La Paz Embassy Files, 851A

The Under Secretary of State (Welles) to the Bolivian Minister for Foreign Affairs (Anze Matienzo)

My Dear Mr. Anze Matienzo: Confirming our verbal understanding, I am pleased to inform you that the Export-Import Bank of Washington has agreed to extend a credit of up to $5,500,000 U.S. currency for the development of the petroleum resources of Bolivia. This is in addition to the initial credit of $10,000,000 for agricultural, mining, and other industries and for transportation, mentioned in the Memorandum of January 27, 1942.

The Export-Import Bank informs me that it will make the necessary loan contracts with the corporation referred to in paragraphs two and three of the Memorandum Agreement of January 27, 1942, once the plans for the development of the petroleum industry have been approved by the Government of Bolivia and accepted by the Export-Import Bank.

Believe me

Yours very sincerely,

Sumner Welles