CO129-595-8 United Nations Relief Rehabilitations Administration Supplies 10-5-1946 - 1-1-1947 — Page 6

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Mr_Mayle.

I see no objection on principle to following up the Treasury suggestion that Hong Kong should seek an UNRRA emergy relief programme, on re-payment terms. I do not know the merits of the case for doing so on supple grounds but presumably you will be in touch with Económic Division about this.

There may however be one snag. The Economic and Social Council of U.N. has recently set up a sub-commission on the reconstruction of devastated areas. It is meeting on the 29th of July. Its first task is European affairs,but the far east also comes within its terms of reference. I shall shortly be sending you further particulars. This sub-com- mission is not formally a sucessor to UNRRA but in practice its scope will be much the same. If Hong Kong becomes a cldent of UNRRA it will be difficult for HMG to take the line that the U.N sub- comission should have nothing to do with Hong Kong. The fiest requirements of the sub-commission is likely to be a lenghy report from each "devestated country" on its economic conditions and reconstruct- ion plans and requirements

We shall have to consider on its own merits our attitude about our Far Eastern territories in relation to the UN sub- commission; But I think you should be aware of these implications before committing yourself to the suggested UNRRA assistance.

G.S.B.

13th July