276. Memorandum From the Department of State Executive Secretary (Brubeck) to the President’s Special Assistant for National Security Affairs (Bundy)0

SUBJECT

  • United States Military and Economic Assistance to Iraq

We have continued our relatively small development grant program in Iraq since the coup d’etat of February 8, 1963. This is primarily a participant training program under which Iraqi officials, technicians and educators are trained in the United States in their fields of specialization. It also includes a technical subscription service under which books are made available to returned participants and the financing of a contract whereby Texas University provides nine professors in science and engineering for the Baghdad University faculty. Before the Iraqi coup, this entire program was running at a level of about $800,000 annually. After the coup it was increased to about $1 million at our Embassy’s recommendation.

We have expressed our willingness to consider Export-Import Bank project financing in Iraq, although no formal applications are now pending. An application may be submitted after the visit this month of an Iraqi Airways delegation to discuss the possible purchase of three Boeing 727 [Page 596] jet aircraft. Other Export-Import Bank project possibilities are American-built electric power generators and telephone equipment.

The Iraqis have recently indicated interest in obtaining foodstuffs, tobacco and possibly cotton under PL 480. Our Agricultural Attach?rom Beirut is now in Baghdad assisting the Embassy in developing concrete PL 480 recommendations. In view of Iraq’s generally good foreign exchange situation and prospects, we will probably favor a program under Title IV of PL 480. We are supporting the Minister of Health’s informal request for reinstatement of the Title III PL 480 milk distribution program for mothers and children to be administered by UNICEF, and the initiation of a school lunch program under the direction of CARE.

Under his authority to provide emergency relief in cases of foreign disasters, our Charge d’Affaires presented a check for $10,000 to the Government of Iraq in late May for relief to Iraqi flood victims.

In the military field, $100,000 was allocated to Iraq under MAP in Fiscal Year 1963, although only $61,000 was spent, exclusively on training Iraqi military personnel in American military schools. In Fiscal Year 1964 $146,000 is being requested under MAP. At the Iraqi Government’s request, the United States has agreed to sell, for cash, 40 light tanks, 12 tank transporters, 500 heavy trucks and 15 large helicopters. No agreements for sale have actually been concluded. In addition, the United States has, at Iraqi request, inspected for serviceability five F-86 fighter aircraft and thirteen 8-inch howitzers, provided when Iraq was a member of the Baghdad Pact.

Our undertakings in the military field are consonant with our arms policy for Iraq, which permits the selling of military materiel needed by Iraq for legitimate defensive and internal security purposes.

The enclosed communications relating to an arms policy for Iraq and to economic relations with Iraq may be helpful in giving perspective to actions taken on these questions since the coup d’etat of February 8, 1963.

John McKesson1
  1. Source: Department of State, Central Files, AID (US) IRAQ. Secret. Drafted by Wolle and Killgore and cleared by Talbot. An attached note prepared by the Department of State Duty Officer on June 18 reads: “The White House has requested a brief, factual information memorandum on current economic and military assistance to Iraq since the coup d’etat. It should cover both recent aid and also any that may be in prospect for the near future.”
  2. McKesson signed for Brubeck above Brubeck’s typed signature.