893.50 Recovery/3–2548: Telegram
The Acting Secretary of State to the Ambassador in China ( Stuart )
494. Re Embtel 537 Mar 2584 pertinent clauses final legislation contained Deptel 495 Apr 6.84 While Congressional intent obviously provide aid for Yen program,85 language Act does not preclude inclusion other rural undertakings, such as agricultural industries or implementation findings Joint Sino-US Agricultural Mission, under Joint Commission on Rural Reconstruction.
Pursuant Committee’s inquiry, Dept’s letter Mar 12 84 to Chairman House Foreign Affairs Committee86 indicated most promising means US assistance Yen program would be by use some part local currency account under Aid program for specific projects approved [Page 489] by two Govts within limits imposed by consideration inflationary effects and alternative needs Chinese Govt.
While language Act permits expenditure US dollars Yen program, Dept believes primary requirements program are in terms Chinese currency. Emb’s views requested this point and re desirable scope and procedure undertakings under Joint Commission on Rural Reconstruction.