SINO-SOVIET BLOC AID AND THE BELGRADE CONFERENCE

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CIA-RDP79T01049A002300150001-9
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29
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November 16, 2016
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January 12, 2000
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September 26, 1961
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MEMO
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Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 MEMORANDUM/SUBJECT: Sino-Soviet Bloc Aid and the Belgrade Conference/CIA/RR EP 61-72/26 September 61/SECRET NOFORN Copy Recipient V`1-10 ODDI L/11-20 OCI/SIDO - 21 25X1A t 22-23 St/CS-R 24-27 25X1A OCI/IP " 8-29 John Bullitt, Rm 3013, Treasury Department Code 182, Ext. 5828 9.4b-32 ORR/D/S X33-34 ORR/S t/P/C ORR/St/PR L-$6-37 ORR/AD X3`8 ORR/Ch/ERA Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 CENTRAL INTELLIGENCE AGENCY OFFICE OF RESEARCH AND REPORTS 26 September 1961 CIA /RR EP 6Ir72 Copy o. ., MEMORANDUM SUBJECT: Sino-Soviet Bloc Aid and the Belgrade Conference The purpose of this paper is to assess the impact of Bloc aid, if any, on the positions adopted at Belgrade by each of the participating countries. An attempt is made to determine if there is any correlation between the stands taken at the conference and the nature and magnitude of the aid being provided by the Bloc. A general discussion of Bloc aid to the conference countries, as well as a survey of the main issues and alignments at Belgrade, precedes the country-by-country analyses. Conclusions The Belgrade conference of nonaligned countries, which took place from 1 to 6 September, brought together heads of state and other representatives from some 28 countries of Asia, Africa, and Latin America, including most of the underdeveloped countries which have received Bloc edonomic aid and all of those which have received Bloc military assistance. With few, but significant, exceptions, there is little or no indication in the activities at Belgrade that Bloc aid had more than an indirect influence on the positions taken at the conference. Political considerations peculiar to the individual countries appear to have been the determining factor behind the positions and alignments among the conferees. If the Bloc aid program in its en- tirety had any significant impact on these positions it probably was in reinforcing the particular form of "neutral- ism" pursued by the individual countries--the paths usually having been chosen prior to receiving Bloc aid. In most cases the impact of aid--whether from the Bloc or the West-- is imperceptible and sometimes a country's position was the reverse of what might be expected if only aid is considered. The clear-cut Communist line of Cuba, where the Bloc's N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 N-O-F-O-R-N economic and military support is essential to the mainte- nance of the regime, can obviously be linked to the impact of Bloc aid. Negotiations for the supply of advanced Bloc military equipment, such as those being conducted by Iraq and which have been completed by Indonesia, may have had an impact on the extreme positions adopted by these countries. However, the~:UAR, with similar negotiations under way, showed no inclinations toward accepting a pro-Soviet po- sition on East-West issues, and its anti-colonial stance is not the result of Bloc aid. For its part, the Soviet Union probably considers what- ever support for the Communist cause it has aroused through its aid programs as a desirable but not essential by-product of the Bloc's efforts in the aid field. While Moscow con- siders the aid program a vital feature in the advancement of Communism, it has not demanded specific political quid pro quo's in its policy of expanding economic relations with even the most Western-oriented neutrals. For the time being the cultivation of such neutralism serves Soviet purposes. At times the USSR has even restrained the enthusiasm for Communist programs in certain countries in order to calm the fears of potential aid and trade customers in neighbor- ing areas. Thus, while it cannot be categorically stated that Bloc economic and military aid has promoted either a pro- Communist or anti-Western atmosphere in the nonaligned nations, it is apparent that such assistance has tended to foster the strong sense of "neutralism" already present in these countries. We feel, therefore, that Bloc aid is a reflection of Moscow's willingness to ride along with and to strengthen this wave of neutralism rather than being the immediate cause of an anti-Western or pro-Soviet attitude on the part of these countries. General Discussion Twenty of the 28 participating countries at Belgrade have received pledges totaling more than $4 billion in Bloc economic credits and grants, or more