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1 THE WORLD BANK GROUP ARCHIVES PUBLIC DISCLOSURE AUTHORIZED Folder Title: Contacts with member countries: Chad - Correspondence 01 Folder ID: ISAD(G) Reference Code: WB IBRD/IDA 03 EXC S Series: Contacts - Member Countries files Sub-Fonds: Records of President Robert S. McNamara Fonds: Records of the Office of the President Digitized: June 28, 2013 To cite materials from this archival folder, please follow the following format: [Descriptive name of item], [Folder Title], Folder ID [Folder ID], ISAD(G) Reference Code [Reference Code], [Each Level Label as applicable], 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 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 Telephone: Internet: PUBLIC DISCLOSURE AUTHORIZED

2 1) :\Ii i!\ !\ ll!i!ii Ii \II ii II I 111 l\ II\ \ illl Arehives A Other # Contacts vvith member countries: Chad - Correspondence 01 DECLASSIFIED WBG Archives

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4 CHAD l~ 1./71 1/13/71 (Fort Lamy) 2. 1/14/71 (Fort Lamy) 3. " 4. " s. " Mr. McNamara's Impressions of President Francois Tombalbaye (courtesy) Working Meeting with Government Officials: Antoine Bangui, Minister of Coordination for the President Abdoulaye Lamana, Minister of Finance, Economy and Transportation Georges Diguimbaye, Minister of Planning:land Cooperation Michel Djidingar, Minister of Public Works, Posts and Telecommunicatk>IB Dikoa Garandi, Minister of Education and Culture Raymond Naimbaye, Minister of Agriculture and Animal Production Pierre Dessandre, Minister of Information and Tourism Assane Kolingar, Secretary-General of the Presidency J. Marcel Clamoungou, Administrative Director of the Pre.sident 's Cabinet Gaston Pallai, President of the Chamber of Commerce R. N'Gakoutou, Director of Planni : in the Ministry of Planning and Cooperation J. Deneufbourg, Adviser to the Ministry of Planning and Cooperation J. Gatermans, Adviser to the Ministry of Planning and Cooperation Waclaw Micuta, UNDP Representative President Faancois Tombalbaye Mouddour Zakara, Chairman of the 12th meeting of the Lake Chad Basin Commission (Minister of Finance, Niger) Ahmadou Carpenter, Executive Secretary, Lake Chad Basin Commission Others possibly met: Dr. Jacques Baroum, Minister of Foreign Affairs Mahamat Doub a Alifa, Minister of Interior Tourgoudi Ouchar, Presidential Delegate to the Youth Mahamat Hassan Dadjo, Minister of Water, Forest and Wildlife Mahamat Senoussi, Minister of Defense Joseph Brahim Seid, Minister of Justice Pierre Djime, Minister of Public Health and Social Affairs Moussa Maye, Minister of Saharan Affairs Ali Keke, Minister of Labor, Youth and Sports Marc Dounia, Delegate to Parliament Saleh Rahama, Minister of Civil Service Adberamane Haggar, Secretary of Agriculture and Animal Production Ali Salim, Secretary of Economy, Finance and Transportation Lazare Massibe, Chief U.N. Delegate and Ambassador to the U.S.

