Foreign Relations of the United States, 1969–1976, Volume E–10, Documents on American Republics, 1969–1972

621. Memorandum From the President’s Assistant for National Security Affairs (Kissinger) to President Nixon¹ ²

Washington, November 27, 1970

SUBJECT:

• Peru’s President Velasco Speaks on Communism, Private Enterprise, and the Peruvian Revolution

Attached at Tab A is a cable summarizing a lengthy speech by President Velasco to a conference of business executives sponsored by the Peruvian Institute of Business Administration. As he has done in earlier speeches Velasco said that the choice between Communism and Capitalism is a false one for Peru. On this occasion, however, he condemned Communism far more extensively and substantively than at any time in the past. The following excerpt is worth quoting in its entirety:

“The concrete reality of Communism as a political, economic and social system, following long decades of application in other countries, translates into totalitarian and bureaucratized societies entirely incapable of guaranteeing the free development of man in all his dimensions. Intolerance, totalitarianism, bureaucratization are, in the unimpeachable light of history, structural failures of Communist societies and not simply secondary deformations. Therefore, such societies cannot serve as a model for our Revolution. And, therefore, in regard to Communism ... we place ourselves in opposition.”

As he has done previously, Velasco said Peru’s two major problems are imperialism and underdevelopment both of which are caused by capitalism, and that the vacuum created by inaction in the private sector could not continue. However, he also said that his Government’s attitude in the industrial field should not be to obstruct or control, but should be stimulative and anti-bureaucratic. He added that the important thing was to put the industrial machine in motion and that his Government was not an adversary of private entrepreneurs who responded to the social spirit of the Revolution.

Velasco’s statements suggest that we should continue to try to keep our options open with regard to Peru. Although Peru is moving in a strongly nationalistic, statist direction, which is sometimes troublesome for us, it is not necessarily moving into the Marxist camp. Velasco’s denunciation of Communism, in fact, may reflect his concern about the possible impact on Peru of recent developments in Chile. Hence, we may find it possible over time to work with the “new military” in Peru and to influence the course of their “revolution” away from Cuban/Chilean patterns and into channels that may be more acceptable to us.

1. Source: National Archives, Nixon Presidential Materials, NSC Files, Box 793, Country Files, Latin America, Peru, Vol. 2, July 1970–13 December 1971. Confidential. Sent for information. Nixon wrote on the bottom of the memorandum: “Makes sense—perhaps we should make a gesture toward him—as we continue our coolness toward Allende.” Tab A, telegram 6837 from Lima, has not been found.
2. Kissinger stated that it might be possible to work with the anti-communist President Velasco and induce his government to avoid modeling itself on Cuba and Chile. Kissinger ultimately believed the U.S. Government could convince Velasco to take a more pro-United States stance.