than 96 percent of all Bloc economic aid extended to the underdeveloped countries since,:the program began in 1955. Eleven of the countries have received all of the more than $2 billion in military aid extended by the Bloc. During the same period (since 1955), the US has extended more than $5 billion in economic and military aid to the Belgrade countries, and since 1945 US aid to these countries totals more than $9 billion for economic and $1 billion for the military. Approved For Release 2000/04/17~CfA-D7TII1049A002300150001-9 SECRET` SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 N-O-F-O-R-N With few exceptions, there is little direct correla- tion between positions taken at the Belgrade conference by the participating countries and the degree to which they have become involved in Bloc economic or military assistance programs. Political considerations appear to have been the controlling factor behind these positions; these considera- tions include concepts--however ill-defined or misguided-- of national interest, personal and national prestige, and other problems or principles peculiar to individual nations. Each leader interpreted issues and adopted positions in the light of these considerations and tailored his own varia- tion of nonalignment to suit these concepts. If aid--either Western or Communist--had any impact on the views expressed and the positions taken, it was in reinforcing the peculiar forms of political "middle-ism," which generally have been chosen by the nonaligned countries prior to receipt of Bloc aid. The more moderate of them-- such as India and Burma--are accustomed to taking positions which they feel support neither side in the cold war, hence should offend neither or both equally. The more rabid among them--usually those recently freed from some form of European domination, such as Guinea and Ghana--are accustomed to taking anti-Western positions and to greeting each East-West issue with an almost automatic bias, or at least suspicion, against the Western position. This they would do regardless of aid programs; even the more moderate Afro-Asians have only recently overcome their traditional bias against the West. In some cases, particularly among the "giants" of the conference, the impact of aid was negligible or even con- tradictory. Yugoslavia, with little bitter experience from Bloc aid and a prime recipient of US aid, adopted an ex- tremely anti-Western, generally pro-Soviet position. On the other hand, Nehru and Nasir, the former backed by both Western and Bloc aid and the latter heavily dependent in both the economic and. mi;.lit:y spheres on continued large- scale Bloc aid, adopted moderate stands, urging the US. and USSR to resolve their differences, but not siding with either. The West African states receiving significant amounts of aid from the Bloc tended to be more extreme on colonial- ism and more pro-Soviet on East-West issues, while older Asian neutrals like Nepal, Burma, and Ceylon, which have had mixed experiences with Bloc aid, leaned toward modera- tion. It is doubtful that Bloc aid was more than one of many factors in arriving at these positions. Indonesia's President Sukarno, usually billed as one of the foremost N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 N-0 -E -0 -R -N spokesmen for the nonaligneds Belgrade--a course which was ' drifted far to the left at prompted, by the extensive Bloc oaidlherhasfreceived, pot artic- ularly the commitments for modern weapons which are' desired for the campaign to "recover" West New Guinea from the Dutch. With regard to the conference itself, there were two schools of thought on where its attention should be focused. Those countries like India, Burma, Afghanistan, Nepal, Tun- isia, Saudi Arabia, Cambodia, Ceylon, Ethiopia, Lebanon, and Sudan sought to draw the full strength of the confer- ence to urging the great powers without recourse to war andtoimto r pressingtthem that problems the nonaligned countries have a vital interest in the preser- vation of peace. others, like Indonesia, Iraq, and to a lesser extent the UAR Morocco,, ' Mali Ghana, and the Guinea, Algerians, sought to focus the attention of the conference on the traditional Afro-Asian grievances summed up in the usual Leninist phraseology of anti-imperialism and colonial- ism. Nehru's pre-emption of moderate leadership appears have led Tito to attempt to take over leadership ofrthe extremists by acting as their spokesman. Some cduntries among the extreme their pet anti-colonial arguments included pinothedconferVe ence documents. The final documents reflect a compromise in which the general appeal for peace, addressed to Moscow and Washington, was offset by a longer document carrying most of the anti-imperialist line, but which acknowledged that classic colonialism is a dying issue. It took note of only a few specific anti-colonial issues, such as Algerian and