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7 - INTERNAT IONAL DEVELOPMEN T I INTERNATI ONAL BAN K FOR I I NTERNATIONAL FINANCE ASSOCIATION RECONSTRUCTION AND DEVELOPMEN T CORPORATION OFFICE MEMORANDUM TO: FROM: SUBJECT: Memorandum for the Record Papa. Nalla. Fall CJ/ Mr. McNamara's visit to Chad DATE: March 8, Mr. McNamara visited Chad on January 13-15, He was accompanied by Messrs. Roger Chaufournier, William Clark, Leif Christoffersen and Papa Nalla Fall. Mr. McNamara's travel schedule and a list of personalities with whom meetings were held are attached. Discussions were held with President Tombalbaye and with Government officials. Mr. McNamara also met with the Resident Representative of the United Nations Development Program and with the.chairman of the Lake Chad Basin Commission, accompanied by the Executive Secretary. Two main subjects were discussed with the Government: the security situation and the development strategy of the Government for the five forthcoming years in relation to the operations to be presented for Bank Group consideration. On January 14, 1971, a working party was held under the chairmanship of Mr. Antoine Bangui, Minister in Charge of Coordination, which was attended by several Ministers and other Government officials. Security Situation in Chad 2. Mr. Bangui said that the security situation in Chad is improving and that a settlement of the rebellion problem is not far off. He expressed hope that a solution would be found. His optimism was based on the recent progress in the negotiations between his Government and the leaders of the rebellion, despite some skirmishes. He informed Mr. McNamara that some leaders were in the country, for example the Derde, the spiritual leader of the Toubus from the North, who had taken refuge in Libya, and the leaders of the Moubis from the Eastern region, who were in jail in the CAR. Mr. Bangui further said that the settlement of the rebellion problem would help the Government reduce its military expenditures and free some resources for development expenditures. Budgetary Situation 3. Mr. Abdoulaye Lamana, Minister of Economy, Finance and Transport analyzed the budgetary situation and drew attention to the continued deficit. He said that since the balanced budget in 1965, a deficit of over CFAF 5.0 billion has accumulated. This deficit is mainly due to the increase of military expenditures which represented 22.5 percent of the total expenditures in 1969 and more than 30.0 percent in the 1970 budget. However, some measures are under way to improve the budgetary situation in Among these measures, an increase of the customs duties and consumption taxes are envisaged. In addition, the total current expenditures in 1971 will be kept at the same level as in Furthermore, the Government has decided to reduce the wages and the salaries of the members of the Cabinet, eliminate

8 - 2 - transport indemnities for civil servants and release more than 800 civil servants. Despite these measures, the 1971 budget is expected to show a deficit of about CFAF 800 million and will continue to need support of the Central Bank and the French Treasury. The Government objective is to have a balanced budget by For these reasons, the Chad Government will require financing of recurrent costs of projects which a.re now under consideration by foreign agencies in addition to financing of capital costs. Government's plan for the Future 5. Mr. Georges Diguimbaye, the Minister of Planning a.nd Cooperation, outlined briefly the general philosophy of the Government's plans. Other Ministers also expanded on this subject. Under UNDP financing, a. planning team is working on a new plan to be published by the end of This plan would emphasize agriculture production and the export of agricultural products such as cotton and livestock. Chad will continue to diversify its agriculture by further development of food crops such as rice, maize, groundnut and millet. This would help reduce food imports. Mr. Diguimbaye further stated that transportation is critical to increasing the production and exportation of agricultural products. The Chad Government is eagerly looking for alternative routes to the sea to reduce transport costs of Chad products. To complement the agricultural development, the Chad Government intends to implement some agro-industrial projects under the plan. These projects would be in the field of cotton, livestock, sugar cane and rice. Agriculture 6. Cotton. This most important cash crop of Chad represented 68 percent of total exports in It also provided a major source of Government revenue (10 percent) through the cotton export tax. It would, however, be difficult to keep Chad cotton competitive in the international market if it had to bear an export tax. Therefore, the Government has to continue the cotton price subsidy by the Cotton Price Stabilization Fund, mainly financed by FED. It is the intention of the Government to implement a cotton development program and request the financing from FED, FAC and the Bank Group. In the framework of the cotton development program, the Minister confirmed the Government's intention to transform Cotonfra.n, a. French cotton processing and marketing company, into a. mixed company with possible IFC participation. 7. Livestock. This is the most promising sector in Chad according to the Minister of Planning. Livestock is estimated at about 9 million head. Livestock development is, however, handicapped by a lack of veterinary services and inadequate organization of cattle breeding and marketing. Implementation of the livestock project, which will possibly be financed by the Bank Group, will permit the re-organization of the livestock sector through a Livestock Development Unit. The role of the Unit will also be to coordinate the livestock development program with the other programs in the framework of the Lake Chad Basin Commission. We have now received the ADL report on the Chad livestock development program, and a feasibility study of the CAR/Chad livestock distribution chain will be completed soon.

