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U.S. Contemplates Increased Grants to Middle East, Dulles Says

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The Middle East may this year get “perhaps a little more” financial aid from the United States than in previous years, Secretary of State John Foster Dulles told a House Appropriations subcommittee. He emphasized that the Eisenhower Administration’ considers peace between Israel and the Arab countries an essential element in improving conditions in the Middle East.

The slight increase in American grants for the Middle East will go primarily for armaments, Mr. Dulles indicated. He told the subcommittee of his forthcoming trip to the Middle East and said that the Administration “may have to try to develop some fresh policies” in that area. In the Middle East, he stated, “the drift is dangerously unfavorable to us.” He described the development of an “anti-American” feeling in that part of the world.

“There is a proposal,” Mr. Dulles said, “to develop what is called MEDO, Middle East Defense Organization, which, if it is developed, would be more of a consultative association than anything compact such as the NATO is; but where the interested countries would come together to discuss plans for common security and to concert those plans if possible. As an essential element in the development of a sound position in the area there should be consummated a peace between Israel and the Arab states.”

Referring to the possibility of larger American grants to countries in the Middle East, Secretary Dulles said: “I think it will probably be desirable to spend some money in the Near and Middle East, perhaps a little bit more than we have been spending, but it would not reach into a large figure. Any increase would be primarily to provide a minimum of armament. I assume here satisfactory progress in plans for the defense of the area, and I repeat my hope that there can be peace between the Arab states and Israel.”

Subcommittee chairman Cliff Clevenger, of Ohio, spoke unfavorably of Israel. He told’ Secretary Dulles that “we had a situation last year where we provided money not only to feed those expellees from Palestine but also for the forces that drove them out.” The Secretary of State then stressed the plight of the Arab refugees, but indicated that appropriations for Arab refugees would be reduced for the coming year because existing funds were not entirely spent.

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