874.00 TA/11–1353: Telegram
No. 1247
The Secretary of
State to the Embassy in the United
Kingdom1
priority
2603. For Eden from Secretary. We have reached point in Israeli-Arab relations where it is of utmost importance to announce allotment economic aid to Arabs to counter recent announcement economic aid allotment to Israel. The only place where we would be in shape promptly to make an economic allotment of substantial size is Egypt. We have been holding up all assistance to Egypt in effort help settlement Suez matter. However this settlement has dragged out to a point where we cannot continue much longer without very grave effect upon our Arab relationships. If you felt that it was likely there would soon be new moves in Suez matter which might [Page 2166] produce agreement, we could still hold up briefly but our time is fast running out.
Before making final decision would appreciate your reactions.
- Drafted and approved by the Secretary of State.↩