Problem of dollar exchange needed by Syria and Lebanon; discussions regarding an informal request by Syria for a $20,000,000 loan

[In telegram 220, August 3, 1945, 3 p.m., the Department notified Beirut of information from the French Embassy that the French Government would make available to the Syrian and Lebanese Governments up to $9,000,000 for 1945 and that since their exports to the United States were estimated at $6,000,000, a total amount of $15,000,000 would be available to those Governments for expenditures in the United States. The telegram stated that if these dollar allocations were available, “it will be impossible for US Govt to provide dollar credits when such credits are already available under an established and agreed procedure”. The message also stated that “Dept has no indication that French would make any attempt at present time to use dollar allocation for purpose of extracting political advantages.” (890E.51/8–345)

In despatch 948, August 22, 1945, Beirut reported confirmation of these figures from local French officials, except that the total might go as high as $18,000,000 (890E.51/8–2245).]