Angolan wars, and the the in Tunisia and Cuba. question of foreign k~a~ses At the same time as this battle raged, another was under way between those who felt the conference documents should take strong substantive stands on major East-West issues-stands which usually reflected _ least anti-Western views--andthose whopbelievvedtthe o e ence would lose its moral force and flavor if it exp essedr- Judgements on substantive issues such as the German questi The final conference documents also ref le question. with a victory indicated for those led b uteh this hplit, flexibility and not firm y Nehru who sought All nucleartesting was opositions on East_West questions. sumption of tests was notpcited -and the great unilateral ere urged to resume the moratorium and disarmament negotiations. Attention was called to the German pr, but powers were context of an appeal to avoid the use of eforce, and Yinnathe general statement endorsing "unity", self-determination, -4- Approved For Release 2000/04/'79 CFA %D*'7.NT01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 @}7-%T-4049A002300150001-9 and independence for all nations. Nearly all members agreed on the need for reorganization of the UN, but few could accept--and some specifically condemned--the Soviet "troika" concept for the Secretary General's office. Those who pressed for flexibility at the conference were India, Burma, the UAR, Saudi Arabia, the Algerian Pro- visional Government, Morocco, Tunisia, Ethiopia, Cyprus, Lebanon, Sudan, Cambodia, Ceylon, Nepal, and Afghanistan. Those pressing for substantive--and usually pro-Soviet stands--were Iraq, Cuba, Indonesia, Ghana, Guinea and Yugoslavia. In judging the performance of the individual countries it should be noted that the conference had two-public images. that conveyed by the unfettered, flamboyant speeches of the participants as they basked in the limelight of world atten- tion, and that conveyed by the formal conference documents, which reflected the results of hard bargaining and the re- quirement for unanimity. The speeches were much more spe- cific than the documents and many were anti-Western in a sense transcending even the usual anti-colonialist theme. In dis- cussing the positions of the individual countries, comment is first devoted to the public image and then to the coun- tryr's-tactics in the bargaining behind the scenes The following statements on each participant at the Belgrade conference include summaries of aid received from the Bloc and from the United States. The figures are some- what noncomparable for the following reasons: - Bloc aid is compared only with US aid. In several cases, particularly for those countries formerly subject to the United Kingdom, considerable additional Western aid has been granted. - US aid includes grants, loans, and credits; Bloc aid consists almost exclusively of credits. - US aid for the most part has been delivered or is in the process of being delivered; the US figures, consequently, contain relatively little in the way of future obligations. The Bloc figures, on the other hand in several important cases represent largely obligations for future assistance and in most cases future obligations are a significant por- tion of the total. . - Bloc figures represent the total of economic develop- ment resources available to the recipient country from the Bloc. In several cases, non-governmental assistance from the US and other Western sources of private capital is (or has been) of major significance to the recipient country. Approved For Release 2000/04YZd 6?J T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-O-F-O-R-N AFGHANISTAN Aid, in millions of US dollars, from; Bloc since 1954 US since 1945 Economic 217 Military 110 180 TOTAL _ 3-2-7 3 Afghanistan has accepted aid from both East and West, but the Bloc's more than $300 million ineconom- ic and military aid is acknowledged to be of decisive importance to ,Kabul's development and defense, and has won a firm foothold for the Communist Bloc' in the country. Moreover, the Afghans are currently in.pro- cess of seeking more aid for their Second Five-Year Plan and probably are to receive additional military aid, including MIG-l9 aircraft. Bloc aid, along,with Soviet propaganda support for Afghanistan in the Push- tunistan dispute with Pakistan, could be used to argue for Afghanistan's pressing an extremist able to the USSR, Prime Minister Daud, however,l feallrin with the moderates of the conference, advocated Peiping's admission to the UN, hit colonialism, reorganization and extended recognition tortheed for an Provisional Government, On Germany, he deploreddlthe ian division of the country and the use of "policies of force" but avoided strong stands on East-West issues. Priva.tely- he generally sided with Nehru agreeing to forego mention of Pushtunistan in the conference docu- ments or specific formulas for Germany, The Afghans