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CURRENT
INTELLIGENCE
BULLETIN
2019/10/23 C03178380. 7838O//
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2 October 1956
Copy No.
DOCUMENT NO.
NO CHANGE IN CLASS. V<
CD DECLASSIFIED
CLASS. CHANGED TO: TS
NEXT REVIEW DATE: --
AUTH: HR 70-2
DATE14.9eat. REVIEWER:
OFFICE OF CURRENT INTELLIGENCE
CENTRAL INTELLIGENCE AGENCY
',/,4/3/ ff:A�'1.17) /://r; /..07A
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CONTENTS
1. USSR OFFERS EGYPT SUPPORT IN UN SECURITY COUNCIL
(page 3).
2. USSR AGREES TO DEVELOP EGYPT'S RAW MATERIALS
AND INDUSTRY page 5).
3. COMMUNIST CHINA'S SECOND FIVE-YEAR PLAN
(page 6).
4. EOKA DEMONSTRATES CONTINUED CAPABILITY FOR
TERRORISM (page 7).
2 Oct 56
* * * *
RAELI SITUATION
(page 8)
Current Intelligence Bulletin Page 2
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1. USSR OFFERS EGYPT SUPPORT IN UN
SECURITY COUNCIL
Soviet deputy foreign minister Zorin
has told the
Moscow that the West cannot hope for
formal Security Council support for
its proposals for "internationalization
association" since the Soviet Union "will
never give them that satisfaction,"
Zorin said that
it wouia De useiui to mow' tne Egyptian plan. He added
that Soviet delegate Sobolev at the UN had been instructed
to work closely with the Egyptian delegation and expressed
a desire for a reciprocal arrangement "in order to cope
quickly and easily with different tactics and maneuvers."
Zorin gave the
the impression that the USSR regretted that Egypt had not
appealed to the Security Council before the West did, "as
Moscow had advised!' He recommended that Cairo seek
support directly from Iran, in order to prevent the West
from "pretending Asian support," and from Yugoslavia,
whose "active moves would help Egypt's case!' As to the
rest of the members, Zorin stated that there was "not very
much hope."
Comment urther evidence of
Soviet intentions to veto any Western
attempts to win the Security Council's endorsement of the
18-nation plan for international control or of the users' as-
sociation. In addition to providing strong support for Egypt's
complaint of Anglo-French military economic pressures,
the Soviet delegate may press for Security Council approval
of Egypt's proposal for a 45-nation conference,
The British-French resolution on Suez,
as worded on 28 September for submission to the UN Security
Council, calls on Egypt to negotiate a settlement on the basis
2 Oct 56
Current Intelligence Bulletin Page 3
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of the 18-nation proposal which Nasr has previously re-
jected. The preamble of the resolution says "unilateral"
Egyptian nationalization of the canal has created "a situa-
tion which endangers freedom of navigation through the
canal" and characterizes Egyptian control as "arbitrary!'
Attempts will undoubtedly be made to make the terminology
of the resolution more conciliatory.
2 Oct 56
Current Intelligence Bulletin Page 4
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2. USSR AGREES TO DEVELOP EGYPT'S RAW MATERIALS
AND INDUSTRY
In talks with Soviet ambassador Kiselev,
the Ethiopian ambassador to Egypt learned
that the USSR and Egypt had signed an
agreement in September calling for Soviet
tance in developing Egypt's agriculture, indus-
try and mineral resources. The Soviet ambassador said that
the USSR presently did not plan to aid Egypt in constructing
the Aswan high dam, believing that the country's industrial
and mineral potential, which the Russians regard as substan-
tial, should be developed first. Egypt is to pay for the assist-
ance, but the USSR will "make available to Egypt facilities
for payment."
Comment The Egyptian government probably be-
lieves that by paying for the technical
assistance it will have control over the projects and the for-
eign personnel working on them.
2 Oct 56
Current Intelligence Bulletin Page 5
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3. COMMUNIST CHINA'S SECOND FIVE-YEAR PLAN
Communist China's Second Five-Year
Plan (1958-62), passed by the party
congress on 27 September, calls for
an increase in the total value of pro-
duction of 75 percent over the First
Five-Year Plan. Industry is to increase production by
100 percent and agriculture by 35 percent. Capital goods
are to increase from 38 to 40 percent of total industrial
production under the first plan to 50 percent under the new
plan.
In general the industrial goals, while
optimistic, are in line with present growth trends and ap-
pear feasible, granted the continuance of large-scale Soviet
aid. The agricultural goals, on the other hand, while far
more conservative than preliminary announcements, are
believed to be still omewhat in excess of probable achieve-
ment.
2 Oct 56
Current Intelligence Bulletin Page 6
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4. EOKA DEMONSTRATES CONTINUED CAPABILITY
FOR TERRORISM
�The recent series of "skillfully executed
exploits" by the Cypriot underground
EOKA is a discouraging setback to the
British authorities, the American consul
on Cyprus reports. The British had been fairly confident
that EOKA could not resume operations on such a scale af-
ter its abortive truce at the end of August.
The consul says EOKA still has men,
weapons and organization, and despite numerous witnesses
to many of the attacks, British authorities have obtained al-
most no pertinent information. Many captured terrorists
have escaped, and EOM has captured a number of weapons.
The consul concludes that, since the
basic emotion of most Greek- Cypriots is "liberation"from
British rule by any means, it is questionable that the British
can destroy EOICA's popular support.
2 Oct 56
Current Intelligence Bulletin Page 7
CONFIDENTIAL
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