israel respects the present special role of the Hashemite Kingdom of 
Jordan in Muslim Holy shrines in Jerusalem. When negotiations on the 
permanent status will take place, Israel will give high priority to the 
Jordanian historic role in these shrines.

3.  The Parties will act together to promote interfaith relations among 
the three monotheistic religions, with the aim of working towards 
religious understanding, moral commitment, freedom of religious worship, 
and tolerance and peace.

ARTICLE 10

Cultural and Scientific Exchanges

The Parties, wishing to remove biases developed through periods of 
conflict, recognise the desirability of cultural and scientific 
exchanges in all fields, and agree to establish normal cultural 
relations between them.  Thus, they shall, as soon as possible and not 
later than 9 months from the exchange of the instruments of ratification 
of this Treaty, conclude the negotiations on cultural and scientific 
agreements.

ARTICLE 11

Mutual Understanding and Good Neighbourly Relations

1.  The Parties will seek to foster mutual understanding and tolerance 
based on shared historic values, and accordingly undertake:

a.  to abstain from hostile or discriminatory propaganda against each 
other, and to take all possible legal and administrative measures to 
prevent the dissemination of such propaganda by any organisation or 
individual present in the territory of either Party;

b.  as soon as possible, and not later than 3 months from the exchange 
of the instruments of ratification of this Treaty, to repeal all adverse 
or discriminatory references and expressions of hostility in their 
respective legislation;

c.  to refrain in all government publications from any such references 
or expressions;

d.  to ensure mutual enjoyment by each other's citizens of due process 
of law within their respective legal systems and before their courts.

2.  Paragraph 1 (a) of this Article is without prejudice to the right to 
freedom of expression as contained in the International Covenant on 
Civil and Political Rights.

3.  A joint committee shall be formed to examine incidents where one 
Party claims there has been a violation of this Article.

ARTICLE 12

Combating Crime and Drugs

The Parties will co-operate in combating crime, with an emphasis on 
smuggling, and will take all necessary measures to combat and prevent 
such activities as the production of, as well as the trafficking in 
illicit drugs, and will bring to trial perpetrators of such acts.  In 
this regard, they take note of the understandings reached between them 
in the above spheres, in accordance with Annex III and undertake to 
conclude all relevant agreements not later than 9 months from the date 
of the exchange of the instruments of ratification of this Treaty.

ARTICLE 13

Transportation and Roads

Taking note of the progress already made in the area of transportation, 
the Parties recognise the mutuality of interest in good neighbourly 
relations in the area of transportation and agree to the following means 
to promote relations between them in this sphere:

1.  Each Party will permit the free movement of nationals and vehicles 
of the other into and within its territory according to the general 
rules applicable to nationals and vehicles of other states.  Neither 
Party will impose discriminatory taxes or restrictions on the free 
movement of persons and vehicles from its territory to the territory of 
the other.

2.  The Parties will open and maintain roads and border-crossings 
between their countries and will consider further road and rail links 
between them.

3.  The Parties will continue their negotiations concerning mutual 
transportation agreements in the above and other areas, such as joint 
projects, traffic safety, transport standards and norms, licensing of 
vehicles, land passages, shipment of goods and cargo, and meteorology, 
to be concluded not later than 6 months from the exchange of the 
instruments of ratification of this Treaty.

4.  The Parties agree to continue their negotiations for a highway to be 
constructed and maintained between Egypt, Jordan and Israel near Eilat.

ARTICLE 14

Freedom of Navigation and Access to Ports

1.  Without prejudice to the provisions of paragraph 3, each Party 
recognises the right of the vessels of the other Party to innocent 
passage through its territorial waters in accordance with the rules of 
international law.

2.  Each Party will grant normal access to its ports for vessels and 
cargoes of the other, as well as vessels and cargoes destined for or 
coming from the other Party. Such access will be granted on the same 
conditions as generally applicable to vessels and cargoes of other 
nations.

3.  The Parties consider the Strait of Tiran and the Gulf of Aqaba to be 
international waterways open to all nations for unimpeded and 
nonsuspendable freedom of navigation and overflight. The Parties will 
respect each other's right to navigation and overflight for access to 
either Party through the Strait of Tiran and the Gulf of Aqaba.

ARTICLE 15

Civil Aviation

1.  The Parties recognise as applicable to each other the rights, 
privileges and obligations provided for by the multilateral aviation 
agreements to which they are both party, particularly by the 1944 
Convention on International Civil Aviation (The Chicago Convention) and 
the 1944 International Air Services Transit Agreement.

2.  Any declaration of national emergency by a Party under Article 89 of 
the Chicago Convention will not be applied to the other Party on a 
discriminatory basis.

3.  The Parties take note of the negotiations on the international air 
corridor to be opened between them in accordance with the Washington 
Declaration. In addition, the Parties shall, upon the exchange of the 
instruments of ratification of this Treaty, enter into negotiations for 
the purpose of concluding a Civil Aviation Agreement.  All the above 
negotiations are to be concluded not later than 6 months from the 
exchange of the instruments of ratification of this Treaty.

ARTICLE 16

Posts and Telecommunications

The Parties take note of the opening between them, in accordance with 
the Washington Declaration, of direct telephone and facsimile lines.  
Postal links, the negotiations on which having been concluded, will be 
activated upon the signature of this Treaty.  The Parties further agree 
that normal wireless and cable communications and television relay 
services by cable, radio and satellite, will be established between 
them, in accordance with all relevant international conventions and 
regulations.  The negotiations on these subjects will be concluded not 
later than 9 months from the exchange of the instruments of ratification 
of this Treaty.

ARTICLE 17

Tourism

The Parties affirm their mutual desire to promote co-operation between 
them in the field of tourism.  In order to accomplish this goal, the 
Parties--taking note of the understandings reached between them 
concerning tourism--agree to negotiate, as soon as possible, and to 
conclude not later than 3 months from the exchange of the instruments of 
ratification of this Treaty, an agreement to facilitate and encourage 
mutual tourism and tourism from third countries.

ARTICLE 18

Environment

The Parties will co-operate in matters relating to the environment, a 
sphere to which they attach great importance, including conservation of 
nature and prevention of pollution, as set forth in Annex IV.  They will 
negotiate an agreement on the above, to be concluded not later than 6 
months from the exchange of the instruments of ratification of this 
Treaty.

ARTICLE 19

Energy

1.  The Parties will co-operate in the development of energy resources, 
including the development of energy related projects such as the 
utilisation of solar energy.

2.  The Parties, having concluded their negotiations on the 
interconnecting of their electric grids in the Eilat-Aqaba area, will 
implement the interconnecting upon the signature of this Treaty.  The 
Parties view this step as a part of a wider binational and regional 
concept.  They agree to continue their negotiations as soon as possible 
to widen the scope of their interconnected grids.

3.  The Parties will conclude the relevant agreements in the field of 
energy within 6 months from the date of exchange of the instruments of 
ratification of this Treaty.

ARTICLE 20

Rift Valley Development

The Parties attach great importance to the integrated development of the 
Jordan Rift Valley area, including joint projects in the economic, 
environmental, energy-related and tourism fields. Taking note of the 
Terms of Reference developed in the framework of the Trilateral Jordan-
Israel-US Economic Committee towards the Jordan Rift Valley Development 
Master Plan, they will vigorously continue their efforts towards the 
completion of planning and towards implementation.

ARTICLE 21

Health

The Parties will co-operate in the area of health and shall negotiate 
with a view to the conclusion of an agreement within 9 months of the 
exchange of the instruments of ratification of this Treaty.

ARTICLE 22

Agriculture

The Parties will co-operate in the areas of agriculture, including 
veterinary services, plant protection, biotechnology and marketing, and 
shall negotiate with a view to the conclusion of an agreement within 6 
months from the date of the exchange of instruments of ratification of 
this Treaty.

ARTICLE 23

Aqaba and Eilat

The Parties agree to enter into negotiations, as soon as possible, and 
not later than one month from the exchange of the instruments of 
ratification of this Treaty, on arrangements that would enable the joint 
development of the towns of Aqaba and Eilat with regard to such matters, 
inter alia, as joint tourism development, joint customs posts, free 
trade zone, co-operation in aviation, prevention of pollution, maritime 
matters, police, customs and health co-operation.  The Parties will 
conclude all relevant agreements within 9 months from the exchange of 
instruments of ratification of the Treaty.

ARTICLE 24

Claims

The Parties agree to establish a claims commission for the mutual 
settlement of all financial claims.

ARTICLE 25

Rights and Obligations

1.  This Treaty does not affect and shall not be interpreted as 
affecting, in any way, the rights and obligations of the Parties under 
the Charter of the United Nations.

2.  The Parties undertake to fulfil in good faith their obligations 
under this Treaty, without regard to action or inaction of any other 
party and independently of any instrument inconsistent with this Treaty.  
For the purposes of this paragraph, each Party represents to the other 
that in its opinion and interpretation there is no inconsistency between 
their existing treaty obligations and this Treaty.

3.  They further undertake to take all the necessary measures for the 
application in their relations of the provisions of the multilateral 
conventions to which they are parties, including the submission of 
appropriate notification to the Secretary General of the United Nations 
and other depositories of such conventions.

4.  Both Parties will also take all the necessary steps to abolish all 
pejorative references to the other Party, in multilateral conventions to 
which they are parties, to the extent that such references exist.

5.  The parties undertake not to enter into any obligation in conflict 
with this Treaty.

6.  Subject to Article 103 of the United Nations Charter, in the event 
of a conflict between the obligations of the Parties under the present 
Treaty and any of their other obligations, the obligations under this 
Treaty will be binding and implemented.

ARTICLE 26

Legislation

Within 3 months of the exchange of the instruments of ratification of 
this Treaty, the Parties undertake to enact any legislation necessary in 
order to implement the Treaty, and to terminate any international 
commitments and to repeal any legislation that is inconsistent with the 
Treaty.

ARTICLE 27

Ratification and Annexes

1.  This Treaty shall be ratified by both Parties in conformity with 
their respective national procedures.  It shall enter into force on the 
exchange of the instruments of ratification.

2. The Annexes, Appendices, and other attachments to this Treaty shall 
be considered integral parts thereof.

ARTICLE 28

Interim Measures

The Parties will apply, in certain spheres to be agreed upon, interim 
measures pending the conclusion of the relevant agreements in accordance 
with this Treaty, as stipulated in Annex V.

ARTICLE 29

Settlement of Disputes

1.  Disputes arising out of the application or interpretation of this 
Treaty shall be resolved by negotiations.

2.  Any such disputes which cannot be settled by negotiations shall be 
resolved by conciliation or submitted to arbitration.

ARTICLE 30

Registration

This Treaty shall be transmitted to the Secretary General of the United 
Nations for registration in accordance with the provisions of Article 
102 of the Charter of the United Nations.

DONE at the Araba/Arava Crossing Point this day Jumada Al-Ula, 21st, 
1415, Heshvan 21st, 5755 to which corresponds 26th October, 1994 in the 
Arabic, Hebrew and English languages, all texts being equally authentic.  
In case of divergence of interpretation, the English text shall prevail.

For the Hashemite Kingdom of Jordan:
(Abdul Salam Majali)
Prime Minister

For the State of Israel
(Yitzhak Rabin)
Prime Minister

Witnessed by:

(William J. Clinton)
President of the 
United States of America


ITEM 6:

U.S. Goal of Peace in the Middle East To Produce Tangible Benefits
Address by President Clinton to the Jordanian Parliament, Amman, Jordan, 
October 26, 1994.

