838.51/2560: Telegram
The Minister in Haiti (Armour) to the Secretary of State
129. Reference to my telegram No. 128, of November 11, noon. The Haitian Government yesterday presented a note requesting the approval and assistance of the United States in its efforts to obtain a loan from the National City Bank to provide $2,000,000 for a series of public works designed to increase and diversify exports and production and alleviate the prevailing economic distress.
The public works contemplated include the Artibonite irrigation project, to cost $1,364,000, drainage of the Plain of the North, 12 new roads, a normal school and an extension of the telephone system of Port-au-Prince.
The note also asks that pending receipt of the loan the United States authorize the immediate expenditure of $500,000 from Haitian Treasury reserves to begin the public works contemplated.
A copy of the note with estimates and descriptions of the various projects went forward by air mail today.6
Pixley and I are of the opinion that the development of some further products such as bananas as a supplementary crop to coffee is most important if some means can be developed to accomplish it. For that reason we feel that since no funds from other sources are available for that purpose a loan for irrigation of the Artibonite is desirable provided that study of the engineering plans and the measures proposed by the Government to insure that the land to be irrigated will be properly utilized reveal them to be sound. The Government proposes that the land owners must plant, under the supervision of the Service of Agricultural Extension now under direction of Doctor Barker, a certain portion of their staple properties to crops for export such as long cotton or bananas, in which latter product interest is now being shown by the American market.
[Page 694]An analysis of the Haitian proposals and projects will be sent in the air mail leaving Port-au-Prince November 24th.7