774.5 MSP/12–3154

No. 1375
Memorandum by the Deputy Assistant Secretary of State for Near Eastern, South Asian, and African Affairs (Jernegan) to the Secretary of State1

secret

Subject:

  • Message to Prime Minister Nasir on Military Aid to Egypt

We have received two messages . . . from Prime Minister Nasir in which he states that “the need for military aid is desperate” because of the present state of Army morale. Nasir explains that the RCC is exploring means of raising funds for purchases, but again requests that some way be found to provide grant military assistance without an MDAP agreement. He inquires specifically whether a personal letter to the President covering all the points required by legislation could be substituted for an agreement.

The attached draft reply (Tab B)2 has been cleared . . . and Defense on the working levels and makes three points: (1) the funds tentatively allocated for grant assistance to Egypt have been released [Page 2323] to meet other urgent needs. Consequently, aid depends on new Congressional appropriations which, in turn, will be affected by public and Congressional attitudes in the United States towards Egyptian policies, especially with regard to Israel; (2) in any event, Egypt would be required to sign a regular MDAP agreement; (3) we are prepared to consider requests for purchases under the existing reimbursable aid agreement and to explore means of expediting delivery.

As you know, our plans for making progress toward a solution of the Arab–Israel problem count heavily on Egypt as the potential leader in a settlement with Israel. To induce Nasir to accept this role, we must (1) help to strengthen his position at home and (2) show him that such a policy will pay dividends. By the proposed message we would hold out to him the carrot of possible military assistance (which he wants more than anything else) while at the same time making it clear that he must earn this by an improved attitude toward Israel.

This whole matter was discussed on December 30 by Mr. Hoover, Mr. Murphy, Deputy Secretary of Defense Anderson, and Mr. Allen Dulles. I believe the draft message represents the consensus of that meeting.

Recommendation:

That you approve the attached message for transmittal . . . . (Tab B)

  1. This memorandum was drafted by Burdett and Jernegan and had the concurrence of Murphy and Herbert Hoover, Jr., the Under Secretary of State. According to the record copy, Secretary Dulles approved the recommended course of action.
  2. Not printed; Tab B is attached to the record copy.