Major revision of U.S. political plan for Iraq, as timetable for handing over sovereignty moved up and decoupled from constitutional process. Under new plan, provisional assembly to be selected by local councils by 31 May 2004, and assembly to elect executive by 30 June 2004, at which time Coalition Provisional Authority (CPA) to dissolve. Adoption of permanent constitution and holding of elections left till 2005. Iraq’s most powerful cleric, Grand Ayatollah Husseini Ali al-Sistani, called for elections in June 2004, but expected to compromise. New plan emerged amid mounting pressure in Washington for exit strategy. Anti-Coalition attacks said to have decreased toward end of month, but sophistication increasing; November bloodiest month since start of war. Two helicopters, and likely third, shot down by insurgents, killing 39. Attackers also targeting U.S. allies: Italian military police HQ, in Nasiriyah, bombed 12 November, claiming 25, including 19 Italians. Seven Spanish intelligence agents and two Japanese diplomats killed 29 November, and two South Korean civilians shot dead following day. Meanwhile, international exodus from Iraq continues: Spain announced withdrawal of diplomats 4 November, and CARE Australia pulled foreign staff after grenade attack on its office 22 November. 229 Coalition soldiers, including 189 Americans, killed by hostile fire since 1 May, declared end of combat operations.

Diplomatic activity behind scenes as pressure mounts for both sides to make concessions. Growing sense that time running out on Quartet-backed Roadmap. UN Security Council unanimously passed resolution 19 November endorsing Roadmap, but other initiatives, including “Geneva Initiative”, gaining momentum. Launched 1 December by group of Israelis and Palestinians led by Yossi Beilin and Yasser Abbed Rabbo, Initiative offers full blueprint for settlement following on from Camp David and Tabah negotiations discontinued in January 2001. Four former heads of Israeli Shin Bet security service warned Sharon’s policies risk “near- catastrophe”, echoing October comments by army chief. New government of Palestinian PM Ahmed Qurei approved; Arafat retained control of security services. Islamic Jihad and Hamas said to be considering truce, but talks with Egyptian mediator at preliminary stage. Violence diminished in November, though sporadic attacks continued.

Political situation stable. No significant changes from last month.

Negotiations ongoing between Hizbollah, Israel, and German mediators over possible prisoner swap. Deal would see about 20 Lebanese prisoners and some 400 Palestinians freed in exchange for Israeli businessman and bodies of three soldiers, but Hizbollah insisting on release of Samir Kantar, Lebanese man imprisoned for killing Israeli family in 1979.

Presidential elections held 7 November. Incumbent of 19 years, President Taya, re-elected with 67% of vote. Leading opposition candidate Mohamed Haidalla received 19%. Taya promptly arrested Haidalla and his deputy campaign director for allegedly plotting coup. At least 12 opposition figures now in detention.

Report to UN committee raises grave concerns over rise in torture and ill-treatment of detainees following change in ‘combating terrorism’ laws after May Casablanca bombings. Three journalists convicted of insulting King. Authorities charged 100 people with links to terrorism as part of crackdown on hardline Islamists. U.S. General and NATO Commander James Jones said Morocco (along with Algeria and Tunisia) potential haven for Islamist extremist groups.

Increasing terrorist activity causing anxiety in Kingdom. Blast at residential complex 9 November killed 17. Two days earlier, two men blew themselves up in Mecca, which was also site of police raid 3 November killing two and resulting in weapons find and several arrests: Al Qaeda suspected.

U.S. Senate approved sanctions bill threatening tough measures if Syria found to be supporting terror groups or pursuing WMD. In Beirut, leader of Hizbollah, Sheikh Hassan Nasrallah, said his fighters would retaliate if Israel attacked Lebanon or Syria; Israeli airstrike near Damascus in October was first attack in 30 years.

Polisario Front announced release of 300 Moroccan POWs from camp in Algeria. Baker peace plan remains under consideration by all four parties involved - Morocco, Polisario Front, Algeria and Mauritania. UN Special Rep. for Western Sahara, Alvaro de Soto, toured region meeting representatives from four parties.

Government captured Mohammed Hamdi al-Ahdal, senior al Qaeda leader believed to have played major role in October 2000 attack on U.S.S. Cole.