Social/Economic/Political
Arab World: King Hussein surrenders claims of sovereignty over W. Bank; calls on the PLO to take responsibility for W. Bank [NYT 7/31].
Military
Occupied Palestine/Israel: Police arrest Faysal al-Husayni for engaging in "subversive, hostile activities" and for working with Fateh; Husayni had recently told Peace Now rally that he favors two-state solution to the Arab-Israeli conflict [WP 8/1]. In Beach camp 70 Palestinians are injured during demonstrations aIsraelis lift curfew [FJ 8/7]. In Gaza City 5 Palestinians are injured during demonstrations. Clashes also occur in Duhayshah, Balatah, 'Ayn Bayt al-Ma', Tulkarm, Qalqiliyyah camps and Husan village [FJ 8/7].
Arab World: Egyptian and Saudi governments are pressuring W. German government to cancel agreement with Israel to build submarines; W. Germany forbids sale of arms to areas of high tension [FJ 8/7].