World Bank Group Archives Holdings

Subfonds - Records of President John J. McCloy

President Truman's l... President J. McCloy Corre... President J. McCloy Corre...

Identity area

Reference code

WB IBRD/IDA EXC-01

Title

Records of President John J. McCloy

Date(s)

  • 1947 - 1949 (Creation)

Level of description

Subfonds

Extent and medium

0.20 linear feet of textual records

Context area

Name of creator

Office of the President -- John J. McCloy (President, 1947 - 1949)

Biographical history

John Jay McCloy (1895-1989) was named president of the World Bank on February 28, 1947 and took office on March 17, 1947. McCloy's appointment followed a three month search for a successor to the Bank's first president, Eugene I. Meyer, who had resigned on December 4, 1946.

Prior to joining the Bank, McCloy spent twenty years practicing corporate law in New York and Europe. He also served as Assistant Secretary of War under Henry L. Stimson in the Roosevelt administration during World War II. By the time he was nominated as World Bank President, McCloy had a broad network of relationships in both business and government spheres.

McCloy entered the Bank during a time of great uncertainty for the organization. Internally, the issue of who would command executive authority - the Bank president or the executive directors - had yet to be resolved. Externally, the World Bank was viewed with skepticism by many. Impatience for lending operations to begin, uncertainty regarding Bank capital, and questions about leadership were some of the more common concerns expressed by government officials, Wall Street, and the media.

The issues of executive authority and the Bank's relationship with the United States government were largely resolved during the negotiation of McCloy's nomination. McCloy demanded resolution to the issue of executive authority as a condition of his acceptance of the position. His demands for executive authority were met and were reflected in a June 1947 report of the Board's Committee on Organization. The report stipulated that the Executive Directors were responsible for policy decisions but that recommendations for these decisions must come from Bank management. It also described how Bank operations were under the purview of the president and Bank staff; management would decide whether a loan application was to be pursued and would determine the framework for negotiations. Only after the completion of negotiations would the president submit a loan proposal to the Board for approval.

The relationship between the Bank president and the United States government was also resolved as a condition of McCloy's acceptance of the Bank's presidency. McCloy demanded that the Bank and the Office of the President not be subject to the dictates of the U.S. government and the American Executive Director. A related condition of McCloy's acceptance of the Bank presidency was that Eugene R. Black would be named the new Executive Director representing the United States.

While applications for lending had been received prior to his arrival, the signing of the first World Bank loan on May 7, 1947 didn't take place until after McCloy took office. The loan, for $250 million, was made to Credit National, a semipublic French corporation, for post-Second World War reconstruction. Policies related to interest rates, security requirements, and fund dispersal were established during the preparation and negotiation of this and other early loans.

The majority of Bank lending under McCloy was to European countries in support of their reconstruction following the War. However, McCloy foresaw and supported a quick transition to bilateral aid for reconstruction purposes, allowing the Bank to increase investment in the poorer and post-colonial countries of Latin America, Africa and Asia. The Bank's first development loan was made during McCloy's time in office. On March 25, 1948 Chile signed a loan agreement for $15 million to fund hydroelectric and agricultural development.

McCloy also presided over the Bank's first bond offering. The offering of $250 million took place in July of 1947. The offering was deemed a success, as it was substantially oversubscribed.

As the Bank was still a relatively small institution under McCloy's leadership, it maintained a simple organizational structure. Robert Garner, who had joined the Bank at the same time that McCloy was named Bank President, served as the lone Vice President throughout McCloy's tenure. Senior managers, including department directors, had regular and direct access to the President on an informal basis.

McCloy's resignation from the Bank was announced on May 18, 1949.

Archival history

The bulk of the records of the President's office from the period of John J. McCloy's service as President of the World Bank are with the McCloy papers in the Archives of Amherst College. Only a few files from his presidency remain at the World Bank.

Immediate source of acquisition or transfer

Transferred from the Office of the President.

Content and structure area

Scope and content

The records of President McCloy consist of incoming and outgoing correspondence between President McCloy, the U.S. Executive Director of the Bank, U.S. political leaders, U.S. public officials, and prominent business leaders. The correspondence address topics of Bank operations and lending.

Appraisal, destruction and scheduling

Accruals

Accruals are not expected.

System of arrangement

Conditions of access and use area

Conditions governing access

Records are subject to the World Bank Policy on Access to Information.

Conditions governing reproduction

Records are subject to the Copyright Policy of the World Bank Group.

Language of material

Script of material

Language and script notes

Physical characteristics and technical requirements

Finding aids

Allied materials area

Existence and location of originals

Existence and location of copies

Related units of description


  • See Records of General Vice Presidents and Managing Directors -- Robert L. Garner (WB IBRD/IDA MDS-01) for correspondence between President McCloy and Garner.


  • See Records of Office of External Relations (WB IBRD/IDA EXT) for copies of speeches made by President McCloy and records relating to other public appearances.


  • See Joint Bank/Fund Library collection on Presidents of the World Bank (WB IBRD/IDA PRES) for a file on President McCloy.


  • See Reference Collection on World Bank history (WB IBRD/IDA REF), which consist of duplicate copies of John J. McCloy papers from Amherst. The original John J. McCloy Papers are located in the Archives, Amherst College, Amherst, Massachusetts.

Related descriptions

Notes area

Alternative identifier(s)

Access points

Subject access points

Place access points

Description control area

Description identifier

Institution identifier

Rules and/or conventions used

Internal World Bank Group Archives rules based on ISAD(G).

Disclosure status

Level of detail

Dates of creation revision deletion

22 July 2015

Language(s)

Script(s)

Sources

Accession area