1948: The Marshall Plan

The Marshall Plan was an American aid programme to help the reconstruction of Europe after the Second World War in the years 1948 to 1952. In total, 16 countries took part in the European Recovery Program (REP), initiated on June 7, 1947 in a speech at Harvard University by then US Secretary of State and later Nobel Peace Prize winner, George C. Marshall. Following an order from Josef Stalin, the Soviet foreign minister Wjatscheslaw Molotov forbade the participation of Soviet satellite states. The Marshall Plan promoted the economic and political cooperation of West European states and strengthened Europe’s division in the Cold War. In total, money and goods worth about $13 billion were transferred to Europe. The value of the goods sold at the domestic price was paid into a special account (counterpart account) that turned foreign aid into reserves of domestic currency. Austria benefited to a disproportionally high degree due to its prominent geopolitical position, receiving $962 million in aid as an interest-free donation. The agreement with Austria was signed on July 2, 1948. On July 12, 1962, the counterpart funds were transferred into the revolving ERP fund and to the full right of disposition of the Republic of Austria. Currently, about 600 million Euros of ERP funds are invested annually in innovative economic and technology projects through the Austria Wirtschaftsservice. Since the year 2000, the Austrian Marshall Plan Foundation, which is also financed by ERP funds, has been promoting transatlantic knowledge transfer through, inter alia, the exchange of American and Austrian researchers and students.