'File 11/1 VI Muscat Administration Reports and related correspondence' [‎6r] (11/56)

15.
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in the line deposits there. Upon further examination these proved
useless, and it seems that, ss in the ease of oil, the 3ultaa is doooed
i° thif >POi ? t er \* b** to find and exploit Mineral wealth
in this part of his territory
. *• ***• Kartley has eophasised with regard to Agriculture,
there is unlikely to be any real progress in the Sultanate until
detailed plans have been drawn up, and a tnm of money allooated for
e aoh purpose outside the ordinary budget. Of this there is little
siffn though at the close of the year the Sultan irtfioated to his
Foreign minister that, pleased with his Custoas n^oeipta, he was now
ready to consider some of the schemes for spending which they had in
im. /fortunately only seeing has cone to be believing in the
Sultanate, and people are apt to be sceptical of such pronounoenents.
10. Neither provincial nor townsfolk appear to take ouch interest
xti rid afi airs, and the happenings in the Far ftast, even the Korean
ar are seldom discussed by more than a handful of leading Merchants
and officials outside the uropean residents. The Merchants' attention
has been primarily focussed upon securing commodities likely to be In
short supply, and at the moment most shops are heavily over-stocked.
greement was reached between the Sultan and Cable d Wireless
Ltd. over the installation of an automatic telephone exchange serving
up to about ^00 numbers. The equipment has arrived, and the system
is expected to be in use early in 1951#
FINAMCh.
‘b 6 ->ultanat^ rrvtnue has continued to increase on account of
the two principal factors. Firstly the increased spending power of
the population as a whole due to the rise in prices of dates and fish,
which are the principal exports of the Sultanate, and which exceed
. J ***** ai eve p the increased imports • vis total exports £ 2,282,780
total inports £ 2, 176,353. Secondly, the continued differences
oe ^een todia and Pwkistan and the consequent trade barriers, which have
resulted lti yiu tl / increased imports of ^oods, especially oloth, from
india and a transit trade through Gwadur into J^fikistan.
^ ^ Sultan is no acre infoxwiativo about his finances, but
it has been fairly reliably estimated that the Revenue now exceeds
(£ 225 ^ 00) ^ that ^ expenditure is about
reoerre ?' PrtTwto and State, if these can be
diffv renti ated # oust have reached nearly *s 130 la)dis or £ 1,000,000.
14. ^ Sultanate can therefore be regarded as in a very sound
financial position in spite of any possibility of a sharp drop iTthe
£**TjV**£ ^ th * ±r to listen, and even with^t^il royalties,
by wldch Gulf Principalities have now oome to set so much store^there
5 iT ? n * kittle thought and foresight, a oo^>i4insive
development plan, to include both beneficient and profit making under
takings, should not be drawn up. But, as already stated therein no
sign of any such over-all planning, and nothing but rather ineffective
Piecemeal ideas ever seem to find favour. Sirwe the Sultan keeps
his finances secret even from his ministers, it is difficult for tSo to
hel uim ovem if he desired it. .4s it is he keeps a tight hold on the
purse strings, doling out to each d,partBient(irr5taoible\llocaUons
for the year. lyen the Customs department has )iad no replacement of
its motor whaler, which was holed over a year ago, and lies uselea-,
^the foreshore, and the Director General has to borrow a motor car
wnon He wishes to tour.