THE PRESIDENT'S DAILY BRIEF 22 JANUARY 1970

• Document Type: FOIA
• Collection: President's Daily Brief 1969-1977
• Document Number (FOIA) /ESDN (CREST): 0005977258
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 9
• Document Creation Date: August 14, 2016
• Document Release Date: August 24, 2016
• Publication Date: January 22, 1970

Declassified in Part - Sanitized Copy Approved for Release 2016/04/27 : CIA-RDP79T00936A007900180001-1
The President's Daily Brief
22 January 1970
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THE PRESIDENT'S DAILY BRIEF
22 January 1970
PRINCIPAL DEVELOPMENTS
President Pompidou apparently has decided that the
best interests of France lie in a strong pro-Arab
policy. (Page 1)
President Ovando has met with Bolivian military
leaders to discuss the generals' disenchantment with
some cabinet ministers. (Page 2)
Iraq
and Iran
(Page 3)
Cambodia
(Page 4)
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FRANCE - MIDDLE EAST
Defense Minister Debre's disclosure yesterday
that France intends to sell as many as 100 airoraft
to Libya was a closely held secret within the French
Government. Foreign Minister Schumann's remarks to
Ambassador Shriver yesterday make it clear that Schu-
mann did not play a major role in the decision-making
process and was not fully briefed on all aspects of
the case.
The decision of course came from Pompidou
who seems intent on enhancing the strategic
and commercial role of France in the Med-
iterranean. He was also motivated by the
need to reassure the Arab world following
the Israeli gunboat affair, the Zagging
exports of France's aircraft industry and
a desire to participate more actively in
the Libyan petroleum industry. The affair
also has the side effects of demonstrating
French independence from the US and the
USSR and Pompidou's authority over Schumann,
who opposed the deal.
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BOLIVIA
The military high command met with President
Ovando on 20 January and presented their views on
the need for a cabinet shakeup. These senior mili-
tary officers have become alarmed by public state-
ments by Ovando and certain cabinet ministers which
hint at collaboration with Cuba, withdrawal from the
Organization of American States, and the national-
ization of all property. Ovando reportedly told
the generals that he would prefer to delay the dis-
missal of the radical ministers until they became
mired in their own mistakes.
Ovando seems to be buying more time to
assess his first real crisis. He prob-
ably will try to further ingratiate him-
self with the military by promising to
take whatever action is necessary to re-
store the flow of US military aid--one
of the main concerns of the generals.
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IRAN-IRAQ
The Iraqis squelched an Iran-backed coup Tuesday
night. Some 29 of the conspirators were summarily
executed.
Early today Iraq requested the Iranian ambassa-
dor and four other diplomats to leave the country
within 24 hours. Radio Baghdad accused the Iranians
of cooperating with US and Zionist forces in the
abortive coup.
These public denunciations of Iran's role
in the coup will seriously delay the set-
tlement of the border dispute between the
two countries over the Shatt al-Arab River.
It will also complicate Baghdad's efforts
to negotiate with the Kurdish dissidents
in northern Iraq because of the strong
Iranian influence with the Kurds.
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CAMBODIA
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NOTES
USSR:
Italy: -Last year Italy incurred a balance-of--
payments deficit of $1.4 billion, the largest. in well
over a decade. The deficit is in sharp contrast with
the $627 million surplus in 1968 and is due entirely
to a capital outflow which reached about $4 billion
in 1969.- The money drain may have been accelerated
by the current tax laws, labor unrest, and the unset-
tled political situation, and is likely to continue
this year. Italy's official net reserves remain very
strong, however.
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Top Secret
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