‘Seistan Persia & Seistan’ [‎121v] (247/617)

[ 24 ]
Imperial Bank of Persia to Foreign Office, March 21st, 1898.—« tele-
graphed to the chief manager of the bank in Tehran on the 20th instant,
requesting him to hold £50,000 at the disposal of the Government of Persia ”
These loan negotiations appear to have had their origin in the employment of the
Nasr-ul-Mulk in connection with the Persian Ministry of Finance. The Nasr-ul-Mulk, whom
Mr. Hardinge describes as “ the only man in Persia having the requisite education and ability
^ to reform the finances ”, was appointed Finance Minister in February last. In reporting this,
# x 0 Lord S^isbury, 5 o. 29 , dated the 12 th February Mr. Hardinge wrote* The Nasr-ul-Mulk S
■f*//: // r, w/liit'm ■ 1898. appointment has been received as an unmis-
/ takable sign of the intention of the present Government to execute reforms in the administra
tion ° The encouragement and assistance which he expects and should receive
from Her Majesty's Legation will doubtless act upon him as an incentive towards the
realisation of his scheme already prepared for the gradual reorganisation of the finances of
the country, which is sorely needed not only in Persian interests, but in the interests of all
foreign countries holding a commercial or political stake in the progress and development
of the resources of Persia.”
From letters f received to-day (10th May) from Mr. Hardinge, it appears that the Persian
'fnjraro . '^ 2 -/^/- f To Lord Salisbury, Nos. 24 and 26, dated the 27th Government made an attempt to evade their
n6, and 30th March 1898 (copies). undertaking in respect to the control of the
customs at Bushire and Kermanshah. The Sadr Azam gave way however, and agreed that
“ the receivers of the bank should encash all the duties and have also the right to see that they
are duly leived.” We may hear shortly what precisely has been arranged.
The revenue of Persia may, I understand, be set down at nearly £1,500,000, though fre
quently not much more than £1,000,000 has been actually collected. Of recent years there
have been recurring deficits of about £50,000 a year; but, on the other hand, the public debt is
apparently small.
20. To sum up, the observations which should perhaps be made might, I think, be
somewhat on the following lines :—
(i) Adhere generally to previous views regarding the importance of extending our
influence in Southern Persia; of developing Persian resources; and encouraging
British and British Indian trade.
(ii) Insist on the necessity of avoiding any entanglement which might drain our own
military strength.
(iii) Indicate, within limits, the extent to which expenditure might, as an experimental
measure, be undertaken from Indian revenues upon extending our influence and
protecting and encouraging our trade. Enquire to what extent Her Majesty's
Government would share in such expenditure. Offer remarks here as to the
points at which, subject to the opinion of the Tehran Legation, it might be well
to place Consular Agents. Mention that better rule on the Perso-Bahich border
should _ re-act beneficially on our side of the frontier and assist the Government
of India in adhering to the policy of not pushing out posts into Makran.
(iv) Notice the possible necessity, in some places at any rate, of givino- any newly
appointed Consular Officers reliable escorts. Advert to Sir Mortimer Durand ; s
scheme, but endorse his apprehensions of the risk of countermoves by Russia
Notice, on the other hand, that serious disorder in Persia might afford Russia
legitimate or plausible ground for interference.
(v) Refer to the great advantages which reform of the customs should bring.
I make no suggestion as to railway communications between Persia and India That seem*
iwfrf 1 T! ter ' A fir f 7 ' ^ then ? lh 1 tar y ai | thoritie s, and, secondly, for the Finance and Commerce
p tment As far as I can judge, political, and perhaps commercial, interests would for
the present at any rate, be sufficiently met by establishing a better system of Consular Agencies
m Persia, by reforming the customs and by improving communications between the Persian
coast and the inland provinces. If a new consular system is introduced and additional nffi
are appointed, it will probably be for consideration whether the extra men should be W C£ £t
^L^duaV 1 ^ interVa,S '
will rest with ttie Secretary of Sta'tem CouTOil'butfas Your Lordli^w'a'sfrf forTuT
‘‘HerM W f h ° Ut -w issued might s Wa reCt’
Her Majesty s Government ” being read for “ the Secretary of State in Council.” k '
schemes' oSsia “^a^rHn theplr^n Gulf 0 Now th^Te “l “11° r '“
port in the Far East, it seems^uite posset shl may,Teftr‘on': ^ket jelLY^
at least a coaling station in the Nearer East; and seeing what pressure ahTcan brin,. to 1 ®
turkey, apprehensions as to Koweit may not be baseless. Captain Douglas oAhe Intelbgence