825.5151/136: Telegram

The Ambassador in Chile (Sevier) to the Secretary of State

11. Your telegram No. 14, January 25, noon. The Chilean Government has been requested to supply the official estimates for exchange and has promised to do so as soon as possible. In the meantime reference is made to page 2, enclosure 2, despatch No. 25, December 27th,3 containing estimates of exchange availabilities for 1933. These indicate, in millions gold pesos of 6 pence: [Page 9]

Total exchange created 181.
Segregated through compensation agreements 42, composed of nitrate blockage 18, and blockage other products 24.
And foreign amounts available in free market 139. From this must be deducted an estimated 20 representing exchange for Government expenses abroad and for imports of certain non-American prime necessities. Thus there was available in the free market approximately 119.

Your paragraph number 2. The Department’s opinion that a solution might be found if accessibility to the free exchange market is limited to countries not having compensation agreements has been conveyed to the Foreign Office which has again expressed satisfactory assurances on this point.