Your Majesties, Prime Minister Majali, Mr. President, Mr. Speaker,  
members of the Parliament, citizens of Jordan, citizens of the United 
States:  Mr. President, thank you for that generous introduction.  Your 
Majesty, thank you for welcoming me to your beautiful country and for 
giving me the opportunity to accept your kind hospitality after your 
many visits to our capital.

I thank you all for the honor to address this assembly and to reflect 
with you on this historic day of peace.  On this day--Your Majesty, 
descendant of the prophet Mohammed--in making peace with your neighbor, 
you have done even more than fulfill the legacy of King Abdullah.  You 
have sent a signal to the entire Arab world that peace is unstoppable.  

On this day, in the desert of the great Rift Valley, the people of 
Jordan stepped out of the shadows of strife.  You made a bold choice:  
You rejected the dark forces of terror and extremism; you embraced the 
bright promise of tolerance and moderation.  You spurned those who would 
draw you back into the hostile past.  You chose, instead, a future of 
opportunity and tranquility for your children.  The United States 
admires and supports the choice you have made,  and we will stand with 
you in months and years ahead.

Today, the people of Jordan pay homage to those who led the great Arab 
revolt for freedom, independence, and unity.  You honor the memory of 
three generations of Jordanians who gave their lives in defense of your 
country--what Your Majesty has called the shattering toll in blood and 
tears, the waste of youth, and the grief of our forefathers.

In your address to our Congress two months ago, Your Majesty called for 
an end to the unnatural and  sinister state that has spread fear and 
isolation.  You urged your people to commit themselves to establishing a 
new, humane, and natural order.  Now the people of Jordan have said, 
enough of blood, enough of tears.  It is time to move on.  In the words 
of Your Majesty, they have said:  Let us make what is abnormal, normal.

All over the world, people of different faiths and all walks of life 
celebrated this day.  All over the world, people of goodwill rejoiced at 
the leadership of King Hussein, who, with his courage, discipline, and 
vision, honored King Abdullah's wish as he embarked on his last journey 
to Jerusalem when he said:  "Do your very best to see that my work is 
not lost.  Continue it in the service of our people."

Now it can be said that Your Majesty has met King Abdullah's charge.  
And, in so doing, you are meeting the challenge of history and advancing 
the cause of peace throughout the Arab world.

Today's victory is also in keeping with the history of Jordan, which has 
long been a model for progress and a voice of moderation in the Arab 
world.  From the beginning, when King Abdullah brought together 
disparate peoples in a united kingdom, following this path has never 
been easy for you.  Yet in the midst of hard times and conflicts, you 
are building a society devoted to the growth of pluralism and openness.  
You have established a parliament where all voices can be heard.

You have nurtured a growing partnership between Your Majesty and all 
Jordanian citizens.  Your nation's commitment to pluralism has been 
matched by a remarkable generosity of spirit, for you have opened your 
doors to millions of your Arab brethren.  They have come here, year 
after year, seeking refuge in your nation, and here they have found a  
true home.  In return, they have enriched your economy and your culture.

My country, a nation of immigrants from every area of this world, 
respects your openness and your understanding that diversity is a 
challenge, but it can be a source of strength.  America's commitment to 
Jordan is as strong tonight as it was when Your Majesty traveled to the 
United States for the first time 35 years ago and met President Dwight 
Eisenhower, the first of eight presidents you have known.

The President and Your Majesty discussed the great threat that communism 
then posed to America and to the Arab world.  When President Eisenhower 
asked what America could do to help, Your Majesty said then, "We need 
more than anything else the feeling that we do not stand alone."

Now, at a time when those who preached hate and terror pose the greatest 
threat to the cause of peace, President Eisenhower's response still 
holds true.  Thirty-five years ago he told Your Majesty, "Our country 
knows what you have done.  Believe me, we won't let you down."

Both of us--Jordan and America-- are fighting the same battle.  Today, 
that battle is the struggle for peace, and I say, again, on behalf of 
the United States, we will not let you down.  

From the outset, America's commitment to a comprehensive peace in the 
Middle East has been backed by a strong pledge that whenever Arabs and 
Israelis turn the page on the past, the United States would work with 
them to write a real, practical future of hope.  Those who take risks 
for peace must not stand alone.  We  will work with Jordan to meet your 
legitimate defense requirements and to give you the security you 
deserve. 

But for peace to endure, it must not only provide protection, it must 
produce tangible improvements in the quality of ordinary citizens' 
lives--and, in so doing, give those citizens a real stake in preserving 
the peace.  The United States understands the need for peace to produce 
real benefits, and we are taking steps to meet that goal.

We have pledged to forgive all of Jordan's debt to our own government, 
and we have encouraged--indeed, urged--other countries to do the same.   
From one end of your border with Israel to the other, the U.S.-Jordan-
Israel Trilateral Economic Commission is preparing to invest in 
progress.  Visionary designs to develop the great Rift Valley, ambitious 
projects to produce more energy and fresh water, new efforts to extract 
minerals from the Dead Sea, and exciting plans to encourage visitors to 
share the wonders of your lands--all these are being brought to life.

Making these dreams real, of course, will require new investment and new 
capital.  To that end, the United States supports the creation of a 
Middle East Bank for Cooperation and Development.  And we will take the 
lead in consultations with governments within and beyond the region to 
ensure that the bank is properly structured.  Our government's Overseas 
Private Investment Corporation is establishing a $75-million regional 
investment fund to encourage American investment in projects like those 
in the Rift Valley.

The United States will actively pursue practical means of expanding 
trade and investment opportunities with Jordan.  We will consider a wide 
array of measures, including a bilateral investment treaty, other trade 
arrangements, and other initiatives that will lessen barriers to trade 
and increase prosperity in your area.  These critical steps and others 
to provide your citizens with the economic opportunities they deserve 
are vital to building peace in Jordan and throughout the Middle East.  
If people do not feel these benefits, if poverty persists in breeding 
despair and killing hope, then the purveyors of fear will find fertile 
ground.  Our goal must be to spread prosperity and security to all.  

After all, the chance to live in harmony with our neighbors and to build 
a better life for our children is  the hope that links us all together.  
Whether we worship in a mosque in Irbid, a Baptist church, like my own, 
in Little Rock, Arkansas, or a synagogue in Haifa, we are bound together 
in that hope.

Yet, though we know in every corner of the world people share that hope, 
there are those who insist that between America and the Middle East, 
there are impassable religious and other obstacles to harmony; that our 
beliefs and our cultures must somehow inevitably clash.  I believe they 
are wrong.  America refuses to accept that our civilizations must 
collide.  We respect Islam.  Every day in our own land, millions of our 
own citizens answer the Moslem call to prayer, and we know the 
traditional values of Islam--devotion to faith and good works, to family 
and society--are in harmony with the best of American ideals.  
Therefore, we know our people, our faiths, and our cultures can live in 
harmony with each other.

But in the Middle East, as elsewhere across the world, the United States 
does see a contest--a contest between forces that transcend 
civilization; a contest between tyranny and freedom, terror and 
security, bigotry and tolerance, isolation and openness.  It is the age-
old struggle between fear and hope.

This is the conflict that grips the Middle East today.  On one side 
stand the forces of terror and extremism that cloak themselves in the 
rhetoric of religion and nationalism  but behave in ways that contradict  
the very teachings of their faith and mock their patriotism.  These 
forces of reaction feed on disillusionment, on poverty, on despair.  
They stoke the fires of violence.  They seek to destroy the progress of 
this peace.  To them, I say:  You cannot succeed, for you are the past--
not the future. 

The people of Jordan and all those throughout the Arab world who are 
working for peace are choosing progress over decline; choosing reason, 
not ruin; choosing to build up, not tear down; choosing tomorrow, not 
yesterday.  The people of Jordan on this day, through King Hussein, have 
pledged themselves to a treaty based on a fundamental law of humanity--
that what we have in common is more important than our differences.

This was the message of Moses' farewell address to the children of 
Israel as they gathered to cross the River Jordan when he said, "I have 
set before you life and death, blessings and curses.  Choose life so 
that you and your descendants may live."  And it is the message the 
prophet Mohammed brought to the peoples of other faiths when he said, 
"There is no argument between us and you.  God shall bring us together, 
and unto him is the homecoming."

Today, the people of Jordan and  the people of Israel have reached 
across the Jordan River.  They have chosen life.  They have made a 
homecoming.  And tonight we say, thanks be to God, Al-Hamdulillah.


ITEM 7:

Progress Toward Achieving A Common Goal of Peace in the Middle East
Opening remarks by President Clinton and Syrian President Asad at a 
press conference held at the Great Hall, Presidential Palace, Damascus, 
Syria, October 27, 1994.

President Asad.  President Clinton, ladies and gentlemen:  I am pleased 
to welcome President Clinton in Damascus, the oldest continuously 
inhabited city in the world, in the heart of the region which witnessed 
the dawn of human civilizations and the cradle of divine religions.  
This region whose peoples have long suffered--especially throughout the 
century, through the horrors of wars, the bitterness of conflict and 
bloodshed--hopes at last to enjoy peace and stability.

The visit of President Clinton at the head of the high-level American 
delegation to our country, and the positive and fruitful talks we had 
today, constitute an important step toward the realization of this noble 
objective to which the people of the region and the world at large 
aspire.

Our talks today have focused on the different aspects of the peace 
process and its developments.  In this regard, I would like to express 
my deep satisfaction with the fact that our views were identical 
regarding the importance of achieving a comprehensive peace on the basis 
of Security Council Resolutions 242 and 338, and the principle of land 
for peace, and that the solution we seek has to be just in order to be 
stable and lasting.

I have reaffirmed to President  Clinton the continued commitment of 
Syria to the peace process and its serious pursuit of a comprehensive 
and just peace as a strategic choice that secures Arab rights; ends the 
Israeli occupation of the Arab land in conformity of the Security 
Council Resolutions 242, 338, and 425; and enables all peoples of the 
region to live in peace, security, and dignity.

I also stressed to President Clinton--emanating from the principle--full 
withdrawal for full peace.  I stressed to President Clinton the 
readiness of Syria to commit itself to the objective requirements of 
peace through the establishment of peaceful, normal relations with 
Israel in return for Israel's full withdrawal from the Golan to the line 
of June 4, 1967, and from the south of Lebanon.

In this context, the statement of President Clinton on the eve of his 
trip to the region asserting that no comprehensive peace can be achieved 
in the region without Syria is a realistic expression that reflects an 
international consensus regarding this fact.  Our nation has sacrificed 
hundreds of thousands of martyrs, not out of love for war or fighting, 
but in defense of its rights, dignity, and land.  That's why we aspire 
today to transform the region from a state of war to a state of peace--a 
peace that genders to each party its rights, ends occupation, saves the 
blood of the innocent, and preserves man's dignity; a peace that 
prevails throughout the region and enables its peoples--both Arabs and 
Israelis--to live in security, stability, and prosperity.

Finally, I would like to convey greetings to the American people through 
President Clinton, and to thank President Clinton for his personal 
efforts and the efforts of his aides.  I would like to express my 
readiness to work with him for achieving a real, comprehensive, and just 
peace in the region.  Thank you.


