d. Amount to initiate the studies in connec- TOTAL BUDGET 3. To authorize the Secretary General: a. To transfer credits from Chapter 15 (contingencies) to other chapters and to use them to meet unforeseen requirements; b. To transfer credits, not to exceed 5 per cent of the total appropriations for the chapter from which the credit is taken, to other chapters of the budget, provided that no approved program is eliminated or substantially changed thereby. In case any transfer exceeds the aforesaid 5 per cent, the Secretary General shall obtain the prior approval of the Committee on Program and Budget. All transfers shall be reported to the Council at the close of the fiscal year in which they were made; and c. To transfer up to $15,000 each year from the Working Capital Fund, to cover higher printing costs, replenishment of stocks of publications, and increases in the number of copies of periodicals printed. It is understood that the Working Capital Fund will be reimbursed from the sale of publications and that a report thereon will be submitted with the financial statements for the year in which the transfers were made. 63. THE SCALE OF ASSESSMENT OF MEMBERS OF THE ORGANIZATION OF AMERICAN STATES FOR THE FISCAL YEAR JULY 1, 1960-JUNE 30, 1961: Resolution Approved by the Council of the OAS, March 9, 1960 7 THE COUNCIL OF THE ORGANIZATION OF AMERICAN STATES RESOLVES: To establish the percentages and amounts set forth below as the scale of assessments for the contributions to be made by the governments of the member states for the support of the Pan American Union for the fiscal year beginning July 1, 1960, and ending June 30, 1961. 5 Texts ibid., pp. 417-419, 421-426, and 429-430. 6 Texts ibid., pp. 364–365 and 367–368. "OAS doc. OEA/Ser. G/III/C-sa-362. [PROBLEMS INVOLVED IN THE PROPOSAL TO ESTABLISH AN INTER-AMERICAN POLICE FORCE UNDER THE AUTHORITY OF THE ORGANIZATION OF AMERICAN STATES: Letter From the Secretary of State (Herter) to the Senator From Florida (Smathers), July 16, 1960-Post, doc. 120] B. Political and Economic Developments in Central America, Mexico, and the Caribbean Area 64. THE CASE CONCERNING THE ARBITRAL AWARD MADE BY THE KING OF SPAIN ON DECEMBER 23, 1906 (HONDURAS v. NICARAGUA): Judgment [of the International Court of Justice] of November 18, 1960 (Excerpt) 1 THE COURT, by fourteen votes to one, 1I.C.J. Reports (1960), pp. 192-239. The excerpt printed here is taken from p. 217. 1 finds that the Award made by the King of Spain on 23 December 1906 2 is valid and binding and that Nicaragua is under an obligation to give effect to it. THE CARIBBEAN ORGANIZATION 65. THE AGREEMENT FOR THE ESTABLISHMENT OF THE CARIBBEAN ORGANIZATION AS SUCCESSOR BODY TO THE CARIBBEAN COMMISSION: Announce ment Issued by the Department of State, June 21, 19601 The agreement for the establishment of the Caribbean Organization was signed at Washington on June 21.2 His Excellency Hervé Alphand, Ambassador of France, signed on behalf of the Government of the French Republic. His Excellency Dr. J. H. van Roijen, Ambassador of the Netherlands to the United States of America, signed on behalf of the Government of the Kingdom of the Netherlands. His Excellency Sir Harold Caccia, G.C.M.G., K.C.V.O., British Ambassador to the United States of America, signed on behalf of the Government of the United Kingdom of Great Britain and Northern Ireland. The Honorable Christian A. Herter, Secretary of State of the United States of America, and the Honorable Roderic L. O'Connor, United States cochairman of the Caribbean Commission, signed on behalf of the Government of the United States of America. 3 The Caribbean Organization will be the successor body to the Caribbean Commission, established in 1946 to encourage cooperation in economic and social development throughout the French, Netherlands, British, and United States areas in the Caribbean. The Organization will have broadly the same objectives as the Commission, but its activi ties will be directed by a Council on which the following are eligible to be represented: 1 The Republic of France for the Departments of French Guiana, Guadeloupe and Martinique The Netherlands Antilles Surinam The Bahamas British Guiana British Honduras The British Virgin Islands See American Foreign Policy: Current Documents, 1957, pp. 338–352. Department of State press release No. 399 (text as printed in the Department See A Decade of American Foreign Policy: Basic Documents, 1941–1949, pp. 1039–1047. The West Indies The Commonwealth of Puerto Rico This change has been made in response to the express wishes of the peoples of the area. The new Organization will reflect the significant constitutional and economic changes which have taken place in the area since 1946. After the agreement has been approved or accepted by the signatory parties, they will issue a joint declaration bringing the new Organization into existence. It is hoped that this will be done as early as possible in 1961. The headquarters of the new Organization will be located in San Juan, Puerto