THE WORLD BANK GROUP ARCHIVES PUBLIC DISCLOSURE AUTHORIZED Folder Title: General Development Project - Norway - Loan 0115 - P037467 - Negotiations - Volume 2 Folder ID: 1705802 Project ID: P037467 Dates: 3/31/1955 – 4/19/1955 Fonds: Records of the Europe and Central Asia Regional Vice Presidency ISAD Reference Code: WB IBRD/IDA ECA Digitized: 7/19/2018 To cite materials from this archival folder, please follow the following format: [Descriptive name of item], [Folder Title], Folder ID [Folder ID], World Bank Group Archives, Washington, D.C., United States. The records in this folder were created or received by The World Bank in the course of its business. The records that were created by the staff of The World Bank are subject to the Bank’s copyright. Please refer to http://www.worldbank.org/terms-of-use-earchives for full copyright terms of use and disclaimers. THE WORLD BANK Washington, D.C. © International Bank for Reconstruction and Development / International Development Association or The World Bank 1818 H Street NW Washington DC 20433 Telephone: 202-473-1000 Internet: www.worldbank.org II -NQRWA.Y - Negotiations (l.l.~NO)- ~~ 1H1 11111111111111rm1rn mrn1111r ~~· 1705802 General Development Pr . Al 995-063 Other #· 4 DECLASSIFIED Negotiations - Volum e 2 o1ect- Norway- Loan 011.5 - P037467Box# _ 1709718 WITH RESTRICTIONS WBG Archives • s t • .. C 0 • p y April 15, 1955 Dear Mro Perouse: I refer to our discussion this afternoon about para­ graph 31 of the President's Report and RecOlllll.endations on the proposed loan of $25 million to the Kingdom of Norway. As I mentioned then, Mr. Brinch has stated that the use of the words "further assurances" might be taken as implying that the Norwegian Government has already given the assur­ ances r.eferred to, mch he denies. We all agreed this afternoon that the reference to "further assurances" was made as a quotation from Mr. Hoppenot•s memorandum to Mr. Black dated March 24, 1955 and that in ao doing the Bank did not endorse the meorandum or any particu­ lar implication that the words used in it might carry. I an sending a copy of this letter to Mr. Brinch. Yours sincere~, s.R. Cope Assistant Director of Operations Europe, Africa and Aua~ralisia Mro Maurice Perouse Alternate Executive Director for France International Bank for Reconstruction and Developnent Washington, n.c. CC: Mr. Christian Brinch SRCope:eed FO ,H-1 No. 59 (3 .49) CROSS REFERENCE SHEET COMMUNICATION: Letter Acknowledging letter. April 201 1955 DA TED: April 14, 1955 TO: Mro Vo Umbricht FROM: Swiss Bank Corporation, Basle - Dr. Tttrler SUMMARY: Acknowledging personal letter. Discusses Norway loan. FILED UNDER: Switzerland - General CROSS REFERENCE: Norway - Loan ll5 Negotiationso N~- \l~•a> • April 12., 1955 MEH>RANDUM OF THINGS TO BE DONE PROPOSED WAN TO KI GDOM OF NORWil / I. On the date of signature of Loan Agreement (April 19): • Six copies of Loan Agreement are to be signed for the Kingdom ot Norwq by • Brinch; for the Bank., by Mr. Black or Mr. Hoar. • The following documents are to be delivered to the Bank: l. Certificate of Mr. Nielsen., to which are attached copies of Storting resolution., royal resolution and order of the Ministry of Commerce. Note: Two copies of the certificate are in the Bank• possession., but • Brinch., pursuant to authorization, is to date the certificate the date of signature of the I.oan Agreement. 2. Opinion of the Minister of Justice. Note: Mr. Brinch has a signed but undated copy ot the opinion. He must have authori­ zation from the Minister of Justice to date the opinion the date of signature of the Loan .Agreement and to deliver it to the Bank. o. The Bank will deliver to the Kingdom of Norwa.y certified copies of resolution of the ard of Executiv Directors of the Bank authorizing signature of the Loan Agreement together with certi.fied copies of wan Regulations No. 3 dated February 15, 1955. I I . en the date or delivery of bonds of the public issue (April 26): / A. The authorized representative or the Kingdom must date and deliver to the Bank certificate signed by Mr. Brinch concerning the amount of the • unus d authorization remaining under Storting resolution adopted J'Wle 21, 1954. :tbt~: 01_that date t~ authorized representa~ive 0£ the Kingdom must receive a cable from Mr. Brinch substantiall,y as follows: "YOU ARE AUTHORIZED TO DATE MY· CERT.lli'ICATE UNUSED WAN AUTHORIZMIO AS OF CLC6ING DATE AND DELIVER COPIES TO INrBAF1W> AND UNDERWRITERS • rt Kingdom by letter signed by its authorized representative must notify the Bank: l . That the execution and delivecy or the Loan geement on be­ half oft~ Kin~<:J.om has been .duly _authorized or ratitied by all necessar.r governmental action. 