868.51/11–2945: Telegram

The Secretary of State to the Ambassador in Greece (MacVeagh)

1263. Urtel 1376 November 29. Eximbank arranging changes in use proposed credit. Following your suggestion allocation to telecommunications reduced, allocation to spare parts industrial and other mechanical equipment increased, provision also made for $2 million for U.S. contracting or other technical services.

Passenger ship allocation $2 million deleted as it conflicts with provisions of ship sales bill now before Congress to which all sales U.S. war-built ships must conform. Bill contains credit provisions as to ship sales which presumably will be available to Greece.

Items listed in your paragraph 1 not changed, Department and UNRRA doubt exaggeration tires or tractors. Bank has advised Greeks that where private trade can handle imports as effectively as through bulk purchase by Greek Government, Bank prefers items handled privately. Department believes this not inconsistent with financing purchase these items Eximbank credit.

Byrnes