did., however, support Cuban insistence on a reference to the Guantanamo naval base. B loc.aid had no demonstrable effects on Afghanistan's position at Belgrade, - 6 - N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 N-O-F-O-R-N ALGERIA Aid, in millions of US dollars,fromo Bloc since 1954 US since 1945 Economic Military 12+ TOTAL. Although strongly supported by Soviet propaganda and with limited amounts of Bloc military and financial assis- tance, the Algerians have no particular cause for champion- ing a pro-Soviet line on East-West matters. Prime Minister Ben Khedda concentrated on his own struggle for Algerian in- dependence, reaping support for his fight from all, including specific reference to the issue in the conference documents. He laid strong emphasis on colonialism, banning of nuclear tests, and condemned military pacts. Privately, not much is known, although the extent of support for Algeria in the documents suggests strong politicking on the colonialism issue. The limited assistance received from the Bloc does not appear to have significantly affected the Algerian posi- tion. Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic 96 95 Military -- -- TOTAL -96- 95 Burma has received little Soviet aid so far, but this year accepted an $84 million credit from Communist China which boosted it into one of the more important recipients of Bloc aid; Rangoon has also been flirting with Bloc over- tures for military assistance. So far, though, Bloc aid has played a relatively minor role in the country and pro- bably exerts little or no influence on the government's in- ternational posture. U Nu delivered the most statesmanlike address of the whole Belgrade conference, out-doing even Nehru,,. on the importance of the peace issue and criticizing anticolonialism based on. revenge ap.d racialism. Behind the scenes, U Nu appears to have been Nehru's strongest aid in pressing for flexibility and moderation. Bloc aid had no apparent effect on the Burmese stand. N-O-E-O-~R-N Approved For Release 2000/04/17 CIA-RDP79T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79 1049A002300150001-9 N-O-F-O-R-N CAMBODIA Aid, in millions of US dollars, from: Bloc since 1954 US Economic 56 since 1945 Military 220 TOTAL 56 78 29 An important recipient of US aid Cambodia economic assistance from the Sino-Soviet Bloc. also accepts of Bloc aid at this stage The mag`hitude than a ge should preclude it from being more minor factor in influencing Cambodian foreign in fact its function at times has been to to new aid commitments. Policy; in- Sihanouk stressed pthescolonialUissue, but also hit hard on the division of Germany, Vietna and Laos. He critiai:Zed the two "blocs f, e, Korea, Laos and pressed for plebisites for their roles in also argued for disarmamentcunderitheisupervision tries, neutral governments. Privately, he appears to have beeninfthe Nehru p, favoring flexibility in positions on East-West issues CEYLON Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic Military 58 75 -w Ceylon has accepted aid from both East and West but no time has been SO deeply involved With the Bloc ec"ono cally as to at trade are OJerpor ize its neutral Position, and ant o Mrs. tanaike called forlonanbcn dct~tthelY not Bloc aid and in her rs speech at Belgrade suggesting the demilitarization of Germany and the need for negotiations between the major, Powers. She specifically criticized the Soviet decision. to resume nuclear testing and IVloscowls 41 ? the UN. She called for increased aid to ith up ndeodee ope world--from both East and West--and for Chinese Communist dmissio to the UN, the underdeveloped admiss wni to privately she appears to have carried littlght , but was definitely in the moderate cam aid probably had little or no influence on this position. c on, N-0-F-0-RN Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET SECRET. Approved For Release 2000/04/17: CIA-RDP79T01049A002300150001-9 N-D-F-O -R-N CONGO Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic some 78 Military TOTAL 78 Late arrivals at the conference, Congo leaders Adoula and Gizenga created mixed impressions, as would be expected from their well-known positions prior to the gathering in Belgrade. Adoula's well-balanced, moderate speech and his support for the UN earned kudos from the moderate camp, while Gizenga's pre-occupation with Lumumba's ghost brought forth some short-lived emotion.. Although Gizenga has re- ceived some financial assistance from the Bloc, as well as massive propaganda support, he focused on Congolese problems and avoided pronouncements on other issues. Both..Congo leaders arrived too late for most of the backstage activity, but Adoula earned special praise from Nehru for his balanced performance, while presumably Gizenga lined up with the ex- tremists. N-O-F=O-R-N Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 