VISNEWS filmed the signing at the Kubbah Palace, Cairo, Dec 27, of an agreement between Russia and the United Arab Republic by which Russia will supply GBP36 million in aid, (machinery, equipment, instruments and materials not available in the UAR, a number of the first stage of the Aswan Dam across the Nile. Vice-President Abdul Hakim Amer signed for the UAR and Mr. P. Nikitin, Deputy Director of Foreign Economic Affairs, for the USSR.

The GBP36 million Russian aid, which "shall be repaid by supplying local commodities to the Soviet Union", is roughly the estimated
total of foreign currency needed for the initial stages. In the first year of construction approach roads and preparatory works are scheduled for completion.

The belief that relations with the West are entering a new phase is strengthened by President Nasser's public attack on Syrian Communism during his 'Victory Day' parade in Port Said Dec 23 less than 24 hours after an agreement with Russia had been signed to establish new industries and airfields and four days before the
GBP36 million Aswan Dam loan. Besides West German overtures about the High Dam, there has been a new agreement with USA enabling Egypt to buy wheat and flour for Egyptian pounds. This is the first American missions and projects in Egypt. In addition the American C.A.R.E. programme - stopped 1956 during the Suez Crisis - is now operating again in Egypt, distributing dried milk and flour.

President Nasser announced that after the Aswan Dam had been built Egypt would undertake to make a valley in the Western desert as fertile as the Nile Valley.