"Rainbow" Operation Underway in Rafah to Destroy Arms Smuggling Tunnels
Carrying out an operation codenamed 'Rainbow', Israel Defense Forces entered Rafah today to conduct extensive searches for fugitives and arms tunnels, THE JERUSALEM POST reported. IDF sources said that the Rafah operation would be extensive and complicated, and would continue as long as necessary. The army has given an oxygen tank to the Rafah hospital, and has allowed a Red Cross team into the city. Sixteen Palestinian combatants were killed, and over 30 wounded in battles with IDF troops. Some of the Palestinian casualties were caused when Israel Air Force helicopters fired missiles at two groups of armed Palestinians attempting to place bombs in the area; others were killed in firefights with IDF ground forces. One Palestinian boy and girl were also killed during gun battles. "Those who place a higher price on smuggling weapons than on the civilian population of Rafah have forced us into the steps we are taking now," IDF Chief Moshe Ya'alon said. "The operation will last more than two days. We have begun arrests. We intend to arrest terrorists and smugglers and to destroy tunnels."
Iran, Syria and Hezbollah Behind Arms Smuggling, Says IDF Chief
Chief of staff Lt.-Gen Moshe Ya'alon shed light today on the arms smuggling process by Palestinians that prompted Israel Defense Forces operations in Gaza, THE JERUSALEM POST reported. Ya'alon explained that the weapons had been arriving at Sinai beaches, and from there were transported to the Gaza Strip. "The operations are being financed almost entirely by Iran and organized via Damascus and Lebanon with the aid of the Hezbollah," Ya'alon continued. There has recently been an improvement in the quality of arms being smuggled in, he said, including Katyusha rockets, and anti-tank and anti-aircraft missiles.
According to the IDF chief of staff, Egyptian efforts to prevent the terrorist activities are not sufficient, and although Israel is holding a dialogue with Egypt to improve their operations, only Israel can do this job. "The absence of control by Israel over the (Philadelphia) route will result in the Gaza Strip's saturation in arms, which will make it difficult for us to operate in the future," Ya'alon observed.
Concerning allegations of human rights abuses, Ya'alon stressed that the IDF did not shoot at ambulances in spite of a lengthy history of Palestinian abuse. "Palestinians have always exploited Israel's humanitarian sensitivity," he said, and even recently had used UNRWA and Red Cross ambulances to transport arms and IDF soldier body remains to their strongholds.
Jordan's King Abdullah Suggests Arafat Should Step Down
In a "New York Times" interview published today, King Abdullah II of Jordan said Palestinian Authority Chairman Yasser Arafat should consider stepping down from is position, MA'ARIV reported. "I think Arafat needs to have a long look in the mirror to be able to see whether his position is helping the Palestinian cause or not", Abdullah said. If Arafat were to step down, the Jordanian leader stated, the Palestinians would make progress towards statehood. "If this allows the Palestinians to get beyond the obstacle that they are facing now with the United States and Israel, then that's something the Palestinians need to sort out and sort out quickly," he said. Abdullah also said at a regional conference in Jordan on Monday that the lack of coordination from the three or four governing bodies in the Palestinian Authority was another detrimental factor. "The Palestinians need to help themselves first before others can help them," Abdullah said.
Economy Jumps by a Surprising 5.5 Percent
The economy experienced a dramatic 5.5 percent growth in the first quarter of this year, according to Central Bureau of Statistics, HA'ARETZ reported. The figure is higher than the most optimistic predictions made by the Finance Ministry, the Bank of Israel and other forecasters. The business sector leaped by an even more dramatic 9.2 percent during the first quarter compared to 3.6 percent in the previous quarter. The first-quarter growth rate is the highest recorded in a single quarter since Q3 2000. The increase in the business sector is mainly attributed to an upsurge in industrial and commercial activity, including catering and accommodation services, and most of the financial and business services. The Bank of Israel's latest growth forecast mentions growth of "only" 2.8 percent. The CBS figures indicate that the first-quarter increase in gross domestic product reflects an increase in all sectors. Goods and services exports rose by a steep 49.5 percent due to the sharp increase in industrial exports (73.2 percent) and diamond exports (39.1 percent). In addition, there was an unusually large increase in agricultural exports (31.5 percent).
Other News in Brief
* Two vultures with crippled wings have successfully mated and hatched a fledgling - with the aid of a fake egg - in what an Israeli ornithologist said today was a scientific breakthrough, HA'RETZ reported. Scientists had previously believed that vultures that are unable to fly could not mate because they cannot balance properly. But Israeli scientists who gave five crippled vultures optimal mating conditions succeeded in making them reproduce.
Economic & Hi-Tech Briefs
* C.E. Unterberg, Towbin, the investment bank focused on growth companies in the technology, healthcare, and global security industries, announced the opening of an international office in Israel, THE MARKER.COM reported. Mark Green joins the firm as managing director of the office, which will be located in Herzliya Pituach. "Our new Israeli office is a logical extension of our long-established presence in the country," said Thomas Unterberg, chairman and CEO of C.E. Unterberg, Towbin. "We have been part of the Israeli financial community since the 1980s, and have managed the IPOs and follow-on offerings of a number of Israel's leading companies."
* Jordanian businessmen have approached National Infrastructure Minister Yosef Paritzky to set up power plants in Jordan that would supply electricity to Israel, HA'ARETZ reported. The suggestion was made at the recent World Economic Forum gathering in Jordan, where a trade accord between the two countries was signed this week. Paritzky said the idea, which would encourage the two nations to share an energy infrastructure and lead to lower electricity-generating costs, should be seriously considered.
[Today's Israel Line was prepared by Victor Chemtob, David Dorfman and David Prince at the Consulate General of Israel in New York.]