893.50 Recovery/5–448: Telegram
The Secretary of State to the Ambassador in China (Stuart)
670. From ECA. ECA has decided to organize special reconstruction survey mission, as part of general ECA Mission, but possibly going to China prior to appointment and dispatch over-all Chief of ECA Mission.
Reconstruction mission’s purpose would be to recommend to Administrator (a) total amount of funds to be allotted to reconstruction ($60 million figure should not be regarded as firm. Tentative ECA view is that it might be increased.); (b) recommend allotment of total amount among projects; (c) get sponsors of approved projects to prepare detailed project proposals which would need to be approved by Administrator before being put into effect; (d) with respect to each project recommend whether assistance should be by loan or grant or a combination (This is the line with preliminary view of National Advisory Council that the grant-loan status of each project should be considered on its merits.).
Reconstruction group will consist of six to eight people, and should get to work in China as soon as possible, certainly by end of May. ECA wishes to use Americans already in China to extent competent people are available. Embassy and ConGen recommendations requested as to individuals, especially engineers or economists, who might be recruited locally for short-term mission this character, as well as any suggestions on recruitment in US for this purpose.
Sent Nanking as 670, repeated Shanghai as 814. [ECA.]