Created: 6/1/1964

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IbHll I



CENTRAL INTELLIGENCE AGENCY Office of Research and Reports


4 the countries of the Soviet Bloc* have made available to the less developed countries economic and military assistance totaling nearlyillion. The inadequate human resources in recipientrequired to absorb this aid. however, have necessitatedrogram of sizable technical assistance. This problem hnn been particularly acute in the Bloc's military assistance programs, where the manpower base of aid recipients has proved to be inadequate to supply, rief period of time, the personnel to command, operate, and maintain their newly augmented military establishments and to assimilate the rapid influx of modern and often complex Communist military equipment. The result haslow of large numbers of Bloc technicians to countries receiving economic and military aid and the dispatch of sizable numbers of personnel lo Bloc countries for training.

1- Scope of the Program

As lhc pace of implementation of the Bloc's programs has quickened, the number of such technicians in the less developed countries has grown with the increase in aid shipments. hereechnicians engaged in economic programs in the less developed countries;here. andore0 (see InaboutS technical personnel were employed in the lesscountries during the fiscal The Bloc has sentconomic technicians abroad since the inception of the program Moreover, aboutersonnel from the less developedhave received training at agricultural, industrial, and governmental facilities in Bloc countries during theseewithrainees who were brought to the US under the participant training program during the same period.**

The USSR and the Eastern European Communist countries.0 additional trainees received training in other countries with US aid funds.

loc military technicians and advisers, nearly all from the USSR, have trained indigenous forces in the less developed countries. 0 persons from these countries have undergone training at Bloc military installations, compared with more

military personnel Irom the leas developed countries wno havetraining in the US under the Mutual Security Program.*

a. Economic Technical Aid

Bloc economic technical assistance estimated0 million for technicians and training during the- is generally dispensed within the framework of major lines of credit extended fordevelopment projects and, for the most part, resembles theservices made available by Western private enterprise. Initial project surveys and studies, supervision of construction projects, on-the-job training, and, in some cases, management of the completed installa -tion for as muchear all constitute the technical aid rendered under these credits, ln recent years, however, there hasapid increase in technical assistance agreements not connected with specific economic aid projects. Bloc personnel employed under suchare generally engaged in managerial, educational, medical,planning, agricultural, and other activities.

The willingness of the Bloc to maintain such sizable technical assistance programs usually has no more sinister motiveesire to see its aid programs implemented as expeditiously as possible. Difficulties, delays, and inefficient use of equipment in the field, of fault, often tarnish the image and prestige of the donor. The Bloc countries have sought to avoid such an onus by providing the bulk of professional and technical skills required for their ownprojects and at the same time by teaching similar skills topersonnel for use on projects currently underway and on those yet to be undertaken.

The employment of large numbers of Bloc technicians, however, has been expensive and, for some recipient countries, haserious financial burden; 5 million has been expended for technical services. The foreign exchangef these outlays is drawn from the developmental credit and has accounted for aboutercent of actual expenditures under all Bloc economic credits. These

* Thirty-six thousand additional military personnel were trained in other countries with funds of the Mjtual Security Program. That is, the foreign exchange equivalent of the costs of importing technical services, repayment for which usually is made inof the recipient country.

costs tend to be high because the recipient country is held responsible for all costs connected with the employment of the visiting technicians. In addition to these charges the host country also is responsible forariety of domestic facilities and services, including free medical care and hospitalization for the technician and his family.

In general, the average total cost to an aid recipient for the services of one specialist is estimated ater year. on this basis, the cost to Afghanistan, for example, which has employed aboutloc technicians annually in recent years, totalsillion per year. Although the cost per person is somewhat higher than for Western European counterparts, it is substantially less than the cost of US personnel with comparable job specifications- The narrowness of functional specialization of Bloc technicians, however,arger number of such persons for any given project. US technical assistance, unlike that of the Bloc, is largely grant aid.

b. Military Technical Aid

In contrast to the Bloc's programs of economic technicalmost of the costs for military training in the Bloc and for the services of military technicians represents current expenditures. illion in long-term credits have been provided to cover the cost of Bloc military technical assistance, which has been estimated at more0 million during the.

The largest part of these programs, in terms of cost and personnel, consists of training military personnel from the lesscountries at Bloc military installations for periods rangingeeksears. Among the more significant programs has been the training of military personnel at such Soviet higher military schools as the Frunze Military Academy and the Military Academy of the General Staff. Through these military training programs, the Bloc has established important relationships with many middle-grade officers who in the future may hold key positions in their countries. This is particularly significant for those countries controlled by military hierarchies. Although more overt attempts at indoctrinating such trainees generally have been discontinued after official protests by the less developed countries, more subtle efforts in this activitycontinue.

All expenditures incurred during the training programs are borne by the recipient countries. Charges for various types ofrangeonth for programs involving primarilyinstructionor each flight hour of training on theet fighter. To these charges are added round-tripcosts, personal allowances, and expenditures for warm clothing. For example, the trainingaval personnel at Vladivostok foronths toverdloy-class light cruiser purchased from the USSR cost Indonesiaillion.

The costs, both in foreign exchange and in local currency, connected with the employment of Bloc military technicians are similar to those for the economic technicians. The average annual total cost of the scrvicos of ona military technician is estimated at. The most important functions of these technicians are to deliver, assemble, and maintain military equipment; train indigenous military personnel in tactics and in the operation and maintenance ofand serve as advisers to military officers in staff and line units. In the latter function, Soviet military officers have planned andreorganisations of specific military units, have commanded

tactical training exercises, and have suggested the types of military

equipment to be purchased.

2. Outlook for the Program

Available information in recent years indicates that the Bloc's technical assistance programs have brought something less thansuccess to donors and recipients alike. In nearly allreceiving their aid, the Bloc countries have encountered numerous obstacles to the rapid implementation of programs for economic and military aid. Although most of the obstacles cannot be attributed to Communist failings, the Bloc still bears the onus of any lackevelopment project. The contact that aid recipients have had with Bloc technicians and Communist societies through theprograms also has generated mixed feelings toward Blocand techniques. Personnel who have had training in Communist countries have registered numerous complaints concerning language difficulties, poor living conditions, severe security restrictions, indoctrination efforts, lack of contact with the populace, and racial problems.

In Spite of these difficulties these technical assistance programs may be expected to continue and to expand. The demands from the less developed countries for economic and military aid from allsources are likely to increase, and the Communists give every indication that they will continue to be an available source of such assistance. Although some countries have received Bloc military assistance for nearlyears, they remain plaguedhronic need for skilled personnel. The problem is likely to be compounded by the Bloc's willingness to provide increasingly complex military equipment. Moreover, similar requirements from new military aid recipients are likely to occur as countries seeking largeof arms will feel compelled to turn to the Communist countries for military assistance because there is no readily availablesource from which military equipment can be procured for the purposes and on the scale that these countries desire.

In the economic area, about two-thirds of the extensions of Bloc economic aid remain to be implemented. During theears the pace of project construction hasrend that willfor atore years. In addition, new economic aidare being concluded, and other sizable commitments probably are in the offing. Moreover, technical assistance agreements not connected with specific projects are likely to become more significant. Bloc economic planners have become painfully aware that in manyreater number of technical personnel must be trained and that additional technical services must be provided toaster rate of capital accumulation. Much of this mustonproject type of technical assistance. Aperiod of time will be required before the less developedthemselves can provide the bulk of professional and technical personnel to bridge the gap between their capabilities and their

Analyst: Coord:

Original document.

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