February 21, 2002

by Hazel Ward

JERUSALEM, Feb 21 (AFP) - Israel is to spend an extra 140 million dollars to attract Argentine Jews to quit their country rocked by economic upheaval, and move to Israel, reeling from a 17-month conflict with the Palestinians, the Jewish Agency said Thursday.

The money, which has been donated by Jewish agencies worldwide, will make an extra 20,000 dollars available to each Argentine family of four wanting to move to Israel, over and above financial incentives already offered to new immigrants.   

The offer will only apply to Argentine Jews moving to Israel within the calendar year of 2002, the agency said.   

The move comes in light of the "extreme difficulties" being faced by Argentina's Jews, particularly in the wake of the spectacular collapse of the country's economy, agency chairman Sallai Meridor told reporters.

"Some have lost all their money, and property has lost its value dramatically in the last two months. There is no market and no money, so what can they do?" he said, explaining the reasons behind the move. 

"The world cannot associate Jews with poverty, but it's happening and it is very bad," stressed Quito Hasson, the head of the agency's mission to Latin America.

The announcement comes just a day after Israeli Prime Minister Ariel Sharon reiterated his goal of bringing one million Jews to Israel over the next 10 to 15 years.

He wants them to come principally from Argentina, France and South Africa.  His words highlight a growing concern in Israel about the demographic trend which points towards a decline of the Jewish majority in Israel by 2020.

The Jewish Agency has previously said that in order to maintain a Jewish majority in Israel, it would need to ensure the immigration of around 50,000 people every year. Last year, nearly 1,500 Argentine Jews immigrated to Israel, but since  the beginning of January, nearly 6,000 people have already expressed an interest in moving to the Jewish state, Meridor said.

But the agency did not say how many of Argentina's estimated 200,000 Jews it expected to receive over the course of the year. Under Israeli law, all Jewish immigrants receive a certain amount of money from the Israeli government to help them buy a home, two-thirds in the form of a loan and the rest as a grant.

But this extra funding comes in addition to the basic grant, and is intended to partially compensate for property losses, alongside education and employment needs.

Despite the fact the Israeli economy is mired in a recession with unemployment at an all-time high topping 10 percent, the Ministry of Absorption said it would initially help subsidise the salaries of factory workers.

It is no secret that we have unemployment in Israel but in order to  help these new immigrants, we will  give the factories incentives to absorb them," said Ronen Plott, director general of the ministry.

"It's very important they know someone will look after them," he added. 

The move comes just two months after Israel announced it would be providing special emergency aid to immigrants from Argentina, increasing its overall donation by more than 100 percent.   

But a wave of  Jewish immigration would be vehemently opposed by the Palestinians, who fear many of the newcomers could be sent to reinforce Jewish settlers living on Palestinian territory in the West Bank and Gaza.

The Palestinian intifada, or uprising, has been raging for almost 17 months, leaving more than 1,250 people dead, as the Palestinians try to dislodge the Israeli occupation of their land and the settlements that have been built on it.

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