641.6731/52: Telegram

The Acting Secretary of State to the Ambassador in Turkey (MacMurray)

39. London’s No. 1190, August 18, 7 p.m. The only suggestion the Department has received from the Turkish Government has been a recent proposal, transmitted orally through the Turkish Ambassador in Washington, that Turkey grant a more favorable exchange rate for dollars brought into Turkey for the purchase of Turkish commodities other than tobacco. It is not clear that this proposal has any connection with the suggestions regarding compensating trade referred to in London’s August 18, 7 p.m., to which you are said to have expressed agreement subject to confirmation from Washington.

The Department is studying the implications of the Turkish Ambassador’s proposals regarding a more favorable exchange rate for dollars, and expects to reply orally to the Turkish Ambassador on Monday. You are requested to furnish the Department any information [Page 878] you may be able discreetly to obtain regarding the Turkish proposals reported in London’s telegram and the exchange proposals which the Turkish Ambassador here was instructed to make.