CUBA Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Military 1004 41 TOTAL 40 11 _3Z Dependent on the Sino-Soviet Bloc for both its and future development plans, for the economic well-being of the county as present y measured in -terms of sugar sales, and for large-scale military assistance necessary for its s the Castro o regime has ample survival, the Castro regime reasons for adopting ,a strong Bloc ova aid hSince early 1960, as the magnitude of tee Bchoing of effort Blas grown, so has grown Cuba"s sycophantic Dohoins propaganda line on every world issue. gave a straight Communist-line speech on all major issues, urging special treatment, not of general but of specific issues such as colonialism, ~.x.mament principles ' testing. foreign bases. "troika", dis_ ' pre.ssdd the, same anti-WesternantiPrivately,the Cubans tained a staunchly -US sentiments , and main tainnde? pro-Soviet posture throughout the ,con- fee. appears to have alienated most of the other conferees, but other dofere s a gained mention of Guantanamo in the .American issue rated asomelspeon the cific mention. that a Latin ,not possible to demonstrate that Cubafs o While it is direct result of Bloc aid, aposition is the such aid the Castro regimwit be ouldnnot begable ttotassume the stance taken at Belgrade by Dorticos. m N-0 -F-0-R--N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-O -F-O -R_N Economic Military TOTAL CYPRUS Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 10 Cyprus was one of the five partct- enc.e that has not received Bloc aid_ialthoug at the caver- been made-and has no reason for feeling beholden offero have Makarios publicly condemned colonialism, ovolden to the the erection of barriers in Berlin. Soviet tests USSR. termination to be applied and to He called for self-de- many Makarios appears to have been Gamoany as elsewhere, Privately, those moder- ation, although he probably carried little weight. ht. ETHIOPIA Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 ""y" Mili " tary 114 124 TOTAL 4 57 1$1 Ethiopia has accepted about aid but relatively little has beenl accomplished nundeC the agreements and the degree of Bloc influence is rather slight. Haile Selassie expressed strong nnaignmen for a support for the slight. Berlin. unified Germany and for He said classic colonialism isdafddeadrissuecinsAsi and Africa, but touched on such issues as West Irian and a Bizerte. Privately, With the Nehru he appears to have thrown his weight withtthioeh group in favor of flexibility in East-West and of the conference focusing on peace issues. N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-O-F-mG-R-N GHANA Aid, in millions of US dollars, from: Economic Bloc since 1954 108 US since 1945 7 Military some TOTAL 1084 7 ---- If there is a direct correlation between foreign aid .and the positions taken by a country in international affairs, it would.seem prudent for Ghana to have followed a moderate course at the conference, as it has negotiations under way for additional aid from both Bloc and Western sources, Ghana has been a primary target of the Bloc's economic offensive in Africa, While currently cultivating its existing ties with Accra, Moscow stands ready to extend further aid if re- quested. Although no military aid agreements are known to have been concluded as yet, recent developments strongly suggest the Bloc may soon be active in that field also. It is doubtful, however, that this aid has been decisive in determining Ghana's position in world affairs, although it probably has had some influence. Nkrumah at Belgrade gave a strongly anti-colonial speech, and on East-West issues generally favored the ,Soviet line, especially on Berlin. He stressed the need for a demilitarized Germany, for general disarmament, and for a summit meeting between the US and USSR. He supported a "troika" system for officials immediately under the-UN Secretary General. Privately, he pushed for substantive--and pro-Soviet--stands on Germany, heavy emphasis on the colonialism issue, but.splitdwith .Nasir on criticism of Israel. Bloc aid seems to be only one of many factors in Nkrumah's anti-Western position. N-0-F-0-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-G-F--o-R-N GUINEA Aid, in millions of US-dollars, from: Bloc since 1.954 US since 1945 -Economic .113 Military some I TAL 1131 Guinea, strongly bound up with the Bloc through economic and military.aid programs, was cast with Ghana, Indonesia, Yugoslavia, and a few.others as one of the extremist, gener- ally pro-Soviet participants at Belgrade. Foreign-Minister Bevogui spoke most vigorously on colonialism, and on other questions fell in with the.Nkrumah line, both publicly and privately. Guinea's support for the Soviet Bloc has been evident for sometime and may well be derived in part from its growing dependence on Bloc aid and trade. It would be difficult to argue, however, that the aid program is the reason for Guineas present stance in.East-West relations? 