9 Rice. In order to reduce rice imports, the Chad Government intends to pursue its efforts at development of this food crop in the Sategui Deressia region and the Lake Chad Polders. The development would imply the control of the Logone river floods, and the Government would request consideration by the Bank of a project on flood control in the framework of the Sategui-Deressia irrigation project. 9. Sugar cane. Because Chad imports 20,000 tons of sugar, costing CFAF 1 billion, the Government intends to implement a sugar development program in the Southern region. The feasibility study of the program was carried out by Societe Industrielle et Agricola du Niari (SIAN), and its implementation would be jointly financed by the Government and SIAN, with possibly other lenders. Transportation 10. In the field of transportation, Chad's main problems remain in finding an alternative route to the sea. and to develop the internal road network, particularly in the Southern region. The road projects now under consideration are the Fort Lamy-Guelendeng-Fort Archambault road, branching off at Moundou towards the Cameroon railroad at N'Gaoundoure. Implementation of this project would imply important financing, and the Government intends to request Ba.nk group, FED, and FAC joint financing. 11. Chari River bridge. In order to have an access route towards the sea via the Nigerian railway at MaS:duguri, the Minister sa.id that the Government of Cha.d has requested the financing of a. two-lane bridge across the Chari river between Fort Lamy and Fort Foureau. The feasibility study of the Chari Bridge was financed by USAID in the framework of the Lake Cha.d Basin Cmmnission (LCBC); financing of the final feasibility and detailed engineering studies will be needed before presentation of the project for Bank Group consideration. The Government proposed to use the savings out of the Highway Maintenance Credit (125 CD) to finance the required studies. 12. Fort Lamy Airport. In connection with the transport problem in Chad, the Minister stated that the international airport at Fort Lamy needs to be relocated and the facilities improved because of the increasing air traffic. He said that FAC was ready to consider financing a feasibility study of a new airport. It is the Government's intention to request Bank Group financing for the construction of the new airport. Telecommunications 13. Concerning the telecommunications program, the Minister said that the Chad Government was now studying the modalities of establishing a new autonomous institution in charge of postal and telecommunications operations. A possible problem to be faced is one of management of the operations. In this connection the Government is prepared to request OPEX technical assistance from UNDP.

10 Education The Minister stated that since 1960, progress has been made in the field of education. He said, however, that much remains to be done in changing the curricula, adaptation of the programs to the social and economic needs, increasing the quality and quantity of primary school teachers, training in rural areas, and development of facilities and equipment. * * * * 15. Mr. McNamara replied by stating that he felt his visit to Chad was helpful because it gave him an occasion to have a better appreciation of the problems confronting the country. He noted with great interest that the Chad Government was implementing measures to solve the security and budgetary problems. Mr. McNamara said he was noting the Government's wishes for recurrent cost financing but he stressed the importance of improving the budget situation since external financing could only be a complement to the country's own efforts. He indicated that the question of local cost financing was going to be reviewed by the Executive Directors. 16. Mr. McNamara said that the Bank Group already had projects under consideration in the fields to which the Government attached high priority - transport, cotton development, livestock and education. Mr. Fall would be pursuing with the Government the specific requests mentioned at the meeting in order to obtain the necessary background information for the Bank to consider them. Attachment PNFall:jod

11 Attachment 1 _J a nuc~12..il _}_2]_~ H.N.rochmnn FINAL PROGH.N 1 Pl~ES1 J..El'!T OF THE HOHLD 1~/\NK GROUP IN THE TI.EPUHLTC OF CH AD (January 13-15, 1971) 18:15 Arrive Fort Lamy - Flight. RK :00 1_/ Couctcsy visit to President Fr an s;:oi~~ Tombalbayc ))j:!~~~ r and Verd ~!L1 f Y(~e. 10:00 13:00 15:00 15:30 16:00 17:30 20:00 lvj:ceting \vith Government officials under the cha irmanship of the. Hinister of Coordination J:../ Lunc:h free Meeting with Mr. MICUTA, U.N. Resident Reprcseutative Hceting with Mr. CL\f-\TENTF.R, Executive Secretary of the Conun ission of the Lake Chad Basin Visit of the c1.ty of Fort-Lamy Meeting between the~pres1dcnt of the Republic ~nd the President of the Horld Bank State dinner offered hy the President of the Republic 08:00 09:00 Leave Fort-Lamy (G overomcnt-arrane2d flight Arrive Garoua (C ameroon) 1/ This vi~i t might tal~e place at 19:30, if necessary Z.J Scpa rc~. tc prog1~am for Nrs. NcNa wra

