817.51/1850: Telegram
The Secretary of State to the Chargé in Nicaragua (Munro)
193. Your 320, November 5, 3 p.m. You are authorized to issue the following statement:
“Dr. Cumberland has been designated by the Department of State, at the suggestion of the Nicaraguan Government and with the approval of both parties in Nicaragua, to make a financial and economic survey of Nicaragua and to investigate the country’s resources and requirements in order that the Nicaraguan Government and the Department of State may have the benefit of his recommendations regarding the advisability of a loan to provide additional [Page 419] revenues for the payment of claims arising out of the recent revolution, for establishing and maintaining an efficient National Guard to preserve order in the country, for the expenses of holding presidential elections next year and for the construction of the long contemplated and apparently much-needed railway between the capital and the Atlantic Coast and for other public works. Dr. Cumberland, who has had wide experience in such matters, will endeavor to ascertain how much money is really needed, how large a loan could and should be contracted for, how the national revenues can best be increased with the least strain and disarrangement of business and commerce, what recommendations can be made for an adequate accounting system and for expending the revenues with a minimum of waste.
It is well understood that any comprehensive financial program which might be adopted under present conditions would of course have to be approved by both political parties in Nicaragua, and the Nicaraguan Government has already suggested that the proceeds of any loan contracted in the near future should be spent under bipartisan control.
Dr. Cumberland’s salary and expenses are being paid by the Department of State.
Dr. Cumberland was employed by the Peruvian Government in 1921 and introduced notable reforms in the customs administration of that country. In 1923 he was appointed Financial Adviser and Customs Receiver for the Haitian Government and has remained in that office, where he has been signally successful, until last month when he resigned to enter private business. The Department is glad that it has succeeded in persuading him to undertake this work in Nicaragua before entering upon his new occupation, and feels that the people of Nicaragua are to be congratulated on being able to obtain his services.”