مجموعة ٣٠/ ٢٢٤ "ترتيبات العملة في المشيخات العربية في الخليج الفارسي." [ظ‎‎٣‎٣] (١٥٧/٧٤)

(VIII) It seems likely, therefore, that as far as Bahrein is
- 10 -
concerned, on present possibilities no very great increase in
income from oil is likely; that its income from royalties is
lively to stabilise around £ 300,000 to £400,000 per annum; and
that it will probably maintain a deserve Fund around £2 million.
As previously pointed out, this Fund is invested in Government of
India securities, jiven supposing that the Feaerve Bank of India
would give permission to the Bahrein Government for the sale of
these securities and so far they have ref used, the Bahrein
Government would want to be assured of an income comparable with
its present income if it consented to invest its fund elsewhere.
And It would want to be assured as to the safety of its capital
in any alt rnative investment. It would be quite happy to invest
in British Government securities although the Bahrein Government
,iay not be content with the Treasury Bill rate of interest.
As for a Middle East Corporation set up for purposes
mentioned in Bare. IV. above, or an international ank organisation
eot up i the . iddle .aet fOV similar purp04fMi ## r. elgraV4 9 -ho
has discussed the suggestion informally with the Shaikh of Bahrein,
believes that the Bahrein Government would agree to invest in
such a corporation only if the corporation or other organisation
had the support If not the guarantee of the British Government.
American participation in such a corporation, he asserts, would
be a matter of no moment to the Baurein Government.
(vui) MMIX
In 1948 the Sheikh of Kuwait received a royalty from •
the Kuwait Oil Company of Es. 3 ^nnas 4 - per ton on 6,291,577
tons. This royalty was paid in rupees and moat it lies vith
the Imperial Bank of Iran, Kuwait. $m 1^49 it ia estimated that
production will be 15 million tons which, at Ks. 3 Annas 4 per ton,
win produce a revenue of Re. 487^ lakha (or,£3*6 million). It
ia anticipeted ttji&t the royalty from the K.C.C. will aubstantit lly
Increase during the immediate years ahead. The Sheikh of Kuwait
has received U.S. jf 7i million from the A*aeriean Independent uil
Con^any for the dhelkh's thare of the coxiceesion rights in the
Neutral Bone. It is believed that this sum is substantially
intact on current account with the National City oank of ^ew fork.
New fork. Although there is not a Belgrave in Kuwait to advise
the Bheikh, conservatism in finance, as in Bahrein, is the present
order of the day. It is probably true to aay that the Bheikh
of Kuwait is much more too conservative with his finances. For
instance, drisiking water lias to be brought from Basra, but not
until quite recently has the bneikh agreed to Incur expenditure
on a water distillation plant in Kuwait. In many other directions
developments should have been undertaken loug ago.
(IX) 6. Such Budget figures as are available do not reveal
very much. It is doubtful if the figures provided reflect the
true position. There seems to be no plan of development
however rough except perhaps for street widening and new roads
in Kuwait. Progress ia hapazard and subject, like most other
things in Kuwait, to what is kno^n locally aa *the Kuwait factor.
The sheikh of Kuwait is very much under the influence of the
^ u> ait v il Company who edviae him in courses v^ry much in the
interests of the Company which may not be in toe general interests
01 the Sheikhdom. The Bheikk^e present and prospective income
iroax the X.O.C. and the potential income from development In the
eutral ioxie will render him one of the richest men in the Middle
it "The Kuwait factor” is a mixture of Cafard, Manana, boukra,
malesh, “could’t care less'*.