President Clinton.  I am glad to have had the opportunity to stop in 
Syria to meet with President Asad.  After yesterday's signing of the 
peace treaty between Israel and Jordan, I came to Damascus today to 
continue working for our common goal of peace in the Middle East.

During our meeting this morning, President Asad and I affirmed our 
common commitment to that goal and want to accelerate progress toward 
our objective.  Yesterday's signing represents an important step 
forward.  But our job will not be done and we will not rest until peace 
agreements between Israel and Syria and Israel and Lebanon are achieved.

A Syrian-Israeli agreement is key to achieving a comprehensive peace.  
Given Syria's important regional role, it will inevitably broaden the 
circle of Arab states willing to embrace peace.  And it will build 
confidence throughout the area that peace will endure.

My talks here with President Asad are a sign of our mutual determination 
to achieve a peace of the brave as quickly as possible.  The United 
States will do everything possible to help make that a reality.

For peace to endure, it must also be just.  Peace between Israel and 
Syria must be based on United Nations Security Council Resolutions 242 
and 338 and the principle of land for peace.  Peace must also be real--
more than mere words on paper; more than just the absence of war.  
Nations must establish normal peaceful relations.

Peace must also be secure for both sides.  Security for one side should 
not come at the expense of the other's security.  Peace must guarantee 
security against surprise attack by any side.  And peace must enable the 
parties to invest in economic development, rather than military might.

All sides must enjoy stability and tranquility; violence must cease.  
Borders must no longer be subject to aggression, terrorist infiltration, 
violent acts, or bombardment.  The murderous acts of terror that we have 
witnessed over the past weeks have two targets:  first, innocent people 
who have been killed and wounded; and second, the very peace that 
President Asad supports.  All who work for peace must condemn these 
terrorist acts.  President Asad and I agree that the peace process 
allows no place for the killing of innocent civilians.

I also told President Asad of my desire to see the relations between our 
two nations improve.  In an era of peace, improved relations would 
benefit both countries and improve regional stability and security.

Finally, I want to tell the Syrian people how very glad I am to have the 
opportunity to visit your country, if only briefly.  Like your neighbors 
in Israel, you have waited too long and have suffered too much to be 
further denied the hope for a new and better future.  On behalf of the 
American people, I pledge that I will work with President Asad to do 
everything possible to make real this new and peaceful future.


ITEM 8:

Realizing the Blessings of Peace in the Middle East
Remarks by President Clinton to the Israeli Knesset, Jerusalem, October 
27, 1994.

Mr. President, Mr. Prime Minister, Mr. Speaker, Mr. Netanyahu, ladies 
and gentlemen of the Knesset:  Let me begin by thanking the Prime 
Minister and the people of Israel for welcoming me to your wonderful 
country and thanking all of you for giving me the opportunity to address 
this great democratic body where, clearly, people of all different views 
are welcome to express their convictions.  I feel right at home.

Yesterday, Israel took a great stride toward fulfilling the ancient 
dream of the Jewish people--the patriarch's dream of a strong and 
plentiful people living freely in their own land, enjoying the fruits of 
peace with their neighbors--nearly 17 years after President Sadat came 
to this chamber to seek peace and Prime Minister Begin reached out in 
reconciliation.  And just over a year after Israel and the PLO declared 
a pathway to peace on the South Lawn of the White House, Israel and 
Jordan have now written a new chapter.

Tonight, we praise the courage of the leaders who have given life to 
this treaty--Prime Minister Rabin and Foreign Minister Peres.  They have 
shown the vision and the tenacity of other leaders of Israel's past 
whose names will be remembered always for their devotion to your cause 
and your people--Ben Gurion, Maier, and Begin.

In your life Prime Minister, we see the life of your country.  As a 
youth, you wished to fulfill the commandment to farm the land of Israel, 
but, instead, you had to answer the call to defend the people of Israel.  
You have devoted your life to cultivating strength so that others could 
till the soil in safety.  You have fought many battles and won many 
victories in war.  Now, in strength, you are fighting and winning 
battles for peace.  Indeed, you have shown your people that they can 
free themselves from siege; that for the first time, they can make real 
a peace for the generations.

For the American people, too, this peace is a blessing.  For decades, as 
Israel has struggled to survive, we have rejoiced in your triumphs and 
shared in your agonies.  In the years since Israel was founded, 
Americans of every faith have admired and supported you.  Like your 
country, ours is a land that welcomes exiles--a nation of hope; a nation 
of refuge.  From the Orient and Europe, and now from the former Soviet 
Union, your people have come--Ashkenazim and Sephardim, Yemenites and 
Ethiopians--all of you committed to living free, to building a common 
home.

One out of nearly four citizens of this country is an Arab, something 
very few people know beyond your borders.  Even without the blessings of 
secure borders, you have secured for your own people the blessings of 
democracy.  With all of its turmoil and debate, it is still the best of 
all systems.

In times of war and times of peace, every President of the United States 
since Harry Truman--and every Congress--has understood the importance of 
Israel.  The survival of Israel is important not only to our interests, 
but to every single value we hold dear as a people.  Our role in war has 
been to help you defend yourself by yourself.  That is what you have 
asked.  Now that you are taking risks for peace, our role is to help you 
to minimize the risks of peace. 

I am committed to working with our Congress to maintain the current 
levels of military and economic assistance.  We have taken concrete 
steps to strengthen Israel's qualitative edge.  The U.S.-Israel Science 
and Technology Commission, unprecedented Israeli access to the U.S. 
high-technology market, and acquisition of advanced computers--all these 
keep Israel in the forefront of global advances and competitive and 
global markets.

I have also taken steps to enhance Israel's military and your capacity 
to address possible threats not only to yourselves, but to the region.  
F-15 aircraft are being provided and F-16s transferred out of U.S. 
stocks.  We work closely with you to develop the Arrow missile, to 
protect against the threat of ballistic missiles.

As we help to overcome the risks of peace, we also are helping to build 
a peace that will bring with it the safety and security Israel deserves.  
That peace must be real, based on treaty commitments arrived at directly 
by the parties, not imposed from outside.  It must be secure.  Israel 
must always be able to defend itself by itself.  And it must be 
comprehensive.  We have worked hard to end the Arab boycott, and we've 
had some success.  But we will not stop until it is completely lifted.

There is a treaty with Jordan and an agreement with the PLO, but we must 
keep going until Syria and Lebanon close the circle of states entering 
into peace and the other nations of the Arab world normalize their 
relations with Israel.

This morning in Damascus, I discussed peace with President Asad.  He 
repeated at our press conference what he had earlier said to his own 
parliament:  Syria has made a strategic choice for peace with Israel.  
He also explained that Syria is ready to commit itself to the 
requirements of peace through the establishment of normal peaceful 
relations with Israel.  His hope, as he articulated it, is to transform 
the region from a state of war to a state of peace that enables both 
Arabs and Israelis to live in security, stability, and prosperity.

We have been urging President Asad to speak to you in a language of 
peace that you can understand.  Today, be began to do so. 

Of course, it would take more than words--much more than words.  Yet I 
believe something is changing in Syria.  Its leaders understand that it 
is time to make peace.  There will still be a good deal of hard 
bargaining before a breakthrough, but they are serious about proceeding. 

Just as we have worked with you from Camp David to Wadi Araba to bring 
peace with security to your people, so, too, we will walk with you on 
the road to Damascus for peace with security.

There are those who see peace still as all-too distant.  Surely, they 
include the families of those burned in the rubble of the community 
center in Buenos Aires; those in the basement of New York's World Trade 
Center; the loved ones of the passengers on bus number 5; and, of 
course, two people who, as has been noted, are in this chamber with us 
tonight--and we honor them--the parents of Corp. Nachsan Waxman, a son 
of your nation, and, I proudly say, a citizen of ours.

We grieve with the families of those who are lost and with all the 
people of Israel.  So long as Jews are murdered just because they are 
Jews, or just because they are citizens of Israel, the plague of anti-
Semitism lives, and we must stand against it.  We must stand against 
terror as strongly as we stand for peace; for without an end to terror, 
there can be no peace. 

The forces of terror and extremism still threaten us all.  Sometimes 
they pretend to act in the name of God and country, but their deeds 
violate their own religious faith and make a mockery of any notion of 
honorable patriotism.

As I said last night to the parliament in Jordan, we respect Islam.  
Millions of American citizens every day answer the Moslem call to 
prayer.  But we know that the real fight is not about religion or 
culture.  It is about a worldwide conflict between those who believe in 
peace and those who believe in terror; those who believe in hope and 
those who believe in fear.

Those who stoke the fires of violence and seek to destroy the peace--
make no mistake about it--have one great goal.  Their goal is to make 
the people of Israel, who have defeated all odds on the field of battle, 
give up inside on the peace by giving into the doubts that terror brings 
to every one of us.  But having come so far, you cannot give up or give 
in.  Your future must lie in the words of a survivor of the carnage of 
bus number 5 who said, I want the peace process to continue; I want to 
live in peace; I want my children to live in peace.

So let us say to the merchants of terror once again, you cannot succeed; 
you must not succeed; you will not succeed.  You are the past, not the 
future; the peacemakers are the future.

I say to you, my friends, in spite of all the dangers and difficulties 
that still surround you, the circle of your enemies is shrinking.  Their 
time has passed.  Their increasing isolation is reflected in the 
desperation of their disgusting deeds.

Once in this area, you were shunned.  Now, more and more, you are 
embraced.  As you share the waters of the River Jordan and work with 
your neighbors, new crops will emerge where the soil is now barren.  As 
you join together to mine the Dead Sea for its minerals, you will bring 
prosperity to all your people.  As you roll up the barbed wire and cross 
the desert of Araba, the sands will yield new life to you.  As you dock 
in each other's ports along the Gulf of Aqaba, more and more people will 
have the chance to experience the wonders of both your lands, and more 
and more children will share the joys of youth, not the dread of war.

This is the great promise of peace.  It is the promise of making sure 
that all those who have sacrificed their lives did not die in vain; the 
promise of a Sabbath afternoon, not violated by gunfire; a drive across 
the plains to the mountains of Moab where Moses died and Ruth was born; 
a Yom Kippur of pure prayer without the rumble of tanks, voices of fear, 
or rumors of war.  After all the bloodshed and all your tears, you are 
now far closer to the day when the clash of arms is heard no more and 
all the children of Abraham, the children of Isaac, and the children of 
Israel will live side by side in peace.

This was, after all, the message the prophet Mohammed himself brought to 
peoples of other faiths when he said, "There is no argument between us 
and you.  God will bring us together, and unto Him is the homecoming."  
And this was the message Moses spoke to the children of Israel when, for 
the last time, he spoke to them as they gathered across the River Jordan 
into the Promised Land and said, "I have set before you life and death, 
blessings and curses.  Choose life so that you and your descendants may 
live."

This week, once again, the people of Israel made a homecoming.  Once 
again, you chose life.  Once again, America was proud to walk with you.

The Prime Minister mentioned a story in his remarks that he never asked 
me about.  Wouldn't it be embarrassing if it weren't true?  The truth is 
that the only time my wife and I ever came to Israel before today was 13 
years ago with my pastor on a religious mission.  I was then out of 
office.  I was the youngest former governor in the history of the United 
States.  No one thought I would ever be here--perhaps, my mother; no one 
else.

