272. Memorandum of Conversation0

US/MC/29

FOREIGN MINISTERS MEETING

Washington, D.C., April 12–14, 1960

SUBJECT

  • Aid to Somalia

[Here follows the same list of participants as Document 271.]

Minister Segni told the Under Secretary that he would like to make some observations on the subject of post independence aid to Somalia. He said that, to the Italians, the economic forecast for Somalia was far from clear. He planned to discuss the problem with the Somalia experts in some detail when he returned to Rome. All aspects of the future of Italian economic effort in support of Somalia would be considered, including the operations of the Italian Ente Banane1 in this connection.

The Foreign Minister observed that one should be careful to distinguish between the economic problems and the political problems involved in assisting Somalia. This year Somalia and Ethiopia have had trouble and disputes over the border question. Italy was friendly with both Ethiopia and Somalia. However, in the Italian view, one should be very careful in assisting Somalia to avoid injury to Ethiopia. Ethiopia was a much larger country, richer, the home of many Italians and the only Christian state in Africa. Italy wanted to solidify its good relations with Ethiopia and to help insure that it remained with the West. Italy had been disappointed and concerned to see the Negus making a trip to Moscow.

[Page 592]

The Italian Administration in Somalia had been unable to settle the boundary dispute with Ethiopia. Segni stated that Italy would very much like to consult with the United States on the problems of our mutual relations with Ethiopia. Italy was convinced that Ethiopia could be saved. They would like to develop a U.S.-Italian policy line as well as to reach a delineation of mutual objectives which would insure the continued alignment of Ethiopia with the West.

Italy would continue to aid Somalia after independence. Italy, however, was somewhat disturbed over talk of union of the three Somalilands.2 Somalia had few enough riches and the other two had even less. Union would, in the Italian view, be very poor economics indeed. Italy will participate in extending economic aid to Somalia but will want a common policy designed to bring Somalia close to Ethiopia. Italy will wish to discuss this proposal in more detail through normal diplomatic channels.

The Under Secretary replied that the U.S. would agree with everything the Foreign Minister had said. We would be very interested in a mutual examination of the problems of aid in the area under discussion. We were particularly interested in reaching a joint conclusion with the Italians on the form and extent of the necessary post-independence aid to Somalia. At the same time we could also decide on the division of the aid burden. We have felt for some time that we could not make a great increase in our aid to the newly independent countries in Africa. We are doing as much as we can everywhere: in Africa, Asia and Latin America. We also feel that the European countries which were formerly colonial powers, and which are now able, should provide at least the same level of aid as they did before independence was granted to their former colonies. In the case of Somalia this would figure out to about one-third of the burden to the U.S. and two-thirds of the burden to Italy.

The Under Secretary assured the Foreign Minister that we fully shared the Italian view as to the importance of Ethiopia and stated that we would be glad to discuss practical problems as well as those of assistance to Ethiopia with Italy. Perhaps it would be best if we discussed the Somalia and Ethiopia problems at the same time. They appeared to be part of the same picture and perhaps we could combine our efforts.

In our view the problem of British Somalia was a real one. The Somalis there wanted independence and if they insisted the U.K. would not object. We don’t know whether it would be possible to prevent union of the Somalias if they desired it. We would like to arrange a meeting [Page 593] between our experts and Italian experts to discuss the entire range of Somalia-Ethiopia problems. The Under Secretary emphasized that we would have to be extremely careful to insure that the knowledge that we were discussing Ethiopia did not become public.

Minister Segni replied that he was most gratified that the Under Secretary attached the same importance to the Ethiopian problem that he did. Agreeing that there should be no public knowledge of a U.S.-Italian discussion of Ethiopian problems, Segni added that whatever we do with Somalia we must not antagonize Ethiopia. Minister Segni said that Somalia was asking for an army and 10,000 police both of which they did not need since they were not justified.

As far as Italian aid plans went, the Minister said Italy would contribute about $2 million per year through the banana subsidy and an additional $2 million in financial support. Italy, said Segni, could not guarantee Somali budget deficits after independence, however, they would give financial support. The Italian Finance Minister had not yet rendered a recommendation on the level of this support.

The Under Secretary said we would wish to talk with the Italians and try to reach a practical conclusion on what would be a proper level or limit to budget support. In our view we should help the Somalis with development expenditures with the hope that through this they would some day be able to meet their own budget requirements. This, of course, would be one of the things to be discussed by the technicians.

Minister Segni said Italy would be happy to agree to talks at any time we were ready to discuss Somalia-Ethiopia problems.

  1. Source: Department of State, Central Files, 396.1–W/4–1460. Confidential. Drafted by Phelan and approved in U on April 22. See also Document 271.
  2. The Italian state agency that handled the export of bananas from Somaliland.
  3. Reference is to the three adjoining colonial territories, Italian, French, and British Somaliland. Italian and British Somaliland were merged in July 1960 to form the independent Somali Republic.