were in the performance of duties designed to increase the stability in a region that is inherently unstable.

It reminds me of the fact that ours is a dangerous profession, and these young people do in fact go in harm's way as they do the mission. All of us are in their debt, and in Central Command we join friends and allies in saluting the courage and the patriotism, commitment, and sacrifice of these young people.

Additionally, I would like to thank the Government of Kuwait, as well as others in the region, for the magnificent support that they provided with respect to this accident.

Mr. Chairman, I appreciate the opportunity to appear today before the committee to have an opportunity to talk about the central region, an area of vital importance to the United States of America, and what our activities are all about, what our interactions are, what are difficulties are, and what our needs are.

As this committee certainly knows, in this region on a given day will be between 18,500 and perhaps as high as 25,000 American personnel. Today we stand at a bit over 21,000 Americans deployed in the region, 175 to 200 airframes involved in our operations there, and generally between 25 and 30 ships with a carrier battle group in the Northern Arabian Gulf.

This region, as the committee knows, includes 25 countries, in an area about twice the size of the continental United States. Our forces around the clock, 365 days a year, are involved in enforcement of the no-fly zone in Southern Iraq, a security zone that extends from south to north, that being from the Kuwait or Saudi border up to the 33rd parallel about 180 nautical miles, and our sailors, and marines, additionally serve in Marine Expeditionary Units as they are in the region about 6 months of each year interacting with forces there.

Our maritime forces include, as I mentioned, a carrier battle group involved in maritime interception operations to ensure that the regime in Iraq is not afforded the unrestricted opportunity to smuggle gas oil using maritime routes in order to enhance Saddam Hussein's disposable income, which he has provided every evidence he will use to enhance his military position by building up and modernizing his conventional forces, his integrated air defense systems, as well as his weapons of mass destruction program.

These people who serve in the central region are doing this every day, and I mentioned to the committee, Mr. Chairman, they do, in fact, go in harm's way. Witness the Khobar Towers incident, or witness the bombing of the Saudi Arabian National Guard facility several years ago, witness 12 October this past year, where 17 Americans, 17 sailors lost their lives in the Port of Aden in a terrorist incident.

We ask a lot of these young people, we expect a lot of these young people, we owe them what we seek in Central Command, in fact all the military services to provide, and that is the appropriate balance of our resource levels to ensure appropriate force protection, to ensure appropriate policy-level decisions, to provide the benefit of experience from within the region to the policy level, as the policies are being formed by this administration, to ensure that we do the best things we can to work toward the assurance of

maintaining access to this region of vital and enduring interest to the country.

Mr. Chairman, I have asked that my prepared remarks be included in the record, and at this point I will stop the oral remarks and be pleased to entertain the committee's questions.

[The prepared statement of General Franks follows:]

PREPARED STATEMENT BY GEN. TOMMY R. FRANKS, USA

INTRODUCTION

Mr. Chairman, members of the committee.

U.S. Central Command's (USCENTCOM) Area of Responsibility (AOR) includes 25 nations, extending from Egypt and Jordan to the Horn of Africa, the Arabian Peninsula, Pakistan in South Asia, and Central Asian states as far north as Kazakhstan. Included are the waters of the Red Sea, the Northern Indian Ocean, and the Persian Gulf, with maritime chokepoints of the Suez Canal, the Bab el Mandeb, and the Strait of Hormuz.

The current National Security Strategy specifies that our core objectives in this vital region are to enhance U.S. security, promote democracy and human rights, and bolster American economic prosperity. To meet these goals, USCENTCOM promotes regional stability, ensures uninterrupted access to resources and markets, maintains freedom of navigation, protects U.S. citizens and property, and promotes the security of regional friends and allies.

As we work with policymakers to define USCENTCOM's approach in the AOR, we address our objectives and goals in light of the political-military dynamics of the region. The Middle East Peace Negotiations (MEPN) and U.S._relationships with Israel, Lebanon, Syria, and Turkey influence our relations with Egypt, Jordan, and the states of the Gulf Cooperation Council (GCC). Pakistan is important to the U.S. because of regional tensions and its proximity and relationship to Afghanistan. U.S.Pakistan relations continue to be influenced by these issues and by progress toward a return to civil, democratic government. Transnational issues including humanitarian disasters, refugees, international crime, drug smuggling and terrorism, and state-to-state conflicts such as the Eritrea-Ethiopia War, will continue to define our tasks in the Horn of Africa. Our relations with the Central Asian states will be influenced by their relationships with Russia, their concern about extremism generated from Afghanistan, and our efforts and commitments to help the Central Asian states in maintaining their independence, sovereignty, and territorial integrity through democratic and defense reform.

