881.00 R/11–2951: Telegram

The Acting Secretary of State to the Embassy in Greece 1
secret

2691. Comments in Embtel 2515 Nov 292 and earlier tels will be utilized by Dept in emphasizing forthcoming ECA discussions here importance of furnishing adequate amount of econ aid to Greece.

[Page 525]

We assume Jenkins and Paige will submit fullest possible econ data in their attempt justify on econ grounds earlier recommendations re lowest level aid needed carry out US objectives, and also which specific projects and programs wld have to be cut back if aid lowered. Without such data, Dept has experienced considerable difficulty in attempt give maximum possible support to Emb and ECA/G recommendations, especially in light current heavy demands from other participants of US econ aid programs.

If info can be readily assembled, Dept wld like know which particular projects and programs wld have to be cut or eliminated if ECA decides extended $170 mil econ aid this FY.

Webb
  1. Drafted by William J. Porter of GTI, cleared by S/S, approved for transmission by Rountree.
  2. Telegram 2515 sent by Yost from Athens on November 29, read in part as follows: “We question why, if it is considered that only 10 million cut is justified in each of two succeeding years, it is considered safe to make cut of over 100 million (from 275 actually spent to 170) in current year. We emphasize that this is really nub of our concern which centers in anxiety that ECA/W, preoccupied with Grk aspect of worldwide inflationary problem and with frailty Grk political leadership (also as Porter notes not an exclusively Grk phenomenon), may attempt to effect overnight cure by drastic surgical operation which could kill patient. Dispute is not actually about objectives but about speed and timing.” (881.00 R/11–2951)