NEFA Proposal

CONTINUING UNCERTAINTY Surrounds the European Fighter Aircraft project and despite the German government announcement in June that it was to stay with the programme until the end of the development phase. A letter dated September 16 from the German state secretary responsible for armaments to the British defence procurement minister served formal notice that Germany now intends also to withdraw from the development phase os soon as next February — the earliest permissible date under the dispute process agreed in 1988 by the participating countries.

Contractually, Germany is still obliged to either continue paying its share of expenditure or pay

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