868.51/7–1346: Telegram
The Acting Secretary of State to the Ambassador in the United Kingdom (Harriman)37
us urgent
5358. Urtel 6674 July 12. Appropriate American authorities have informed Dept there is very little possibility in foreseeable future that [Page 182] additional Eximbank loans will be made available to Greece for following reasons: (1) Despite Bank’s, Dept’s and Athens Embassy’s frequent reminders, Greeks have not used any of 25 million dollar credit granted in December 1945 and have to date shown little ability to make effective use of funds; (2) Bank’s uncommitted funds are very low; (3) number of loan requests are under consideration from other needy countries which have received no Eximbank assistance to date; (4) by end of year, International Bank may be in position to make small loans. Neither Dept nor Eximbank therefore in position to discuss question of loan with proposed mission. Eximbank feels that recent discussion with Greeks was misrepresented in telegram to which Tsladaris referred. Bank had merely stated that it would examine any further requests presented by Greek Govt but gave no encouragement that further loans could be made.
However, if Tsaldaris wishes send three men mentioned discuss with appropriate US officials general Greek economic and financial problems and Greek plans for purchase and supply following UNRRA period but not to discuss further Eximbank loan, Dept would be glad to see them. Dept would like clear understanding in advance from Greek Govt that Greek public and press will not be given impression this group is coming to US to request further loans or other financial aid either from Eximbank or other US Govt sources.
Embassy might suggest to Greeks that value of mission both to US and Greece will depend in part on mission being equipped to discuss details of Greek import needs, export possibilities, and balance of payments position for 1947.
- Repeated to Paris as No. 3440 and to Athens as No. 863.↩