57. Memorandum From Secretary of State Vance to President Carter1
[Omitted here is material unrelated to Algeria.]
3. Improving Relations with Algeria: You asked what steps we could take to improve relations with Algeria.2 Diplomatic ties were restored in November 1974 and our economic relations have greatly expanded [Page 153] since then. Seventy American firms operate in Algeria with contracts worth over six billion dollars. The Algerians have 1600 students in the US and are regularly seeking educational, agricultural and specific technical expertise—which they pay for.
The state of our political relations is less satisfactory. The Algerians criticize our support of Morocco, our stand on the Palestinian question and third world economic issues. Recently, though, we have made some headway. The Algerians have just named an Ambassador here and have been careful not to criticize our Middle East peace-making effort. On our part, we will give special priority to Exim Bank financing of Algerian projects and try to have the Federal Power Commission speed up consideration of gas imports from Algeria. David Rockefeller tells us Boumediene may wish to see you this fall if he visits the UN, an opening we will pursue.3 Phil Habib visited Algiers this week,4 and I am considering sending Dick Cooper to Algeria soon to discuss North-South economic issues. I will also stress to our new Ambassador to Algeria, Rick Haynes, the importance we attach to finding further opportunities for improving ties and will review with Phil Habib the results of his consultations to see what additional steps can be taken now.
[Omitted here is material unrelated to Algeria.]
- Source: Carter Library, National Security Affairs, Brzezinski Material, Subject File, Box 18, Evening Reports (State): 4/77. Secret. Carter initialed the first page of the memorandum and wrote “To Cy” in the upper right-hand corner.↩
- Not further identified.↩
- Carter wrote “ok” in the left-hand margin next to this sentence.↩
- In telegram 943 from Algiers, April 13, the Embassy reported on Habib’s visit and his April 11 meeting with Boumediene. (National Archives, RG 59, Central Foreign Policy File, D770128–0196)↩