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092984 1 (1971-06-08)

handle is hein.gao/gaobacwvz0001 and id is 1 raw text is: 






INTERNATIONAL DIVISION


UNITED STATES GENERAL ACCOUNTING OFFICE
         WASHINGTON, D.C. 20548
                         . a j 8  1


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                                                    LM092984



     3I  Otabr 1967  thoe aseny for      5dtemardi l Develeent (AIS)
 =e1    a arim tlt';1 eoctor loan to Cdle to hel2Qcalort its agria
 e zvier. deeQut prrext. The do of the 1         Y vas to  iake use
 9   c1=01 veoubves avalabe to the   ecr xtfle Citein,  fm   Chile
torkstan rselfhd-y mel eaue de2e  d neeatry   o C roviding arictd-
tural prodl~on z. eentives and for nm-ee eratnaj Arot.

     We ;evied perfot   d  under the 1oan to see net Mr th    elf-
hlw     te~p pwoaysed - Chile wnere  aoiden   I woe offoative. V o
2ao   theha! on the use of consodite Imprted idth lo-w Amtnds

     Woe rourA thatt

     ma s0elfho        mas    vre  not adartake

     *...ese oea  tadedwhen ut sewo   abamlived bea        hoiw
        stor  lowns   ere not mado

     ...ane of the rxttas the US   aked  for t M y not have
        bI  too well OuN     bOawnews ft wav weatainO4   wat
        their aeteot wadd  eA

     .'     ht           ofte   aedit4es. ifmpo4rted axler
        the sector loet had not been used Prowtlyt

     The effest of  h   t±ings on agre1t0tual pxit&tvut  enaot
be  aoured hecase there were evr    droughts z Chile durtin 1767
ad :68. It   is remonatle  to asale, howeverb that the loan did not
stidedlaea         inteena d Production m s hoped for and itMt
brwo Me   achievwth batter   per   mnue.

     Mawe   oz reint  deralopents in Chile$ we undertand that AID
he  no §lcrs a th.e troaiudet to a thornis  nwu a   ?rieulten  seetor
loans to Chfl,  She ca e of the 1owl and the altered U.S.-Chilem
relationsip led  u   to  onclude that a noul. purpose wisld not be
serd  %y isanin  a  dEI    report on our 1indiY0.  The fatal
4a s uvyon ' Lh S e b  sled our conclusions wil be  d) availble
to gau et lour requeot.

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