“So where’s Arik going?” is the big question in Israel relating to PM Ariel Sharon. As a given he has two insurance policies, one – the Bush ‘Road Map’ enabling him to deal with the extreme Right and two – Yasir Arafat granting him protection from the far Left. The Right blew a gasket this week when he mentioned Israel’s presence in the West Bank (Judea and Samaria) and Gaza as a “conquest”. The Left continues to accuse him of not knowing the limits of force.

Following the meeting last night between Ariel Sharon and Abu Mazen, both sides declared that they were encouraged by the outcome. While both are clearly playing to a US government audience in the hope of convincing the administration that they are serious about the steps they will take for peace, it seems that the "map" is taking us back to a place we have visited already, and the experience was not a happy one. (see "Easing Restrictions and Paying the Price," Archives, October 22, 2002.)

The Israel state budget passed last night despite the thousands of objections posted by the opposition. The coalition sped up the process of voting placing thousands of objections in the same bag and ended the long arduous farce by 3AM. Finance Minister Netanyahu was pleased, thanked PM Sharon for his support and got his 9 billion shekels worth of cuts. The first step in solidifying rule and administration both on the domestic and foreign front was taken. Economists believe the plan will bring stability, not growth. It’s a start.

The name of the game is demographics, hence PM Ariel Sharon and the Likud led government accepted the ‘Road Map’ despite their 14 reservations. The US has promised to relate seriously to all Israeli comments. (See previous article - 'Road Map' Trade Off)

US President George Bush is under pressure on the Palestinian – Israeli front. The 'Road Map' is out and everyone is expected to accept it. Formally only Israel has not yet decided to adopt it as a working formula. Israel’s foremost objection is over the Palestinian 'right of return' for refugees, a formulated death blow to the Jewish state. This issue is only to be discussed in the last stage of talks, after the Palestinians have a state and temporary boundaries. The issue should have been among the first, but it appears little can be done now. The Saudi initiative is also mentioned, meaning Israel must return to the 1967 borders, a totally unacceptable condition.

Almost everything has been written about Palestinian Authority Chairman Yasir Arafat's support and participation in terrorism over the years. He is a criminal and a murderer, undermining his own administration's efforts to begin conflict resolution with Israel. Israeli PM Sharon hoped to make him "irrelevant" by asking foreign leaders not to meet him. Arafat's only relevancy is in terrorism. To stop terrorism and make peace, accepting a two-state solution, would undermine his legacy removing him from center stage of world attention.

The Histadrut general strike is over. The public service sector will take wage cuts of 4 billion shekels over the next two years and the government is to manage their old pension funds. The new pensions (est. 1995) are still to be discussed. Union leader Amir Peretz considers this to be “serious concessions”. The truth is otherwise.

The old pensions are in debt 130 billion shekels ($29 billion) so Peretz graciously let the finance ministry appoint outside experts to manage the funds. The government will invest 70 billion shekels of its own to fill in the abyss. The new funds are more successful so in all unfairness Peretz wants to hold on to them. But the point is up for continued negotiation.

The Al Qaida attacks in Saudi Arabia and Morocco, the rise of Shi’ite activism in Iraq, the suspected links of the Islamic Front in Israel to Hamas and the reaffirmation of Iranian support for the Hizbollah in its war against Israel are all connected. Islamic fundamentalist terror activity is back and continuing to gain strength. Most obviously, Israel and America are on the front lines both as victims and as those battling the terror most intensely.

US Sec. Of State Colin Powell is in Israel trying to move the Bush "Road Map" forward. Israel has lifted the closure of the Palestinian territories as a first move. Now Palestinian PM Abu Mazen is to battle against terrorism, but he prefers negotiating with the factions such as his own Fatah (Al Aksa Brigades) and the Islamic opposition Hamas and Jihad. It is doubtful he will use force to disarm them. They have also refused to disarm voluntarily.

Yesterday the IDF did it by the book. Apache helicopters launched three Hellfire missiles into a car in the outskirts of Jebalya refugee camp in Gaza. The results were impressive: one utterly destroyed automobile and one eliminated Hamas and al Qaeda terrorist. Iyad Beik, who had been recruited into al Qaeda in 1999, was also one of the leaders of Hamas in Gaza, responsible for attacks which killed 19 Israelis. More were on the way, and his removal is another small victory in the fight against terrorists.