Israel Line

29 Dec 2004
* Thailand Says 2 Israelis Might Be Among 74,000 Killed by Tsunami
* Knesset Passes New Law Against Fund Transfers to Families of Terrorists
* Record Year for Immigration from North America to Israel 
* Violence Toll Dropped Significantly in 2004
* Other News in Brief
* Economic & Hi-Tech Briefs

Thailand Says 2 Israelis Might Be Among 74,000 Killed by Tsunami
As the death toll in the tsunami disaster that hit Southeast Asia on Sunday climbed toward 74,000, Thailand's Department of Disaster Prevention and Mitigation said today that two Israelis were among 473 foreigners killed there, HA'ARETZ reported. The identity of the victims has not been communicated as yet.
Fifty-six Israelis are still missing from the Thai tourist resorts of Koh Phi Phi and Phuket, Israeli consul in Thailand Ya'akov Dvir said today. The Foreign Ministry focused its efforts Tuesday on locating Israelis in Thailand, after it became clear that there were no Israeli casualties in any other location, including the Andaman Islands.
There were 33 Israelis in Thai hospitals Tuesday, four of whom are in critical condition. A Foreign Ministry spokesman said that as soon as their medical condition allowed it, the injured Israelis would be flown to Bangkok, from where they would be airlifted back to Israel.
Of the 2,000 Israelis who were known to be in areas hit by the tidal wave in Thailand, India, Sri Lanka and the Andaman Islands, some 1,400 had been contacted by the Foreign Ministry by Tuesday evening. Hundreds more contacted their families directly.
Israeli psychologists, forensics experts and ZAKA rescue and recovery officials were en route to Southeast Asia to help relatives locate and identify their loved ones. The Israeli rescue officials are bound for the Thai capital of Bangkok. Another plane is set to fly to Sri Lanka, carrying tents, generators, blankets, medical equipment and other items meant to help those whose belongings have been destroyed in the disaster.

Knesset Passes New Law Against Fund Transfers to Families of Terrorists
The Knesset approved today a new bill prohibiting funding for the families of terrorists by a 62-6 majority, HA'ARETZ reported. All six opponents are members of Arab parties. The new law allows authorities to fight terror by targeting the sources of funding, both locally and internationally. According to the new regulation, anyone who funds terrorists, or family members of terrorists, will be considered a financier of terror, and could face a 7-10 year jail sentence. The law will go into effect in six months.
By approving the bill, Israel joins other western countries that have adopted similar legislations in the aftermath of the September 11th attacks. The law allows Israel to seize assets of a person or a group that has been declared a terrorist organization by a third country, even if the group's activities do not target Israel or Israelis. The law also allows the state to punish any person who fails to report fund transfers, if the person suspects the money could be directed toward terror activity.

Record Year for Immigration from North America to Israel 
Two hundred and fifty immigrants from North America arrived in Israel this morning on a special El Al flight from New York chartered by the Jewish Agency for Israel, Israel Radio, KOL YISRAEL, reported. The group, whose immigration to Israel was a joint project of the Jewish Agency and Nefesh B'Nefesh, included religious families, aged 28-35, and 100 singles. Two holocaust survivors from Manhattan and New Jersey were also among the new immigrants. Irma Haas, 97, and her sister Hilde Meyer, 94, who were born in Germany and fled to Holland during World War II, were deported to the Berger-Belsen death camp. The sisters survived and relocated to the United States. The new immigrants have allegedly opted to live in Jerusalem, Netanya, Modi'in and Beit Shemesh.
In 2004, the number of immigrants from North America to Israel has reached a 20-year high to total almost 3,000 people. The Jewish Agency estimates that this year, approximately 22,000 immigrants will have arrived in Israel from around the world, including 10,000 from the former Soviet Union, 3,000 from France and 3,800 from Ethiopia.
Israel's consul general in New York, Arye Mekel, said immigrants from the United States would constitute 15 percent of the total number of immigrants arriving in Israel this year.

Violence Toll Dropped Significantly in 2004
According to Israel Defense Forces figures presented today, the number of Israeli civilians killed in terror attacks and the number of troops killed in battle in the West Bank and Gaza dropped by 44 percent in 2004 in comparison to last year, HA'ARETZ reported. In 2004, a total of 118 Israelis were killed by Palestinian terrorists, down from 212 in 2003. The IDF attributes the drop in casualties to improved terror-fighting methods, the erection of the security fence, greater cooperation between the various security services and the IDF's enhanced operational abilities, mainly in the West Bank.
Meanwhile, Palestinian gunmen opened fire early this morning on a jeep traveling near the West Bank border village of Baka al-Sharkiyeh, lightly wounding two IDF soldiers riding in the vehicle.

Other News in Brief
* Zvi Zur, the sixth IDF chief-of-staff died in Tel Aviv at 81-years-old, Israel Radio, KOL YISAREL, reported. Zur was born in Russia and immigrated to Israel with his family as a child. He joined the Palmach at aged 16, and served in the War of Independence, and as chief-of-staff from 1961 to 1963. After leaving the army, he was appointed managing director of the Mekorot water company. Zur served briefly as a Knesset member from the Rafi party that broke off from Labor in 1965. He also served in managerial positions at Zim, Bezeq and the Israel Aircraft Industries.

Economic & Hi-Tech Briefs
* A new-engineered gel developed at the Technion-Israel Institute of Technology can glue broken bones together and also stimulate tissue development, THE JERUSALEM POST reported. The new material, which fuses biological and synthetic substances at the molecular level and speeds bone and cartilage repair, was created by Dr. Dror Seliktar of the biomedical engineering department. The gel could reduce the need for bone transplants and heal bone defects caused by cancer, trauma or age-related degeneration; it could also be used to treat sports injuries and in spinal fusion operations.

* The Central Bureau of Statistics announced that the GDP had risen by 4.2 percent in 2004, slightly higher than previous forecasts, and more than triple the growth in 2003, GLOBES reported. Business product rose 6 percent, compared with 1.7 percent last year. GDP per capita rose 2.4 percent from a 0.5 percent in 2003. The standard of living rose 3.5 percent in 2004, after falling 0.5 percent in 2003 and 0.9 percent in 2001-02. Private consumption rose 5.3 percent. The rise in the standard of living and private consumption includes, among other things, a 16.3 percent increase in purchases of appliances, cars, and other durable goods, and a 7.8 percent increase in spending on foreign travel. Unemployment for the year is estimated to fall to 10.4 percent, and get below 10 percent in 2005. Exports rose 14 percent to $50 billion, led by leading high-tech sectors. Imports rose by 12.5 percent.

[Today's Israel Line was prepared by Victor Chemtob at the Consulate General of Israel in New York.]