13 - Approved For Release 200 Y/02/if . :IA-1 P79T01049A002300150001-9 SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 N-O-F..O_R-N INDIA Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic Military 1,000 TOTAL -- 3,072 Although India is the aid, and the largest third largest recipie billion is committed-- recipient of economic aid _nt of Bloc from the it has received eve nearly is 1 West, primarily the rUS. eceived n lar er a and accept Bloc While continuin mouses underscores his aid offers, Nehru's gBe seek polic performance at Belgrade ticipant almost to y of nonalignment. the peace issue the end, Nehru addressedr his remarks par_ states to , stressing the need his remarks to but urge the great for the nonaligned without cmthet powers to negotiate the German g the conference their differences question. to specific said the crisis stands on West relations overshadows present crisis felt sat to the issue of in Eastt f man temper the violently colonialism and y others. He expressed regrtaatihe S vi he favored to resume nuclear testing. On German to asked decision tion of the "fact' of two he asked for recogni- need for free aGerman states, moeand was access the to Berlin. but stredseh the moderates oderns . principal architectyofhthee the Foreign aid appears conference indirect effect on Nhru-s to have both East and West cen attitude, his ' at desire fret, hav an tribute to his have s to be sharply India may tribe , shar c ply critical l o of N`O_F O-R-N Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-O -E-O-R-N .INDONESIA Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic 6004- 583 Military 830 ? TOTAL 1, 43 0 583+ The second largest recipient of Bloc economic and mil- itary aid, Indonesia in all probability has been influenced by this support in adopting more favorable positions to the USSR, not only at Belgrade, but.at other times as well. With more than $60.0 million in economic aid extended by the Bloc, for use in key areas of the country's Eight-Year development plan, and with the three military services in process of receiving some $600 million in military equipment and train- ing from the Bloc, the Indonesians are in a poor position to incur the wrath of Moscow. They may feel a need to balance Soviet largess with pro-Soviet gestures, but often these appear to be little more than manifestations of President Sukarno's peculiar brand of neutralism. Moscow has shown an ususual willingness to meet Indonesian requests for military equipment on favorable terms--including guided missiles and military aircraft, such as MIG-19s, MI.G-21s and TU-16 bombers, all of which are still of prime im- portance in the Soviet arsenal. The Indonesians are also grateful for the Bloc's all-out support for their claims to Dutch New Guinea. A conference sponsor at Belgrade,, Sukarno naively declared in his major speech that the most important source of world tensions is not the ideological clash between two great power groups, but rather the continuation of colonial.- ism; thereafter he hammerdd away on a similar theme. On Germany, he urged a solution on the basis of "realities,"' and said that if a "temporary" division of Germany is necessary, then so be it. On the UN, he stressed the need for reorganization to take account of the increasing in- fluence of the neutrals. He omitted all reference to the Soviet test resumption, and merely voiced support for general disarmament. Privately, he appears to have been with.the violent anticolonialists, especially the Africans, but was persuaded. to omit mention of West New Guinea from the documents. While the cause-and-effect relationship is more subtle than .elaborated here, Bloc aid and the Communist support of Indonesian national goals probably have had significant effects on Indonesia's position between East and West. N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-O-F-O-R-N IRAQ Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic Mi 216 21 litary 240+ 46 TOTAL . 6,~- Iraq has received more than $45.0 million in Bloc econom- ic and military aid since the revolution in the summer of 1958 brought Qasim to power. Prior to the revolt, Iraq re.