We visited the holy sites.  I relived the history of the Bible--of your 
scriptures and mine.  And I formed a bond with my pastor.  Later, when 
he became desperately ill, he said he thought I might one day become 
President.  And he said, more bluntly than the Prime Minister did, "If 
you abandon Israel, God will never forgive you."  He said it is God's 
will that Israel--the biblical home of the people of Israel--continue 
forever and ever.

So I say to you tonight, my friends, one of our Presidents, John 
Kennedy, reminded us that here on earth, God's will must truly be our 
own.  It is for us  to make the homecoming, for us to choose life, and 
for us to work for peace.  But until we achieve a comprehensive peace in 
the Middle East, and then after we achieve a comprehensive peace in the 
Middle East, know this: Your journey is our journey, and America will 
stand with you now and always.  Thank you, and God bless you. 


ITEM 9:

Moving Toward Peace in the Middle East 
Opening statements by President Clinton and Israeli Prime Minister Rabin 
at a press conference in Jerusalem, October 27, 1994.

Prime Minister Rabin.  Mr. President, ladies and gentlemen:  I believe 
that we experienced during the visit of President Clinton in the region 
a real move toward peace.  No doubt that the visit of President Clinton 
was crowned yesterday by the second peace treaty between an Arab country 
and Israel, the first one after the convening of the Madrid Peace 
Conference.

We look, from Israel's point of view, to President Clinton as a friend 
of Israel and a president that works very hard to bring about what we 
dream for, aspire to--to achieve comprehensive peace; that is, to say, 
peace with our four neighboring Arab countries.  With two, it has been 
accomplished.  And no doubt, the visit of the President in Damascus, I 
believe, will bring about certain changes:  a movement toward better 
negotiations; better possibilities to overcome the gaps between the 
positions of Israel and Syria.

There is no doubt in my mind that during your term, Mr. President, as 
the President of the United States, we have seen dramatic change in the 
relations between those Arab partners with whom we negotiate.  We signed 
the Declaration of Principles between us and the PLO on the lawn of the 
White House.  It was followed by the negotiations to bring about the 
first phase of its implementation in the Gaza-Jericho first.

We are engaged today in continuation of our negotiations with the 
Palestinians about Arab empowerment, elections, and, no doubt, 
yesterday, we signed a peace treaty that the President helped to bring 
about and witnessed.

For two years, to reach two agreements--one, with the Palestinians with 
which we have a long story of suspicion, hatred, prejudice, bloodshed; 
the other with the Jordanians, where I remember over 46 years ago that, 
in this city, I fought them, and they fought me--and we look forward to 
make it possible to overcome yet the differences between Syria and 
Lebanon and us.

It might take time.  One has to be patient.  One has to understand that 
there are problems.  I believe that it will not take long, and, 
hopefully, we'll find ways and means by which to overcome these gaps.

I hope, Mr. President, that you will continue sending Secretary 
Christopher, who worked very hard and tried, in your name, to move 
between Damascus and Jerusalem with the purpose of finding ways to 
overcome the differences.

Allow me also to add that the Government of Israel of today is 
determined, on one hand, to continue all our efforts to bring about 
comprehensive peace.  But, at the same time, we are fully aware that 
there are enemies of peace.  For us, the enemies of peace are the 
extreme Islamic radical terror movements.  Among the Palestinians, they 
are the Hamas and the Islamic Jihad.  Ninety percent of the terror 
activities against us are carried out by them.

And, there is a tendency for oversimplification:  to identify those 
parts of the Palestinians with whom we reach an agreement--and we try to 
implement it--and extreme radical Islamic elements that are enemies of 
peace and enemies of the Palestinians that reach agreement with us.  
From Lebanon, Hezbollah is part of the ugly wave of Khomeinism without 
Khomeini that is all over the Arab world and the Islamic world.  
Whatever happens in Algeria is not related whatsoever to the Arab-
Israeli conflict--nor is Sudan; nor is fighting within Egypt.  It's an 
ugly wave that threatens not only the peace--they are the infrastructure 
of the international terrorism.  And behind it--to a certain extent--are 
certain parties; to a larger extent, is Iran.

And, therefore, Mr. President, we support your policy of dual 
containment.  We believe it's vital to the peace in the Middle East, to 
stability among the Arab and the Muslim world, and to prevent 
international terrorism.

We thank you very much.  You heard today in our Knesset that the 
government and opposition together joined in the support of the peace 
treaty with Jordan, in expressing thanks to you, Mr. President, for the 
way that you have stood and stand in support of Israel's security while 
trying your best to bring about advancement, which was successful so far 
in bringing about peace to the region.

Therefore, today, here in Jerusalem--the united city, the capital of 
Israel, and, no doubt, the heart of the Jewish people--we thank you.  
Thank you very much.

President Clinton.   Thank you, Prime Minister.  Ladies and gentlemen, 
because I had the opportunity to speak at length at the Knesset this 
evening and to outline my position on a number of matters, I will be 
very brief.  I would like to make just a couple of points.

First of all, at my first meeting with Prime Minister Rabin shortly 
after I became President, he told me he was prepared to take risks for 
peace.  And I told him that, that being the case, the job of the United 
States was to minimize those risks.  For 20 months now, we have both 
done our best to do our jobs, and I think it's fair to say that we have 
had a reasonable amount of success in which the people of Israel can be 
proud, in which they can feel secure, and in which I hope the American 
people take pride.

Secondly, I would like to congratulate him and the people of Israel 
again on the peace treaty with Jordan.  We have responsibilities there 
that relate to the security of both Israel and Jordan, and I have been 
working on that even since the peace treaty has been signed.  I was in 
conversations with the King well past midnight last night.  We are 
attempting to do our part to make sure this peace is as wildly 
successful as everyone believes it can be.

Third, I thank the Prime Minister for his comments about terrorism and 
his support for our policies; especially, I think I should mention 
something I did not mention in my speech tonight, which is of the 
steadfast support of Israel for our policies in the Gulf and for our 
recent action in the Gulf.  I will be going to Kuwait tomorrow to see 
our troops and on to Saudi Arabia.  I appreciate the support of Israel.

Finally, with regard to what the Prime Minister said about Syria and my 
trip there today:  I went there because I was convinced we needed to add 
new energy to the talks.  And I come away from Syria convinced that we 
have--that some significant progress has been, at least, made possible, 
and that there has been some change in positions that offer the hope of 
more progress.  And I have instructed the Secretary of State to return 
to the region within a few weeks to continue.  Meanwhile, other 
discussions continue at other levels.  And I am confident that we can be 
successful by simply pushing ahead.

So on all these fronts, I feel better tonight than I did when I came 
here.  And, again, I thank the Prime Minister for this welcome and for 
the opportunity to address the Knesset.  

(###)



  Recent Developments in U.S. Relations With Saudi Arabia and Kuwait

ITEM 10:

U.S.-Saudi Arabia Joint Communique
Joint Communique released by the White House, Office of the Press 
Secretary, King Kahlid Military City, Saudi Arabia, October 28, 1994.

The Custodian of the Two Holy Mosques, King Fahad Bin Abdul-Aziz Al-
Saud, King of the Kingdom of Saudi Arabia held a meeting with his 
excellency President William Clinton, during his Excellency's current 
visit to the Kingdom of Saudi Arabia, on Friday the 23rd of Jumda Al-
Awal, 1415, A.H., corresponding to the 28th of October, 1994.

In this meeting, the two leaders reviewed bilateral relations along with 
regional and international issues of common interest.  In this regard, 
there was an expression of deep satisfaction at the level of bilateral 
relations and a mutual readiness to promote and develop their relations 
in a way that serves the common interests of the two countries and the 
well-being of the two peoples as well as contribute to the security and 
development of the whole region.

In addition, the two leaders discussed recent developments related to 
the peace process in the Middle East. On this matter, the Custodian of 
the Two Holy Mosques, with great satisfaction, noted the relentless 
efforts of President Clinton and his government to move ahead the peace 
process and emphasized support for all the agreements already reached.  
On his part, President Clinton expressed his appreciation for King 
Fahad's support for the Israel-PLO agreements and the Israel-Jordan 
Peace Treaty and for his promotion and enhancement of the peace process.  
In particular the President expressed appreciation to him and his 
counterparts in the Gulf Cooperation Council for ending their 
enforcement of the secondary and tertiary boycotts.  Both leaders 
emphasized their commitment to continue efforts to achieve concrete 
progress in the Israeli-Syrian and Israeli-Lebanese track.  The two 
leaders took cognizance of the fact that a permanent and comprehensive 
peace in the area must be based on the Security Council Resolutions 242, 
338 as well as the Principle of Land for peace.

During the talks, the two leaders also examined current threats that 
endanger regional peace and security, notably, the recent Iraqi 
violation of Security Council Resolutions and confirm the ill intentions 
of the Iraqi government and its continued aggressive policies that 
threaten the security and stability of the Gulf area.  They also noted 
the provisions of Security Council Resolution number 949, underscoring 
their firm resolve to prevent Saddam Hussein from again posing a threat 
to Iraq's neighbors, particularly, the security of the State of Kuwait 
and future stability of the region.  The two leaders voiced their view 
that any attempt to lift or alleviate the sanctions on Iraq will 
continue to be premature as long as Iraq does not comply fully and 
comprehensively with all the Security Council Resolutions that pertain 
to its aggression on the State of Kuwait.  Consequently, any other 
efforts, inconsistent with the Security Council Resolutions, would only 
result in encouraging the Iraqi regime to continue its aggressive 
policies and to flout the will of the international community.

The two leaders emphasized that they had no quarrel with the Iraqi 
people with whose plight they sympathize.  They drew attention to the 
humanitarian provisions of the UNSC resolutions which the Iraqi regime 
has failed to take up.  The responsibility for the hardship of the Iraqi 
people lies entirely with the Iraqi regime.

The United States and Saudi Arabia condemn all terrorist activities. We 
are united against all the enemies of peace, those who threaten 
aggression and those who kill innocent people and whose real target is 
peace itself.  In this way, we will widen the circle of peacemakers and 
promote reconciliation between them. 


ITEM 11:

The U.S. and Kuwait:  Partners Into the Future
Remarks by President Clinton and Kuwaiti Amir Jabir al-Sabah at the 
presentation of the Mubarak Medal to President Clinton, Kuwait City, 
Kuwait, October 28, 1994.

Kuwaiti Amir Jabir al-Sabah.  Your excellency, Mr. President:  I welcome 
you on the soil of Kuwait in the name of the people of this land who are 
delighted to welcome you and have the opportunity to express their 
appreciation and gratitude to the friendly people of America and to you, 
honorable person.

Your visit, short as it is, has a great significance.  It's an 
expression of your people's lofty ideals and their readiness to defend 
them so that peace will prevail among the nations of this world.

Mr. President, the friendship that binds our two countries and peoples--
in spite of the disparity in size and geography--is irrefutable evidence 
of our unity of purpose and our efforts to pursue the common welfare of 
all the peoples of the world for humanitarian reasons.

We, Mr. President--together with those who share our beliefs in the 
necessity of containment of aggression on the part of some and their 
tendency to violate international law--are deeply appreciative of your 
people's stances and their readiness to sacrifice in sending the men and 
women of the American armed forces here to stand side by side with their 
friends to defend these noble principles.

It seems that even these days some evil powers, threatened by consumed 
lust to dominate and oppress, think that they can disregard problems and 
values and commit aggression whenever they feel like it.  Such an outlaw 
mission can only be deferred by others in its power capable of reverting 
it back to its senses and showing that there still are those who would 
defend the law and the principles of peace and justice.