Natural resource distribution will continue to influence regional dynamics. Control of water sources and uses downstream may heighten existing international tensions, particularly along the Nile, Tigris, Euphrates, and Jordan Rivers. Competing claims over the control and distribution of energy resources will continue to influence relations between states, particularly around the Caspian Sea.

On a given day, USCENTCOM operates in the region with some 30 naval vessels, 175-200 military aircraft, and between 18,000 and 25,000 soldiers, sailors, airmen, coast guardsmen, and marines. Activities range from missions such as Operation Southern Watch enforcement of the No-Fly Zone (NFZ) over Southern Iraq, to Maritime Intercept Operations (MIO) in the northern Persian Gulf, to Security Assistance, to International Military Education and Training (IMET), to Joint and Combined Exercises, and Humanitarian Demining (HD). Our military men and women continue to do a remarkable job across the board in enhancing U.S. relationships in the region, in promoting stability, and in supporting diplomatic efforts aimed at securing America's vital and enduring national interests.

There is, however, a price for America's visibility in pursuit of our interests. Some, opposed to the values for which our country stands, have determined to take direct and violent action against our presence in the region. The terrorist bombing of the Office of Program Management for the Saudi Arabian National Guard (OPM SANG), the Khobar Towers bombing, the attacks on our embassies in Kenya and Tanzania and last October's attack on U.S.S. Cole continue to demonstrate that our opponents are dedicated, determined, and resourceful. Our clear task is to remain resolutely committed to the principles we stand for while we provide the best possible protection for our people. Efforts to counter the terrorist threat are ongoing, but much remains to be done as our men and women in uniform daily go “in harm's way."

I will now describe our AOR in greater detail, highlight our ongoing challenges and opportunities, and identify our essential requirements.

REGIONAL TRENDS

Overview

The Central Region is of vital interest to the United States. Sixty-eight percent of the world's proven oil reserves are found in the Gulf Region and 43 percent of the world's petroleum exports pass through the Strait of Hormuz. The developing energy sector of the Central Asian states, with the potential for discovery of additional oil reserves, further emphasizes the importance of the Central Region to America and the world.

The words that best describe the AOR are "diversity" and "volatility." The region is home to more than 500 million people, three of the world's major religions, at least 18 major ethnic groups, and national economies that produce annual per capita incomes varying from a few hundred dollars to tens of thousands of dollars.

Portions of USCENTCOM's AOR are characterized by instability. We find social volatility due to pressures created as governments transition toward democracy, and we find additional social, economic and military stresses from humanitarian crises, the strains of resource depletion or overuse, religious or ethnic conflict, and military power imbalances. While national instability is not uncommon, the volatility of USCENTCOM's AOR is particularly significant because of its geographical and economic importance. The natural resources of Saudi Arabia, Kuwait and others have provided extraordinary opportunities for these nations, but also have given rise to a range of socio-economic problems and rivalries. States such as Egypt and Jordan have compensated to a large extent for their lack of mineral wealth through positive use of their human resources. Yet, there are nations in the region that have not generated the will, resources, or organization to move ahead. These factors will not be easily overcome, and portend potential regional challenges for the future.

Iraq

Ten years ago, American leadership produced a coalition that defeated Saddam Hussein's invasion of Kuwait. Despite victory, we remain engaged in current operations in the Gulf because of Iraq's refusal to abide by the terms of a series of United Nations Security Council Resolutions (UNSCRs).

In the past year, coalition forces flew more than 19,000 sorties in support of Operation Southern Watch (enforcement of the Southern Iraq NFZ), with almost 10,000 of those sorties in Iraqi airspace. The purpose of these missions in support of United Nations (UN) resolutions remains the protection of Iraqi civilians (Kurds in the north/Shia in the south) from Saddam Hussein and the prevention of Iraqi aggression against its neighbors. Our forces have been engaged by surface-to-air missiles or anti-aircraft fire more than 500 times during the period, and coalition forces have responded to these provocations on 38 occasions. Enforcement of the NFZ will remain dangerous but necessary business as long as the Iraqi regime continues to threaten its neighbors and its own people. Similarly, our naval forces maintain continuous presence in the Persian Gulf, and have intercepted 610 ships in the past year in support of MIO, enforcing UN sanctions designed to limit Saddam Hussein's ability to smuggle oil out of Iraq. Iraqi oil smuggling provides uncontrolled revenues, which could be used to reconstitute his weapons of mass destruction (WMD) and rebuild his conventional forces. Sixty-five of these ships have been diverted to Gulf coalition partners where contraband oil has been confiscated and sold. Again, necessary but dangerous business.

