Jerusalem, 21 June 1998

CABINET COMMUNIQUE

(Communicated by the Cabinet Secretariat)

At the Cabinet meeting today (Sunday), 21.6.98:

The Cabinet decided to adopt the recommendations of the Committee to Strengthen Jerusalem for All Its Residents.

The main components of the plan are:

1. The expansion of Jerusalem’s jurisdiction. 2. The creation of an umbrella Jerusalem municipality, in order to streamline services in the Jerusalem region. 3. Incentives for high-technology industries in Jerusalem. 4. Housing benefits designed to reduce the gap, by as much as possible, between prices of apartments within Jerusalem and comparable apartments in its metropolitan area. 5. The upgrading of the Tel Aviv-Jerusalem train line. 6. The creation of an integrated mass transit network, street-cars and buses in Jerusalem. 7. The accelerated development of arterial roads in Jerusalem. 8. The acceleration of neighborhood rehabilitation projects in Jerusalem.

At the meeting, The Prime Minister said that there is no basis for condemnations of Israel as a result of the plan. Israel is acting to strengthen Jerusalem, not to change the political status of the city, and there has been no addition of territory to the east of the city but only to the west.

The Prime Minister said that this is nothing but an artificial attempt by the Palestinians to castigate Israel, and he hopes that this is not being done with the encouragement of Israelis.

The plan is to be welcomed since it elevates Jerusalem to the top of the pyramid of priorities for Government ministries.

The Mayor of Jerusalem and the Director-General of the Prime Minister’s Office presented the plan. The Prime Minister and the Mayor praised the professional staff, headed by the Director-General of the Prime Minister’s Office, which prepared the report.