867N.01/7–2946: Telegram

The Secretary of State to President Truman

top secret
us urgent

3701. For the President from Secretary Byrnes.21 Suggested statement of policy on Palestine for President Truman to be issued immediately after Prime Minister Attlee’s statement for the British Government on Wednesday afternoon. Attlee’s statement as wired has been so changed that he is speaking for the British Government only.22

1.
The time has come when we should cease talking about a solution of the Palestine question but determine upon a solution and carry it out with fairness to both Arabs and Jews.
2.
The basis for the solution should be found within the framework of the recent unanimous report of the joint Anglo-American inquiry. The British Government has stated that it is anxious to find a permanent solution within the framework of that report which will make possible the immigration of 100,000 Jews to Palestine as rapidly as possible.
3.
The British Government has suggested as a basis for negotiation that such a solution would be facilitated by the creation of an Arab province in those parts of Palestine where there are at present few Jews and of a Jewish province in the area where the bulk of Jewish settlement now is. The suggestion contemplates a large degree of autonomy for these provinces. The exact boundaries of the provinces would be determined after consultation with the Jews and Arabs. Under this proposal it is anticipated that subject only to [Page 672] limited reserved authority in the Central Government Jewish wishes would determine the immigration policy of the Jewish province. A Jerusalem district and a Negeb district will be under the Central Government.
4.
Adoption of this policy will impose a heavy financial burden on the Palestine Government. Particularly in carrying out the recommendation made by the Anglo-American Committee for raising the Arab standard of living. I have advised the British Government that, if an immediate and satisfactory solution along the lines of this policy could be found, I would urge that the American Government provide substantial financial assistance to make possible its execution. These grants-in-aid will not exceed $50,000,000. Until the revenues make it unnecessary, the British Government would meet any deficit in the annual budget of the Palestine Govt. This obligation is not limited.
I have also advised the British Government that I would recommend to the Congress the granting of loans to Palestine and other states in the Near East for sound development projects if for any reason such projects cannot adequately be financed through the International Bank. That, I consider, to be a part of our general policy of furthering the economic development of the whole Near East. A $250,000,000 self-liquidating loan program is contemplated for the Near East.
5.
As a part of a general plan to aid in the resettlement of European displaced people in which the nations of the world are being asked to participate, I will also seek the approval of Congress for special legislation for the entry into the United States of 50,000 displaced persons, including Jews.
6.
I want to say an additional word about the immigration into Palestine of 100,000 persecuted Jews from the centers in Germany, Austria and Italy which was one of the recommendations of the Anglo-American Committee of Inquiry. The US has been urging the promptest possible beginning of this immigration. It has joined in active preparations for the movement. There are two things which must be remembered. First, we are not the mandatory for Palestine and cannot make a unilateral decision on the matter. Second, every effort should be made to create conditions such that these people will not open a new chapter in their tragic lot by immigrating into a violent and strife-torn Palestine.

The situation as it has developed is such that this immigration can in the judgment of both the United States and Great Britain be peacefully and speedily effected as an immediate part of a general plan such as has now been formulated. That general plan cannot and should not in fairness be finally decided upon by the mandatory without promised discussions with both Jews and Arabs. These discussions [Page 673] have awaited the conference of the United States and United Kingdom delegations which have now been completed. They will be held in London in August and with the cooperation that should be received from all they should be speedily concluded. I ask the prompt and generous cooperation of both Arabs and Jews in discussing and effecting the new proposals.

I am given the personal assurance of Mr. Attlee that these consultations will be expedited to the utmost. I am convinced from what Mr. Attlee tells me that the consultation can be completed and the decision of His Majesty’s Government can be reached not later than September 15, and that the immigration will proceed as rapidly as the immigrants can be absorbed. Plans have been made which will make it possible to initiate the movement and reception of immigrants into Palestine as soon as the decision on policy has been taken.

I believe that the plan proposed is the best solution of this difficult problem that can now be secured.22a

[
Byrnes
]
  1. Mr. Byrnes was attending the Paris Peace Conference which met from July 29 to October 15, 1946.
  2. Prime Minister Attlee’s proposed statement had been transmitted from London in telegram 7083, July 27, noon (not printed).
  3. According to a letter of March 24, 1948, from Mr. Grady to Mr. Henderson, Secretary Byrnes and Mr. Grady had jointly drafted the message printed here as telegram 3701, intending it as a “proposed press release for the President”. (867N.01/3–2448) The letter was sent to Mr. Henderson while Mr. Grady was serving as Ambassador to India.