Inter-American Bank 589/ % /40 BRITISH EMBASSY, WASHINGTON, D. C., February 20th, 1940 No. 181 My Lord, I With reference to iny despatch No. 1306 of 'j J / ยป" the 20th November, 1939 I have the honour to transmit to Your Lordship herewith copies of a draft Convention _ for the Establishment of an Inter-American Bank, _ a draft Charter and draft By-Laws for the Hank, which have been worked out during the past three months by the Inter-American Financial and "conomic Advisory Committee, created by the Panama Conference, The scheme has now been referred to the various governments who have been asked to indicate their acceptance of the Convention, or present their fundamental objections, by tfarch 15th, and it is even hoped to sign the definitive convention on April l*th - the fiftieth anniversary of the founding of the Pan-\merican Union. So far as the United states are concerned, however, the convention would require ratification by the Senate. 2. The Bank would be located in the United states, presumably in V/ashington or New York, and will have a capitalization of <. 100,000,000. shires will be valued at ..100,000. each. Governments participating in the bank must subscribe for a minimum number of shares, determined in proportion to the dollar value of the total foreign trade of the American republic^ during 193B, as follows: Costa Hica, Ecuador, Kl Salvador, Haiti, Honduras, Nicaragua and Paraguay - 5 shares; Dominican ^epubli*, Guatemala and Panama - 10 shares; Bolivia - 15 shares; Uruguay/ The Right Honourable The Viscount Halifax, K.G. , etc. , etc. , etc. GHSP:PRHM:AGBM;DH J -2- Uruguay - 20 shares; Peru - 25 shares; Chile, Colombia and Cuba - 30 shares; Mexico and Venezuela - 36 shares; Argentina, Brazil, and the United State8 - 50 shares. The bank will be set up as soon as five nations have agreed to subscribe for at least a total of 146 shares of stock of the bank. 3. I ara sending copies of the enclosed documents to all His Majesty's Representatives in Central and South America for their information. I have the honour to be, with the highest respect, My Lord, Your Lordship's most obedient, humble servant, (BOD) LOTHIAN