Rico, to which the Commission headquarters have recently been transferred. THE CENTRAL AMERICAN BANK FOR ECONOMIC 66. UNITED STATES FINANCIAL SUPPORT OF THE PROPOSED CENTRAL AMERICAN BANK FOR ECONOMIC INTEGRATION: Joint Statement Issued at Washington by the Ministers of Economy of El Salvador, Guatemala, Honduras, and Nicaragua, the Assistant Secretary of State for Inter-American Affairs, and the Assistant Secretary of the Treasury in Charge of International Finance, November 3, 1960 1 During the past few weeks discussions have been held in Washington between the Ministers of Economy and other high officials of Guatemala, El Salvador, Honduras and Nicaragua, and high officials of the U.S.Government, including the Assistant Secretary of State for InterAmerican Affairs and the Assistant Secretary of the Treasury in charge of International Finance, on the subject of establishing a multilateral development bank to assist in financing Central American economic integration. The Central American officials pointed out the solid progress made by their countries toward creating a common market-establishing free trade within the region and a common external tariff-and coordinating their economic development. They emphasized that in order The joint declaration was issued Sept. 6, 1961. Its text will be printed in American Foreign Policy: Current Documents, 1961. For the text of the joint declaration and the agreement establishing the Caribbean Organization, including its statute, see TIAS 4853 (12 UST 1297). Department of State press release No. 627 (text as printed in the Department of State Bulletin, Nov. 21, 1960, pp. 782–783). 'Reference to the Central American Multilateral Free Trade and Economic Integration Treaty, signed at Tegucigalpa June 10, 1958, by representatives of Costa Rica, Guatemala, Haiti, Honduras, and Nicaragua. The treaty entered into force June 2, 1959; text in U.N. doc. E/CN.12/621, pp. 17-23. 690-494-64- -17 to strengthen and consolidate the Central American common marketwhich has been developing since 1952-they considered it necessary to establish an institution with the purpose of assisting and financing public and private projects related to the integration program. To this end, the four Central American governments will establish a Central American Bank for Economic Integration with an authorized capitalization equivalent to $16 million to which each will make an initial contribution equivalent to $2 million.3 In addition to assisting in financing economic development, the Bank will provide technical assistance to prospective borrowers in the preparation and implementation of projects and may serve also as an intermediary in obtaining credits from other financial institutions. Membership in the Bank will be open to any other Central American country which enters into definite commitments to participate substantially in the economic integration of the region. Given the nature of the economies of the Central American countries and the historic links between them, the Government of the United States views with the greatest sympathy this effort toward Central American economic integration. It believes that this integration can make a significant contribution to the economic development of the region and to the steady improvement of the welfare of its people. Consequently, having examined the basis upon which it is planned to operate the institution in a sound and constructive manner, the U.S. Government is prepared to support the establishment of the Central American Bank for Economic Integration and to extend to such an institution financial assistance of $10 million. Of this sum, it is prepared to make available $7 million upon the satisfactory establishment of the Bank. The remaining $3 million will be made. available, subject to the appropriation of funds, in the next U.S. fiscal year. After this initial commitment the U.S. Government would be prepared to consider further assistance as appropriate to augment the Bank's resources provided the institution is progressing on a satisfactory basis. It is anticipated that success of the integration movement will enable private enterprise and institutions to assume a more active role in financing the economic development of the region. The satisfactory completion of the conversations between Central American and U.Š. officials is a testimony to the cooperation existing between their governments and to their trust in Central American economic integration as a means to achieve greater economic development within the framework of democratic institutions. 3 The agreement establishing the Central American Bank for Economic Inte gration was signed at Managua Dec. 13, 1960, by representatives of El Salvador, Guatemala, Honduras, and Nicaragua. The agreement entered into force May 8, 1961; text ibid., pp. 26–31. The initial grant to the bank was $2 million, extended by the ICA in accordance with an agreement signed at Washington June 21, 1961. See the Department of State Bulletin, July 10, 1961, pp. 83–84. |