The Secretary of State to the Minister in Colombia ( Philip )
Your November 12, 10 a.m.
While Department knows of no such agreement concluded with other powers, it is hoped that it will be the forerunner of similar arrangements and that the enlightened population of Colombia will be prompt to recognize the benefit to their country that will result from such an agreement.
As pointed out in Department’s telegram of August 21, a serious condition is confronting this Government through legislation in Mexico of a socialistic tendency on oil properties. Such an unsettled tenure of property cannot fail to discourage the investment of capital, investment which is seriously needed in Colombia for the development of its potential riches, and which might be turned to other [Page 780] channels if American investors should be uneasy as to the permanence of their titles.
The Department is hopeful that the high intelligence of the Colombian statesmen will recognize the benefit of an agreement, and that the results will be so promptly apparent that other states will desire to follow Colombia’s example.