Mr. President, the people of Kuwait want to express to your excellency a 
deep appreciation of your noble qualities--especially matching your 
words with deeds with patience that does not lack resolve and compassion 
that does not lack determination.  We also want to convey to you, and 
through you, our feelings toward the people of the United States who, 
with full awareness and determination, take it upon themselves to defend 
just causes wherever they are.

It is a source of great pleasure for me that--in the name of the people 
of Kuwait and in the name of the noble friendship that binds our two 
countries and peoples--I present you with our highest decoration, the 
Necklace of Mubarak the Great, as a sign of our gratitude and the 
sincere friendship between our two nations--unified not only by common 
interests but also by high ideals.  With my deepest affection and 
highest regards.


President Clinton.  First, let me thank you Your Royal Highness and the 
people of Kuwait for this high honor.  Mubarak the Great--your 
grandfather and the modern-day founder of this proud nation--symbolizes 
the determination to defend your independence against all aggression.

I accept your honor on behalf of all the American people and especially 
the men and women of our armed forces.  They are the strength behind our 
commitment to Kuwait and to peace and security in the entire Gulf 
region.  They are the steel in our determination never again to allow 
Iraq to threaten its neighbors.  They have stood shoulder to shoulder 
with your men in arms, and, once again, have said "no" to aggression and 
"yes" to peace.

As the men and women of our armed forces work to make peace in the Gulf, 
far-sighted leaders are making peace elsewhere in the Middle East.  I am 
encouraged by the effort of Arabs and Israelis to live together in 
peace.  As Jordan and Israel have demonstrated, a peace for the 
generations is now before us.

I want to thank Kuwait especially for the important contribution you 
have made to the peace process.  By helping lead the way to end the 
boycott of Israel, Kuwait is saying:  Let us close the door on the past 
and open a new page to the future--a future of peaceful co-existence and 
prosperous commerce for all the people in this region.

Your Royal Highness, the United States stands with those who seek to 
ensure the triumph of hope over fear.  It was just a few years ago that 
President Bush sent our troops here to defend your very existence.  
Since that time our friendship has grown, and our military cooperation 
has increased.  Our determination is clear:  Kuwait shall remain free, 
and the United States and Kuwait will remain partners into the future.


ITEM 12:

U.S. Leadership Advances Peace in the Middle East and the World
Excerpt from radio address by President Clinton to the nation, Tactical 
Assembly Area Liberty, outside Kuwait City, Kuwait, 
October 29, 1994.

This week, I am speaking to you from Tactical Assembly Area Liberty in 
the sands outside Kuwait City, Kuwait, in the Persian Gulf, where I am 
visiting the brave men and women of our armed forces who are working 
here to defend freedom.

Three weeks ago, I ordered them and other members of the military to 
come here because Iraq was massing tens of thousands of troops on 
Kuwait's border.  Our soldiers, sailors, pilots, and Marines got here in 
a hurry, and Iraq got the message in a hurry.  Its forces stopped dead 
in their tracks, and now they have withdrawn.  On behalf of all 
Americans, I came to Kuwait to tell our troops two simple but deeply 
felt words:  Thank you.

I can tell you the men and women of our armed forces are doing well.  
They are working well with their coalition forces--the Kuwaitis, the 
British, and the other allies who have come here to help defend this 
country.  Their morale is high; their commitment to their mission is 
unquestioned.  Of course, they'd rather be home with their loved ones, 
and we'll do everything we can to get them back there soon.  But they're 
here to do their jobs, and nobody does it better.  In places from Haiti 
to Korea, our troops are the great source of our national strength.

As our military helps to secure peace in the Gulf, our diplomacy is also 
helping to make peace between Israel and its Arab neighbors.  I wish all 
Americans could have seen what I had the privilege to witness this week:  
The leaders of Israel and Jordan--enemies for 47 years--found the 
courage to put aside their past to come together in a moving ceremony in 
the desert between their two countries.  They made peace after a 
generation of war so that this generation and the next generation of 
their citizens could enjoy their lives, not live in dread.

I know you were moved, as I was, by what Jordan's King Hussein and 
Israel's Prime Minister Rabin said about America.  They said they could 
not have made this peace without our support.  One member of a 
delegation of Americans who went with me put it best when he said, "It 
made me so proud to know that my country was responsible for helping to 
build this peace."

The United States, at this moment in history, is uniquely blessed.  We 
are blessed with great power and a heritage and commitment not to abuse 
that power but, instead, to seek peace, freedom, and democracy as well 
as our own security.  We are using our role to do that in the Middle 
East--to build a comprehensive peace.

A year ago, leaders of Israel and the Palestine Liberation Organization 
came to the White House for another historic peace accord.  This week, I 
made it clear to them that the PLO must do everything it can to end 
terrorism against Israel so that the peace process can create a better 
future for this region.  I met with President Asad of Syria to say it's 
time he, too, follows the example and inspiration of Israel and Jordan.  
We made progress on this trip, and we'll continue to do our part to 
bring peace to this long-troubled part of the world.

All over the world, nations look to us for leadership--whether it's in 
the peace process between Israel and its Arab neighbors, the South 
Africans asking us to help them hold their first successful democratic 
elections,  leaders in Northern Ireland asking the United States to help 
end their terrible conflict, or the folks in Haiti who, when President 
Aristide and democracy returned, held up signs to our troops that said 
simply, "Thank you, America."

And, of course, it's clear that when Saddam Hussein reared up his head 
again in the Gulf, Kuwait and other countries looked to the United 
States.  They know that the good men and women I came to Kuwait to thank 
are the strength behind our commitment to peace and to freedom.  We must 
maintain a strong defense so that we can protect our own security and 
our own interests and so that we can make the world safer and more 
prosperous for our children by advancing freedom, as we are doing here 
in the Gulf today..

(###)



                         Casablanca Conference

ITEM 13:

Promoting Economic Development in the Middle East
Excerpt from an opening statement of a press briefing by Secretary 
Christopher, October 30, 1994, en route Riyadh, Saudi Arabia, to the 
Casablanca Conference (October 30-November 1, 1994).

Today is the third anniversary of the Madrid Conference which began the 
process of political dialogue that made the breakthrough to having the 
Israelis begin to talk directly with the Arab countries.  This 
conference in Casablanca can do the same thing for economic development 
in the region that the Madrid Conference did for political development.

There is no doubt that an incredible change is taking place in the 
region.  But you have to recognize that despite these transforming 
developments, there are major problems that are affecting the future of 
the peace process.

First is the terror that is coming from the enemies of peace.  It has 
been accelerating as we get closer to political achievements--various 
groups become more desperate and are taking big chances.  Of course, the 
President and I both spent quite a lot of time trying to address that in 
the four days that we have been here.

The second major threat to the peace process is economic stagnation and 
the failure to produce the economic benefits which will show the people 
that peace is not just  a sterile concept, but that it portends positive 
things in their own lives.  It is to address this second problem that 
this conference is so fundamentally important.

A better quality of life is the best antidote to terror.  Improving the 
quality of life is fundamental to Chairman Arafat achieving his aims 
with Gaza and Jericho, and, more broadly, with the West Bank.

There are two major stories that will come out of the Casablanca 
Conference.  The first is the steps that we can take to promote 
investment and development in the Middle East--steps that we can take to 
spur commercial activity.  Governments can only do so much in the 
commercial or economic sphere.  They can provide a peaceful context, 
which is essential, and they can do things with respect to their own 
laws and regulations which provide an environment for peace.

But at rock-bottom, only the private sector can make the generating 
investments that are essential for real progress and improvement in the 
quality of life of the people.  It is one of the sad truths that when 
government provides aid, frequently, the aid is not generative in the 
way that private investment is.  Private companies make investments only 
because they will generate more activity.  Private investments are made 
on the assumption that they produce activity and, hence, produce 
profits.

The second major story, as I view it, is the growing acceptance of 
Israel in the Middle East.  The fact that Prime Minister Rabin will be 
here having bilaterals and participating in this conference and that 
Foreign Minister Peres has been one of the inspirations for this 
conference indicate the acceptance of Israel in the region in a tangible 
way--and has great portents for the future.

There are two fundamental bases that have been necessary in order to 
have the conference.  The first one is fairly obvious and that is, 
unless there was progress in the peace process, these nations could not 
be able to sit down and work on economic development.  The instability 
of the Middle East has been a major handicap for a long time for 
businesses developing in the area.  They see opportunity, but businesses 
are essentially conservative.  They only have so much money to invest, 
and they invest it in places where there is stability and promise.

The second thing, which has opened the door to this conference, is the 
lifting of the secondary and tertiary aspects of the boycott and, 
frankly, the fact that the boycott is honored in the breach and has been 
for some time in the Middle East.  The action of the GCC countries in 
formally lifting the secondary and tertiary aspects of the boycott was a 
big forward plus for this conference.

I think that the two basic stories, one, spurred economic development 
and two, acceptance of Israel, both depend upon the foundation of the 
peace process moving forward, and second, the lifting of the Arab 
boycott of Israel.  Companies, for a long time, have been hesitant to 
venture into this area, because of the boycott and its ramifications, 
because of the risks involved for American companies that tried to 
operate here.

Now, to give a little preview of what I will be saying tonight:  I see 
that the real news coming out of the conference will be what the 
conference decides in economic terms and what is agreed on in the 
communique.  I expect four major points to be in that communique.

First, I expect to see an agreement in principle that will lead to 
governmental commitment to the free flow of goods, ideas, and labor 
across international borders.  I think that principle will be 
fundamental to the development of the area, and I expect to see the 
parties at the conference agree to that.

Second, the conference will propose a committee of experts to structure 
a Middle East bank for economic cooperation and development.  This, as 
you know, was proposed and strongly advocated by President Clinton in 
his Jordan speech.  If you look back to that, you will find a very crisp 
and supportive quote by him.  It was basically an unqualified 
endorsement.

Third, the conference will call for the establishment of a regional 
tourist board, which will emphasize the amazing potential that there is 
for tourist attractions to become a major part of the economies of the 
Middle East.  As you go through these Middle Eastern countries, in one 
place after another, there are tourist attractions of monumental 
quality--Gerash and Petra in Jordan, to take just one example.

Tourist income is not just a token, by any means.  For many countries 
around the world, tourist income is a major fraction of the gross 
national product.  So the establishment of a regional tourist board can 
do a great deal to provide package tours throughout the region--
information for people who want to conduct such tours.  If we look back, 
maybe 10 years from now, we will see this as a moment when there was a 
tremendous spurt in the tourist industries and along with that, the 
enhancement of opportunities not only for the tourist industries, but 
for airline companies and hotel companies, and so on. 

Fourth, I would expect the conference to establish a regional council--
the best analogy is a Chamber of Commerce--that will facilitate trade 
relations throughout the region.  This will be an important bridge 
between governments and the private sector, operating as Chambers of 
Commerce do here in the United States. 

So those are the four main points that I think we are going to be 
advocating and that I am going to be advocating in my speech:  a 
commitment to the principles of free movement between these countries; 
second, the creation of a mechanism leading toward a Middle East bank 
for development; third, the regional tourist board;  and fourth, the 
regional councils, which will be like Chambers of Commerce.