- ceived aid exclusively from the West, but the Bloc has taken over almost completely and is carrying out a wide range of projects in all key sectors of the economy. Moreover, the Iraqis are currently engaged in seeking additional military aid from the Bloc, probably including guided missiles, more aircraft, and probably more land armaments. These delicate negotiations may have exerted some influence onIraq's position at the conference, although Baghdad's leftist approach was manifest long before Belgrade. Iragi.Foriegn.Minister Jawad, however, appears to have outdone himself, turning in what Ambassador Kennan termed an "amazing performance," Both publicly and privately he followed the Communist line, heavily on anti-colonialism, and repeatedly denounced, played Western positions while apologizing for those of the Communist Bloc, He called for the recognition of two German- ies and for general and complete disarmament, without mentioning the Soviet resumption of testing. He denounced Western economic assistance as a cover for "neo-coloni.alism and generally favored a strong acceptance of Soviet positions on East-West issues. Although not one of the leading lights, Iraq strongly supported the extremist .publicly and privately. Bloc.aid has gexup, both significant influence on Iraqi probably exerted a policies. N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-O'F_O_R_N LEBANON Aid, in millions of US dollars, from; Bl Economic Military oc since 1954 US since 1945 81 TOTAL 9 Lebanon has received no aid Prime Minister Salam took a from the Sino-Soviet Bloc, stressing stressing the sof moderate position at Belgrade, Israel survival u a the remnants of colonialism and Citing "center of imperialist infection" reorgaing tionthroughout take Asia and account i.ca. the East-West issues, new called for On he expressed dismay at members. to announcement on the eve of the conferencethe Soviet teat to have been in the Nehru camp Salam appears behind for Nasir's views as well. the scenes with some N-O -F-O_R _N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 N-O _F"-O_R_R MALI Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic 57 Military 3 TOTAL. Mali has accepted substantial Bloc aid this year and at the time of the conference was engaged inworkin ou aid agreement with Communist China, g t an ment has begun to a Bloc military equip- i ities as that the Communist foothold in West Africa will include a substantial program for Mali the country welcomes Western assistance as,well. tAt Bel however, president I{eita played e role his two African neighbors -_ a more moderate role than grade) fication and neutra.izationGforaallddivided `countries He urged uni- Germany, but said the conference should not side with either in_ UN and a sraEas t or West. He urged reorganization of the for carried little weightplalthaur1vat~lyA he appears to have relative mildness in although there are indications his the scenes. Bloc aidpmayihavelhal o in his ddsomerinfluenceoon behind Malirs Position, but less than might have been expected. on ita' Position at Belgrade., however) th ., s the Mali delegation's more exremistas a sharply-with wath preparatory sessions in Cairo. performance at the N-0-F-0-R-N Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17: CIA-RDP79TO1049AO02300150001-9 N-O-F-O-R-N Aid,. in millions of US dollars, .,from: Bloc since 1954 US since 1945 Economic 308 Military 5 TOTAL 308 A recipient of some Soviet military aid, Morocco's position at the conference reflected no significant pro- Soviet leanings. King Hassan hit hard at colonialism, especially on Mauritania, but was more moderate on East-West issues: He vigorously condemned French nuclear tests in the Sahara, and noted that the Soviet test announcement "un- fortunately" occured just at the time when first steps to- ward disarmament were expected. On Germany, he spoke of the need for the nonaligned nations to mediate between the two great powers. Privately, Hassan's activity is subject to conflicting reporting, but he appears to have vacillated be- tween supporting the extremists on colonialism and the moderates on East-West issues. No perceptible influence of Bloc aid is indicated by the Moroccan stand at Belgrade. - 19 - N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic 41 44 Military TOTAL A recipient of roughly equal amounts of aid from the US and the Bloc--chiefly Communist China--Nepal's King Mahendra both privately and publicly supported flexibility in stands on East-West relations and moderation.on other issues. He decried attempts to change the status quo ex- cept through negotiation, and urged the conference to work for a relaxation of tensions rather than substantive stands on cold war issues. While deploring the remnants of colo- nialism, he pointed out the British example of accommodating to new situations and regretted France's inability to learn from the British. On the UN, Mahendra denounced the Soviet "troika" principle, but suggested strengthening the body by fairer representation and by the admission of Communist China. The influence of Bloc aid on Nepal's stand apparently was negligible. SAUDI ARABIA Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic -- 47 Military -- some TOTAL Saudi Arabia has accepted no economic or military assis- tance from the Bloc. Foreign Minister Suwaijil denounced colonialism in general terms, except for strong attacks on the French and Israelis, and on East-West issues urged the conference to contribute something helpful to easing tensions, warning against a bias toward either bloc. Privately he voted