79. Memorandum From the President’s Assistant for National Security Affairs (Allen) to President Reagan1

SUBJECT

  • Situation in Romania

In his memorandum at Tab A,2 Al Haig alerts you to the deteriorating economic situation in Romania. The shortages of food and other consumer goods in Romania are reaching critical dimensions, causing popular dissatisfaction which in the past several months has led to sporadic outbursts of popular unrest. (S)

Of all the countries in the Eastern Bloc, Romania conducts the most independent foreign policy. On occasion—as for instance, in its relations with China and Israel—its policy has run contrary to Soviet interests. At the same time, it is perhaps the most rigidly [Page 246] totalitarian Communist country in Eastern Europe (save, perhaps, for Czechoslovakia which is under strong Soviet domination). Its record of economic centralization and political repression is second to none. It is for this reason that Moscow, although frequently irritated by Romania, has left it alone, while applying extreme pressures on Poland which follows the Soviet lead in military and foreign affairs matters. (S)

The NSC Staff questions whether the United States should help bail Romania out of its self-induced economic crisis. Unlike Poland, which is undergoing deep systemic changes, Romania remains committed to totalitarian forms of Communism and its claim on our sympathy and economic assistance is of dubious merit. (S)

  1. Source: Reagan Library, Executive Secretariat, NSC Country File, Europe and Soviet Union, Romania (9/4/1981–11/17/1981). Secret. Sent for information. Reagan initialed the top of the memorandum. Additionally, “The President has seen,” is stamped at the top and dated September 9. Copies were sent to Bush, Meese, Baker, and Deaver.
  2. Printed as Document 78.