There are also some follow-through mechanisms.  Just like Madrid, there 
will be a steering committee set up to make the process permanent.  You 
will be hearing more about that as the conference goes on.  There will 
be a steering committee for the conference, which will be located in 
Morocco, and an executive secretariat to make sure that the process goes 
forward and to act as a clearinghouse for information.


ITEM 14:

Building the Structures of Peace and Prosperity in the Middle East 
Remarks by Secretary Christopher at the Royal Palace, Casablanca, 
Morocco, October 30, 1994.

Excellencies, ladies and gentlemen:  On behalf of President Clinton and 
the American people, I am delighted to attend this historic Middle 
East/North Africa Economic Summit.  We all owe King Hassan our deepest 
gratitude for hosting this unique event.  Building on his vision of 
Middle East peace, the King has brought us together to remove walls and 
build bridges between the people of the Middle East and the world.

President Clinton and the United States are pleased to be co-sponsoring 
this summit together with President Yeltsin and the Russian Federation.  
Let me express our appreciation to Les Gelb and the Council on Foreign 
Relations and to Klaus Schwab and the World Economic Forum for their 
outstanding efforts to structure and organize this important gathering.

This summit convenes at an extraordinary time.  I have just accompanied 
President Clinton on his recent trip to the Middle East.  Let me share 
with you our assessment.  The Middle East is undergoing a remarkable 
transformation:

--  Jordan and Israel have signed a peace treaty;
--  The Israeli-PLO Declaration is being implemented;
--  Morocco and Tunisia have established ties with Israel;
--  Israel and Syria are engaged in serious negotiations; and 
--  Arab nations are taking steps to end the boycott of Israel.

These monumental events mean that the Arab-Israeli conflict is coming to 
an end.  The forces of the future can, they must, they will succeed.  
The peacemakers will prevail.

Securing the future is what brings us here today.  Our mission is clear:  
We must transform the peace being made between governments into a peace 
between people.  Governments can make the peace.  Governments can create 
the climate for economic growth.  But only the people of the private 
sector can marshall the resources necessary for sustained growth and 
development.  Only the private sector can produce a peace that will 
endure.

Three years ago to the day, nations gathered in Madrid for a conference 
whose significance grows with each passing month.  As we realize now, 
Madrid opened the pathway to peace.  Here, this week, let us declare 
that the Casablanca Conference will open the pathway to economic ties 
and growth.  Madrid shattered taboos on political contacts between 
Israel and its Arab neighbors.  Let us ensure that Casablanca shatters 
taboos on private sector cooperation.  Let this summit send a message to 
the world:  The Middle East and North Africa are now open for business.

Over the course of the 20th century, the world has learned a powerful 
lesson:  Peace cannot be sustained when there is widespread suffering 
and misery.  Following World War II, wise leaders applied this lesson to 
the reconstruction and integration of Western Europe.  They built 
structures of cooperation--beginning with economic ties--to lessen the 
likelihood of conflict among nations.  Our purpose in Casablanca is to 
apply that same lesson to this region, as we work to create a more 
peaceful and secure Middle East.

On Wednesday night in Jordan, President Clinton became the first 
American President to address an Arab parliament.  There, he underscored 
the importance of generating the economic benefits of peace.  He said: 

If people do not feel these benefits, if poverty persists in breeding 
despair and killing hope, then the purveyors of fear will find fertile 
ground.  Our goal must be to spread prosperity and security to all.

The Madrid Conference of 1991 started us on the way.  It not only 
launched a series of bilateral negotiations to resolve the region's 
political disputes; it also created a framework of meaningful 
multilateral talks among some 40 nations to promote Arab-Israeli 
cooperation on a region-wide scale.  Joint projects are already underway 
to check the spread of the desert, to quench the region's thirst for 
water, and to protect the environment from oil spills.  Under the 
leadership of the European Union, the working group on economic 
development has drawn up a list identifying priority sectors for 
economic cooperation.

Israel, Jordan, and the United States are working together to create 
opportunities for private sector investment in areas that were 
unthinkable only months ago.  An ambitious master plan for the 
development of the Jordan Rift Valley has been completed.  Joint efforts 
to promote tourism in the Red Sea ports of Aqaba and Eilat are already 
attracting millions of dollars of investment in hotels, infrastructure, 
and tourist facilities.

Progress toward Arab-Israeli peace has opened the door to economic 
cooperation in support of peace.  Now, together, we must take a bold 
step through that door.  We must form a public sector-private sector 
partnership for government and business to bring their political and 
economic power jointly to bear.

I have seen the situation from both sides--from the private sector, 
where I have spent most of my career, and from the public sector, during 
my three tours in government.  I have also been heavily involved in the 
affairs of the Middle East for the past two years.  Let me offer a 
challenge and a prediction:  If the forces of peace prevail and if 
governments here adopt free market reforms, the Middle East and North 
Africa will enjoy an era of economic growth that exceeds anything they 
have seen in this century.  There is no reason why the economic miracles 
that are transforming parts of Asia, Eastern Europe, and Latin America 
cannot also transform this region.  I can foresee a day when the 300 
million people of the Middle East and North Africa, so long held back by 
strife and hatred, can finally join the mainstream of international 
commerce.

The presence here in Casablanca of almost 1,000 of the world's business 
leaders is proof that you understand the vast potential of this region.  
I salute your vision, but I also know that you are hard-nosed realists.  
The new Middle East holds no monopoly on attracting your attention or 
your capital.

That is why the Middle East, even a Middle East at peace, cannot be 
complacent; it must compete.  The world must know that the Middle East 
is not only at peace but is committed to long-term reform if world-class 
companies are to invest in this region.

Almost 150 American firms are here in Casablanca.  They are well-poised 
to take advantage of the opportunities this region presents.  American 
companies do not fear risk; they thrive on it.  But like serious 
companies everywhere, they need confidence--confidence in a business 
environment that makes it possible to do business.

To create a climate for economic growth and development, we need 
commitment and action by governments inside the region as well as those 
outside.  For decades, governments dominated economic development here, 
building infrastructure and national industries.  In the process, they 
incurred massive foreign debts.  Since 1970, the countries of the Middle 
East have borrowed more than $90 billion from abroad.  Over 90% of this 
borrowing was absorbed by the public sector, where it was too often 
steered toward the military or inefficient state enterprises.

Not surprisingly, private capital and the private entrepreneurs that 
went with it fled the region.  In the last 20 years, capital outflows 
from the Middle East and North Africa have exceeded $180 billion.  This 
capital flight has had enormous practical consequences.

We must work to reverse this destructive trend.  It is time for the 
region's private sectors to invest in their nations, in their peoples, 
and in their futures.  They must bring their capital home.  But if they 
are to do so, governments must take steps to create a favorable economic 
environment.  How can you expect foreigners to invest here when citizens 
of the Middle East do not invest?

Governments here must undertake serious economic reform.  Morocco has 
begun that process.  Privatization is proceeding, stock market 
capitalization is rising, foreign investment is expanding, and growth is 
taking off.  Other countries in the region, such as Tunisia, Israel, 
Egypt, and Jordan, have also begun to take similar steps.

But more must be done.  Governments need to end trade restrictions and 
overcome other barriers to trade and investment.  They must reform and 
modernize their tax systems and commercial dispute mechanisms.  They 
need to ensure predictable, transparent, and fair legal systems and 
business practices.  They need private financial markets.  They must 
lift the heavy hand of government regulation that stifles entrepreneurs.

An important political step to make the region's environment more 
attractive to global companies must be taken as well.  The last remnants 
of the boycott aimed against Israel must be eliminated.  Last month, 
Saudi Arabia and its partners in the Gulf Cooperation Council announced 
an end to the secondary and tertiary boycotts.  This means enormous 
opportunities for investment and trade.  Now it is time for other Arab 
leaders to follow the GCC's example.  Indeed, it is time for the Arab 
League to dismantle the boycott entirely.

Governments outside the Middle East and North Africa must also do their 
part to create a climate conducive to economic growth.  They can take 
steps to encourage their companies to invest in the joint ventures that 
will become the stuff of Middle East peace.  They can provide incentives 
and reduce risks for foreign investors.  They can encourage trade by 
reducing barriers.  They can create the financial mechanisms that will 
help mobilize capital for regional projects.

The United States is already taking concrete steps in all these areas.

--  Through our Overseas Private Investment Corporation, we have 
established a $75-million Regional  Investment Fund to encourage 
investment in regional projects like those envisaged in the Jordan Rift 
Valley development plan.

--  We have also used OPIC guarantees to help a group of American 
business leaders from the Arab and Jewish communities foster Palestinian 
economic development.  These builders for peace have already launched 
five OPIC-backed private sector projects in the West Bank and Gaza.

--  We are exploring practical means of expanding trade and investment 
opportunities, including initiatives to lessen barriers to trade and 
bilateral investment treaties.

--  President Clinton, in consultation with interested governments, has 
decided that the U.S. will take the lead in supporting a Middle East and 
North Africa Bank for Cooperation and Development.

Other governments outside the region are engaged in similar efforts to 
support the involvement of their private sectors in the development of 
the Middle East and North Africa.  But we all need to do more.  This is 
the opportunity presented by the Casablanca summit.  We must seize it.

Here in Casablanca, our focus must be practical.  Our work must not be 
limited to exhortation.  We must generate specific outcomes, with 
mechanisms to act on our proposals.

Specifically, in this conference the United States will call for the 
following. 

First, adoption of principles leading to the free movement of goods, 
capital, ideas, and labor across the borders of the Middle East and 
North Africa.

Second, the establishment of a Middle East and North Africa Bank for 
Cooperation and Development.  A bank, properly structured, can serve as 
a financing mechanism for viable regional projects.  It should be 
available for the private sector as well as the public sector, and 
should facilitate a regional economic dialogue.

Third, the creation of a regional tourism board.  Tourism is one of the 
clearest and quickest ways to generate hard currency revenues.  The 
Middle East and North Africa abound with incredible archaeological and 
religious sites.  Millions of tourists will flock to visit as package 
tours across previously closed borders become available.

Fourth, the development of a regional business council--a chamber of 
commerce, if you will.  This entity will promote intraregional trade 
relations and commercial opportunities.

To move expeditiously on each of these proposals, this conference must 
establish two on-going bodies:  first, a steering committee, to meet 
within one month; second, an executive secretariat, located in Morocco, 
that will serve as a clearing house of information.  It will be an 
"address" for the private sector by sharing data, promoting contracts, 
and furnishing project information.

Finally, the United States will call for a follow-on conference in Amman 
in 1995.  Casablanca represents the launching of a process to promote 
regional economic development and cooperation.  Amman will represent the 
next milestone and point all of us to seeking very tangible 
accomplishments by the 1995 conference.

In a golden age, over a millennium ago, the Middle East was the 
commercial and cultural crossroads of the world.  Harkening back to the 
glorious economic and cultural history of the old Middle East, this 
summit heralds a new Middle East in the heart of the global economy once 
again.  We have the opportunity--and the responsibility--to build a more 
peaceful, more prosperous, and more integrated Middle East and world.  
Working together in a public-private endeavor, let us dedicate ourselves 
to making that vision a reality.

If I may borrow the famous Humphrey Bogart line, this conference could 
be the beginning of a beautiful friendship.


ITEM 15:

Casablanca Declaration
Text of Declaration from the Middle East/North Africa Economic Summit, 
Casablanca, Morocco, released November 1, 1994.