12 Attachment 2 Fort 1 ait.w, Chad LIST OF GOVERNMENT OFFICIALS PARTICIPATING IN ~lorking January 11, 1971 NEETING Hessrs. Antoine Bangui Minister of Coordination for the President Abdoulaye Lamana Mini~ter of Finance, Economy and Transportation Georges Diguimbaye Michel Djidingar Dikoa Garandi Raymond Naimbaye Pierre Dessandre Assane Kolingar J. Marcel Clamoungou Gaston Pallai R. NtGakoutou J. Deneufbourg J. Gatermans Minister of Planning and Cooperati0n Minister of Public Works, Posts and Telecommunications Minister of Education and Culture Minister of Agriculture and Animal Production Minister of Information and Tourism Secretary-General of the Presidency of the Republic Administrative Director of the President's Cabinet President of the Chamber of Commerce Director of Planning in the Ministry of Planning and Cooperation Adviser to the Ministry of Planning and Cooperation Adviser to the Ministry of Planning and Cooperation

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14 INTERNATIONAL DEVELOPMENT I INTERNATIONAL BANK FOR I INTERNATIONAL FINANCE ASSOCIATION RECONSTRUCTION AND DEVELOPMENT CORPORATION OFFICE MEMORANDUM TO: Memorandum far the Record DATE: March 8, 1971 Roger Chaufournier j'z{ FROM: SUBJECT: Meeting with UNDP Resident Representative in Fort L~, Chad 1. The meeting with the UNDP Resident Representative Mr. Micuta, consisted in a description of UNDP activitieso Mr. Micuta was critical of the Bank's approach of concentrating on larger projectso What is needed in Chad, according to Mr. Micuta, was a number of smaller initiatives on as many fronts as possible at the same time. Mr. Micuta had the technicians available, there was no need far long studies, there was good knowledge of what was needed in the country; all that was needed was a small amount of money to allow the technicians to carry out their projects o Mr. Micuta mentioned a small reforestation scheme and an experiment for making bread out of millet as examples of the type of projects he had in mindo He left us with the impression that a great deal of money and a good ma~ technicians had been and continued to be employed in Chad under UNDP auspices with questionable impact on the countryts development. 2. Mr. Micuta referred briefzy to the security situation, minimizing the seriousness of it and expressing confidence that it could easily be brought under controlo RChaufournier:mb

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16 FROM: INTERNATIONAL DEVELOPMENT I INTERNATIONAL BANK FOR I INTERNATIONAL FINANCE ASSOCIATION RECONSTRUCTION AND DEVELOPMENT CORPORATION OFFICE MEMORANDUM TO: Memorandum for the Record DATE: March 9, 1971 Roger Chaufournie~ SUBJECT: Chad: Meeting of Mr. McNamara with President Tombalbaye 1. During his visit to Chad, Mr. McNamara met with President Tombalbaye on Thursday, January 14 at 5:30 p.m. The meeting lasted about an hour. Messrs. Chaufournier and Kochman were also present. \ 2. President Tombalbaye stressed the major problems confronting Chad, lack of education and training facilities and the land-locked position of the country with inadequate access to the outside world. The Chadian leaders were giving good examples trying to avoid unnecessary expenditure which a poor country could ill afford. Some progress was already being made in stimulating agricultural production such as cotton, but all these efforts would fail unless security was restored. 3. The insecure situation was in part an inheritance from colonial times. In the north, the colonial administration relied essentially on traditional tribal chiefs. There was little effort at education in the north. The south, on the other hand, had access to western civilization. While southerners were educated, northerners were not; some migrated and obtained their education in Arab countries. They came back after independance with different ideologies and a better knowledge of Arabic than those who were left behind. They found very little development in the north, while the south had progressed more rapidly with the rapid increase in cotton production. 4. President Tombalbaye said he was very familiar with ideologies, but he had chosen the ideology of Chad. He was not accepting any aid with ideological strings attached. He was criticized abroad for the presence of French troops in Chad. This was not an imposition by France but a free choice by Chad. President Tombalbaye himself had called in the French troops when the Chadian army, very small after independance could not face up to the rebels supported from abroad. Much progress had been made on the military front, and recently, on the diplomatic front as well. Seven rebel leaders with headquarters in R.C.A. had surrendered three days ago and were coming to Fort Lamy for talks. Good progress had also been made in talks with the Sudan and Libya. All in.all, the security situation should be under control by the end of This would have a favorable effect on the budget which was so heavily burdened by military expenditures; there would be no substantial reduction in expenditures before 1972 at the earliest however.

