120.43/2–2750: Telegram
The Ambassador in Thailand (Stanton) to the Secretary of State
top secret
Bangkok, February
27, 1950—11 a. m.
179. Summary Butterworth remarks on conference discussions point four and other aid.1
- 1.
- US should use UN agencies for economic projects when possible.
- 2.
- Coordination with other nations in area desirable order prevent overlap and undue burden US, e.g. Malaya, Burma, Indochina, primary responsibilities metropolitan governments. Coordination must not lean to establishment spheres influence.
- 3.
- Point four technicians should not be restricted to Americans; experience shows necessity select technicians with foreign experience who will not prejudice US reputation in work with foreign governments. Number technicians should be limited.
- 4.
- IBRD best instrument for loans because international and better able secure repayment. Suggested Department eliminate field confusion on purposes IBRD and Ex-Im Bank by appropriate instructions. Suggested small area agency of IBRD be established for advisory and consultative purposes.
- 5.
- Recommended choice of aid agency be based on long-range development or short run political purposes.
- 6.
- Serious note taken obvious lack understanding some area countries loan obligations or responsibility to repay except Indonesia, India, Thailand.
- 7.
- JCRR brief presented by Moyer. Understood Griffin mission will investigate JCRR possibilities.
- 8.
- No simple rule re loan requirements but we must insist some supervision.
- 9.
- Assumed Japan will regain pre-war trade position and no objections to this provided it not followed by military expansion. Noted restoration pre-war trade pattern Japan and SEA will affect US markets that area.
- 10.
- Discussions showed Asia Institute Technology welcomed.
Stanton
- The remarks summarized here were delivered on February 15 by W. Walton Butterworth, Assistant Secretary of State for Far Eastern Affairs, at the Bangkok Conference of United States Chiefs of Mission.↩