    [Public Papers of the Presidents of the United States: George W. Bush (2003, Book I)]
    [June 9, 2003]
    [Pages 612-614]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks Following a Cabinet Meeting and an Exchange With Reporters
    June 9, 2003

        The President. I just met with my Cabinet, had the opportunity to
    brief them about my trip overseas. I talked about the visit to Poland
    and to Russia, where we've got good friends in both those countries, at
    least in terms of their leaders.

    [[Page 613]]

        And then I went to the G-8 in Evian, France. The message there was,
    is that America and Europe can do a lot together. We can make the world
    more peaceful. We can make the world more free. We can work together to
    help fight the pandemic of AIDS in Africa. There's a lot we can do
    together. We need to put our differences in the past and combine our
    efforts. We can do--trade together so our people can find work. And I
    left feeling very good about our relations in Europe.
        Then I went to the Middle East and started the--started the march to
    peace. And I'm optimistic about our chances to bring a peaceful, free
    Palestinian state in existence, to live side by side with a secure
    Israel. We've got a lot of work to do, but I was pleased with the
    response of Prime Minister Sharon. He's a
    courageous leader, dedicated to the security of the Israeli people, as
    are we, but also recognizing that life can be better for the
    Palestinians.
        And I appreciate the leadership of Prime Minister Abbas, ``Abu Mazen'' the new Prime Minister of the
    Palestinian Authority, who spoke eloquently and clearly about the need
    for the free world to fight off terror in order for a Palestinian state
    to emerge.
        And then I went over to Qatar, had a very good visit with Ambassador
    Bremer  Paul ``Jerry'', III and General Tommy
    Franks, and we talked about the need for our
    coalition to continue to make steadfast progress in Iraq so that the
    people of Iraq will be able to eventually run themselves. And we are
    making steadfast progress.
        Finally, we talked about domestic matters. Secretary Snow briefed us on the economy. And we're optimistic about
    our economy, but we won't rest until we're certain that people who are
    looking for work and who want to work can find a job. The jobs-and-
    growth package passed by the Congress can be very beneficial to those
    who look for work.
        We also talked about the possibilities of Congress getting a good
    Medicare bill out. I will spend time this week discussing Medicare with
    the American people. Secretary Thompson
    briefed us on the progress being made by the Congress, and I want to
    thank the congressional leadership for showing the determination that's
    going to be necessary to get a good Medicare package out for America's
    seniors.
        I'm proud of my Cabinet. I want to thank them for their good work
    and really proud of the team we have put together here.
        I'll answer a few questions. Tom [Tom Raum, Associated Press], and
    then Patsy [Patricia Wilson, Reuters].

    Middle East Peace Process

        Q. Mr. President, since you left the Middle East, there's been a new
    outbreak of violence; three main Palestinian militant groups have
    claimed responsibility for it. Prime Minister Abbas says he will not use
    force to control these groups, and Prime Minister Sharon has been
    criticized by rightwing members of his own party. Why are you so
    optimistic?
        The President. I'm optimistic because I was able to listen to the
    Prime Ministers of Israel and the Palestinian
    Authority ``Abu Mazen'' talk about the need
    for peace and for a state.
        Listen, I recognize there's going to be extremes, particularly in
    the Palestinian territories, that want to blow up peace. But I think
    people are sick of it. The average Palestinian must understand that
    their lives will improve with the vision of Prime Minister Abbas. ``Abu Mazen'' And the Arab neighborhood understands
    that violence will lead to nothing except misery and the lack of hope.
    And so I'm optimistic that responsible leaders have now got the message
    that we must combine to work to fight off the terror attacks so that a
    peaceful Palestinian state can emerge.
        And I understand there's going to be a lot of work to do, but I'm
    prepared to lead. And we're sending a team in place. Ambassador
    Wolf will be on the ground soon, holding people
    to account and working to strengthen Prime Minister Abbas
    ``Abu Mazen'' so

    [[Page 614]]

    that he can deliver on his promise, a promise he made not only to me
    personally but a promise he made to the Israeli officials. And the
    promise was, is that he will work as hard as he can to fight off those
    elements within the territories that want to use violence to destroy any
    hope for peace and, therefore, use violence to destroy the hopes of the
    Palestinian people.
        Patsy.

    Iraqi Weapons of Mass Destruction

        Q. Sir, is U.S. credibility on the line over weapons of mass
    destruction in Iraq?
        The President. I'm not exactly sure what that means. I mean, Iraq
    had a weapons program. Intelligence throughout the decade showed they
    had a weapons program. I am absolutely convinced with time we'll find
    out that they did have a weapons program. The credibility of this
    country is based upon our strong desire to make the world more
    peaceful--and the world is now more peaceful after our decision; the
    strong desire to make sure free nations are more secure--our free
    nations are now more secure; and the strong desire to spread freedom.
    And the Iraqi people are now free and are learning the habits of freedom
    and the responsibilities that come with freedom.
        I read a report that somehow, you know, that there is no Al Qaida
    presence in Baghdad. I guess the people who wrote that article forgot
    about Al Zarqawi's
        Keil [Richard Keil, Bloomberg News], last question.

    Strength of the Dollar

        Q. Sir, do you have anything for us on the dollar? It continues to
    slide.
        The President. Yes.
        Q. The rhetoric continues to be that we favor a strong dollar
    policy, but there doesn't seem to be much of anything helping to prop it
    up.
        The President. The policy of this Government is a strong dollar
    policy. I spent time talking about the--our dollar policy at the G-8.
    And I reminded our G-8 partners that there is a difference in interest
    rates, particularly between Europe and the United States, and that
    interest rate differential has caused people to sell dollars to buy
    euros to get a higher return on investment. And that's why you're seeing
    pressure on the dollar.
        And of course, the European Union is--like the United States, has
    got an independent organization that sets monetary policy. But you'll
    see a--you'll see different behavior as interest rate spreads begin to
    narrow between Europe and the United States.
        But I'll repeat as clearly as I can, the policy of the United States
    Government is a strong dollar policy.
        Thank you all.

    Note: The President spoke at 10:45 a.m. in the Cabinet Room at the White
    House. In his remarks, he referred to Prime Minister Ariel Sharon of
    Israel; Prime Minister Mahmoud Abbas (Abu Mazen) of the Palestinian
    Authority; L. Paul Bremer III, Presidential Envoy to Iraq; Gen. Tommy R.
    Franks, USA, combatant commander, U.S. Central Command; Assistant
    Secretary of State for Nonproliferation John S. Wolf; Abu Musab Al
    Zarqawi, senior Al Qaida associate; and former President Saddam Hussein
    of Iraq.