Evening star., 1946-07-08
Truman Urges
British Loan as
U. N. Po|icyKey
President and Byrnes
Call for Approval os
House Takes Up Credit
BY the Assoeioied Press

PRESIDENT Truman told the
House today unless it votes the
$3,750,000,00O British loan. "it
will be difficult, if not impossible,
to proceed with the United Ma
tions program for international
economic cooperation"
Economic conflict between Great
Britain and the United States. Mr..
Truman said, would be disastrous
to the economic well-being of both
countries"
The President and Secretary of
State Byrnes personally made new
appeals for the loan as some ad-
ministration leaders privately voiced
concern at how the House will vote.
Debate on the loan starts today.
Mr.. Truman appealed for consid-
Grafton in the House by Democrats
and Republicans, without reference
to party affiliations
Mr.. Byrnes, in a cablegram from
Paris where he is participating in
the Foreign Ministers Conference.
declared The British loan is the
nrst essential economic step toward
peace and security"
Part of U. S. Economic Policy.
Mr., Truman wrote this letter
which Chairman Spence of the
Banking Committee planned to read
to the House:
L want TO express my apprecia-
ton to you and to the COMMITTEES
on Banking and Currency for the
nne spirit in which you have con-
sldered the British financial agree
ment which is now before the House.
The British financial agreement
Is an integral part of the interna-
tlonal economic policy of the United
States.
Without this agreement it will
be difficult. if not Impossible, ia
proceed with the United Nation.
program for international economic
cooperation
This program has had the whole
hearted approval of Congress. 1t is
the one way We can avoid the
danger OF a conflict in economic
policy between the United States
and the United Kingdom. Such a
conflict would be disastrous to the
economic Well-being of both coun-
tries and to the peace and security
OF the entire world.
On such matters of international
policy there must be no partisan d.
vision between Americans. Your
committee has shown the highest
degree OF craftsmanship in its hear
mgs and report on the British finan-
cial agreement. The splendid exam
pie you have set will be an inspira-
ton to all of us
First Step to Security.
In his cablegram to Mr.. Spence.
Secretary ByrneS said:
Here in Paris it is more apparent
to me than ever that a prompt
return to normal, healthy trade
between nations is essential if we
are to lay the foundations for per-
manent peace and, prosperity.
The British financial agreement
should prove powerful instrument
to this end, 1t is the first
essential economic step toward
peace and security"
The measure, passed the Senats
May 10 by 46-to-34 vote.
House leaders, including Speaker
Rayburn hold to predictions of pas
sage. But several influential legis-
lators said privately they believe
the outcome will be close. Foes
said they think we can beat it."
but none claimed enough votes to
do so.
Minnesota Primary Watched.
Both sides kept a close watch
on todays Republican primary bat
tie in Minnesota between Senator
Shlpstead and Gov. Edward J.
Thye.
Senator Shipstead is an outspoken
critic OF the proposed loan, and
many lawmakers say his renomina-
ton would swing votes against the
legislation.
Only last month another last
ditch foe of the bill, Senator But
Ter. Republican. of Nebraska won
denomination In a victory that since
has been interpreted by some OBJ
servers as an indication of strong
Midwest opposition to the financial
agreement
Another question certain to have
vital effect on the final vote is
the international situation in the
next few days-particularly as it
applies to Britain and Russia.
Even supporters of the proposed
loan concede that recent British
handling of the touchy Palestine
question has cost the bill some
votes
Loan for 50-Year Period.
On the other hand, many legls-
lators said that any fresh criticism
by Moscow of the western powers
might build up support for the
measure
IF Premier Stain would issue
hot blast or some sort at us,
tSee BRITISH LOAN, Page A-l1)