As allied forces continue to enforce the resolutions, Iraq has become more aggressive in attempts to circumvent them. As the second-largest producer of oil after Saudi Arabia, Iraq has attempted to manipulate the UN Oil-for-Food (O-F-F) program. Because of Saddam's obstruction, not all revenues and supplies intended for the direct relief of the Iraqi people under the O-F-F program have found their way to the population. Additionally, by halting and restarting crude oil exports of up to 2.3 million barrels per day, Iraq has attempted to establish leverage that it can use to end sanctions. Saddam's ability to circumvent UN sanctions leaves little incentive for him to accept UNSCR 1284 or permit the resumption of UN inspections. In the absence of inspectors and a long-term monitoring program, we cannot verify that Iraq is not continuing research, development and production of WMD and ballistic missiles.

Despite the overwhelming defeat of Iraq's conventional military force, it remains a threat to its neighbors and has repeatedly demonstrated an ability to project force as evidenced by significant deployments to western Iraq in October and November/ December 2000. Iraq continues to challenge coalition aircraft in the NFZs despite the effects of 10 years of sanctions on its air force and continued attrition of its air defense forces. Despite the degradation of Iraq's military capability, our regional

partners do not yet possess the capability to deter Iraqi aggression without our assistance.

Saddam is as secure now as at any time in the past decade. Iraqi participation in the 21-22 October 2000 Arab Summit and the 12-13 November 2000 Organization of Islamic Conference (OIC) signals his attempt to reenter the Arab fold, and renewed contacts between Baghdad and a number of moderate Arab countries following the breakdown of the MEPN make the U.S. leadership role critical as we work to rebuild the Gulf War coalition. USCENTCOM operations and military-tomilitary relationships remain key to this effort.

IRAN

Iran's future is an enigma in the question of stability in the AOR. Since 1997, President Khatami has attempted to change the image of Iran by initiating diplomatic rapprochement with Europe and the Gulf States. Domestically, moderate legislators have the majority in the parliament and have attempted to reform the system by introducing greater transparency and accountability within government. However, conservative hard-liners have closed Iran's free press, blocked reform legislation, and intimidated and jailed moderate legislators and popular figures, effectively maintaining an atmosphere of social and political repression.

Iran faces severe internal challenges including domestic political and economic problems, massive unemployment, and increasing drug use. While a majority of Iranians, especially the young, demand change, they find themselves virtually powerless. President Khatami has not succeeded in changing the system while Supreme Leader Khamenei and the ruling conservatives have clearly demonstrated that they will not accept change, nor will they share the principal elements of state power with an increasingly restless population.

Meanwhile, Iran continues to improve its conventional and unconventional military capabilities. Tehran's ability to interdict the Strait of Hormuz with air, surface, and sub-surface naval units, as well as mines and missiles remains a concern. Additionally, Iran's asymmetrical capabilities are becoming more robust. These include high speed, fast attack patrol ships; anti-ship missiles; unmanned aerial vehicles (UAVs); and hardened facilities for surface-to-surface missiles and command and control. WMD programs and the Shahab-3/4 Medium Range Ballistic Missile (MRBM) also continue to receive priority funding. Although President Khatami is attempting to change Iran's image, sustained hostility of conservative hard-liners is evident as we see continued support of terrorism aimed at derailing efforts for peace between Israel and the Palestinians.

As Tehran deals with the stresses of a growing and increasingly discouraged population, internal political volatility could result in diplomatic, military, or asymmetric attacks on Iran's neighbors or American citizens and our interests. If we factor Iran's burgeoning WMD capability into this equation, the risks increase significantly and Iran becomes the greatest long-term threat in our AOR.

Gulf States

Increased revenues from high oil prices have benefited Gulf oil producers. This financial shot in the arm has reduced budget deficits and reactivated previously stalled infrastructure projects. However, socio-economic problems, such as increasing population, high unemployment, declining public services, and a depressed worldwide financial market, have focused the nations on the Arabian Peninsula on economic reforms that are intended to diversify and stimulate their economies. Regional stability was recently enhanced through the resolution of long-standing Saudi-Yemeni border and Kuwaiti-Saudi maritime boundary disputes. But, unresolved United Arab Emirates (UAE)-Iran and Bahrain-Qatar territorial disputes, and Kuwait-Iran maritime boundary disputes remain.

