462.00R296/4386

The Bulgarian Legation to the Department of State

Pro Memoria

Bulgaria is one of the agricultural countries which has suffered most from the economic depression. The situation of the treasury is exceedingly serious. The country has no more resources to meet its difficulties. It has gone to the extreme limits of taxation. It is therefore with a deep feeling of gratitude that Bulgaria has learned of the generous proposal of the President of the United States. The postponement of one year for all payments on reparations and intergovernmental debts will bring to Bulgaria long waited for relief.

It is the understanding of the Bulgarian Government that the payments that Greece has to make on account of the Convention Molloff-Caphandaris are not affected by the moratorium, as they do not fall within any of the categories of obligations mentioned in the proposal of the President of the United States. The payments to be made by Greece on account of the aforesaid convention go to the Bulgarian refugees who have left properties in Greece. The Bulgarian Government is acting in this case as an intermediary. They have to receive from Greece the money and transmit it to the refugees according to the provisions of the Convention. Consequently the payments of Greece to Bulgaria are payments to private individuals. Their postponement would be in the opinion of the Bulgarian Government contrary to the letter and the spirit of the proposal of the President of the United States.