Weapons of Mass Destruction (WMD)

DATE=10/13/2003

TYPE=CORRESPONDENT REPORT

TITLE=IRAQ / E-U (L)

NUMBER=2-308535

BYLINE=DOUGLAS BAKSHIAN

DATELINE=LUXEMBOURG

CONTENT=

VOICED AT:

INTRO: The European Union is expected to approve a more than 230-million-dollar reconstruction aid package for Iraq before next week's (October 23, 24) donors conference in Spain. E-U diplomats say Britain and Spain also are to propose an amended U-N resolution on the future of Iraq in hopes of generating greater international support for peacekeeping and reconstruction efforts. Douglas Bakshian reports from an E-U foreign ministers meeting in Luxembourg.

TEXT: Diplomats say divisions remain within the European Union over how much to become involved in Iraq's reconstruction, given what many view as the unstable situation in the country.

Some E-U countries that supported the U-S-led war in Iraq are likely to make donations from national funds, in addition to the 230-million-dollar collective figure.

Britain fought along side U-S forces in the war, and British foreign minister Jack Straw said his country will add more money.

/// STRAW ACT ///

The United Kingdom will be giving a very substantial contribution. Of course the details will be made at the donors' conference, which takes place on October the 24th. ...We are very committed, indeed, to the reconstruction-rehabilitation of Iraq. Just as we are so committed to the people of Iraq and that will be reflected in the contribution that we make.

/// END ACT ///

He refused to confirm a report in Saturday's Financial Times that London plans to offer more than 900-million dollars during the next three years.

The United Nations, World Bank, and International Monetary Fund estimate that more than 35-billion dollars will be needed over the next four years to get the Iraqi economy going again.

But diplomats say critics of the war, led by France and Germany, seem unlikely to add much more funding without a satisfactory U-N resolution on the future of Iraq.

As one E-U diplomat put it - It is no secret that some member states think those who broke Iraq should pay to fix it. (SIGNED)

NEB/DB/MAR/RAE