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Coll 6/91 'Saudi Arabia. Policy of H.M.G. Qn. of credits and guarantee of assistance to Ibn Saud.' [‎162r] (324/680)

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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Allotted to Financial Dspar’tment,
SECRET
7442.
jLg , c H E H O F T E L E & R A M.
Dated.
Received
Government of India, Finance Department, to
Secretary of State for India.
Simla, 18 o 30 hours, 26th May, 1941 0
03.45 hours, 27th May, 1941.
XXX
2455.
Tour telegram 5159 9th May. Payment for Saudi
Itodor special arrangements between Bank of England
Riyals. ^ ^ ^
and Reserve, Calten India Ltd. are allowed to remit matithly to
sterling cavertible into dollars to the extent of their
x^orts of oil and (? material)s from U.S.A., but rupees Indian silver coin also widely used in the Persian Gulf. obtained
from sales of petroleum products inported from Bahrain are only
percuitoea to be utilised in sterling area. Presumably Calten
Ltd. have surplus rupee balances not available (? for) convert
° d 1 ° 11 ?^ S , wh ^ ch Californi e- Arabia Standard Oil Co. now suggest
ey shoula rend to Saudi Arabian Government to meet cost of
non mg riyaJ.s. Possibly latter are endeavouring to use fluids
* J ?r J® ont b J looked ^ sterling area which is open to objection
from the exchange point of view and payment from these non
convertible rupee balances (? cannot) (corrupt group) regarded
as equivalent to payment in United States dollars fo- which w-
have quoted lower price but otherwise there is no objection.
Formal permission of exchange control would be necessary as
payment involves transfer to "non-resident" account but" as
mcney is to be immediately paid to us sanction would of course
be given.

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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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Coll 6/91 'Saudi Arabia. Policy of H.M.G. Qn. of credits and guarantee of assistance to Ibn Saud.' [‎162r] (324/680), British Library: India Office Records and Private Papers, IOR/L/PS/12/2163, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100046518047.0x00007f> [accessed 6 May 2024]

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