Office of the Historian

500. Memorandum From the Deputy Assistant Secretary of State for Near Eastern, South Asian, and African Affairs (Rountree) to the Acting Secretary of State1

Washington, July 25, 1956.

SUBJECT

  • Press Release for Issuance if Nasser Terminates Point IV Program

Discussion:

Nasser has stated that he will reply decisively to the withdrawal of the Aswan Dam offer in a speech in Alexandria on July 26. It is not possible, of course, to determine what action he will take, but reports from the field indicate that he may terminate the Point IV Program.

As a contingency planning measure, we have prepared the attached press release for issuance in such an eventuality.2 The exact wording will probably have to be changed depending upon the attitude taken by Nasser. Dr. FitzGerald in ICA has approved the release in substance for use if Nasser terminates the Program. We would plan also to issue a supplementary background statement giving additional details of the various economic aid programs.

If Nasser indicates he no longer wishes the Point IV Program, we belive we should interpret such a statement as covering all the various types of economic aid. We do not think it would be advisable just to withdraw the Point IV technicians while continuing other forms of assistance.

We have handled this matter, of course, on a most secret basis and have several times expressed to ICA the need for complete secrecy.

[Page 898]

Recommendation:

That you approve, as a contingency planning measure, the attached press release. The final decision regarding issuance of the release would be made only after we have definitive news of the position taken by Nasser.3

  1. Source: Department of State, Central Files, 774.5–MSP/7–2556. Secret. Drafted by Burdett.↩
  2. Not printed.↩
  3. The source text contains no information to indicate whether Hoover accepted or rejected this recommendation. The source text bears the inscription in an unidentified hand, “not needed.”↩