KUWAIT. Oct 9: US and British forces arrived in the northern Gulf today to counter the deployment of over 60.000 Iraqi troops near Kuwait, reports Reuter.

Kuwait also moved most of its 18.000 member military to its northern border.

Iraq has threatened unspecified action within days unless the United Nations promises to ease the Gulf war trade sanctions strangling its economy. Kuwait's allies fear a new conflict three and a half years after the Gulf war.

Four US navy ships carrying 2,000 marines have mostly arrived-in the northern Gulf and 4.000 more marines are due In Kuwait in the next day or so. US officials said.

A British frigate steamed

into Kuwaiti waters carrying anti-ship nlissokes, anti-aircraft and anti-missile missiles, torpedoes and a helicopter armed with anti-ship missiles.

Iraq conquered Kuwait, which owns a 10th of the world s oil reserves, in a light-

Editorial on Page-4

Earlier story on Page-5 ning assault In August 1990.

Crippling UN trade sanctions. imposed within days, are still in force after a US led alliance routed the Iraqi army and restored the Emirate's government in February 1991.

Kuwait today is highly confident and it is supported by a solid international coalition and It has never been as powerful as it is now.' said the Kuwaiti newspaper Al-Seyas-

sah.

But many Kuwaitis stocked up on essentials such as flour, rice, sugar. Some supermarkets soldout of bottled water.

The dinar was steady, although residents said some bank branches ran out of dollars. Bankers said they were promised adequate supplies by the authorities.

Traffic was slightly lighter than normal in the morning rush-hour and some people said they were staying home from work to prepare for any crisis.

Iraq, which recently cut food rations for its hard-pressed people, remained defiant.

The ruling Baath ’ Party newspaper Al-Thawra said that unless Baghdad was guaranteed

a favourable review on sanctions ’that will definitely take Iraq to the doors leading to the barns of the world.’

Iraq has also told the world to mind its own business about troop movements, saying it can do as it likes within its own borders.

It has set a deadline of Monday, when Rolf Ekeus, the UN official supervising the reduction of Iraqi armaments under Gulf War ceasefire terms, is due to report to the Security Council.

Baghdad also threatened ■ last week tq prevent the UN arms Inspectors from checking on its weapons and military industries.

At the Iraq-Kuwait border. UN observers were keeping

waich on several hundred unarmed people who erected tents on the Iraqi side of the ' outler apparently to hold an anu-Kuwaiti rally.

Their numbers could In-* rease to about 20.000. based on briefings from Iraqi liaison officers, said a spokesman for ' NIKOM the United Nations .a Kuwait Observer Mission.

Many stateless Arabs left Kuwait during or soon after the 1990 91 Gulf crisis. Very few

have been allowed back.

The border demilitarised zone, a strip 10 km wide on the Iraqi side and five km wide on the desert frontier, remained quiet.

The number of armed patrols has increased and we are keeping our vigilance,' the UN1KOM spokesman said.

It is a desolate area'of scrub and semi-steppe in flat desert scarred by a tar-covered trench and earthen rampart constructed by Kuwait last year to keep out Infiltrators.

The nearest Iraqi units are 20 km from the border, although the bulk of the forces are another 20 km further back.

AP adds: Israeli intelligence is closely following the latest Iraqi troop buildup, but, officials and experts said they believe Saddam Hussein is unlikely to attack Israel as in the Gulf War.

Chief of Staff Lt Gen Ehud Barak briefed the Cabinet on the developments in Iraq and said Israelis did not need to take special protective measures. But ministers were not satisfied.

We have learned that there is no logic to Saddam Hussein's steps, safa Police Minister Moshe Shahal. He called on the army to prepare a more thorough report on the contingencies.

Palestinian leader Yasser Arafat, who in 1991 supported Saddam, said he did not believe the crisis would develop into another military -confrontation and Iraq was only maneuvering to get UN-imposed sanctions lifted, Israel radio said.

Military sources, speaking •n condition of anonymity, said there were no signs of an Iraqi threat on Israel.