Imelda has practically shocked Pres. [Richard] Nixon and [Henry] Kissinger into doing something for the Philippines by informing them in candid words that the Philippines will be lost to the U.S. if she does not help. So now the White House is in a state of agitation looking for a crash program to help the country.
She told me these over long distance at 5:30 PM and she is due to meet with the Senate and House leaders today.
Official Gazette for September 23, 1970: President Marcos joined ECAFE and the UNIDO in recognizing the limitations of foreign aid and the ever-increasing importance of private investment in assisting the economic growth in developing countries.
The President made the statement in his address at the opening ceremonies of the ECAFE/UNIDO meeting to promote specific projects in Asian countries. The week-long meeting started in the morning at the Manila Hilton Coral Ballroom. Expanding on this statement, the President noted that both developed and developing countries are becoming gradually disenchanted over the efficacy and efficiency of foreign aid. This disenchantment has been clearly reflected on the flows of foreign aid in the past few years.
The President also proposed that investors from developed countries gear industrial enterprise to regional markets rather than to markets confined to one country.
Returning to Malacañang, the President settled down to his usual schedule of desk work, and in-between received visitors. One of the bigger groups to see him was that of the special committee named to take charge of the observance of Aviation Week. Members of the committee who called were CAA Administrator Federico Ablan, chairman; J. J. Wolahan and Cesar A. Mijares, vice chairmen, Francis Ablan, secretary-general; Col. Henry Meider and Epifanio Reymundo, coordinators; and Enrique Davila, Miguel Campos, Enrique Zobel and Sebastian Ugarte, in charge of operations, finance, social affairs and publicity, respectively.
Among other callers at Malacañang were Sen. Dominador R. Aytona, Reps. Rodolfo Albano of Isabela, Felipe Almazan of Kalinga Apayao, Emerito Calderon of Cebu, Jose Puyat of Surigao del Sur, and Amando Cope of Albay. The President received these solons separately. They consulted him on problems affecting their constituencies.
The President also sent a message to Ratu Sir Kamisese Mara, chief minister of the newly independent state of Fiji, welcoming the new state into the family of free nations. Fiji, a British colony for many years, was set for proclamation as an independent state on October 10, 1970. In extending recognition to the new state, President Marcos restated his country’s policy of fostering friendly relations with its neighbors in Asia and the Pacific. The full text of the President’s message follows:
The Republic of the Philippines is happy to welcome into the family of free nations the newly independent state of Fiji. On behalf of the people and government of the Philippines I extend to your excellency my best wishes for the well-being, happiness and prosperity of your country and people, and express the hope that relations between our two countries will be characterized by the utmost cordiality and amity.
According to the President’s Daily Diary, Nixon and Kissinger met with Mrs. Marcos on September 22 from 12:42 p.m. to 1:14 p.m. No other record of the meeting has been found. (National Archives, Nixon Presidential Materials, White House Central Files)
Kissinger keeps saying that she is very articulate and talented as well as keen sighted woman. Of course the questions were asked as to why these pieces of information have never reached them.
She compared the help extended to Vietnam, Indonesia and Japan
While no record of the meeting between Mrs. Marcos and President Nixon are available online, the message delivered could have been the same as that noted in her meeting with the Director of the Central Intelligence Agency who was instructed by Nixon to meet with her. Foreign Relations of the U,S,, 1969-1976, Vol XX, Southeast Asia, 1969-72 p. 482ff Memorandum of Conversation as follows:
The Director met with Madam Marcos for thirty-five minutes in the evening on 22 September 1970 at her suite in the Hotel Madison. Mr. James Rafferty, Special Assistant to the United States Ambassador in the Philippines, The Honorable Henry A. Byroade, made the introductions and then withdrew.
