File No. 882.51/799
The British Chargé ( Barclay ) to the Assistant Secretary of State ( Phillips )
My Dear Mr. Phillips: Some clays ago I mentioned to you the suggestion made by the British Government to the effect that, in view of the difficult financial situation now existing in Liberia, and of the way in which Liberia had, in a measure, cooperated with the Allies, it might be desirable for the British, French, and American Governments to consider whether they could not assist the Liberian Government in meeting the difficulties which they were now experiencing. You asked me in this connection what steps had been taken by the British Government towards the resumption of normal trade with Liberia, and what was the situation in regard to shipping calling at Liberian ports, and I telegraphed to the Foreign Office for further information on these points.
I have now received a reply stating that at present trade is free to all in Liberia who are not concerned in facilitating enemy business, as all persons in Liberia have been removed from all prohibited lists with the exception of the names appearing on the statutory list, which includes in Liberia 57 German firms, 6 Spanish firms acting as “covers” for enemy firms, and only 3 Liberians.
As regards shipping, the British authorities are placing no obstacles in the way of calls at Liberian ports, but in view of the shortage [Page 514] of tonnage it is likely that shipping facilities from these ports will in the future have to be curtailed rather than increased; it is also probable that the extension of the German submarine zone may result in the cessation even of the Spanish service. Further enquiries are however being made as to the possibilities of shipping facilities for Liberia, but it is probable that the situation will be as above indicated.
Before making any definite proposals for granting financial assistance, the trade prospects of Liberia will be carefully examined by the British Government. They would however be glad to know in advance if the United States Government, in view of the somewhat special circumstances in Liberia, would be inclined to consider favourably a suggestion that help should, in some form, be given by the three Governments, and I should be very much obliged for any indication which you may be able to give me as to whether the United States Government would favour the policy proposed, supposing that a satisfactory scheme for assisting the Liberian Government can be evolved.
I am [etc.]