THE PRESIDENT'S DAILY BRIEF 18 DECEMBER 1973

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0006007625
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 10
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: December 18, 1973

Declassified in Part - Sanitized Copy Approved for Release 2016/07/19 : CIA-RDP79T00936A011900010015-9
The President's Daily Brief
18 December 1973
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Exempt from general
declassification schedule of E.O. 11652
exemption category 5E30 1(2),(3)'
declassified only on approval of
the Director of Central Intelligence
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FOR THE PRESIDENT ONLY
THE PRESIDENT'S DAILY BRIEF
December 18, 1973
PRINCIPAL DEVELOPMENTS
There was a new flurry of consultation among the
Arabs yesterday; the main topics appear to have been
how Damascus should respond to Israel's demand for
a list of POWs, and Syria's general attitude toward
the upcoming talks in Geneva. Amid the various com-
ings and goings were signs that the Egyptians and the
Soviets were_offering their own views and suggestions
to the Syrians. (Page 1)
Cambodian troops have regained control of several
miles of Route 4 southwest of Kompong Speu, but
part of the highway remains in Communist hands.
(Page 3)
With the economic crisis growing more acute, Britain
has announced new measures designed to deflate the
economy. Public spending
in
the next fiscal year
will be reduced by close
to
$3 billion. There will
?be new taxes and controls
on
credit sales. (Page
4)
USSR(
(Page 5)
In Denmark, Liberal leader Poul Hartling stands a
fair chance of forming a minority centrist govern-
ment soon. (Page 5)
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ARAB STATES - ISRAEL
A new flurry of inter-Arab consultation is
under way. Syria was directly involved in most of
yesterday's diplomatic activity, which presumably
focused on Israel's demand that Damascus provide a
list of Israeli POWs, as well as on Syria's general
attitude toward the upcoming peace conference in
Geneva.
Egyptian Foreign Minister Fahmi reportedly
flew to Damascus yesterday where he conferred for
three hours with President Asad before returning to
Cairo.
Palestine Liberation Organization Chairman
Arafat also held talks with Asad yesterday.
Meanwhile, Libyan Prime Minister Jalud returned
to Cairo from Tripoli less than 24 hours after leaving
the Egyptian capital. Jalud spent five days in Egypt
late last week, during which time he reportedly met
twice with President Sadat.
The Middle East News Agency yesterday carried
the text of remarks made by Foreign Minister Fahmi
in an interview for French television. Fahmi said
that Egypt expects more Israeli "maneuvering" once
peace talks begin in Geneva. He said Cairo would
participate in order to "prove to the world" that
Israel is obstructing peace.
Israeli Deputy Premier Allon spelled out his
expectations for the Geneva negotiations in an inter-
view broadcast by Jerusalem radio on December 17.
Allon stressed:
--"considerable time" would be spent negotiating
a separation of forces;
--the only joint session would be the opening
ceremony, and then only if Syria provides a
list of POWs;
--Israel intends to hold separate talks with
each of its neighbors, "because there are dif-
ferent problems with each state";
(continued)
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--there must be agreement on a "long list of
conditions" for a settlement before final bound-
aries can be discussed; these conditions include
the nature of demilitarized zones, the status
of peace-keeping forces, Israel's navigation
rights, and the nature of relations following
a settlement.
There are continuing signs that the Arabs intend
to keep military pressure on Israel in an attempt to
strengthen their hand at the peace talks. An article
in Al-Ahram yesterday advocated increasing such pres-
sure so as to force Israel to endure the high cost
of maximum preparedness for as long as possible. The
Syrians may have something more serious in mind. Ac-
cording to a new source with access to middle-level
Syrian military officers, the latter believe Damas-
cus will launch renewed attacks before and during
the talks in Geneva in order to force a rapid settle-
ment.
2
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Ba tambang
Ghinit
Kompong Cham
?
Ko pang Speu
Road Cu Prek T
Skirmis
eak
uong
its
BAIE DE
KOMPONG SOM L?
Ipp/ong Som
MILES 25
554982 12-73 CIA
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CAMBODIA
Elements of a 4,000-man Cambodian Army task
force broke through Communist defenses on Route 4
over the weekend and have now regained control of
several miles of highway southwest of Kompong Speu
City. Government units are regrouping before trying
to reopen the four miles of road still in Communist
hands. Although three Communist regiments are re-
portedly operating in the general area of Kompong
Speu, intercepted messages indicate that Communist
strength has been worn thin during the month-long
campaign on Route 4.
Government troops yesterday regained control
over a short stretch of Route 1, some seven miles
southeast of Phnom Penh, that was cut by the Commu-
nists over the weekend. Along the.BaSsac River
directly south of Phnom Penh, Communist units have
isolated several government outposts and have begun
forcibly relocating villagers. The Communists have
for some time been planning a series of coordinated
small-scale attacks along the city's southern de-
fenses, and a modest increase in fighting can be
expected elsewhere in the area.
Scattered fighting continues along Route 5 be-
tween ten and fifteen miles north of Phnom Penh as
government reinforcements attempt to dislodge sev-
eral hundred Communist troops that moved into the
area late last week.
Recent messages from Communist units near the
provincial capital of Takeo have mentioned ammuni-
tion shortages, but the town remains the target of
daily Communist shellings and ground probes.
3
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UNITED KINGDOM
Chancellor of the Exchequer Anthony Barber yes-
terday announced new measures to deflate the British
economy. Public spending in the next fiscal year will
be reduced by close to $3 billion. Cuts will be wide-
spread, but there will be none in energy industries
or in state housing. Barber also announced a tax
surcharge affecting those in higher income brackets,
new controls on credit sales, and a tax on real estate
transactions.
These measures are intended primarily to bring
demand into line with the sharply reduced production
expected to result from Britain's energy crisis. The
domestic coal shortage and railway slowdown have com-
pounded the effects of shortfalls in oil deliveries.
Consumer prices rose at an annual rate of ten percent
last month, and the trade deficit for the year will
top $5 billion.
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NOTES
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Denmark: Liberal leader Poul Hartling, named
formateur by the Queen last week, stands a fair
chance of forming a minority centrist government
soon. Hartling, a moderate who was foreign minister
from 1968 to 1971, reportedly has the support of the
Center Democrats and the Christian People's parties--
both of which benefited from the anti-establishment
mood of the Danish electorate in the voting on De-
cember 4. Two other parties also have favored his
candidacy for formateur. In view of the political
fragmentation resulting from the recent elections,
however, extensive interparty negotiations probably
will be needed to put together even a weak, minority
government.
5
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Top Secret
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