Memorandum by the Chief of the Division of Investment and Economic Development ( Havlik ) to the Director of the Office of Financial and Development Policy ( Ness )

Finland: Third Export–Import Bank Cotton Credit

It is recommended that the Department concur in the Export–Import Bank recommendation to approve a credit of $5 million to Finland for the purchase and shipment of American cotton to assure adequate supplies of cotton until November 1948.1 The credit is unconditionally guaranteed by the Finnish Government.

This recommendation has been cleared with the political division.2

  1. Chargé Archibald R. Randolph in telegram 470, October 10, from Helsinki, not printed, relayed a message from William McC. Martin, Jr., the Chairman of the Board of Directors of the Export–Import Bank of Washington, who advised that with his consent Finland would apply for a new cotton credit of $5,000,000 on usual terms, to be considered on its merits. Mr. Martin declared that he was more impressed by the progress and spirit in Finland than in any country he had visited. (811.516 Export–Import Bank/10–1047)
  2. In telegram 311, November 20, 3 p. m., not printed, Acting Secretary of State Lovett informed the Legation in Helsinki that the Directors of the Export–Import Bank had approved this third cotton credit on November 19, with repayment in 15 months at interest of 2½ percent. The first credit of $5,000,000 (authorized on December 5, 1945) had now been entirely disbursed and partly repaid. The second credit of $2,000,000 (authorized on April 2, 1947) was completely committed, although as yet there had been no disbursements. (811.516 Export–Import Bank/11–2047, 11–1847)