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US aid threat fails to faze Malaysia
By Thalif Deen

UNITED NATIONS - The Malaysian government has dismissed a US threat to cut off military aid to Kuala Lumpur as inconsequential.

Malaysian Foreign Minister Syed Hamid Albar told reporters on Tuesday that US military aid to Malaysia is small - "and any restrictions should not affect us in any way".

The US Senate on Monday placed restrictions on military grants to Kuala Lumpur to show its displeasure over Malaysian Prime Minister Mahathir Mohamad's recent criticism of the powerful Jewish lobby in the United States.

"The Europeans killed 6 million Jews out of 12 million, but today the Jews rule by proxy: they get others to fight and die for them," Mahathir told a summit meeting of the 57-nation Organization of Islamic Conference (OIC) in Kuala Lumpur last week.

Responding to the remarks, the Senate unanimously agreed to place new conditions on a proposed US$1.2 million grant to Malaysia under the International Military Education and Training (IMET) program.

Senator Mitch McConnell, a Republican from Kentucky, said on Tuesday, "What could be more outrageous in 2003 for the prime minister of any country to make such unbelievably erroneous statements?

"They are dangerously wrong and they play directly into the hands of radical Islamic extremists throughout the region. This is not an issue of free speech," McConnell added.

The money will now be disbursed only after a determination by US Secretary of State Colin Powell that Malaysia supports and promotes religious freedom, including for Jews.

The Malaysian foreign minister said the Senate vote was an example of the United States "trying to discipline the world in their own mold".

"So now it is another Muslim country that is being zeroed in [on] for their so-called disciplining," he told reporters in Kuala Lumpur.

The United States provided about $830,000 in IMET grants to Malaysia in 2002 and about $800,000 in 2003. The projected figure for 2004 increases the amount to $1.2 million. Currently, Malaysia is also eligible to receive surplus US weapons on a cost-free basis under a program called Excess Defense Articles (EDA), which is also expected to be suspended.

"The United States is probably threatening the wrong country," a Southeast Asian diplomat said on Tuesday. "Malaysia is not a banana republic that depends on US economic or military grants for its survival. No degree of arm-twisting or economic threats will intimidate either Mahathir or Malaysia. In fact, they both need each other because they have strong economic and military ties."

In July, the administration of President George W Bush cut off military aid to 35 "friendly countries" for their refusal to exempt US soldiers from the jurisdiction of the International Criminal Court (ICC). They were mostly poorer nations in Latin America, the Caribbean, East and Central Europe and sub-Saharan Africa.

Over the war on Iraq, the Bush administration lobbied hard to prevent an emergency session of the UN General Assembly to discuss the US-led invasion. Diplomatic pressure in world capitals was said to be so intense that no nation proposed the sitting.

Malaysia is an important arms market for the United States, a military analyst told Inter Press Service. In December 1993, he said, Malaysia contracted with Washington to purchase eight F/A-18 fighter planes at a cost of about $700 million. The contract, which involved a 10-year $250 million offset program, also included the purchase of 110 Sidewinder, 51 Sparrow, 50 Harpoon and 50 Maverick missiles. Under the offset program, US companies are also expected to invest in Malaysia.

The State Department said early this year that although the global financial crisis slowed Malaysia's military procurement plans in the late 1990s, "we expect Malaysia to look to the United States for future purchases as economic recovery continues". In its 2004 "Congressional Budget Justification for Foreign Operations", the department says that "Malaysia has been a cooperative and proactive partner in the global campaign against terrorism".

"A supporter of the US forward presence in Asia, Malaysia borders one of the world's most important maritime waterways," it adds.

According to figures released by the US Embassy in Kuala Lumpur, the United States is the largest foreign investor in Malaysia, with direct investments totaling about $6 billion. The United States is Malaysia's No 1 export market, accounting for more than 20 percent of Malaysia's exports totaling about $22 billion. Likewise, Malaysia is a key market for the United States, with US merchandise exports to Malaysia worth about $9.4 billion annually.

Mahathir made his controversial statement at the world's biggest single gathering of Muslim leaders. Among the Islamic leaders who gave him a standing ovation last week was the US-installed president of Afghanistan, Hamid Karzai.

Although Mahathir was equally critical of Islamic ideologues and fundamentalists, the mainstream media in the United States highlighted only his criticism of Jews and Israel. Asia Times Online's report (Mahathir on Jews: What he said, October 23) includes links to his OIC speech in full and to a wide-ranging interview with the Malaysian premier by the Bangkok Post.

(Inter Press Service)
 
Oct 30, 2003



Spengler: Mahathir is right: Jews do rule the world (Oct 28, '03)

Pipes' Line: Another Holocaust? (Oct 28, '03)

Mahathir vs Jews: Another step back (Oct 18, '03)


 

     
         
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