/ 4 March 1999

BONN OKs SUBMARINES TO SA

GERMANY has approved the sale of three submarines to South Africa, the daily Frankfurter Rundschau reported on Wednesday. The paper said the government’s security council, chaired by Chancellor Gerhard Schroeder, has given the green light for the contract, which has been approved by the foreign and defence ministries. Because the contract is for the sale of arms to a country outside the North Atlantic Treaty Organisation, the shipyard requires government permission to go ahead with the deal. The Frankfurter Rundschau said the contract is worth 1,75-billion euros ($1,9-billion) for the German shipbuilding industry and will help preserve 1000 jobs.