1.  At the invitation of His Majesty King Hassan II of Morocco and with 
the support and endorsement of Presidents Bill Clinton of the United 
States and Boris Yeltsin of the Russian Federation, the representatives 
of 61 countries and 1114 business leaders from all regions of the world, 
gathered for a Middle East/North Africa Economic Summit in Casablanca 
from October 30 to November 1, 1994.  The participants paid tribute to 
His Majesty, King Hassan II, in his capacity as President and Host of 
the Conference and praised His role in promoting dialogue and 
understanding between the parties in the Middle East conflict.  They 
also expressed their appreciation to the Government and people of 
Morocco for their hospitality and efforts to ensure the success of the 
Summit.

2.  The Summit leaders feel united behind the vision that brought them 
to Casablanca, that of a comprehensive peace and a new partnership of 
business and government dedicated to furthering peace between Arabs and 
Israelis.

3.  Government and business leaders entered into this new partnership 
with a deeper understanding of their mutual dependence and common goals.  
Business leaders recognized that governments should continue to forge 
peace Agreements and create foundations and incentives for trade and 
investment.  They further recognize the responsibility of the private 
sector to apply its new international influence to advance the diplomacy 
of peace in the Middle East and beyond.  Governments affirmed the 
indispensability of the private sector in marshalling, quickly, adequate 
resources to demonstrate the tangible benefits of peace.  Together, they 
pledged to show that business can do business and contribute to peace as 
well; indeed, to prove that profitability contributes mightily to the 
economic scaffolding for a durable peace.

4.  The Summit commended the historic political transformation of the 
Region as a consequence of significant steps towards a just, lasting and 
comprehensive peace, based on U.N. Security Council Resolutions 242 and 
338, a process that began with the 1979 Treaty of Peace between Egypt 
and Israel and enlarged dramatically by the Madrid Peace Conference, 
three years ago.  That process has born fruit in Israel-Palestine 
Liberation Organization Declaration of Principles.  The recent signing 
of the Treaty of Peace between Israel and Jordan gave a new dimension to 
the process.  The decisions of Morocco and Tunisia to establish, 
respectively, liaison offices and liaison channels with Israel 
constituted another new positive development.  These accomplishments and 
the next stages of rapid movement toward a comprehensive peace in the 
region, including Syria and Lebanon, need to be powerfully reinforced by 
solid economic growth and palpable improvement of the life and security 
of the peoples of this region.  The Summit stressed that Syria and 
Lebanon have an important role to play in the development of the region.  
The Summit expressed a strong hope that they will soon be able to join 
the regional economic effort.

5.  In this connection, the participants noted that the urgent need for 
economic development of the West Bank and Gaza Strip requires special 
attention from the international community, both public and private, in 
order to support the Israel-Palestine Liberation Organization 
Declaration   of Principles and subsequent implementing agreements to 
enable the Palestinian people to participate on equal bases in the 
regional development and cooperation.  They stressed the equal 
importance of moving ahead on Jordanian-Israeli projects as well as on 
cooperative projects between Israel and Jordan in order to advance the 
Jordanian-Israeli Treaty of Peace.

6.  The participants recognized the economic potential of the Middle 
East and North Africa and explored how best to accelerate the 
development of the Region and overcome, as soon as possible, obstacles, 
including boycotts and all barriers to trade and investment.  All agreed 
that there is a need to promote increased investment from inside and 
outside the Region.  They noted that such investment requires free 
movement of goods, capital and labour across borders in accordance with 
market forces, technical cooperation based on mutual interest, openness 
to the international economy and appropriate institutions to promote 
economic interaction.  They also noted that the free flow of ideas and 
increased dialogue, especially among the business communities in the 
Region, will strengthen economic activity.  In this context, the 
participants noted favourably the decision of the Council for 
Cooperation of the Gulf States regarding the lifting of the secondary 
and the tertiary aspects of the boycott of Israel.

7.  Based on the agreements between Israel and the PLO, it is important 
that the borders of the Palestinian Territories be kept open for labor, 
tourism and trade to allow the Palestinian Authority, in partnership 
with its neighbours, the opportunity to build a viable economy in peace.

8.  The participants paid tribute to the multilateral negotiations 
initiated in Moscow in 1992 which have significantly advanced the 
objectives of the peace process.  The governments represented at 
Casablanca will examine ways to enhance the role and activities of the 
multilateral negotiations, including examining regional institutions 
which address economic, humanitarian and security issues.  The 
participants noted that the progresses made in the peace process should 
go along with a serious consideration of the socio-economic disparities 
in the Region and require to address the idea of security in the Region 
in all its dimensions:  social, economic and political.  In this 
context, they agreed that these issues need to be addressed within the 
framework of a global approach encompass- ing socio-economic dimensions, 
safety and welfare of Individuals and Nations of the Region.

9.  The participants recognized that there must be an ongoing process to 
translate the deliberations of Casablanca into concrete steps to advance 
the twin goals of peace and economic development and to institutionalize 
the new partnership between governments and the business community.  To 
this end:

a)  The governments represented at Casablanca and private sector 
representatives stated their intention to take the following steps:

--Build the foundations for a Middle East and North Africa Economic 
Community which involves, at a determined stage, the free flow of goods, 
capital and labour throughout the Region.

--Taking into account the recommendations of the regional parties during 
the meeting of the sub-committee on finances of the REDWG monitoring 
committee, the Casablanca Summit calls for a group of experts to examine 
the different options for funding mechanisms including the creation of a 
Middle East and North Africa Development Bank.  This group of experts 
will report on its progress and conclusions within six months in the 
light of the follow on Summit to the Casablanca Conference.

--The funding mechanism would include appropriate bodies to promote 
dialogue on economic reform, regional cooperation, technical assistance 
and long-term development planning.

--Establish a regional Tourist Board to facilitate tourism and promote 
the Middle East and North Africa as a unique and attractive tourist 
destination.

--Encourage the establishment of a private sector Regional Chamber of 
Commerce and Business Council to facilitate intra-regional trade 
relations.  Such organizations will be instrumental in solidifying ties 
between the private and public sectors of the various economies.

b)  The participants also intend to create the following mechanisms to 
implement these understandings and embody the new public-private 
collaboration:

--A Steering Committee, comprised of government representatives, 
including those represented in the Steering Committee of the 
multilateral group of the peace process, will be entrusted with the task 
of following up all issues arising out of the Summit and coordinating 
with existing multilateral structures such as the REDWG and other 
multilateral working groups.  The Steering Committee will meet within 
one month following the Casablanca Summit to consider follow on 
mechanisms.  The Committee will consult widely and regularly with the 
private sector.

--An executive Secretariat to assist the Steering Committee, located in 
Morocco, will work for the enhancement of the new economic development 
pattern, thus, contributing to the consolidation of the global security 
in the Region.  The Secretariat will assist in the organization of a 
Regional Chamber of Commerce and a Business Council.  It will work to 
advance the public-private partnership by promoting projects, sharing 
data, promoting contacts and fostering private sector investment in the 
Region.  The Secretariat will assist in the implementation of the 
various bodies referred to in the present Declaration.  The Steering 
Committee will be responsible for the funding arrangements, with the 
support of the private sector.

10.  The participants welcomed the establishment of a Middle East/North 
Africa Economic Strategy Group by the Council on Foreign Relations.  
This private sector group will recommend strategies for regional 
economic cooperation and ways to overcome obstacles to trade and private 
investment.  It will operate in close association with the Secretariat 
and submit its recommendations to the Steering Committee.

11.  The participants also welcomed the intention of the World Economic 
Forum to form a business interaction group that will foster increased 
contacts and exchanges among business communities and submit its 
recommendations to the Steering Committee.

12.  The participants in the Casablanca Summit pledged to transform this 
event into lasting institutional and individual ties that will provide a 
better life for the peoples of the Middle East and North Africa.  They 
resolved that the collaboration of the public and private sectors that 
constituted the singularity of the Casablanca Summit will serve as a 
milestone in the historic destiny that is now playing itself out in the 
Middle East/North Africa Region.

13.  The participants expressed their appreciation to the Council on 
Foreign Relations and to the World Economic Forum for their substantive 
contribution to the organization of the Casablanca Summit.

14.  The participants expressed their intention to meet again in Amman, 
Jordan, in the first half of 1995 for a second Middle East/North Africa 
Economic Summit, to be hosted by His Majesty King Hussein.


ITEM 16:

The Private Sector:  Engine for Growth in the Middle East
Remarks by Secretary Christopher to American business people, 
Casablanca, Morocco, October 30, 1994.

It is a great pleasure for me to be here, and I want to say how much I 
appreciate the turn-out of American business people.  You're absolutely 
essential to us.  You're the vanguard of the efforts we're making here 
in North Africa, the Middle East, and throughout the world.  We couldn't 
do it without you, and I'm very grateful that all of you are here.

Of course, the purpose of this summit is a far-reaching one.  We want to 
break down the walls and build new bridges to the people of the Middle 
East and North Africa--indeed, to the people of the world as a whole.  
We want to use this effort to reinforce the extraordinary progress 
that's been made in the Middle East and North Africa--a transformation 
of the region that two years ago most people would have regarded as 
absolutely impossible.  You business people are the key to making this 
peace process an enduring one.  I'm delighted to have you as partners in 
our efforts to make the Middle East a new and more peaceful region.

As you know, President Clinton has just completed an extraordinary trip 
in this region.  He witnessed the signing of the peace treaty between 
Israel and Jordan at Aqaba.  He became the first President to address 
the Jordanian Parliament--an extraordinary address, which is echoing  
throughout the Middle East for his recognition of the importance of 
Islam and the fact that the United States has a friendly relationship 
with Islam and not an adversarial one.  His speech to the Knesset was 
very well received.   He spent almost four hours with President Asad, 
and, as you know, he also met with President Mubarak, Chairman Arafat, 
and King Fahd.

I left the President about 3:00 a.m. the night before last and flew here 
to Morocco.  He has, as you know, gone  back to Washington.  The 
President and I left the region with a stronger conviction than we've 
ever had before that the Arab-Israeli conflict is coming to an end--
coming to an end in a way that provides a foundation for your efforts in 
a way that you've never been able to achieve before.

But another reality has come home to us, and that is, as the President 
said, "for peace to endure it must not only provide protection but it 
must provide tangible improvement in the lives of people."  You can't go 
to Gaza, you can't see the look of expectation on the faces of the 
people in Jordan or on the faces of people elsewhere as you drive 
through the Middle East without realizing that something more than 
simple tranquility is necessary--something approaching prosperity is 
essential if peace is going to endure.

Economic growth is the critical underpinning of lasting peace in this 
area, and, certainly, private sector involvement will be the critical 
engine of this growth.  The United States is determined to do its part.  
Last year, we organized a donors' conference to support the agreement 
between Israel and the Palestinians.  OPEC is providing loan guarantees 
for our investments in Gaza and Jericho.  We've established a $75-
million investment fund to support the effort in the Jordan Rift Valley 
and other projects between Jordan and Israel, and along with Eximbank 
and TDA, we're doing all we can to stimulate private sector involvement 
in the Middle East and North Africa.  Governments can only do so much in 
this regard.  They can provide a tranquil environment.  They can remove 
the barriers to investment:  But what is finally necessary is 
involvement by the private sector, and, of course, that's where you come 
in.  You will be our leading presence here--one that complements our 
nation's political role.

