884.00/4–1950
Memorandum of Conversation, by Mr. Stuart W. Rockwell of the Office of African and Near Eastern Affairs
Subject: General Palestine Situation
| Participants: | Dr. Yusuf Haikal, Minister of Jordan |
| NEA—Mr. McGhee | |
| ANE—Mr. Rockwell |
Problem: Dr. Haikal desired to discuss the general Palestine situation and the Jordanian economic position.
Mr. McGhee received Dr. Haikal at the latter’s request. The Minister wished to have a general discussion with Mr. McGhee.
In this discussion, Dr. Haikal made the following points:
- 1.
- The breakdown of the Israel–Jordan talks clearly indicated the necessity that Israel make some kind of real concessions to Jordan. If King Abdullah had been able to show any such concessions to his Government, there would not have been strong opposition to reaching agreement with Israel.
- 2.
- The Arab League would probably expel Jordan from the League if Jordan reached an agreement with Israel, but would not do so if Jordan annexed Arab Palestine.
- 3.
- The new Jordanian cabinet was very weak. The Palestinian members were of low caliber.
Mr. McGhee asked Dr. Haikal what the present Jordanian attitude toward Jerusalem was. The Minister replied that Jordan would admit United Nations supervision only. Mr. McGhee suggested that it would be necessary for Jordan and Israel to make some concessions to the international community if the UN were going to reach an agreement on Jerusalem.
Dr. Haikal then said that an economic crisis was rapidly approaching in Jordan. There was enough food in the country, but no employment and thus no money to buy the food. The Jordanian budget was inadequate in the circumstances and the presence of the Palestinian refugees was going to have disastrous effects in the near future. Mr. [Page 865] McGhee observed that the Palestine Refugee Agency was going to spend a great deal of money in Jordan. The cooperative attitude shown by Jordan was deeply appreciated, and it seemed likely that Jordan would receive more of the PRA funds than any other of the Arab states.
The Minister thought that a combination of PRA and Point IV1 might bring some much desired relief to the Jordanian economy. If the results of the PRA operations become obvious in Jordan, King Abdullah’s policy would be strengthened and his position greatly improved. The trouble was that everyone in Jordan had heard much concerning the PRA’s plans but had not seen much in the way of concrete action. The King’s position would be still further strengthened if the Israelis would make some concessions to Jordan.
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