with the moderates, except on the reference to Israel. N-0-F-0-R-N Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-0-F-0-R-N SOMALI REPUBLIC Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic 58 13 Military -- -- TOTAL 58 The Bloc has made considerable progress in developing its economic relations with the Somali Republic, having ex- tended nearly $60,000,000 in long-term credits this year; additional aid probably will be forthcoming. President Aden, however, generally sided with the conference moderates and rejected taking substantive stands for one side or.' the other. He spoke in general terms on the German question, urging a peaceful settlement. He supported a strong UN ex- ecutive, praised the UN operations in the Congo, and asked those who wish to alter the present structure of the UN or- ganization to reconsider. He attacked Portugese and French colonialism and declared the principle of self-d6terriination should be applied to all colonial territories, as well as to Germany. Privately, he appears to have been with the moderates on most issues and showed no inclinations toward favoring Soviet positions in East-West issues. Bloc aid probably played no appreciable role in deciding the Somali Republic's positions at Belgrade. N-0-F-0-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 N-0-F-0-R-N SUDAN Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic 22 54 Military __ TOTAL 22 --- Sudan, which recently accepted a $22 million Soviet credit, avoided Positions either pro-Soviet or violently anti-Western and generally held to the views of the moderates. Abboud's speech was temporate and reasonable, stressed the need for UN reorganization, for a test ban, and for Peiping'.s admission to the UN; he omitted all reference to Berlin or the German question. appears to have worked well with the moderatesyon both the "flexibility" and peace issues. tion probably was not affected by foreign aSudan?s id.. posi- TUNISIA Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic 35 Military -- TOTAL --3-9- 2 5 Tunisia only recently entered into its first important aid agreement with the Bloc--a $27 million offer from the USSR,in August--but has received well over a quarter of a billion dollars in US economic aid.. ed, hit French colonial policies hardest,Aandxomitted mentiionba of Germany or Berlin. Privately, Bourguiba appears to have been with the conference moderates on most questions, but was said to be out of his element among the nonaligneds. He successfully pressed for mention of Bizerte in the confer- ence documents, While Bourgiba publicly stated his willing- ness to accept Bloc aid during the Bizerte crisis, he is not involved in any significant economic or military com- mitments with the Bloc and showed no sign of favoring pro- Soviet positions. The limited aid extended to the Bloc does not appear to have affected the Tunisian position. N-0-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79TO1049AO02300150001-9 SECRET SECRET Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 N-O -F -O -R-N UAR Aid, in millions of US dollars, from: Bloc since 1954 US since 1945 Economic Rnn Military 700.L TOTAL 1 W? _iiv A sponsor of the gathering and one of its "big five" personalities, Nasir generally focused on the anti-colonial issue; he was anti-French, anti-Portuguese, of course anti- Israeli, and to a degree anti-.American in general, as well as the artificial divi~sionpofrGermany, and he specifically condemned the Soviet resumption of nuclear testing. Behind the scenes, on the need for the conference to avoiVdssubstantiveastands on East-West issues. He worked for a strong anti-colonial statement, while giving way to only a mild reference to Palestine. While the.UAR is the largest single recipient of Bloc aid--more than $1.5 billion--and is currently in process of acquiring such advanced military items as guided missiles and high-performance aircraft from the USSR under new military aid pacts, its positions at Belgrade, while strongly anti-Western on colonial issues, were not pro- Soviet in the manner of several other participants. While Bloc aid may cause Cairo to be circumspect on East-West issues, particularly the Berlin problem, con- sistently disavowed those who argue he musts temper his anti-Communism because of the economic and military support he receives from the Bloc. His stature among the neutrals appears to have been enhanced by his conduct at the con- ference. Nasir, along with Nehru, is a prime example of a nonaligned leader who continues to receive entensive aid from the Bloc, but who continues to steer his own course between East and West. His support significantly less than his dependence oneBloccmilitary supplies, including modern weapons systems. His position appears, at most, to be but indirectly affected by Bloc aid. N-O-F-O-R-N Approved For Release 2000/04/17 : CIA-RDP79T01049A002300150001-9 SECRET