TNAG-2028-FCO40-2890-Hong-Kong-freezing-of-Kuwaiti-and-Iraqi-assets-1990 — Page 98

CONFIDENTIAL

071345

MDLIAN 3539

EFFECTS ON SOVIET UNION AND EASTERN EUROPE

8. US SAID THE EASTERN EUROEPANS WERE SERIOUSLY TRYING TO IMPLEMENT THE EMBARGO. SHE CIRCULATED A PAPER ON THE LIKELY EFFECTS ON EASTERN EUROPE (COPIED TO EED). HIGHER OIL PRICES WOULD BENEFIT

THE SOVIET UNION BUT HURT THE EAST EUROPEANS.

NEXT STEPS

9. IT WAS AGREED THAT THE SECRETARIAT WOULD PREPARE A REVISED PAPER

ON THE ABOVE. THE COMMITTEE WILL MEET AGAIN ON 23 AUGUST.

CARTER

YYYY

ΜΑΙΝ

IRAQ/KUWAIT

LIMITED

280

ADDITIONAL 43

IRAQ/KUWAIT

(PASSED TO EMERGENCY UNIT)

NNNN

DISTRIBUTION

323

MED