CENTRAL INTELLIGENCE BULLETIN
Document Type:
Collection:
Document Number (FOIA) /ESDN (CREST):
CIA-RDP79T00975A016900110001-2
Release Decision:
RIPPUB
Original Classification:
T
Document Page Count:
9
Document Creation Date:
December 14, 2016
Document Release Date:
June 6, 2003
Sequence Number:
1
Case Number:
Publication Date:
August 19, 1970
Content Type:
REPORT
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Approved For Release 2003/06/24: CIA-RDP79T00975A0169
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DIRECTORATE OF
INTELLIGENCE
Central Intelligence Bulletin
Secret
19 August 1970
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No. 0198/70
19 August 1970
Central Intelligence Bulletin
CONTENTS
East Germany - USSR: The two countries have agreed
to ncrease trade to $24 billion during 1971-75.
(Page 1)
USSR-Bolivia: Several recent economic agreements
have been signed in Moscow. (Page 2)
GGuuyannaa: Prime Minister Burnham has reaffirmed his
p to seek greater control of the economy.
(Page 3)
Communist China - Cambodia: Aid to Sihanouk
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Bolivia: Student election (Page 5)
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East Germany - USSR: The two countries--each
the other's principal trade partner--have agreed to
increase trade to $24 billion during 1971-75.
This represents a 55-percent increase over the
current five-year period. The East Germans report-
edly had been pushing for an even larger increase,
but probably will not be disappointed with the re-
spectable annual growth rate of more than ten percent.
This would not, however, prohibit a gradual increase
in the share of East Germany's trade with the indus-
trial west.
The agreement apparently represents some compro-
mises. Pankow's agreement to expand deliveries of
consumer goods apparently was a trade-off for Moscow's
acceptance of more machinery and equipment, including
electronics equipment that East Germany has been anx-
ious for the USSR to purchase. Machinery and equip-
ment deliveries will almost double during the coming
five-year period to about $11 billion.
For their part, the Germans apparently agreed to
provide the USSR with investment funds for the exploi-
tation of raw materials in the Soviet Union in ex-
change for promises of a considerable increase in the
volume of raw materials deliveries, particularly petro-
leum and natural gas. The Soviet Union has been press-
ing its European allies for investments for raw mate-
rial exploitation, which Moscow claims costs more than
sales of such materials earn.
19 Aug 70 Central Intelligence Bulletin
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USSR-Bolivia: Several recent agreements signed
in Moscow will open the way for expanded economic rela-
tions.
The USSR extended a $27.5-million credit to
Bolivia for the purchase of Soviet mining and metal-
lurgical machinery, according to an announcement by
the Bolivian Embassy in Moscow. The credit, the first
extended to Bolivia by Moscow, reportedly is to be re-
paid in hard currency over ten years at an annual
interest rate of three percent. In addition, the two
countries signed a trade agreement and a protocol that
provided for the establishment of trade representatives
in both capitals.
Arrangements also are being worked out for the
provision of Soviet technicians to assist in the de-
velopment of Bolivia's tin industry. This aid probably
is part of a wider program of technical exchanges en-
visaged under the scientific and technical cooperation
agreement signed earlier this year.
Bolivia already has begun to implement its first
commercial agreement with Moscow. Signed in June, it
calls for the export of 3,200 tons of Bolivian tin and
tin concentrates in 1970-71 for some $8 million in
hard currency. Another agreement for future deliveries
is expected to be reached in 1971.
19 Aug 70 Central Intelligence Bulletin
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Guyana: Prime Minister Burnham has reaffirmed
his plan to seek greater government control of the
economy.
On 15 August Burnham announced the government's
intent to begin negotiations with large Canadian-, and
US-owned companies. He made no immediate specific
demands, but said that his objective is to have the
government or local cooperatives acquire at least
51-percent control.
Bauxite is the largest export industry in Guyana,
accounting for nearly half of the country's export
earnings.
Burnham also announced that the recently estab-
lished External Trade Board--originally organized to
control imports only from Communist countries--will
actually control all imports. This will give the
government an efgective instrument for setting prices
on all imports.
19 Aug 70 Central Intelligence Bulletin 3
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NOTES
Communist China - Cambodia: The military aid
agreement signe i-n Pe ing on 7 August is meant
to underline continuing Chinese support for Sihan-
ouk's government-in-exile as well as to.enhance his
stature as a viable partner with Hanoi in the Indo-
china conflict. The announcement of the.signing
provided no. details, and there are no indications
that the military aid will amount to anything more
than small arms and ammunition to pro-Sihanouk
forces in Cambodia. The Chinese provided military
assistance to Sihanouk before he was overthrown,
and he has continued to receive financial and
material aid from them. The announcement, which
also contained the first public reference to a
loan agreement signed in May, does not signal any
change from Peking's policy of avoiding direct mil-
itary involvement in Indochina.
(continued)
19 Aug 70 Central Intelligence Bulletin 4
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Bolivia: Elections at the university in La
Paz have resulted in a victory for the extreme
leftist slate. Last month President Ovando agreed
to the elections as part of an agreement to end
the violent conflict between student factions.
Rightist students had ousted the leftist "revolu-
tionary council" and occupied the main university
building. Moderates on the commission appointed
to oversee the elections resigned before the vote
because the moderate faculty members, who were
expelled in April when leftists first seized con-
trol of the university, were not allowed to partic-
ipate in the elections. The exclusion of these
faculty members contributed to the leftist victory.
19 Aug 70 Central Intelligence Bulletin
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