17 Mr. McNamara said he fully realized that the first duty of the Chief of State was to assure the security of the country, but like the President, he hoped that the security situation would improve rapidly and that any savings from the reduction in military expenditures would be used for development. He agreed with the Chadian Government that priorities should be given to.agriculture, including livestock, and to transport. He asked President Tombalbaye what prospects there were for closer integration of the economies of Africa. 6. President Tombalbaye replied that economic integration was indispensable. The elimination of customs barriers between the countries in the area was a necessity but there were serious problems given the difference in geographic location, size and economic power of the countries concerned. Among the neighboring countries, the dominance of Cameroon presented difficult problems. 7. Finally, President Tombalbaye commented on the importance of the role of OCAMM as a factor towards economic unity. OCAMM was the voice of reason and moderation in African economic and political matters in an area where imported ideologies had been a major cause of unrest. He dismissed the accusation directed against OCAMM as the instrument of the colonizer. He pointed out that countries members of OCAMM had taken differing positions on many international issues such as the recognition and support of Biafra, the admission of Communist China to the UN, vote on several UN resolutions. Despite these differences, OCAMM countries were united by a common approach to African problems based on dialogue, moderation and reason. 8. President Tombalbaye thanked Mr. McNamara for his visit, it was interpreted as manifestation of interest in the problems which not only Chad, but some other poor countries were facing. The Chadian Government in discussing their problems openly with Mr. McNamara were not pleading for any particular proposals, but were hoping that a discussion of their problems would help the Bank Group in assisting them more effectively. RChaufournier:sm:mo'h

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19 INTERNATIONAL DEVELOPMENT I INTERNATIONAL BANK FOR I INTERNATIONAL FINANCE ASSOCIATION RECONSTRUCTION AND DEVELOPMENT CORPORATION OFFICE MEMORANDUM TO: Memorandum for the R cord DATE: March 8, FROM: Papa Nalla Fall SUBJECT: Mr o McNamaraVs visit to Chad - Discussions with the re resentatives of the Lake Chad Basin Commission LCBC lo During Mro McNamarats visit to Chad, he was paid a courtesy call by Mro Zakara, Minister of Finance of Niger and Chairman of the 12th Meeting of LCBC, and Mr. Ahmadou Carpenter, Executive Secretar.y of LCBC. The purpose of the visit was to exchange views on the activities and operations carried out by LCBC in the region. 2. Mr. Zakara was pleased that Mr. McNamara was going to devote part of his time discussing LCBC operations. He said that, being a newly created regional organization, LCBC has not yet begun operations, but that several studies have alreaqy been carried out under its aegis with financing by international agencies. Among these studies are the transport survey in the Lake Chad Basin region composed of Niger, Nigeria, Cameroon and Chad; livestock, fishing, and telecommunications development programs. Transport Survey 3o Under USAID financing, a feasibility study of the transport s.ystem in the region was carried out by a UoS. consulting firm. It covers three roads: Bama-Maroua, Kaele-Bongor, and Fort Lamy-Maiduguri; the latter which is of interest to the Bank, may include a bridge across the Chari Rivero It is the intention of LCBC to support the request by the Cameroon and Chad Governments for Bank Group assistance for the construction of the bridge. Livestock Program 4. In this region, development of livestock is vital to economic development, but it faces many problems: lack of sanitary services, poor organization and exploitation, and lack of coordination between the various national programs to avoid useless competitiono He added that the Bank Group would be approached in due course to assist LCBC in the implementation of the Program. Fishing Program 5o It is the intention of LCBC to propose legislation for the free movement of fishermen from the four member countries on Lruce Chado The Executive Secretariat of LCBC is working on an agreement to be presented to the LCBC member countries.

20 2 Telecommunications Development Program 6. As a complement to the transport survey, a telecommunications development program is being studied under USAID financing. This program is aimed at linking the national telecommunications network. It would be implemented as soon as an agreement is reached between USAID and the LCBC member countries on the terms of financing. * * * 7. Mr. McNamara replied to the Chairman of LCBC by saying that he was pleased to see a newly created organization with such a heavy program. He further said that the Bank Group is prepared to consider close cooperation with LCBCo Attachments. PNFall:mb cl. and cc: Mr. Chaufournier