178. Telegram From the Department of State to the Embassy in the United Arab Republic0

884. For Ambassador. We have concluded that consideration of timing requires we proceed urgently on two aspects of action program discussed with you, namely: (1) consideration of multi-year PL-480 agreement, and (2) dispatch of economic planning consultant. An addition to program is high-level political talks with Nasser by you and Ambassador Bowles (Deptel 1271).1 Regrettably untraceable press leaks here risk much of what we have in mind becoming widely known prematurely.

Accordingly, you should urgently request meeting with Nasser in order deliver both letter and oral message from President. Letter explains Bowles’ visit. (Text letter and details Bowles mission contained in two additional telegrams.)2 After presenting letter and explaining program we hope can be arranged for Bowles, you should present oral message from President3 signifying US willingness consider multi-year PL-480 agreement and dispatch highly-qualified economic consultant.

In introducing multi-year agreement you should state USG’s satisfaction with relative improvement US–UAR relations attending expanded economic cooperation of past three years and confirm our [Page 446] interest in UAR’s sound economic development. Upon being approached by Ambassador Kamel regarding comprehensive assistance, we sought concrete step from which to make beginning. Multi-year PL-480 arrangement would be ideal start of what we hope would be a step-by-step development of our relations.

We recognize, however, that multi-year agreement, important as it is, is not whole answer to UAR’s long-range economic problems. In order come to grips with many complex issues involved and to open way for possible consideration further areas cooperation, President is prepared provide services of highly-qualified economic consultant who would visit UAR for approximately two-week period. In view fact consultants of caliber required are heavily engaged, some delay in arrival inevitable. Worth waiting a bit to have right man.

Vital to success of both multi-year proposal and visit of consultant that talks proceed in atmosphere of absolute frankness. UAR should clarify areas where US cooperation would be useful. Similarly we expect instruct our consultant to be utterly frank and objective in expressing to UAR his views as to what steps, facilities, access to economic information, and above all, degree of mutual confidence required. Only through such candid discussions can we assess UAR needs against US capabilities. Demands on latter are, of course, steadily increasing as larger number developing nations look to US for help.

Thus, you should stress to Nasser that quick or dramatic results cannot be expected. Essential to proceed gradually, taking each step with eyes fully open and cards on table. We seek neither privileged position, political domination, nor irrevocable commitments. We believe foregoing demonstrates depth US interest in UAR and should serve allay any feeling of isolation or insecurity which Western policies alleged to create.

Although we have impression from your last conversation Nasser leaving economic details to others you should draw on Deptel 7364 as appropriate for discussion multi-year PL-480.

Dept leaves your discretion whether during course your presentation you wish indicate our concern at revelations your conversations with French Property Mission (Deptel 874).5 Assume any discussion would be low key.

[Page 447]

From press leaks Ambassador Kamel already aware Bowles visit. When Dept informed of date of your appointment we shall arrange tell Kamel generally of your approach after you have made it.

Ball
  1. Source: Department of State, Central Files, 411.86B41/1–2762. Secret; Niact; Limit Distribution. Drafted by Barrow and Strong on January 26; cleared in substance by Gabbert, Jones, and Williams, and by Veliotes, Lewis, and Smith (White House); and approved by Talbot who initialed for Ball.
  2. Circular telegram 1271, January 18. (Ibid., 123-Bowles, Chester)
  3. Documents 175 and 176.
  4. No specific text has been found.
  5. Telegram 736 to Cairo, December 6, 1961. (Department of State, Central Files, 811.0086B/12–661) For text, see Supplement, the compilation on the United Arab Republic.
  6. Telegram 874 to Cairo, January 25. (Department of State, Central Files, 601.5186B/1–2562)