SECRET
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Moroccan desire for military assistance.
There remains also the
fundamental problem of liquidating or revising the 1950 Franco-American
agreements and satisfying the French contention that base negctiations
should be tripartite because of their claimed title to the base properties
and defense responsibilities.
(Negotiation of a new Treaty of Friendship, Coramerce and Navigation
with the Moroccans, decision on the status of present VOA radiofacilities
at Tanglers and the installation of new high-powered transmitters at that
location will await developments in'nogatiating-a base rights agreement.
As you know, the principal U.S. problem in Tunisia arose from
Bourguiba's request for arma following border clashes with the French.
Implementation of the U.S. and U.K. deciston to furnish arms, If other
Western sources failed, led to the expected adverse reaction in France.
Although U.S. economic and technical aid assistance programs have
been instituted for Morocco and Tunisia in the amounts of $20 million and
$8.5 million, respectively, it is too early for them to have had noticeable
effect in alleviating problems caused by declines in private investment
, and severe unemployment.
REPRODUCED AT THE DWIGHT, D. EISENHOWER LIBRAR
Y
a
Programming of U.S. ald ks complicated
i by lack of adequate economic planning and the continuing uncertainty of the
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| to M@vocean-economic development-witl amount of $57 million {tn calendar
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year 1957, negotiations for a temporary financial convention have been -/-~* - -
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