Japan imposes more sanctions over India's nuclear tests

TOKYO, May 14 Kyodo - Prime Minister Ryutaro Hashimoto said Thursday that Japan will add suspension of new yen loans to the list of sanctions against India in protest at the country's nuclear tests. ''It is very regrettable that India conducted tests again despite Japan's protest (over its Monday tests),'' Hashimoto told reporters at his official residence. Japan will also instruct Ambassador to India Hiroshi Hirabayashi to return to Japan, as early as this weekend, to discuss with Foreign Minister Keizo Obuchi how to deal with the situation, Hashimoto said. Japan, which is India's largest aid donor, made the decision on additional sanctions after India carried out two further underground tests Wednesday, following the tests conducted Monday. The world's eight major powers will discuss India's nuclear tests at their summit meeting to be held from Friday to Sunday in Birmingham, England, Hashimoto said. ''I will try to get the Group of Eight (G-8) nations to send a clear and strong message against India's nuclear tests at the summit meeting,'' Hashimoto said. ''I hope (the present situation) will be resolved and India will join the Nuclear Non-Proliferation Treaty and the Comprehensive Test Ban Treaty, and that this will be a step toward extermination of nuclear weapons,'' Hashimoto said. India has not signed either of the treaties. Following the tests Monday and before the two additional tests were revealed, Japan announced sanctions Wednesday involving suspension of fresh grants-in-aid and shelving a plan to host a World Bank forum of donor nations on India on June 30 and July 1. The suspension of grants will exclude emergency, humanitarian and ''grass-roots'' projects. The tests are the first India has conducted since 1974. In 1992 Japan attached conditions to its official development assistance (ODA) which involve checking on a recipient nation's military spending, its possession of weapons of mass destruction and its arms exports. It is Japan's second economic sanctions in relation to nuclear tests, following suspension of grants-in-aid to China after Beijing conducted tests in 1995. Japan provided 3.5 billion yen in grants-in-aid to India in fiscal 1997, which ended March 31. In October 1997, Japan committed 132.7 billion yen in loans to India. Japan offered its first low-interest yen loans to India in 1958 to assist the nation's development projects, and has since provided yen loans to India every year except in 1959, 1960, 1978 and 1983.