BURNHAM AND ECONOMIC NATIONALISM: FOR THE LAST SIX MONTHS OR SO, THE EMBASSY HAS REPORTED GROWING SIGNS OF ECONOMIC NATIONALISM IN GUYANA, INCLUDING SHARPLY INCREASED TAXES, INTERVENTION IN BUSINESS DECISIONS, DEMANDS FOR GOVERNMENT PARTICIPATION IN ECONOMIC ACTIVITIES AND INCREASED CONTROLS TO ASSURE THE PEOPLE "A BIGGER PIECE OF THE CAKE." THIS IS NOT A NEW DEPARTURE IN TERMS OF BURNHAM'S BASIC PHILOSOPHIES AND THOSE OF THE PARTY HE LEADS. IT CAN BE TRACED BACK TO THE ORIGINS OF THE PARTY. THE TREND HAS BEEN ACCELERATED, HOWEVER, SINCE THE IC WAS FREED OF THE CONSTRAINTS IMPOSED BY ITS NEED TO GOVERN IN COALITION WITH THE CONSERVATIVE UNITED FORCE UNTIL THE ELECTIONS IN DECEMBER 1968. BURNHAM HAS UNDOUBTEDLY READ AND REREAD THE ARUSHA DECLARATION. HIS MOUTH MUST WATER WHEN HE THINKS OF WHAT KAUNDA GETS OUT OF THE ZAMBIAN GOVERNMENT'S SHARE OF THE COPPER MINES. HE PROBABLY ADMIRES THE DECISION ANNOUNCED ON MAY 1 BY OBOTE TO ACQUIRE FOR THE GOVERNMENT OF UGANDA A 60 PERCENT SHARE IN THE PRIVATE COMPANIES ENGAGED IN MANUFACTURING, TRANSPORTATION, BANKING, COPPER MINING, "OTHER ECONOMIC ACTIVITIES", TO BE PAID FOR OUT OF FUTURE PROFITS. WHILE BURNHAM PROFESSES, SINCERELY WE BELIEVE, A DESIRE TO FIND A UNIQUELY GUYANESE FRAMEWORK WITHIN WHICH TO REACTIVATE THE ECONOMY OF THE COUNTRY, HE MOST CERTAINLY IS INFLUENCED BY THE EXAMPLES OF HIS AFRICAN BROTHERS. BURNHAM'S CHOSEN INSTRUMENT IS THE COOPERATIVE. THERE HAS BEEN MUCH RHETORIC, MOST OF IT MEANINGLESS, TO THE EFFECT THAT COOPERATIVES HAVE TRADITIONALLY BEEN GUYANESE AND THAT THEY THEREFORE PROVIDE A "GUYANESE SOLUTION".

Source: Telegram 557 From the Embassy in Guyana to the Department of State, May 28, 1970, 1615Z.11. Source: National Archives, Nixon Presidential Materials, NSC Files, Box 785, Country Files, Latin America, Guyana, Vol. 1. Secret.

TELEGRAM

Department of State
GEORGETOWN 557
R 281615Z MAY 70
FM AMEMBASSY GEORGETOWN
TO SECSTATE WASHDC 4521
GEORGETOWN 557

SUBJECT: WHITHER GUYANA UNDER BURNHAM: IMPLICATIONS FOR US.

Hail the United force for helping the CIA getting rid of the PPP Government. The PPP got the last laugh when Burnham nationalize the Sugar Industry and Bauxite Industry.