Madam Marcos began her presentation by drawing attention to the forthcoming 10 November 1970 elections for delegates to a constitutional convention in the Philippines, planned for June–July 1971. She said socialist movements sponsored by certain lay and clerical elements in the Catholic Church, particularly the Jesuits, and some Communist fronts are planning to contest administration candidates in the election. She believes that the Marcos Administration could lose the election by default unless a crash program is organized to help it win. She noted that the Church has already picked candidates, either priests or lay persons, for each election district. Should these groups succeed in achieving their objectives, it would change the form of government in the Philippines to Socialism or Communism, with only a few people realizing what the real consequences would be. She underscored her view that Philippine democracy is viable but will not survive unless the United States helps the Marcos Administration through this difficult period.
She said the Philippines is a child of the U.S. and illustrated this point by describing Vietnam as a French baby, Malaysia as an English baby, and Thailand as everybody’s baby. She observed that in Asia one’s creditability is not measured by how one treats a friend, but how one [Page 483]treats his children. She is of the opinion that the United States needs a victory in Asia to maintain its stature there. A victory in Vietnam would be negative, she said, because a U.S. victory in Vietnam is expected, but a victory for those who have and continue to advocate democracy in the Philippines would be a positive one. She pointed out the richness of Philippines national resources, the high literacy rate (85%), and the cosmopolitan make-up of the population, reiterating that something must be done between now and November 1971 to help President Marcos.
She revealed that her husband is personally directing the current campaign against pro-Communist guerrilla bands in Central Luzon, commonly referred to as HUKS, and reminded her listeners of his recent successes. Madam Marcos also noted the President’s efforts to meet his foreign financial obligation in order to maintain a creditable international image, but observed that when high interest and principal payments are made, little is left for internal improvement. She called attention to the political and financial pressures on President Marcos and described him as being squeezed and pushed into a corner by his detractors. She described candidates of the socialist fronts led by the Christian Socialist Movement (CSM) headed by ex-Senator Manglapus and the Communists as articulate and clever. She believes these anti-Marcos forces might succeed in their plan to control the constitutional convention. In this event, she said, the President would become a “strong man” because he has no intention of being pushed out by the CSM or the Communists. She has been told that the CSM is being supported by the Adenauer Foundation in West Germany and has sources of succor in England. She also directed attention to Father Ortega who recently resigned as head of Ateneo University in Manila to stand as a candidate for the constitutional convention under the CSM banner. Father Ortega is now in New York soliciting support for the CSM. She disclosed that her visit with Pope Paul VI, while en route to Washington, was not for the purpose of piety but to persuade him to make his visit to the Philippines in the third week of November, which would be after the election, to prevent the Catholic Church in the Philippines from using his visit to further its political ambitions. She said the Pope suggested prayer as a possible answer but he also agreed to delay his visit.
And casually informed them that if we cannot get any help from the U.S. then we would go to Moscow and Peking. And he (Pres. Nixon) will be known in history as the man who lost the Philippines and Asia.
After listening to Madam Marcos suggest that the U.S. sometimes helps enemies but forgets friends, i.e., help Germany and Japan but forget the Philippines, Mr. Helms asked what was meant by a crash program. She replied:
a. A rural electrification program for the Philippines costing between 300 and 500 million dollars over a ten to twenty year period, announced by President Nixon as soon as possible in order to achieve high political impact. She said it would be understood that the full [Page 484]amount would be stretched out over a long period of time but she also emphasized that the announcement would have to include the full amount in order to assure maximum political gain.
b. A side sum of money for support of some of Marcos’ candidates at the barrio level.
c. Support for a better exchange rate between the peso and the dollar.
d. Birth control and family planning programs.
Madam Marcos said Dr. Hannah of AID, who is now in the Philippines, promised 30 million dollars in aid, presumably for the rural electrification program. She thinks the Asian Development Bank might provide 30 to 50 million dollars and the World Bank another 50 million dollars; some of this latter money would be for birth control and family planning. In response to Mr. Helms’ request for other possibilities, she suggested short-term bank loans and other short-term international credit be extended to long-term loans to ease the pressure of large interest payments. Presumably the money saved would be used for political purposes. She also suggested some consideration be given to manipulating the sugar industry, noting that the sugar barons are giving money to Communists to win their support. Mr. Helms said that he would see President Nixon in the morning on 23 September and would at that time discuss Madam Marcos’ helpful and eloquent conversation.
