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J. 333305MONO-State
Galley 301
UNCORRECTED GALLEY PROOF
the present Lend Lease requests entirely from the standpoint of
giving assistance to the Soviet Union.
I will send the Department in a subsequent cable my comments
on this proposal extraordinary both in form and substance.
HARRIMAN
861.24/1-645
The Secretary of State to the President
SECRET
WASHINGTON, January 8, 1945.
MEMORANDUM FOR THE PRESIDENT
Subject: Soviet Request for Long-Term Credits
Molotov has presented to Harriman an aide-mémoire requesting
from the United States six billion dollars in post-war credits to run for
thirty years at an interest rate of two and one-half percent. In
transmitting the text of the aide-mémoire, Harriman has also in the
enclosed telegram submitted his own reactions thereto which I
believe you would be interested in reading in full.
Harriman indicates his belief that the Russians will expect this
subject to be discussed at the forthcoming meeting and states his
view that (1) it is to our interest to assist in the development of the
economy of the Soviet Union, (2) the Russians should be given to
understand that our cooperation in this respect will depend upon their
behavior in international matters, and (3) the discussion of these long-
term credits should be wholly divorced from the current lend-lease
negotiations.
E. R. STETTINIUS, JR.
[Enclosure]
The Ambassador in the Soviet Union (Harriman) to the Secretary of State
Moscow, January 6, 1945-10 a. m.
[Received January 6-11:30 p. m.]
61. Now that I have recovered from my surprise at Molotov's
strange procedure in initiating discussions regarding a post-war credit
in such a detailed aide-mémoire, I believe the Department will be inter-
ested in receiving my reactions. (ReEmbs 29, January 4, 2 p. m.¹)
1 Ante, p.-.
One. I feel we should entirely disregard the unconventional charac-
ter of the document and the unreasonableness of its terms and chalk it
up to ignorance of normal business procedures and the strange ideas of
the Russians on how to get the best trade. From our experience it has
become increasingly my impression that Mikoyan has not divorced
himself from his Armenian background. He starts negotiations on the
basis of "twice as much for half the price" and then gives in bit by bit
expecting in the process to wear us out.
Two. Molotov made it very plain that the Soviet Government
placed high importance on a large postwar credit as a basis for the
development of "Soviet-American relations". From his statement I
sensed an implication that the development of our friendly relations
would depend upon a generous credit. It is of course my very strong
and earnest opinion that the question of the credit should be tied into
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"ocrText": "J. 333305MONO-State\nGalley 301\nUNCORRECTED GALLEY PROOF\nthe present Lend Lease requests entirely from the standpoint of\ngiving assistance to the Soviet Union.\nI will send the Department in a subsequent cable my comments\non this proposal extraordinary both in form and substance.\nHARRIMAN\n861.24/1-645\nThe Secretary of State to the President\nSECRET\nWASHINGTON, January 8, 1945.\nMEMORANDUM FOR THE PRESIDENT\nSubject: Soviet Request for Long-Term Credits\nMolotov has presented to Harriman an aide-mémoire requesting\nfrom the United States six billion dollars in post-war credits to run for\nthirty years at an interest rate of two and one-half percent. In\ntransmitting the text of the aide-mémoire, Harriman has also in the\nenclosed telegram submitted his own reactions thereto which I\nbelieve you would be interested in reading in full.\nHarriman indicates his belief that the Russians will expect this\nsubject to be discussed at the forthcoming meeting and states his\nview that (1) it is to our interest to assist in the development of the\neconomy of the Soviet Union, (2) the Russians should be given to\nunderstand that our cooperation in this respect will depend upon their\nbehavior in international matters, and (3) the discussion of these long-\nterm credits should be wholly divorced from the current lend-lease\nnegotiations.\nE. R. STETTINIUS, JR.\n[Enclosure]\nThe Ambassador in the Soviet Union (Harriman) to the Secretary of State\nMoscow, January 6, 1945-10 a. m.\n[Received January 6-11:30 p. m.]\n61. Now that I have recovered from my surprise at Molotov's\nstrange procedure in initiating discussions regarding a post-war credit\nin such a detailed aide-mémoire, I believe the Department will be inter-\nested in receiving my reactions. (ReEmbs 29, January 4, 2 p. m.¹)\n1 Ante, p.-.\nOne. I feel we should entirely disregard the unconventional charac-\nter of the document and the unreasonableness of its terms and chalk it\nup to ignorance of normal business procedures and the strange ideas of\nthe Russians on how to get the best trade. From our experience it has\nbecome increasingly my impression that Mikoyan has not divorced\nhimself from his Armenian background. He starts negotiations on the\nbasis of \"twice as much for half the price\" and then gives in bit by bit\nexpecting in the process to wear us out.\nTwo. Molotov made it very plain that the Soviet Government\nplaced high importance on a large postwar credit as a basis for the\ndevelopment of \"Soviet-American relations\". From his statement I\nsensed an implication that the development of our friendly relations\nwould depend upon a generous credit. It is of course my very strong\nand earnest opinion that the question of the credit should be tied into"
}