855.24/10–1945

The Secretary of State to the Belgian Minister for Foreign Affairs (Spaak)50

My Dear Mr. Minister: As a result of our discussions with the Belgian Delegation certain problems connected with lend-lease and reciprocal aid, and advances of Belgian francs to our military authorities for troop pay have been given thorough consideration and the United States Government is prepared to take the following action:

(1)
To make dollar payments on a monthly basis for franc advances beginning September 2, 1945 by the Belgian authorities to the United States Army. Moreover, an agreement has been reached providing for immediate payment of $61,100,000 on account of net troop pay advances to the United States prior to September 2, 1945.
(2)
To make dollar payments for all goods and services furnished by the Belgian Government to the United States Army after September 2, 1945 (V–J Day).
(3)
In view of the fact that as of V–J Day the goods and services provided by Belgium under reciprocal aid exceeded by at least $90 million the aid furnished by the United States as Lend-Lease, and since the transfer by the United States of articles in addition to those already transferred is authorized under the authority of the Lend-Lease Act, the United States policy with respect to deliveries to Belgium after V–J Day and the terms of payment therefor is modified as follows:
(a)
The obligation of the Belgium Government under the 3(c) Agreement to pay for articles transferred to it after V–J Day in accordance with the President’s Directive of August 17 will be considered to be satisfied by reason of the excess of reciprocal aid.
(b)
There will be transferred to Belgium under straight Lend-Lease terms additional defense articles of civilian utility in an amount not to exceed $45 million. These will be selected by Belgium from articles no longer required by the United States Army for its own uses, and with limited exceptions, will be of the types specified in the schedule of the 3(c) agreement.

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I am informed that arrangements are being made between the Belgian Government and the Export-Import Bank for a loan of $100 million and that while the terms have been tentatively agreed upon, they are still subject to revision after further negotiation between representatives of the Belgian Government and officials of the Export-Import Bank.

The arrangements here suggested will clear up certain urgent problems which you have brought to our attention and thus facilitate the conclusion of a final settlement of lend-lease under the Master Agreement.52 Conversations looking toward such a final settlement, which would include agreed action contemplated in Article VII of the Agreement should be held between our two Governments in the near future.

During our recent negotiations we have also considered questions pertaining to commercial policy and the desire of the United States Government that discussions be held in the immediate future on mutually advantageous measures with a view to the elimination of all forms of discriminatory treatment in international commerce, payments and investments, with the objective of expanding production and increasing employment in all countries. It is understood that the Governments of Belgium and the United States mutually agree to confer together and with other governments in the near future on questions of commercial policy and, pending such a conference, to avoid the adoption of new measures affecting international trade, payments or investments which would prejudice the objective of such a conference. It is also suggested that our two governments should mutually agree to afford to each other adequate opportunity for consultation regarding measures falling within the scope of this paragraph.

I should like to take this opportunity to assure you and the other representatives of the Belgian Government who have engaged in our recent discussions that we have appreciated the friendly and cooperative attitude which you have shown at all times. It is my feeling that the best interest of both Belgium and the United States have been served by the agreements reached in these discussions.

Sincerely yours,

[File copy not signed.]
  1. There is a marginal note on this copy in long hand which reads: “Handed to M. Camille Gutt.”
  2. Reference to the Lend-Lease Agreement of February 23, 1942, between the United States and the United Kingdom; Department of State Executive Agreement Series No. 241, or 56 Stat. (pt. 2) 1433.