OCR
XAs2e December 229 - page three = ideology, before the Party Congress, the proceeding themselves produced no such thinge In fact, the lack of a titoist ideology was painfull obvious to all the participants at the Congres. On the other hand, *ito himself seemed not to be overly worried by this Situation for reasons, which obviously have their roots in the first information of this dispatch. In the meantime, the struggle between Church and State Continues at least to a certain degree. The Yugoslav press has been recently very vocal in its attacks on the Catholic hierarchy over the question of the Church's ban on the State-sponsored association of priestse The press and Party members have furthermore continued in their campaign against Arbbishop Stepinac, especially since the latter has continued energetically to denounce every step of the government against religious freedom. But whilé thus the fight is very vocal, few practical steps are taken at the present time. t is here, as in other fundam ntal questions: a change in policy is under consiferatio and henee the regime is unwilling to take any definite steps which would commit it to one or another definite course of action. in the economic field, the difficulties at the present time are very grave indeed, Due to the tremendous industrialization, a first-class food crisis is developing in the country. The government tires to obviate to these difficulties by vast imports, but these in. turn endanger the balance of the country's foreign trade. Hence the Yugoslav government will have before the Spring to ask for increased forcign aid. This situation too,if skillfully handled by the Americans, can bring about a great revisiog of Yugoslav policies in the near future.