16. Telegram From the Department of State to the Embassy in India0

3015. Eyes Only for Ambassador. Deptel 3003.1

FYI: Commitment to India authorized by President is for maximum $1 billion for two-year period. In case of Pakistan, President approved commitment in principle, with size and period covered to be determined prior to Consortium on Pakistan scheduled early June. In addition to conditions mentioned first para reftel both commitments would be subject to understanding (a) procurement policies governing US assistance along lines contemplated President’s February 6 balance of payments message to Congress2 and (b) US assistance obligations would be made after careful examination specific project and program proposals both countries.

President has despatched messages to Heads of Governments United Kingdom, Canada, Germany and Japan indicating US intention make very substantial commitment of aid to both India and Pakistan and expressing hope their governments able do likewise.

B.K. Nehru informed by Under Secretary Ball April 24 of fact US prepared make substantial commitment at Consortium meeting beginning April 25 subject above mentioned considerations. He was not informed of amount proposed US commitment for India.

It has now been decided there will be no public announcement of President’s action prior Consortium meeting. End FYI.

  1. Source: Department of State, Central Files, 791.5-MSP/4-2361. Confidential; Priority. Drafted by Adams, cleared by Talbot and Battle and in substance by Dungan at the White House, and approved by Cottam (NEA).
  2. Telegram 3003 to New Delhi, April 23, instructed Ambassador Galbraith, who had presented his credentials on April 18, to inform Prime Minister Nehru that President Kennedy had authorized substantial new aid commitments in support of the Indian development program. The commitments were subject to necessary Congressional action, and would be proportionate to contributions from other members of the consortium. (Ibid., 791.5-MSP/4-261)
  3. For text of this message, see Public Papers of the Presidents of the United States: John F. Kennedy, 1961, pp. 57-66.