The ongoing Israeli-Palestinian violence is of continuing concern in the Gulf region. This violence has increased internal pressures on moderate Arab governments who must balance responses to public opinion with the value placed on their relationships with the West. If the Peninsula states begin to distance themselves from the U.S., their inability to face the dual threats of Iran and Iraq will leave them vulnerable to intimidation by these aggressive powers.

Northern Red Sea

The Northern Red Sea sub-region (Egypt and Jordan) is on the front lines of the MEPN and has the most to gain or lose from the process. Peace would usher in the prospect of economic development, a stable financial environment, and social stability. Continued conflict encourages extremism, deters economic investment from outside the region, and inhibits tourism, a major source of income in both Egypt and Jordan. President Mubarak of Egypt and King Abdullah of Jordan have walked a

fine line on the issue despite domestic difficulties, calls for breaking diplomatic relations with Israel, and for boycotts of Israeli and U.S. goods.

Economically, Egypt's move toward privatization is hampered by concerns about unemployment and the expected economic downturn that would initially follow. As Egypt's major source of hard currency is tourism, its economy reacts dramatically to advances or setbacks in MEPN.

Jordan suffers from water shortages, high unemployment, deficit spending, and a stagnant economy hampered by sanctions imposed on Iraq, Jordan's largest trading partner and its sole supplier of oil. Jordan's economic prospects are limited by the region's instability, magnified by the fact that 60 percent of the population of Jordan is Palestinian. King Abdullah has managed to support the Palestinian cause while maintaining ties with Israel, and dealing with the economic impact of sharing borders with Syria and Iraq.

Central and South Asia

Central Asia's primary security concern is the threat posed by religious extremism generated from the continuing conflict in Afghanistan. In response to the Islamic Movement of Uzbekistan (IMU) incursion in 1999, Uzbekistan and Kyrgyzstan began developing new tactics and deployed military forces to critical defensive corridors in anticipation of renewed IMU activity. Consequently, and due to increased logistical and training support provided by the U.S., Turkey, Russia, and China, Uzbekistan and Kyrgyzstan anticipated and effectively countered IMU infiltration into their territory in the summer and fall of 2000. But these countries, and the Central Asia region as a whole, will remain vulnerable to renewed IMU attacks in the coming spring and summer. USCENTCOM will continue to work with the militaries in Central Asia to enhance their abilities to secure their borders, build multilateral relationships through exercises, and support diplomatic efforts to enhance stability and nurture democracy.

Pakistan remains key to achieving stability in South and Central Asia. Peace initiatives instituted by Pakistan and India have the potential to develop into meaningful dialogue and dramatically reduce tensions in the region, but both these nuclear states require encouragement to move forward. Pakistan perceives U.S. policy as "tilting" in favor of India, which complicates dialogue on the subcontinent. This perception is fueled by our limited military-to-military interaction with Pakistan coupled with the current moratorium on International Military Education and Training (IMET). Historically, the Pakistani military is one of the most influential forces within the country and USCENTCOM's relationships at the military level could create leverage to enhance stability in South Asia.

Afghanistan remains a destabilizing influence in the region. In one way or another, all of Afghanistan's neighbors are affected by Afghanistan's internal war—either as a supporter of one side or the other, or by proximity to the chaos generated by the war.

The military, economic and social stresses brought on by the Afghan conflict and the continuing tension between India and Pakistan impact each of the Central Asian governments and regional economies as well, and have prompted the Central Asian states to look for increased collective security opportunities. USCENTCOM has effective mil-to-mil programs with Khazakstan, Uzbekistan, and Kyrgystan, and is interested in beginning engagement with Tajikistan, a country key to the region because of its geostrategic location and close ties to Russia. Tajikistan has submitted paperwork to join the Partnership for Peace program, and the Department of State is actively working to obtain Cooperative Threat Reduction certification and IMET funding to support their request.

Africa

The 22-year war between Ethiopia and Eritrea appears to have ended with the 12 December 2000 peace agreement. With the deployment of the United Nations Mission to Ethiopia and Eritrea (UNMEE), both countries have promised to uphold the principles of the peace agreement. As long as UN peacekeepers are present, renewed fighting is not expected. As these states implement the peace agreement, we will reopen military contacts and seek to build on relationships that provide balance and enhance regional stability.

Other countries in the Horn of Africa are still suffering from the impact of a 5year drought that places 20 million in need of aid, about 10 million of whom are facing starvation. Despite donor fatigue, aid agencies remain responsive to this humanitarian disaster, and USCENTCOM will continue to assist with humanitarian programs in every way possible.

Sudan continues to provide support and safe haven to transnational terrorists and opposition groups. President Bashir has been unable to end the civil war in south