DAVAN
Moditerranean
;.
8. Malta. Mr Mintoff reacted encouragingly to the letter
I sent him on 3 December and which he read out in the Malta
House of Representatives that day. It was received warmly
on both sides of the House. We cannot discount the possibility
of requests being made in a year or two for additional
assistance to Malta, but Mr Mintoff has said his aim remains
that Malta should be economically: self sufficient by 1979 whon
the Military Facilities Agreement expires
9.
Cyprus. Following the bilateral consultations with the
US in November, Dr Kissinger was told in a message from the
Secretary of State for Foreign and Commonwealth Affairs that
we would not in present circumstances proceed with our
preferred policy of withdrawing from the SBAS altogether,
although we would be embarking almost at once on a rundown
of our forces there. The work noeded to define to what
minimum level these forces can be reduced is continuing, and
meanwhile some significant reductions in the air forces thoro
has taken place.
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10. The Shah is relaxed about our proposal to terminate the
declaration of forces to CENTO (viz aircraft in Malta and
Cyprus).
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SECRET
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