Madam Marcos then said funding the election at the barrio level would mean 4,000 pesos for 35,000 barrios and also asked for more arms and helicopters to enable President Marcos to capture a fourth HUK leader, Commander Dante. She praised the Rockefeller and Ford foundations who, she said, maintained the U.S. image in the Philippines by developing the IR–8 miracle rice.
Mr. Helms again said he would discuss the matter with President Nixon.2 Madam Marcos noted that she might leave Washington on Thursday but was prepared to stay for as long a time as it was necessary to acquire support for her husband. Mr. Helms suggested that it would be proper for the response to her request to come from the White House. Madam Marcos ended the conversation by yet another appeal to “back her and support President Marcos and democracy in the Philippines.”
In the morning of 23 September, Mr. Rafferty called the Agency and said that Madam Marcos talked with President Marcos after Mr. Helms departed. President Marcos reportedly said to her that what is [Page 485]needed is a 300 million dollar stabilizing fund for the peso.3 President Marcos also said that the 300 million dollars need never leave the United States but would be used to backstop the peso free exchange rate, which, said Rafferty, is in a precarious position. Rafferty had no other commentary to offer as an explanation or clarification, but said that he was merely noting this conversation between Madam Marcos and her husband.On October 6, 1970 the [secret] 40 Committee [that reviews all U.S. covert operations in foreign countries] met, and among other things, discussed the visit of Mrs. Marcos. Foreign Relations of the United States, 1969-1976, Vol. XX, Southeast Asia, 1969-1972, p.489ff Memorandum for the Record by Peter Jessup as follows:
2. Philippines
a. The Chairman [Henry Kissinger] reviewed the recent visit of First Lady of the Philippines Imelda Marcos and the web she tried to weave around Washington while here. She had expressed herself to higher authority and Mr. Helms as well as others, throwing curve balls around a leftist threat to the Constitutional Convention, the need for a huge balance of payments loan, high impact projects, i.e. rural electrification and support for her husband’s political campaign. As a result, four questions had been passed to Ambassador Byroade in Manila. He had replied with a 10-page cable on 30 September 1970.
Spoke before the UNIDO [United Nations Industrial Development Organization]-Ecafe [Economic Commission for Asia and the Far East] sponsored conference that would bring the investors of developed and developing nations together.
Then met with Sec. Gen. U Nyun on the balance of payments scheme for Asia and the regional foreign exchange reserve plan.
Bongbong wrote me on my birthday sending greetings—“HAPPY BIRTHDAY”—“So now you can vote. Who is your candidate. Mine is Racuyal!” ([Pascual] Racuyal is the perennial candidate suspected of insanity). “Saw the cinema (How British can I get) The Battle of Britain.” “The dogfights were groovy.”
He speaks or writes effusively of the new British Harrier VTOL Vertical Take Off [and Landing] that does not need a runway and may revolutionize aircraft carriers and combat planes in general.
He sounds happy—“you can see I am enjoying missing you” and ends with “Cheerio Old Chap.” As Imee says, “he is too much!”
b. The Ambassador’s assessment did not support the First Lady’s scare talk. The Byroade analysis was that Marcos was in full control at this time.
c. It was also noted that Marcos was allegedly angered by his wife’s freewheeling; none of this had come directly from him and she might be launching personal political ambitions.
d. Mr. Johnson, Mr. Mitchell, Mr. Helms, and Mr. Packard generally agreed with the [Page 490] Byroade assessment. Mr. Kissinger pointed out that higher authority was sensitive on matters like this and did not want to be told everything was all right only to awaken months later to find the bottom dropping out. Mr. Helms said the basic question was: Do we want at this time to earmark funds for covert support of Marcos candidates at a time when President Marcos—no neophyte at feeding at our trough—had not yet asked for a peso.
e. Mr. Nelson pointed out that there were 2400 candidates for about 130 seats and that current information was that the party in power had more than a 50% leverage, the opposition no more than 25%.
f. [less than 1 line of source text not declassified] Manila was directed to make an independent assessment (considering the worst that could occur) in as much detail as possible and have it ready for next week’s meetings. [1 line of source text not declassified]