I must say that with all that American business has done in recent years 
with lower costs, higher productivity, and cutting-edge technology, 
you're in a position to compete and win in the Middle East, or you're 
going to play a major role.  I know that the Middle East has got to make 
itself competitive in the search for your dollars.  You have a limited 
number of dollars, and  you want to put them places where you'll get 
good results.

One of the reasons I believe so deeply in private sector involvement 
here is that your judgment will produce generative results.  I've 
noticed over the years that government aid tends not to be nearly as 
generative as private sector involvement, and we're going to do our part 
to enable you to have this kind of involvement through such things as 
reducing trade barriers, working to end the Arab boycott, working on 
customs procedures, and trying to make the regulatory policies here 
transparent.  That would be one of the engines, one of the bases of this 
conference.  There are great opportunities ahead for all of us, and I'm 
very pleased to be working with the kind of team at the State 
Department.

One of my goals from the very first day I took this office was to try to 
make the State Department and our embassies all over the world business-
friendly; to change the image that somehow the State Department was not 
supportive of business.  I hope some of you think that we are making 
some strides in this regard; I certainly do.  If we are, it's because of 
the quality of the people who are working in the State Department and 
our embassies around the world.

I'm very proud to be represented here by Marc Ginsberg, Anne Cary, and 
the others who work under their direction here in North Africa.  They 
stand in the front lines of our effort to help American business succeed 
here in North Africa and throughout the world.  I hope also that some 
place in the  audience is Joan Spero, our outstanding Under Secretary 
for Economic Development. I want you to see and recognize Joan and Toni 
Verstandig, Deputy Assistant Secretary for the Middle East.

I can conclude simply by saying that I think that this Senate will 
demonstrate our collective recognition of a very historic opportunity, 
an opportunity to secure an emerging peace, and to couple it with 
enduring prosperity.  American firms cannot only participate in this; 
they can reap the benefits.  You'll be contributing to one of the key 
challenges, one of the key opportunities that we have in this century--
an opportunity that, frankly, few people thought we would have.  But 
it's rushing upon us, and we have to reach out and grasp it.  We have to 
find some way to live up to the responsibilities and opportunities we 
have.  I look forward to working with you in this historic process.  If 
I can borrow a line from Humphrey Bogart's famous comment, I think we 
may be beginning a beautiful friendship.  


ITEM 17:

Turning Peace Into Prosperity at the Casablanca Conference
Opening statement by Secretary Christopher at a press conference, 
Casablanca, Morocco, October 31, 1994.

Good evening.  This has really been quite an extraordinary week; it's 
been a great week for Middle East peace-making and development.  The 
President's trip to the region, the signing of the Israeli-Jordanian 
agreement, and today's economic summit here in Casablanca all 
demonstrate the profound transformation that is taking place here in the 
Middle East and North Africa.

One fact seems unmistakably clear: The Arab-Israeli conflict is coming 
to an end.  The area that has been poisoned much too long by this 
conflict can look forward to better days.  The Middle East is open for 
business--there is no turning back.  At the same time, it is important 
that we not be complacent.  There are forces of extremism that use 
religion and nationalism to justify their violence and terror.  Whether 
these groups act independently or as an extension of the state, their 
objectives are the same:  to kill peace and keep the region mired in the 
conflicts of the past.  Throughout this trip, the President and I have 
been discussing actions to overcome these forces.

In addition, and most relevant to this conference, we confront the 
forces of economic stagnation and poverty.  These dangers help to create 
a climate that encourages extremism and despair.  We must act to replace 
economic stagnation with growth and replace despair with hope.  That is 
what we're focused on here today in Casablanca.  Governments must do 
more to encourage growth and development and must create a climate in 
which private enterprise can flourish.  Private enterprise, obviously, 
is the key to economic change.  We're talking here about ways in which 
governments can provide the environment for that.

I've had four specific objectives here at the Casablanca meeting.  

First, to ensure that Casablanca is not just a one-time event, but will 
help to launch a process of transformation and change.  We have set that 
process in motion and begun to create the institutions to do it:  a 
regional bank for investment and development; a regional tourist board; 
a regional Chamber of Commerce; and a secretariat that would coordinate 
and share information that is vital to businesses wanting to be active 
in this area.  A couple of  days ago, I said those were my aims for this 
conference, and every one of them is being realized here at the 
conference.

Second, we have started at this conference to focus on the need to 
involve barriers and restrictions to trade.  The old boycott of Israel 
is a relic of the past, and it certainly is inconsistent with the spirit 
and purpose of this conference.  Last month's statement by the GCC 
ending the secondary and tertiary boycott was a major step forward, and 
we've been stressing the need to end the boycott in its entirety.

Third, we need to deal with the roots of extremism and terror.  This 
conference focused on the importance of providing support for the 
implementation of the Gaza-Jericho agreement, and the vital need to 
support Palestinian self-government.  Palestinians have now agreed on a 
six-month budget to support the recurrent costs.  We've been emphasizing 
that past debts must be paid and further assistance provided.  We plan 
to organize a donor's conference in mid-November to undertake these 
matters, and we hope and expect the pledges will be paid at least by 
that time.

Fourth, we have sought to use this conference to promote new and 
expanding contacts between Israel and the Arab world, and that certainly 
has happened.  Coming over here, I met in one of our trilateral meetings 
with the Jordanian Crown Prince and the Israeli Foreign Minister.  As I 
was leaving I looked down in the garden, and I saw a large group of 
businessmen and women conversing very animatedly on the lawn.  It turned 
out to be a group of Israeli and Arab business leaders who were doing 
the things that businessmen and women do best of all:  talking about 
important deals for the future.

The real importance here at Casablanca lies in translating the gains 
made at the peace process negotiating table into prosperity that will 
secure those gains and promote stability for the region.  Political and 
economic forces are inextricably linked.  Moving forward on one will 
reinforce the other in a positive and dynamic way.

President Clinton has directed me to come back to the region in the next 
three or four weeks to continue my work here.  Many problems remain, 
but, at the same time, I'm persuaded we can move forward to a 
comprehensive peace.
Finally, let me express my great appreciation to King Hassan and all the 
many members of the Moroccan Government who have made our stay here both 
pleasant and effective.


ITEM 18:

Overview of the Multilaterals
Remarks by Assistant Secretary for Near Eastern Affairs Pelletreau at 
the Middle East/North Africa Economic Summit, Casablanca, Morocco, 
October 31, 1994.

Ladies and gentlemen, friends, colleagues, distinguished guests:  I am 
honored to be with you today to present an overview of the multilateral 
peace process.  Ambassador Posuvaluk provided an excellent introduction 
to these important negotiations.  I would briefly add my perspective on 
the role these talks have played in changing the political and economic 
landscape in the region.

Imagine driving on a modern four-lane continuous highway from Istanbul 
through Syria, Lebanon, and Israel into Cairo.  Consider accessing from 
Rabat a satellite-linked regional computer network to obtain information 
on water desalination techniques used in Muscat, Kuwait City, or Tel 
Aviv, or to find mailing addresses and stock quotes in neighboring 
countries and world financial capitals.  What about a single power grid 
and a gas pipeline from the Gulf of Suez northward through Gaza and 
Israel into Lebanon?  Imagine regional tourism promotion.  Such notions-
-indeed, even a summit such as this--were unthinkable not so long ago.

As any of you in the construction field know, before building, you often 
have to tear down.  Building regional peace and cooperation in the 
Middle East requires tearing down as well-- tearing down political and 
economic walls and, most importantly, tearing down psychological 
barriers.

Away from the political spotlight, the multilateral peace process has 
provided a forum for the Palestinians, 12 Arab states, and Israel to sit 
together and to begin to think of themselves in a regional context.  The 
interactions in the working groups have already begun to change the 
human relationships in the region by bringing together experts on 
functional issues.  Economists, hydrologists, environmentalists, and 
arms control experts have been meeting on issues of vital concern to 
their people.

This is the human dimension of the new Middle East.  The experience of 
the Environment Working Group is typical in this regard.  In the early 
stages of this process, the mode of operation was to bring experts--not 
diplomats or politicians--together at workshops.  One such workshop 
attracted specialists and officials with operational responsibilities 
from all over the Middle East to share experiences and to sharpen their 
skills in dealing with accidents involving hazardous materials.  Since 
environmental problems do not pay attention to borders, the importance 
of cooperation and coordination in addressing such threats was obvious 
to all.

We created a setting where these experts could speak a common language.  
They addressed ways to improve accident preparedness, prevention, and 
response.  What these experts demonstrated is a simple but profound 
truth--Arabs and Israelis can find common ground.  They can work 
together on practical problems faced by all of the people of the region.

The multilaterals have begun to have a practical impact as well by 
addressing local needs.  The Water Resources Working Group is developing 
regional approaches to maximizing use of water, such as desalination 
research and rehabilitation of municipal water supply systems.  
Thousands of Palestinian refugees, both inside and outside the West Bank 
and Gaza, are benefiting from the various projects of the Refugee 
Working Group.

The Regional Economic Development Working Group, chaired by the European 
Union, has developed an action plan of priority economic development 
projects.  A small monitoring group keeps track of progress on 
implementation and focuses on pressing sectoral priorities.

The multilaterals have also started a process of facilitating regional 
institution-building.  The Arms Control and Regional Security Working 
Group is establishing a communications network, which could serve as the 
core of a Middle East arms control agency.  Regional data banks are 
being developed on environmental and economic matters.  What's more, the 
Steering Group and working groups are outlining guidelines for future 
regional economic relations and vision papers for a new Middle East.

Let me stress here that this blossoming cooperation is not restricted to 
the multilateral talks--or to governments.  In the evolving Middle East, 
private groups and businesses have a vital role to play.  The newspapers 
are full of reports of Arab-Israeli commercial contacts.  Many of the 
stories are probably about people in this room.  Private Americans are 
likewise engaged.  A good example is the Builders for Peace--including 
Arab Americans and Jewish Americans--which is helping to find capital in 
the private sector for projects in Jericho and the Gaza Strip.

Political and economic developments in the Middle East will continue to 
build on each other.  Public-private partnerships will be vital to 
sustaining the peace process and developing the economic potential of 
the region.  At the same time, these partnerships will allow investors 
to explore an essentially new regional market encompassing more than 200 
million consumers and a broad range of technical skills and 
opportunities.  The multilateral talks offer a ready-made platform for 
private enterprise to link up with programs in advanced stages of 
planning.

Having said this, the multilateral working groups are not exclusivist, 
and a number of other vehicles and institutions with region-wide focus 
are now in various stages of consideration.  One of these is a Middle 
East Development Bank.  Another, endorsed by Jordan and Israel in their 
recent treaty, is a CSCME modeled on the successful Conference on 
Security and Cooperation for Europe.  The emergence of such ideas and 
entities is a natural and normal outgrowth of advances in the Middle 
East peace process.  Our challenge is to ensure that the institutions we 
create are beneficial and mutually reinforcing rather than wastefully 
duplicative or competitive.

The gavel holders or chairmen of the various working groups will now 
outline the activities and accomplishments of their respective groups.  
Most importantly, they will explain the critical role you can play in 
this historic process.  At the end of the brochure on the multilaterals 
you will find all of our names and contact information.  We are all 
prepared to help interested companies explore the business opportunities 
emerging from the multilateral peace negotiations. 

(###)


[END OF DISPATCH SUPPLEMENT, VOL 5, NO 10]

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