New Government In Cairo

Press, Volume CVI, Issue 31170, 21 September 1966, Page 16

New Government In Cairo

The Cabinet reshuffle in Egypt is almost certainly a reflection of President Nasser’s preoccupation with his country’s economic problems, which tend to increase in gravity. The new Premier, Mr Soliman, is an engineer who has been politically responsible for the Aswan dam project for the last four years, and is also described as one of Egypt’s top economic planners. The failure of the Government led by Mr Mohieddin to ease economic pressures during almost a year of office no doubt led to his resignation—if it was not actually sought by President Nasser, who exercises an overriding authority in political matters. In July, when President Nasser was tactfully engaged in negotiations with Washington for the continuance of United States aid, he was faced with the likelihood of having to pay for it in hard currency. Since 1952, Egypt had been getting nearly 100 million dollars worth of surplus grain a year. The last six-month agreement expired in June and was not renewed. The then Government was given to understand that it would be optimistic to expect further grain shipments except on a purely business basis. It was emphasised, indeed, that the American commitment to famine-stricken India and the declining volume of surplus wheat and maize could soon make it impossible for grain to be sent to Egypt at all. The position confronting Mr Mohieddin’s Cabinet three months ago was that the need to purchase grain must cause some contraction of the industrialisation programme. At the moment there seems little . prospect of increasing domestic food output, and industrialisation has been regarded as the only way of keeping pace with the growth of population. Egypt's pressing problem is that its population of about 30 million is increasing at the rate of a million a year. It is small wonder that President Nasser has been making urgent pleas for birth control. It will be the task of the new Government not merely to find some way of reviving the economy—the country’s second five-year plan is apparently still being debated, about a year behind schedule—but also to increase pressure for the effective practice of birth control. The economic position should be eased next year when the first of Aswan’s 12 generators is expected to be in commission. By 1969, Egypt’s power output could be doubled, with the enormous added advantage of the reclamation of 1.3 million acres of land in the Nile valley and the improvement of some 700,000 acres more. Food production—grain, fruit and vegetables —will be enormously aided. Protection from flooding and easier navigation should also result from control of the river.

In most of its aspects the political situation in Egypt may be seen as giving President Nasser cause for satisfaction. In spite of French and British fears at the time of his seizure of the Suez Canel 10 years ago, successive governments have made an outstanding success of operating and maintaining it. Dues have been increased by only about 2 per cent — in convertible currency—but traffic has grown enormously and revenue has doubled. There is a staff of 220 pilots, 175 of them Egyptian, and more are needed. The canal s capacity is being enlarged to take all but the giants of the tanker trade. By 1968 it is expected that vessels of up to 40 feet draft will be accepted.

Yet government remains essentially authoritarian, arrests and mysterious disappearances providing the familiar characteristics of the police State. President Nasser continues to seek the extension of his own authority as leader of the Arab world. His military adventuring in Yemen drags on. Also, the activities of the Communist-sponsored Palestine Liberation Organisation, aimed at the downfall of the “ usurping ” State of Israel have been causing embarrassment and irritation in Jordan, though no doubt its posturings are closely watched in Cairo. On the credit side, it was lately remarked by a prominent English journalist, President Nasser does not now give the impression of a conventional dictator. He lives quietly and modestly, and seems aware of the need to have the best available men around him. There seems reason to view his latest reconstruction of the Cabinet in that light.