The Secretary of State to the Greek Deputy Prime Minister ( Tsouderos )
- The economic situation and needs of Greece as described by the representatives of the Greek Government in their memorandum of January 2, 1946,19 and in the recent discussions, have been carefully and sympathetically considered by the Government of the United States which is anxious to assist in the solution of these problems in every feasible and practicable way. The recent extension of a $25 million Export-Import Bank loan and the United States participation in the current operations of UNRRA in Greece are demonstrative of the earnestness of the Government of the United States in assisting Greece on the road toward economic recovery.
- Fully aware of the grave difficulties which beset Greece, the Government of the United States is nevertheless convinced that monetary measures alone cannot solve the Greek problem but is in agreement with the view that without some measure of currency stability, no comprehensive program of economic and administrative rehabilitation can be successfully implemented.
- It is understood that the Government of Greece now has under consideration the creation of a currency committee; that this committee would be composed of appropriate officials of the Greek Government; that persons of American and British nationality would be invited by the Greek Government to serve as members of the committee; and that new issues of currency would only be made with unanimous approval of the committee.
- If the Government of Greece should decide to establish such a committee, the Government of the United States is prepared to agree [Page 96] to the participation of an American national, appointed in a private capacity provided the Government of Greece clearly understands that the Government of the United States is in no way committed to additional financial support through decisions made by the currency committee or through the participation of an American national thereon.
- It is necessary to point out that in assenting to the participation of an American national, the Government of the United States has serious misgivings that the presence of an American on the currency committee even though appointed in a private capacity, might be construed as representing a participation by the Government of the United States in the internal affairs of a friendly foreign nation to a degree far in excess of that to which the Government of the United States has heretofore been willing to agree. There is also the possibility that if the committee did not succeed in effectively stabilizing Greek currency, the Government of the United States might in some degree be held responsible for such failure and become the subject of attack in Greek politics. In view of these considerations the Government of the United States desires to emphasize the nature of American participation in the proposed currency committee, as set forth in the preceding paragraph, to ensure that it will be clearly understood.
- The Government of the United States is prepared to consider sympathetically requests which may be made by the Greek Government for expert American advisers to aid in the formulation of an economic rehabilitation program. Any such advisers would act exclusively in an advisory capacity under terms of reference which will clearly indicate that they would have no authority to commit the Government of the United States in any way.
- The Government of the United States cannot commit itself at this time to any proposal regarding a future commitment to provide funds for a currency reserve account. Such a proposal can only be considered on its merits when the actual need for funds may arise. In this regard the Government of the United States would like to refer to the note delivered to the Government of Greece on January 12, 194619a advising the Government of Greece that a $25 million Export-Import Bank loan would be afforded to assist toward reconstruction in Greece and that the extension of possible further financial assistance to Greece would necessarily be influenced by the effectiveness with which the Government of Greece deals with the stabilization policy in Greece.
London , January 15, 1946.