825.51/1147
The Ambassador in Chile (Bowers) to the Secretary of State
[Received September 19.]
Sir: Referring to the Department’s confidential telegraphic instruction No. 108 of August 26, 5 p.m., and to my telegram No. 144 of September 9, 2 [1] p.m., I have the honor to report that on September 11th I visited the Chilean Minister of Hacienda, don Roberto Wachholtz.
I informed the Minister of the substance of the Department’s telegram above cited, leaving with him a brief minute for the guidance of the officials of the Fomento Corporation. The latter had already been informally apprised, through conversations with Señores Goytia and García of the attitude of the Department and of the Export-Import Bank.
Señor Wachholtz promised to secure the full information requested by the Department as to the precise equipment and materials to be acquired through the credit of five million dollars, together with the relation of these purchases to the program of the Corporation as a whole. There is some question as to whether complete details can be furnished, as the Corporation’s plans, while now in fairly complete form, have not been worked out fully on all specific points.
[Page 452]Señor Wachholtz likewise confirmed the statement made by officials of the Fomento Corporation to the Commercial Attaché that the Corporation hopes for an interest rate of four percent. He was informed that this indication had already been telegraphed to the Department and that the latter’s reaction would be conveyed to him when received.
The Minister voluntarily brought up the matter of a visit by him to Washington during the latter part of the present calendar year, and stated that he intends to accept the Department’s invitation at that time. I had previously been informed, by Señor Goytia, that it will be difficult for Señor Wachholtz to leave Santiago until the annual budget law shall have been enacted by the Chilean Congress, which is apt to occur by about the middle of November. Señor Wachholtz referred to the possibility of the conclusion of a trade agreement between the two countries, and I informed him that the Department had indicated to me its favorable interest in this matter prior to my departure from Washington.
Respectfully yours,