326. Telegram From the Embassy in Turkey to the Department of State 0
Ankara, January
16, 1959, 7 p.m.
2045. Joint Embassy/USOM message. OEEC/IMF missions have now departed Turkey. Based on conversations with various members of group, we believe their impressions can be summarized as follows: (Sturc returning directly to Washington and will doubtless contact interested US officials.)
- 1.
- Principal GOT officials remain determined to carry through with stabilization program, in some cases on basis conviction, in other cases on basis commitments which they cannot politically disavow.
- 2.
- Credit restrictions being felt by business community but no basic change in ceilings appears desirable, at least until second import quota has been financed. It will probably be desirable to reexamine situation in several months.
- 3.
- GOT progress in drawing up investment program very disappointing. This problem requires immediate and increased attention by GOT since so many factors in stabilization program will be affected by nature and size of investment program.
- 4.
- GOT balance of payment projections CY 1959 seem fairly realistic. They show about $50 million available for servicing all capital obligations.
- 5.
- On balance missions not dissatisfied with progress of program despite disappointment over investment program.
Warren
- Source: Department of State, Central Files, 882.10/1–1659. Confidential. Repeated to Paris for USRO and to Istanbul.↩