867N.48/4–549: Telegram
The Secretary of State to the Embassy in the United Kingdom 1
1176. For McGhee from Satterthwaite. In general discussion with Secy Apr 2 re NEA area, FonMin Bevin2 emphasized desirability holding Arabs “in line” and expressed view US and UK shld adopt common line for development potential resources needed for our defense. He stated that after Palestine question settled, he hoped concentrate on several major development projects, particularly Lake Victoria and Lake Tana water schemes and Euphrates. Latter he considered offers possibility establishing under good living conditions population of five to six million capable withstanding Soviet pressure.
Bevin further stated Arab refugee problem being studied. He said 40,000 could be resettled on Jordan slopes and that he was putting pressure on Syrian Govt for resettlement 200,000–300,000 Northern Syria. He hoped Transjordan could absorb remainder.
[Page 898]Re general area he favors vigorous econ development drive by West, since development important for capital goods market and for food production.
Secy replied that President is greatly interest ME development as complement to Western European recovery, is extremely interested in Euphrates project, and desires concentrate on development problems rather than diffuse our energies. Secy further stated our desire proceed on internatl front and belief IBED appropriate org for development Point IV program. [Satterthwaite.]