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Coll 6/91 'Saudi Arabia. Policy of H.M.G. Qn. of credits and guarantee of assistance to Ibn Saud.' [‎54r] (108/680)

The record is made up of 1 file (338 folios). It was created in 24 Oct 1939-1 Jan 1945. It was written in English. The original is part of the British Library: India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. Records and Private Papers Documents collected in a private capacity. .

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30 MAY 1944 .
FJL£ COPY
• r
I N W A R D T E LEG R AM SEQRET
5 r \ .
(if in any case the communication of” tfte contents
of this document to any psrson outside British or
U.-S* Government Service is authorised, it must be
paraphrased) o
Allotted to External Departm ent<»
Copies circulated^
CYPH E R TELEGRAM
From
Government of India? External Affairs Department
Secretary of State for India*
To
Dated New Delhi, 23*56 hours, 29th May, 1944*
Received 03*30 hours, 30th May, 1944*
IMPORTANT
7300, 25/5
106X
Your telegram No*10629 May oth* Financial Adviser for Saudi
Arabiao
2c 'We have considered matter vsry carefully and think that best
possible selection would be ZahiI Hussain now Financial Commissioner
Railways* Zshid Hussain is Sunni Muslim of Hanfi Persuasion and is
officer of highest integrity in whom we have great reliance and whom
we can ill spare* He is possessed of both Personality and experience
which should fit him to cover the field and is himself attracted by
offer subject to some clarification of matters discussed below*
3* (a) It is desirable to obtain some clear definition of
functions and powers for instance will these be related to budgetary
policy and administration on expenditure side only or will they cover
administration of revenues and customs* Will they also cover currency
and ways and means generally* Are functions to transcend pure
budgetary sphere and extend over economic life of country on analogy
of Millspaugh Mission in Persia* As regards powers will Financial
Adviser exercise his own powers will all orders issue in the
name of Finance Minister,
(b) Relations of Financial Adviser with King* It seems
necessary to define his position as clearly as possible vis-a-vis
Ministers and to give facilities for direct access to King when
necessary. If Financial Adviser is to be stationed in Mecca and
King is in Riyadh this would be difficult in post war conditions
without air transport,
(c) Relations with His Majesty’s Government, We presume
that it would be possible to arrange for access by Financial Adviser
to His Majesty’s Minister with knowledge of Finance Minister*
(d) To implement measures decided on Zahid Hussain feels it
may be necessary t© obtain additional personnel frbm India to form
nucleus of effective administrative machine and for this purpose he
might-have to return after some three months experience to choose
personnel* He would from outset require a stenographer and
competent interpreter since records would presumably have to be
imaintained in English and Arabic* Possibly Indian official who has
Iserved as Vice Consul in Jedda might be able to fill this post.

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Content

This file concerns British policy towards Saudi Arabia during the Second World War (the abbreviation 'Qn' in the title stands for 'Question'). The correspondence discusses the question of providing financial or material assistance to Ibn Saud [‘Abd al-‘Azīz bin ‘Abd al-Raḥmān bin Fayṣal Āl Sa‘ūd], as well as the United States' growing economic and strategic interests in Saudi Arabia.

The file features the following principal correspondents: His Majesty's Minister at Jedda (Sir Reader Bullard, Hugh Stonehewer Bird, and Stanley R Jordan successively); the Secretary of State for India (Leo Amery); the Viceroy of India (Archibald Percival Wavell); the Chancellor of the Exchequer (John Anderson); officials of the Foreign Office, the India Office The department of the British Government to which the Government of India reported between 1858 and 1947. The successor to the Court of Directors. , the Treasury, the Government of India's Finance and External Affairs Departments, and the United States Embassy in London.

Related matters of discussion include the following:

  • The idea (initially discussed in correspondence dating from 1939) of an alliance or a bloc of Arab states (chiefly comprised of Saudi Arabia and the Yemen), which would support the Allied cause.
  • The Italo-German reaction to Ibn Saud's refusal to receive German diplomat Dr Fritz Konrad Ferdinand Grobba, a decision that was applauded by the British.
  • Italian influence in the Middle East.
  • Anglo-French co-operation in the Middle East.
  • Details of the Saudi Government's finances (i.e. expenditure and revenue) during the early war years.
  • Arrangements for loans and payments from the British to the Saudi Government, as well as details of royalties and loans paid to the Saudi Government by the California Arabian Standard Oil Company (Casoc).
  • Proposals for an irrigation and agricultural mission to Saudi Arabia, headed by a United States agricultural expert.
  • Conversations between Ibn Saud and United States General Patrick Hurley during the latter's visit to Riyadh in May 1943.
  • The Government of India's decision in 1942 not to allow pilgrim ships to sail from India to Saudi Arabia, because of a risk of the ships being attacked.
  • Ibn Saud's requests in 1944 for the British Government to send to Saudi Arabia financial and military advisers, preferably Sunni Moslems [Muslims].
  • The proposed appointment of Ibn Saud's requested financial adviser, which is delayed and eventually abandoned, following the United States' suggestion that the position be given to a United States adviser, because of the United States' 'preponderant interest' in the Saudi economy.

The file includes two dividers which give a list of correspondence references contained in the file by year. These are placed at the back of the correspondence (folio 2).

Extent and format
1 file (338 folios)
Arrangement

The papers are arranged in approximate chronological order from the rear to the front of the file.

Physical characteristics

Foliation: the foliation sequence (used for referencing) commences at the inside front cover with 1, and terminates at the last folio with 339; these numbers are written in pencil, are circled, and are located in the top right corner of the recto The front of a sheet of paper or leaf, often abbreviated to 'r'. side of each folio. An additional foliation sequence is present in parallel between ff 262-286; these numbers are also written in pencil, but are not circled. A previous foliation sequence, which is also circled, has been superseded and therefore crossed out.

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English in Latin script
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Coll 6/91 'Saudi Arabia. Policy of H.M.G. Qn. of credits and guarantee of assistance to Ibn Saud.' [‎54r] (108/680), British Library: India Office Records and Private Papers, IOR/L/PS/12/2163, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100046518046.0x00006f> [accessed 10 May 2024]

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