CENTRAL INTELLIGENCE BULLETIN

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00975A003600330001-5
• Release Decision: RIPPUB
• Original Classification: T
• Document Page Count: 9
• Document Creation Date: December 12, 2016
• Document Release Date: July 17, 2002
• Sequence Number: 1
• Publication Date: April 8, 1958
• Content Type: REPORT

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8 April 1958
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CENTRAL INTELLIGENCE BULLETIN
25X*
8 Auril1958
1. THE COMMUNIST BLOC
Communist China's foreign aid program: Peiping has
budgeted $185,000,000 for its foreign ai programs in 1958.
About a fourth of this will be used to meet aid pledges to
the free world of at least $107,000,000, mainly for South
and Southeast Asian countries. In addition to this amount,
Communist China has pledged approximately $740,000,000
in grants to bloc countries during the past four years.
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DAILY BRIEF
(:Chart)
II. ASIA.-AFRICA
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Israel-UAR: Israeli officials have agreed, follpwing
receipt o a survey report, to hold up digging in the
Hula area "for a few days," but have also reiterated their
determination to complete the drainage project there,
Cyprus: The Greek Cypriot terrorist organization
EOK i anding its current resistance with widespread
destruction of government property, and with armed attacks
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against left-wing Cypriot trade unionists. Since I April,
which was the third anniversary of the EOKA terrorist
organization, more than 30 bombings have occurred. Gov-
ernment property, including a police station, has suffered
severe damage. The new upsurge of violence a ears to
be accompanied by a crime wave.
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III. THE WEST
Peru: The cabinet reshuffle of 5 April is an attempt by
the Prado government to satisfy growing popular dissatisfac-
tion. The strong leftist but non-Communist Apra party will
probably gain in influence with the appointment of Raul Porras
Barrenechea as foreign minister. He is closely linked with
the Apristas. (Page 4)
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8 Apr 58 DAILY BRIEF ii
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COMMUNIST CHINAS FOREIGN AID PROGRAM
COMMITMENTS SINCE 1954
R7erniM
Po r.
MOROCCO ~?`Te^
0
30
I 8 APRIL 1958
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. MALTA0.ECCE CYPRUSRK
/ (Millions {erL--
AL,A of Dollars)
North Korea 325
North Vietnam 325
Hungary 50
Mongolia 40
Ceylon 26.3
Cambodia 22.4
Indonesia 20
Yemen 16.3
Nepal 12.6
Egypt 5
Burma 4.2
oResia
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1. THE COMMUNIST BLOC
Communist China's Foreign Aid Commitments
Communist China has already concluded four agreements
with free world countries since it initiated a long-term, low-
interest loan program last December. The most recent of
these, a $20,000,000 loan to :Indonesia, calls for Chinese de-
liveries of rice and textiles worth $15,000,000, the proceeds
of which are to be used by Indonesia to build a textile factory.
With the remainder of the loan, Peiping will provide machinery
for this new plant.
During 1958, Burma will receive $4,200,000 worth of
machinery for a textile factory, Ceylon is to get $10,500,000
for flood rehabilitation, and 'Yemen will obtain steel, heavy
machinery, and technical assistance under a $16,300,000
interest-free loan. The Yemen loan is Peiping's second move
to support the bloc's economic offensive in the Middle East;
it follows a $5,000,000 foreign exchange gift to Egypt after
the Suez crisis.
China first began to extend aid to the free world in 1956,
mostly in the form of outright grants. Cambodia and Nepal
received gifts of $22,400,000 and $12,600,000 respectively,
mainly in the form of Chinese goods which continue to be re-
ceived. In 1958 China will deliver consumer goods to Ceylon
under a $15,750,000 five-year grant to create local funds to
assist in financing Ceylon's rubber replanting program.
Under earlier aid to bloc countries, $325,000,000 was
earmarked for North Korea in 1954 as a gift for rehabilitation
and the same amount was promised North Vietnam, to be paid
over a four-year period. Other bloc countries receiving
significant gifts from China include Outer Mongolia, where
Peiping is spending $40,000,000 for the construction of light
industries, and Hungary, which received $50,000,000 in goods
and foreign exchange after the uprisings in 1956,
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III. THE WEST
Peruvian President Seeks to Stem Unrest by Cabinet Changes
Faced with serious dissatisfaction which has been growing
over the past several months, President Prado on 5 April
sought new support for his government by reshuffling the
cabinet. The regime appears to believe that it can in this way
satisfy the popular demand for change which in Peru normally
would be satisfied only by a coup.
The leftist but non-Communist Apra party will probably
gain in influence through Prado's appointment of Raul Porras
Barrenechea as foreign minister. Porras is close to the
Apra party, which was a major force in electing the conserva-
tive Prado to the presidency but which is so disliked by Peru's
military that it has been given no high-level domestic govern-
merit appointments. At the same time, Prado has dropped his
most unpopular cabinet member, Jorge Fernandez Stoll, who
as minister of interior had given some indications of strong
sympathy for Communism.
The appointment of new ministers of foreign affairs, in-
terior, and labor is not likely to lead to any immediate change
in domestic Peruvian policies. 25X1 A
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CENTRAL INTELLIGENCE BULLETIN
V April 1958
DAILY BRIEF
I. THE COMMUNIS BLOC
Communist China's foreig'? aid program: Peiping has
budgeted $185,000,000 for its oreign aid programs in 1958.
About a fourth of this will b""used to meet aid pledges to
the free world of at least $107,000,000, mainly for South
and Southeast Asian count es. In addition to this amount,
Communist China has ple ged approximately $740,000,000
in grants to bloc countri s during the past four years.
25X1A
KCh t)
II. ASIA-AFRICA
25X1A
Israel-UAR: Israeli officials have agreed, following
receipt of a NT survey report, to hold up digging in the
Hula area "for a few days," but have also reiterated their
determination to complete the drainage project there,
25X1A
25X1A
Peru: The cabinet reshuffle of 5 April is an attempt by
the Pao government to satisfy growing popular dissatisfac-
tion. The strong leftist but non-Communist Apra party will
probably gain in influence with the appointment of Raul Porras
Barrenechea as foreign minister. He is closely linked with
25X1A the Apristas. F_ I (Page 4)
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