The International Communication Agency (ICA) was created in April 1978 to help facilitate relations between the United States and other nations. Its main function is to enrich the supplies of information among peoples in order to enhance understanding. An examination of the international context in which the ICA will operate reveals the urgent need for shared knowledge and understanding. The ICA will continue the information dissemination and exchange programs of its two predecessors, the United States Information Agency and the State Department's Bureau of Educational and Cultural Affairs. It will also have a number of new emphases, including one on the function of communication in foreign relations and a shift from the use of persuasion to that of dialogue in dealing with other nations. Among the problems faced by the ICA are the need to overcome the outdated and artificial distinctions between "information" and "culture," the need to develop a conceptual framework for its work, and the need to inform United States citizens about its work. (GW)