American Private Investment Abroad

Archive Report

Calls for Greater Outflow of U.S. Capital

President on Need to Encourage Foreign Investment

President Eisenhower said in his State of the Union message, Feb. 2, that the foreign economic policy of the United States should include “doing whatever government properly can to encourage the flow of private American investment capital abroad.” He added that “This involves, as a serious and explicit purpose of our foreign policy, the encouragement of a hospitable climate for such investment in foreign nations.” It may involve also, though the President did not so specify, the provision of certain guarantees and positive incentives to cut risks and increase profit possibilities for American corporations and individuals exporting their capital.

A Senate resolution, offered Jan. 7 by Sen. Capehart, new Republican chairman of the ...

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