851G.00TA/5–1550: Telegram

The Acting Secretary of State to the Legation at Saigon

secret

295. Recommendations for econ-tech assistance programs by Griffin Mission and concurred in by missions in field, contained in Saigon’s 189, March 18, Singapore’s 166, March 23, Rangoon’s 170, April 2, Bangkok’s 319, April 12 and Djakarta’s 544, April 22,1 have been carefully examined and thoroughly discussed in Dept with members of Mission and ECA. With few minor variations, these recommendations have been approved on staff level as bases for developing assistance programs to these countries. Anticipated mode of financing to be unexpended balance China aid fund, a part of which is expected to become available to President for use this area within few days by Congressional action.2 In all cases except Malaya, administration these programs in Washington will be handled by ECA, in close consultation [Page 94] with and under policy guidance of Dept. We are presently working out with ECA exact relationship between agencies in Washington and in field missions, and relationship these programs to Point Four assistance. You will be kept advised of developments.

In separate ECA–State cables, your suggestions will be sought re priorities, number and types personnel initially required, and related matters with object getting these programs moving promptly. Meanwhile, if queried as result press reports of US econ assistance to your area, you may use above info at your discretion, avoiding any firm commitment this govt.

Sent Saigon; repeated Singapore as Deptel [203]; Rangoon as Deptel [198]; Bangkok as Deptel [368]; Djakarta as Deptel [439].

Webb
  1. For telegram 189 from Saigon, March 18, see p. 762; for telegram 544 from Djakarta, April 22, see p. 1011. The other telegrams under reference are not printed. For the texts of the reports of the Mission on Indochina, Malaya, Burma, Thailand, and Indonesia, see Hayes, The Griffin Mission, pp. 59–326, passim.
  2. On June 5, Congress enacted the Foreign Economic Assistance Act of 1950 (64 Stat. 198), Title II of which authorized funds for the programs envisaged by the Griffin Mission. For additional information on the implementation of the recommendations of the mission, see ibid., p. 43–58.