No. 442
The Mutual Security Administration to the Greek Minister of Coordination (Markezinis)1



On May 9, 1953, the Deputy to the Director for Mutual Security informed the Minister of Coordination of Greece, in connection with a discussion of United States assistance for further economic development in Greece, that:

1. The Government of the United States expresses its interest in and sympathy for the Greek Government’s desire to continue the economic development of Greece. Although the Government of the United States is unable at this time to make any firm commitment as to the aid which will be available in the fiscal year 1954 and subsequent years, it will give prompt consideration to proposals for the use of previously allotted MSA funds or such new funds as may be provided in the future for the initiation of justified new investment projects and will expedite the necessary procedures to this effect. The Government of the United States understands that the Greek Government’s investment proposals will be governed by the following:

Priority will be given to the completion of investment projects now underway.
Half the cost of each new project will be provided from funds other than United States aid.
The Greek Government undertakes to maintain a level of public investment consistent with its economic and financial stabilization program developed in collaboration with the MSA mission.
The Greek Government will assume the responsibility of completing projects initiated under the terms of this proposal.
Individual projects will be justified and reviewed in terms of their economic soundness in collaboration with the Mutual Security Agency.
Preference will be given to projects under private management in which there is a substantial private financial contribution.

The Government of the United States understands that the Greek Government will by the continuation of sound economic policies and the passage of appropriate legislation attempt to obtain [Page 832] private financing for economic development in Greece. The Government of the United States will assist the Greek Government’s efforts to interest American capital in investment possibilities in Greece.

  1. This aide-mémoire, drafted by Porter and cleared with Corbett and with E subject to oral statements as agreed with Jernegan, was an MSA document transmitted through the Department of State and handed to Markezinis on May 15.