'NOTE ON PERSIA.' [‎202r] (1/4)

Confidential.
1887.
NOTE on p E K s I A.
statement some years ago,—to initiate reforms. But° there is only one
answer to this, viz., that no reforms will now keep Russia out of his
country, which matter is, after all, the one which principally concerns the
interests of Great Britain.
8 ' questions which appear to he immediately occupying the mind of
the Shah and his advisers are(1) The proposed railway in Southern
I ersia; ( 2 ) Ihe dispute between Persia and Afghanistan as to the district
of Hashtadan; (3) The settlement of the boundary, generally, between
Persia and Afghanistan, from Zulfikar southwards to Seistan, and (4) the
right to Bahrein in the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. .
4. As to the first question, it may briefly be said that the Foreign Office
(assisted by Colonel \Villiams,-R.E., of this Office and myself) have drawn up
a carefully prepared railway contract, of which the final draft was sent to
Mr. Nicolson on the 11th January 1887, with an intimation that, if accepted
by the 1 ersian Government, it was believed that responsible firms in this
country would be ready to take the matter up and bring it before the
public. I understand that the Foreign Office would give Baron Reuter a
share in the transaction, and that the Baron himself, in this case, might
perhaps be induced to drop his claims of past years on the Persian Govern
ment so far as regards Southern Persia and the British scheme. It must be
added, that I am not sanguine of the scheme being successfully launched on
the London market, even if approved by the Shah, without a guarantee of
some kind from the Imperial and Indian Governments.
5. In regard to the second question, I understand, from a telegram from
Mr. Nicolson to the Foreign Office of the 24th February 1887, that the
Government of India have offered to arbitrate between the Shah and the
Amir as to the Hashtadan district, and that the Shah has accepted
the offer. This perhaps is the best solution of a troublesome question,
although it is impossible to be hopeful of the Indian Government being able
to please two barbarians.
6. As to the third question, now raised in a letter from Malcom Khan to
the Foreign Office, I am of opinion that the present moment is an inexpedient
15327. I. dl7.