2 . That the Kingdo has duly delivered and received pqment for the $15., 000., 000 aggreg ;te principal ount of' bonds of the public bond issue. Notes draft letter or notification has been handed to Mr. Brinch. c. When all the abov: action h been taken., th Bank will deliver to Harriman Ripley- Co ., Incorporated cow ot ~ cabled notification to the Ministry of C<:>mmerce in_~~o to the _e££ect that_the 25 ., 000., 000 loan be­ ( c~s effective on the closing date. A draft cable to the Kingdom and . draft letter to Harriman Ripley a.re attache~. : .Arrangements must be made so that the c le can b sent trom the office where the closing is hel D. letter concerning disbursements, signed on behalf' 0£ International ank., i .to be countersigned by the autmrized representative of the KingdODJ• co: • ·Brinch • Stevenson Mt-. Hoar • King ~ Patera n • DRAFr CAB STRY OF co~:MMBRC! S EVIDENCE FU IS UND S ECTIVE T , L A.s.o. DRAP'l - latter to be · delivered to Harrillan Ripley co., DlCOrpora1. Q. on closing date. Co . , orpor Yolic tl n: T h tod notified ~-Q turnished to it, by the K1ngdo ot rwq und r Section 9. OJ of' Lo • ) da ed ruary 15, 1955. Accordi Jy., t il 19., 19.55 do or rw d Int - tio ank for constructio A eopy o the Bank' cab:11' to this t.tect 1 attac d. incerely your , s. • ar Director of r tions Ewt"On,e., Af'ric and Austral ia nclo ure ' '--~~-k FOR M No . 58 ( 5- 48 ) INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT , .. - -- J OFFICE MEMORANDUM .. TO: FILES DATE: April 12, 1955 FROM: S. R. Cope SUBJECT: Loan to Norway - Use of Borrowed sterling Mr . Flett called me this morning to say that London had given a generally favorable reaction to the points I had raised with him earlier; namely, the absence of any reference to competitive bidding in the documents dealing with the loan and the use by the Bank of the remainder of its bor­ rowed sterling for the loan. As yet he had no final instructions, but he did not expect any difficulty. He added that London expressed the hope that we were not counting on coming back to the London market in the immediate future for a further sterling issue: if the question were raised, the Chancellor's answer might be different than it would have been had condi­ tions been the same as they were last year. I said that while, of course, we would want to come back to the London market sooner or later, I recog­ nized that the situation at the present time made a loan out of the question. -' cc: Mr. Hoar Mr. Riley , Mr. le j eune Mr. King April 12t 1955 rro sterling e ;ye ago Is ke to • l tt or our intention to se batant~ all our re ing borro aterlin for the <r gian loan. l sterday he called to aay that he bad ea.rd r Lo on to the effect that they bad no objections to our doin , but that v should not co\lDt on 1ng abl to e uother is t t e- nt t , e.e ket conditions were less faTOrable than they era last ye • I aai that while conditions might not propitious at th re nt nt in rlev of th increase 1n rate, should t to c th ket again t the irst con en1ent opportunit7. ect Mr. Iloar • le7 Mr. Lejeune SRCopeaeed • t • I • I al.80. the date ot t tor the bo ubllc issue 1n re ' loan. I t and to • t.e tor bia co • 11'. 70ura, • V?t!Jrsey/ p ill you ple :till in the :te 1ii the rand . attached and also g1 ve the .AIR MAIL April ll, 195.5 • Carsten elsen ,-&1 rwegian M1.nistry of Co re no. ansens pl. 4 o, rv ar • elsena I was delight d to learn th the opinion or t nister of Just.ice has b en d:tsp tcbed to Mr. Brinch. Th you tor I I torwm/icling the caw to • inc rely your , I I V?fbrser/rrDp I I ' INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (NOT FOR PUBLIC USE} FOR D CONFIDENTIAL EXECUTIVE R-870 WBGARCHI DIRECTORS' (For consideration by the MEETING Executive Directors on April 18, 1955.) FROM : The Acting Secretary April 8, 1955 PROPOSED LOAN TO THE KilJGOOM OF NORY!AY The proposed loan to the Kingdom of Norway will be considered at a Special Meeting of the Executive Directors at J:00 p. m. , Monday, April 18, 1955. There are ·attached: 1. President's Report and Recommendations 2. Draft Loan Agreement 3. Statutory Loan Committee Report 4. Current Economic Position and Prospects of Norway 5. Draft Resolution Attachments Distribution: Executive Directors and Alternates President Vice President Assistant to President Department Heads Sec.