SINO-SOVIET BLOC ECONOMIC ACTIVITIES IN UNDERDEVELOPED AREAS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP92B01090R000700020004-5
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 8
• Document Creation Date: December 16, 2016
• Document Release Date: August 2, 2005
• Sequence Number: 4
• Publication Date: February 27, 1961
• Content Type: REPORT

v~-w
Approved For_Ref se 5/08/22 : CIA-RDP92BO109QRo O 700020004-5q
SECRET
BIWEEKLY REPORT
SINO - SOVIET BLOC
ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
EIC-WGR 1/132
27 February 1961
PREPARED BY THE WORKING GROUP
ON SINO-SOVIET BLOC ECONOMIC ACTIVITIES
IN UNDERDEVELOPED AREAS
' ~~ WYri u, ~~aYwv-.
ay1 4 1,t
25X1
25X1
Approved For Release 2005/08/22 : CIA-RDP92B01090d00070 220004-5
 25X1 Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
 Approved For Release 2005I08 SE fi DP92B01090R000700020004-5
Summary of Events*
10-23 February 1961
The USSR has failed to maintain its position as a major supplier of
petroleum for Uruguay following the award to Free World agencies of
contracts covering Uruguayan oil requirements during 1961-63.
Soviet assistance to Afghanistan is increasing at the same time that
the Afghans are completing preparations for their Second Five Year Plan.
A new Soviet-staffed school is to be established for the training of petro-
leum technicians, a Soviet group has arrived in Kabul to advise on city
planning, and the Afghan Government has recently signed a contract for
the delivery of Soviet consumer goods wo rth. $900, 000 in addition to the
$300, 000 agreement of August 1960.
About 20 MIG-19's were reported to have been delivered by the
USSR during January to UAR -- Egypt and 14 to Iraq. The UAR has
12 Egyptian and 6 Syrian pilots who have recently completed MIG-19
training in the USSR.
In mid-February, Soviet President L. I. Brezhnev completed a
2-week tour of Morocco, Guinea, and Ghana, during which 1:'e dis-
cussed primarily political subjects.
Twelve MIG-17 fighters and two MIG-15 trainers,, accompanied by
technicians, have arrived in Morocco from the USSR under the agree-
ment of November 1960.
A Czechoslovak mission that recently visited Niger has offered
economic aid, including scholarships for advanced study, training
courses in industry and agriculture, and scientific and technical co-
operation.
Burma is expected to award the USSR a contract for the provision
of 32, 000 tons of petroleum products required by increased Burmese
demand.
~c An unclassified table summarizing Bloc credits and grants, extended
and drawn, to underdeveloped countries as of 31 Dec-ember 19601is in-
cluded in this issue on p. 8.
Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
SECRET
 Approved For Release 2005/08 B?-TDP92BO109OR000700020004-5
India and the USSR on 21 February signed an agreement on the utili-
zation of the $125 million Soviet credit accepted by India in August 1960
to aid in carrying out its Third Five Year Plan. A total of $730 million
in Bloc aid is now available for this plan. Projects agreed on are in the
fields of petroleum, power, and manufacturing.
The two arms agreements between the Bloc and Indonesia signed
early this year provide that the USSR, between 1961 and 1964, is to fur-
nish Djakarta with military aid having a nominal value of about $522 mil-
lion. The first agreement covers naval aid nominally worth $277 million,
including a light cruiser, destroyers, submarines, and landing craft.
The second agreement covers Army, Air Force, and Navy materiel with
a nominal value of $245 million and includes 20 Tu-16's and 20 MIG- 21's,
the latter equipped with air-to-air missiles. The terms of these agree-
ments are more favorable than earlier Indonesian arms pacts with the
Bloc and allow for a discount on most types of equipment, a large part
of which is not new.
Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
SECRET
 Approved For Release 2005/08ECREWDP92B01090R000700020004-5
CONTENTS
Page
I. Latin America (Decline in Soviet-Uruguayan
Trade) .. . . . . . . . . . . . . . . . . . . . . .
II. Middle East . . . . . . . . . . . . . . . . . . .
A. Soviet Assistance Activities in Afghanistan . . . 1
B. Delivery of MIG-19's to Iraq and UAR -- Egypt . 2
III. Africa . . . . . . . . . . . . . . . . . . . . . . 3
A. Conclusion of Brezhnev African Tour . . . . . . 3
B. Arrival of Soviet Jets in Morocco . . . . . . . . 4
C. Receptivity of Niger to Bloc Aid . . . . . . . . . 4
IV. Asia . . . . . . . . . . . . . . . . . . . . . . . 4
A. Burmese Importation of Soviet Petroleum
Products . . . . . . . . . . . . . . . . . . 4
B. Indo-Soviet Agreement on Credit Utilization . . . 5
C. Soviet Military Aid to Indonesia .. . . . . . . . . 5
Sino-Soviet Bloc Credits and Grants to Underdeveloped
Countries of the Free World, Extended and Drawn,
1 January 1954 - 31 December 1960 . . . . . . . . . . 8
Approved For Release 2005/08/22 : CIA-RDP92B01090R000700020004-5
SECRET
 25X1 Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
Next 6 Page(s) In Document Exempt
Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
 Approved For Release SSdA[ 92BO1090R000700020004-5
Sino-Soviet Bloc Credits and Grants
to Underdeveloped Countries of the Free World
Extended and Drawn a/*
1 January 1954 - 31 December 1960
Million US $
Area and Country
Extended
Drawn
4, 8 09
1, 523
Latin America
322
Argentina
104
18
Brazil
4
4
Cuba
215
N. A.
Middle East
1,972
Afghanis tan
255
97
Iran
6
6
Iraq
404
128
Pakistan
3
3
Turkey
17
11
United Arab Republic
1, 226
599
Yemen
61
33
Africa
284
9
Ethiopia
114
2
Ghana
50
3
Guinea
108
4
Mo roc co
4
0
Sudan
b/
b/
Tunisia
8
0
* Footnotes" for the table follow on p. 9.
Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
UNCLASSIFIED
 Approved For Release i L2 SSiFMN2B01090R000700020004-5
Sino-Soviet Bloc Credits and Grants
to Underdeveloped Countries of the Free World
Extended and Drawn a/
1 January 1954 - 31 December 1960
(Continued)
Million US $
Area and Country
Extended
Drawn
Asia
21115
501
Burma
12
12
Cambodia
55
26
Ceylon
58
5
India
933
160
Indonesia
1,016
294
Nepal
41
4
Europe
116
Iceland
5
3
Yugoslavia
111 c/
111
a. Because of rounding, figures may not add to totals.
b. Less than $1 million.
c. Not including about $353 million in credits extended in 1956
and subsequently either canceled or allowed to expire.
Approved For Release 2005/08/22 : CIA-RDP92BO109OR000700020004-5
UNCLASSIFIED