ANNEX III

PROTOCOL CONCERNING RELATIONS OF

THE PARTIES

ARTICLE 1

Diplomatic and Consular Relations

The Parties agree to establish diplomatic and consular relations and to exchange ambassadors upon completion of the interim withdrawal.

ARTICLE 2

Economic and Trade Relations

1. The Parties agree to remove all discriminatory barriers to normal economic relations and to terminate economic boycotts of each other upon completion of the interim withdrawal.

2. As soon as possible, and not later than six months after the completion of the interim withdrawal, the Parties will enter negotiations with a view to concluding an agreement on trade and commerce for the purpose of promoting beneficial economic relations.

ARTICLE 3

Cultural Relations

1. The Parties agree to establish normal cultural relations following completion of the interim withdrawal.

2. They agree on the desirability of cultural exchanges in all fields, and shall, as soon as possible and not later than six months after completion of the interim withdrawal, enter into negotiations with a view to concluding a cultural agreement for this purpose.

ARTICLE 4

Freedom of Movement

1. Upon completion of the interim withdrawal, each Party will permit the free movement of the nationals and vehicles of the other into and within its territory according to the general rules applicable to nationals and vehicles of other states. Neither Party will impose discriminatory restrictions on the free movement of persons and vehicles from its territory to the territory of the other.

2. Mutual unimpeded access to places of religious and historical significance. will be provided on a nondiscriminatory basis.

ARTICLE 5

Cooperation for Development and Good Neighborly Relations

1. The Parties recognize a mutuality of interest in good neighborly relations. and agree to consider means to promote such relations.

2. The Parties will cooperate in promoting peace, stability and development. in their region. Each agrees to consider proposals the other may wish to make to this end.

3. The Parties shall seek to foster mutual understanding and tolerance and will, accordingly, abstain from hostile propaganda against each other.

ARTICLE 6

Transportation and Telecommunications

1. The Parties recognize as applicable to each other the rights, privileges and obligations provided for by the aviation agreements to which they are both party,

particularly by the Convention on International Civil Aviation, 1944 ("The Chicago Convention") and the International Air Services Transit Agreement, 1944.

2. Upon completion of the interim withdrawal any declaration of national emergency by a party under Article 89 of the Chicago Convention will not be applied to the other party on a discriminatory basis.

3. Egypt agrees that the use of airfields left by Israel near El Arish, Rafah, Ras El Nagb and Sharm el Sheikh shall be for civilian purposes only, including possible commercial use by all nations.

4. As soon as possible and not later than six months after the completion of the interim withdrawal, the Parties shall enter into negotiations for the purpose of concluding a civil aviation agreement.

5. The Parties will reopen and maintain roads and railways between their countries and will consider further road and rail links. The Parties further agree that a highway will be constructed and maintained between Egypt, Israel and Jordan near Eilat with guaranteed free and peaceful passage of persons, vehicles and goods between Egypt and Jordan, without prejudice to their sovereignty over that part of the highway which falls within their respective territory.

6. Upon completion of the interim withdrawal, normal postal, telephone, telex, data facsimile, wireless and cable communications and television relay services. by cable, radio and satellite shall be established between the two Parties in accordance with all relevant international conventions and regulations.

7. Upon completion of the interim withdrawal, each Party shall grant normal access to its ports for vessels and cargoes of the other, as well as vessels and cargoes

destined for or coming from the other. Such access shall be granted on the same conditions generally applicable to vessels and cargoes of other nations. Article 5 of the Treaty of Peace will be implemented upon the exchange of instruments of ratification of the aforementioned Treaty.

ARTICLE 7

Enjoyment of Human Rights

The Parties affirm their commitment to respect and observe human rights and fundamental freedoms for all, and they will promote these rights and freedoms in accordance with the United Nations Charter.

ARTICLE 8

Territorial Seas

Without prejudice to the provisions of Article 5 of the Treaty of Peace each Party recognizes the right of the vessels of the other Party to innocent passage through its territorial sea in accordance with the rules of international law.

AGREED MINUTES TO ARTICLES I, IV, V AND VI AND ANNEXES I AND III OF TREATY OF PEACE

ARTICLE I

Egypt's resumption of the exercise of full sovereignty over the Sinai provided for in paragraph 2 of Article I shall occur with regard to each area upon Israel's withdrawal from that area.

ARTICLE IV

It is agreed between the parties that the review provided for in Article IV (4) will be undertaken when requested by either

party, commencing within three months of such a request, but that any amendment can be made only with the mutual agreement of both parties.

