File 488/1920 Pt 1 ‘Arabia:- General question of subsidies to Arab Rulers.’ [‎81r] (158/163)

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in Algeria, for example, we should have much difficulty in justifying our special position
in Arabia to the French.
A discussion on the subsidies to Ibn Saud and Hussein followed.
Mr. Garbett pointed out that Ibn Saud might be unwilling to receive subsidies
from Abdulla in the event of the latter becoming ruler of Mesopotamia. Such a subsidy
would, in fact, amount to blackmail on Ibn Sauds part. He agreed, however, that in
anv case it would be better if this subsidy took the form of a payment for services
rendered in keeping open the pilgrim routes. His demands would probably increase as
time went on.
Mr. Phillips enquired whether we should be responsible for the defence of Abdulla
or of Mesopotamia under the Peace Treaty.
^ , i •
/Major Young thought that this would probably be the case.
Mr. Carr asked whether Ibn Saud did not in actual fact use his subsidy for
warlike preparations against the Hedjaz. If this was the case, did it really tend to
peace to continue to pay it ?
Major Young suggested, in this connection, that Ibn Saud might be given to
understand that his subsidy was conditional on his not attacking the Hedjaz. He
observed that, under the Treaty, the Hedjaz would be independent, and that it would
be very dillicult for any' one Power to pay a direct subsidy to Hussein. Some form of
subsidy might possibly be paid by us in conjunction with other Powers interested
in the pilgrimage. This would perhaps ultimately take the form of a loan. It would,
in his opinion, be preferable for Arab rulers to receive assistance by being encouraged
to invest their money in British concerns rather than by being subsidised, but they
h;id little money available for this purpose. King Hussein could, however, in all
probability, raise money on his oil-bearing and mineral areas if he was guaranteed
from aggression by the people of Nejd.
Sir John Tilleij observed that Hussein’s subsidy would thus actually take the form
of a subsidy' to Ibn Saud to induce the latter not to attack the Hedjaz.
Mr. Phillips pointed out that Hussein might not appreciate this point of view,
and in any case it appeared that we had continued to pay Ibn Saud when he did attack
the Hedjaz. He doubted the deterrent effect of such a subsidy on Ibn Saud.
Mr. Garbett stated that 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. did not contemplate stopping Ibn Saud s
subsidy for the present. Recent reports indicated that Ibn Saud must have money ;
if not provided therewith there was a danger lest he might go and take it, which he
was well able to do. In spite of his power in this respect, Ibn Saud was anxious to
fall in with. His Majesty’s Government’s wishes, and he regarded the subsidy as the
outward sign of their favourable disposition towards him.
Mr. Montgomery said that the subsidy appeared to have been efficacious in
preventing Ibn Saud from attacking the Hedjaz up till now.
Mr. Garbett observed that it was agreed that it would be a very difficult matter to
stop all these payments at once, and that it was admittedly to the interests of the
Empire as a whole to keep the pilgrimage routes open. The only methods of doing this
were by subsidy, a blockade or a military campaign. He thought the subsidy was
probably the cheapest ot the three alternatives.
Major Young agreed, and instanced the case of the Imam of Sanaa, who had now
invaded the Aden Protectorate. It might eventually prove cheaper to induce him to
withdraw by payment of a subsidy than to evict him by military action.
Mr. Phillips observed that the Treasury were not yet convinced of the necessity
for the continuance of the subsidies.
The question of subsidy to the chiefs of the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. was briefly discussed.
Mr. Garbett said that 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. might possibly want the whole question of
the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. subsidies reconsidered, but that they did not at present contemplate
the withdrawal of the subsidy from Muscat or Bahrein. The question of the with
drawal of the lease of Bunder Shwaikh from the Bheikh of Kovveit and of thn-