Washington To Extend $3.8B In Loan Guarantees To Israel [View all]
The Obama administration plans to recommend that Congress extend American loan guarantees to Israel for another three years, until September 2015, administration officials informed Israel this week.
The news came as a relief to Jerusalem, which had been worried that Washington would refuse to extend the $3.8 billion worth of guarantees.
Deputy Secretary of State Thomas Nides and Deputy Secretary of the Treasury Neal Wolin announced the administration's decision at a meeting with Deputy Foreign Minister Danny Ayalon on Monday. According to one senior American official, the request is expected to enjoy broad bipartisan support in Congress and win quick aproval.
"The U.S. is a true friend and ally of Israel's," Ayalon said yesterday. "The partnership between our countries is a natural one. Extending the guarantees will strengthen the international standing of Israel's economy and enable the government to continue raising money at low cost."