823.24/12–149: Telegram
The Ambassador in Peru (Tittmann) to the Secretary of State
699. Embtel 696 November 301 President Odría, in presence of Finance Minister, informed me today that Peru is ready to start payments immediately of 300,000 soles per month on account of lend-lease obligation. He said he realized inadequacy of this small amount, [Page 770] but explained that it was all budget could stand for the moment. He expressed hope we would accept offer as “a starter” with understanding that there might be negotiations later for larger amount when things had quieted down and government was no longer being harassed, as it is at present, for payments of all kinds from every direction, as result of operation new exchange decree. Odría said he would prefer to pay installments in soles to our Embassy here as practical procedure.
I told Odría that I thanked him for good will displayed by his offer and would inform Department soonest. I also asked him to be sure to present offer to Department through Ambassador Berckemeyer in Washington. Odría replied he would telephone forthwith.
Please advise Department’s reaction and next step, if any, Embassy should take. Embassy assumes exchange rate will be decided in Washington.
- Not printed; in it, Ambassador Tittmann informed the Department that on November 30 he had handed the Foreign Minister a formal note dealing with intergovernmental debts in arears and major commercial policy problems (611.2331/11–3049).↩