418. Telegram From the Department of State to the Embassy in Yemen1

105650. Joint State/AID message. Ref Taiz 844 (TOAID 186).2 Subject: FY 1967/68 Program and Staffing.

Washington agencies in full sympathy with problems faced by Embassy/AID/Y in maintaining US presence Yemen. However exceedingly tight budgetary situation coupled with continuing political instability in Yemen and UAR domination of YARG make it impossible to envisage increase in FY68 Yemen allotment. We were in fact fortunate hold country allotment at $2.4 million level in FY67. Yemen was only country in NESA area to escape cut from FY67 Congressional Presentation level.
While Sanaa watershed and Taiz Technical Institute surveys involve only relatively small amounts it would not be realistic authorize [Page 788] either unless there appeared be some prospect of our being able effectively to initiate it in FY 1968. Near certainty of reduced world-wide availabilities next fiscal year unfortunately rules out such step. For same reason it impossible to consider dredging Mocha port or paving Mocha-Sanaa road as separate capital project. Because Yemen is not a general support country, see no reason broach with YARG general subject of Yemen aid level. To best of our knowledge this has not been done in past.
Realize this places burden on Embassy and AID/Y in their efforts maintain effective US presence, especially in face of large-scale Chicom and Soviet efforts. This situation places even greater premium than in past on imaginative use by Embassy and AID/Y of self-help funds. In this regard, two possibilities come to mind:
As stated in Farr-Hamer letter Nov 16,3 we are prepared entertain proposal for pavement limited section Mocha-Sanaa road on self-help basis if this can be accomplished without sacrificing principles self-help program.
Embassy/AID/Y might consider self-help projects designed underscore US presence Sanaa area and foster better understanding on part Sallal and YARG that US program is most effectively serving interests both government and people Yemen by providing small, self-help projects which spread assistance to largest number of people. 4. Would appreciate Embassy/AID/Y comments on suggestions para 3 or other proposals which might broaden impact AID/Y program within limits current budget.
Embassy requested pass this message Taiz for AID.
  1. Source: National Archives and Records Administration, RG 59, Central Files 1964-66, AID (US) YEMEN. Confidential. Drafted by Korn, Flint, and Harry F. Hemmerich (AID/NESA/NE); cleared by Director of the AID Office of Development Planning for the Near East and South Asia Afred D. White; and approved by Brewer. The Embassy Branch Office in Sana’a, Yemen, was elevated to Embassy status effective December 15, 1966. The same day the Embassy in Taiz was redesignated American Embassy Branch Office.
  2. Telegram 844 from Taiz, December 1, complained that the reduced U.S. aid program for Yemen gave the Embassy no talking points with the Yemeni Government, since there was no possibility of dialogue other than the negative one of defending a dwindling program. (Ibid.)
  3. Not found.