ARTICLE V

The second sentence of paragraph 2 of Article V shall not be construed as limit

ing the first sentence of that paragraph. The foregoing is not to be construed as contravening the second sentence of paragraph 2 of Article V, which reads as follows:

"The Parties will respect each other's right to navigation and overflight for access to either country through the Strait of Tiran and the Gulf of Aqaba."

ARTICLE VI (2)

The provisions of Article VI shall not be construed in contradiction to the provisions of the framework for peace in the Middle East agreed at Camp David. The foregoing is not to be construed as contravening the provisions of Article VI (2) of the Treaty, which reads as follows:

"The Parties undertake to fulfill in good faith their obligations under this Treaty, without regard to action or inaction of any other Party and independently of any instrument external to this Treaty."

ARTICLE VI (5)

It is agreed by the Parties that there is no assertion that this Treaty prevails over other Treaties or agreements or that other Treaties or agreements prevail over this Treaty. The foregoing is not to be construed as contravening the provisions of Article VI (5) of the Treaty, which reads as follows:

"Subject to Article 103 of the United Nations Charter, in the event of a conflict between the obligations of the Parties

under the present Treaty and any of their other obligations, the obligations under this Treaty will be binding and implemented."

ANNEX I

Article VI, Paragraph 8, of Annex I provides as follows:

"The Parties shall agree on the nations from which the United Nations force and observers will be drawn. They will be drawn from nations other than those which are permanent members of the United Nations Security Council."

The Parties have agreed as follows:

"With respect to the provisions of paragraph 8, Article VI, of Annex I, if no agreement is reached between the Parties, they will accept or support a U.S. proposal concerning the composition of the United Nations force and observers."

ANNEX III

The Treaty of Peace and Annex III thereto provide for establishing normal economic relations between the Parties. In accordance therewith, it is agreed that such relations will include normal commercial sales of oil by Egypt to Israel, and that Israel shall be fully entitled to make bids for Egyptian-origin oil not needed for Egyptian domestic oil consumption, and Egypt and its oil concessionaires will entertain bids made by Israel, on the same basis and terms as apply to other bidders for such oil.

For the Government of Israel:

M. BEGIN For the Government of the Arab Republic of Egypt:

Witnessed by:

JIMMY CARTER

A. SADAT

Jimmy Carter, President of the United States of America

Dear Mr. President:

March 26, 1979

This letter confirms that Israel and Egypt have agreed as follows:

The Governments of Israel and Egypt recall that they concluded at Camp David and signed at the White House on September 17, 1978, the annexed documents entitled "A Framework for Peace in the Middle East Agreed at Camp David" and "Framework for the conclusion of a Peace Treaty between Israel and Egypt."

For the purpose of achieving a comprehensive peace settlement in accordance with the above-mentioned Frameworks, Israel and Egypt will proceed with the implementation of those provisions. relating to the West Bank and the Gaza Strip. They have agreed to start negotiations within a month after the exchange of the instruments of ratification of the Peace Treaty. In accordance with the "Framework for Peace in the Middle East," the Hashemite Kingdom of Jordan is invited to join the negotiations. The Delegations of Egypt and Jordan may include Palestinians from the West Bank and Gaza Strip or other Palestinians as mutually agreed. The purpose of the negotiations shall be to agree, prior to the elections, on the modalities for establishing the elected self-governing authority. (administrative council), define its powers and responsibilities, and agree upon other related issues. In the event Jordan decides not to take part in the negotiations, the negotiations will be held by Israel and Egypt.

The two Governments agree to negotiate continuously and in good faith to conclude these negotiations at the earliest. possible date. They also agree that the objective of the negotiations is the estab

lishment of the self-governing authority in the West Bank and Gaza in order to provide full autonomy to the inhabitants.

Israel and Egypt set for themselves the goal of completing the negotiations within one year so that elections will be held as expeditiously as possible after agreement has been reached between the parties. The self-governing authority referred to in the "Framework for Peace in the Middle East" will be established and inaugurated within one month after it has been elected, at which time the transitional period of five years will begin. The Israeli military government and its civilian administration will be withdrawn, to be replaced by the self-governing authority, as specified in the "Framework for Peace in the Middle East." A withdrawal of Israeli armed forces will then take place and there will be a redeployment of the remaining Israeli forces into specified security locations.

This letter also confirms our under

standing that the United States Governmeni will participate fully in all stages of negotiations.