TNAG-2224-FCO40-3195-Gulf-War-burden-sharing-Hong-Kong-contribution-1991 — Page 164

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TO DESKBY 28010OZ KUALA LUMPUR

TELNO 26

OF 271546Z JANUARY 91

INFO PRIORITY MODUK, HM TREASURY, JHQ HIGH WYCOMBE

8

162224

MDHOAN 6523

MODUK FOR SEC (O) (C)

HMT FOR FELLGETT

GULF CRISIS: FINANCIAL BURDEN SHARING

1. WE ARE UNDERTAKING AN EXERCISE TO IDENTIFY COUNTRIES WHICH WE MIGHT APPROACH FOR CONTRIBUTIONS TO OFFSET THE COSTS OF OUR MILITARY OPERATIONS IN THE GULF, WHICH ARE VERY SUBSTANTIAL, AND RISING RAPIDLY WITH THE START OF HOSTILITIES.

2.

MALAYSIA HAS ENJOYED A WINDFALL FROM THE HIGHER OIL PRICES OF THE PAST SIX MONTHS, AND HAS CONTRIBUTED NOTHING (SO FAR AS WE ARE AWARE) EITHER TO MILITARY COSTS, OR IN SUPPORT OF REFUGEES, OR TO HELP THOSE REGIONAL COUNTRIES SUCH AS JORDAN WHICH HAVE SUFFERED ECONOMICALLY FROM THE CRISIS. WITH THIS IN MIND, WE ARE CONSIDERING APPROACHING THE MALAYSIANS FOR A CONTRIBUTION TO OUR MILITARY COSTS OF POUNDS 10 MILLION.

3. WE RECOGNISE THAT SUCH A REQUEST WOULD POSE DIFFICULTIES FOR THE MALAYSIAN GOVERNMENT, GIVEN THEIR ISLAMIC SENSITIVITIES AND THE POLICY POSITIONS REPORTED IN YOUR TELNO 46. BEFORE WE MAKE A FORMAL APPROACH, GRATEFUL FOR YOUR VIEWS ON THE LIKELY RESPONSE.

HURD

YYYY

ΜΑΙΝ

IRAQ/KUWAIT

LIMITED

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