840.50 Recovery/4–2048: Telegram
The Ambassador in France (Caffery) to the Secretary of State
2104. Rece 83. 1. At his request, we went to see Marjolin today to discuss a number of points arising in the executive committee discussion following our meeting with committee yesterday (reported in Rece 81).1 He said that considerable concern had been expressed that if Congress had already been presented with 15-month figures on proposed ECA obligations both by country and commodity, organization would be bound by these figures and that it would in fact have little real part in programming operation. We emphasized again that figures were in no way binding, that they were not in any sense allocations, and that they were used for illustrative purposes only.
2. Marjolin then inquired whether there was flexibility not only as to the amounts of commodities but also as to the types of commodities which could be expected to be financed with ECA funds. He also inquired whether the designations as to method of financing, i.e. whether by ECA funds or other, were also subject to discussion and change. We assured him that the whole program as submitted to Congress was subject to modification.
3. Marjolin asked whether in the second and third ERP quarters after the administrator had announced tentative division of funds by countries as a basis for programming he would enter into bilateral discussion with individual countries on figures announced, as was done in first ERP quarter, or whether he would insist that all recommendations [Page 427] for modification in division of funds come from organization after review of programs. Latter procedure would of course strengthen role of organization.
4. We agreed to transmit summary of points raised during conversation for any additional comments you may be in position to make at present time.
- In telegram 2079 from Paris (Rece 81), April 19, 1948, not printed, Ambassador Caffery reported that U.S. representatives met unofficially with the members of the CEEC Executive Committee in order to receive their views as to the programming and functions of the CEEC organization. These were unofficial views since the committee had felt impelled to begin work before it could benefit from the views of the newly appointed administrator. (840.50 Recovery/4–1948)↩