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Coll 6/91 'Saudi Arabia. Policy of H.M.G. Qn. of credits and guarantee of assistance to Ibn Saud.' [70r] (140/680)
The record is made up of 1 file (338 folios). It was created in 24 Oct 1939-1 Jan 1945. It was written in English. The original is part of the British Library: 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. Records and Private Papers Documents collected in a private capacity. .
Transcription
This transcription is created automatically. It may contain errors.
Saudi Arabia.
Sir M. Peterson said that we were anxious to correlate our efforts with those
of the American Government. It seemed particularly important, both from the
British and the American point of view, that this should be done in financial
questions if the present confusion was to be remedied. He outlined our strong
political and economic interest in Saudi Arabia, in view of its strategic position,
trade with India, the pilgrimage, Ibn Sand’s position among the Arabs and in the
Moslem world generally, &c.
Sir M. Peterson said that we freely recognised that the Americans had an
important and growing interest in the oil industry. He recalled that in a recent
telegram President Roosevelt had told Mr. Churchill that there was a fear in
some quarters that we were trying to “ horn in.” He could assure Mr. Wallace
Murray that we had a completely clear conscience in this respect. He had
personally told the Saudi Arabian princes when they were here that we recognised
the American interest in oil and that they should go ahead and do business with
the Americans in that respect.
Mr. Wallace Murray said that there had never been any misapprehension
in the State Department so far as the v horning in suggestion was concerned.
The American interest in Saudi Arabian oil was similar to our strategic and naval
interest in Persian oil, and he could say for his part that the American Govern
ment had no intention of “horning in” on that. He thought that the
apprehensions had sprung up from the growing concern in the United States over
possible oil shortage, which had necessarily had many political repercussions,
particularly in election year.
Mr. Wallace Murray repeated that Saudi Arabia was of great economic
interest and importance to the United States, who certainly intended to develop
the oil industry there. Certainly, the two countries were destined to have a
closer relationship than ever before. Relations were so far very friendly. He
added that the princes had had no discussions whatever regarding oil during their
visit to the United States.
Saudi A rabian Finance.
Mr. Pinsent then outlined briefly the financial problem in Saudi Arabia. He
explained that His Majesty’s Government had so far been providing—
(1) The cost of Saudi Arabian diplomatic missions (this was a small item);
(2) Goods ordered through the United Kingdom Commercial Corporation]
Gellatly Hankey, &c., as approved by the Middle East Supply
Centre; and
(3) Silver and gold coin.
The United States had also provided 15 million silver rials on Lease-Lend and
we had recently heard that they were considering whether to provide an extra
About this item
- Content
This file concerns British policy towards Saudi Arabia during the Second World War (the abbreviation 'Qn' in the title stands for 'Question'). The correspondence discusses the question of providing financial or material assistance to Ibn Saud [‘Abd al-‘Azīz bin ‘Abd al-Raḥmān bin Fayṣal Āl Sa‘ūd], as well as the United States' growing economic and strategic interests in Saudi Arabia.
The file features the following principal correspondents: His Majesty's Minister at Jedda (Sir Reader Bullard, Hugh Stonehewer Bird, and Stanley R Jordan successively); the Secretary of State for India (Leo Amery); the Viceroy of India (Archibald Percival Wavell); the Chancellor of the Exchequer (John Anderson); officials of the Foreign Office, 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. , the Treasury, the Government of India's Finance and External Affairs Departments, and the United States Embassy in London.
Related matters of discussion include the following:
- The idea (initially discussed in correspondence dating from 1939) of an alliance or a bloc of Arab states (chiefly comprised of Saudi Arabia and the Yemen), which would support the Allied cause.
- The Italo-German reaction to Ibn Saud's refusal to receive German diplomat Dr Fritz Konrad Ferdinand Grobba, a decision that was applauded by the British.
- Italian influence in the Middle East.
- Anglo-French co-operation in the Middle East.
- Details of the Saudi Government's finances (i.e. expenditure and revenue) during the early war years.
- Arrangements for loans and payments from the British to the Saudi Government, as well as details of royalties and loans paid to the Saudi Government by the California Arabian Standard Oil Company (Casoc).
- Proposals for an irrigation and agricultural mission to Saudi Arabia, headed by a United States agricultural expert.
- Conversations between Ibn Saud and United States General Patrick Hurley during the latter's visit to Riyadh in May 1943.
- The Government of India's decision in 1942 not to allow pilgrim ships to sail from India to Saudi Arabia, because of a risk of the ships being attacked.
- Ibn Saud's requests in 1944 for the British Government to send to Saudi Arabia financial and military advisers, preferably Sunni Moslems [Muslims].
- The proposed appointment of Ibn Saud's requested financial adviser, which is delayed and eventually abandoned, following the United States' suggestion that the position be given to a United States adviser, because of the United States' 'preponderant interest' in the Saudi economy.
The file includes two dividers which give a list of correspondence references contained in the file by year. These are placed at the back of the correspondence (folio 2).
- Extent and format
- 1 file (338 folios)
- Arrangement
The papers are arranged in approximate chronological order from the rear to the front of the file.
- Physical characteristics
Foliation: the foliation sequence (used for referencing) commences at the inside front cover with 1, and terminates at the last folio with 339; these numbers are written in pencil, are circled, and are located in the top right corner of the recto The front of a sheet of paper or leaf, often abbreviated to 'r'. side of each folio. An additional foliation sequence is present in parallel between ff 262-286; these numbers are also written in pencil, but are not circled. A previous foliation sequence, which is also circled, has been superseded and therefore crossed out.
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- English in Latin script View the complete information for this record
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Coll 6/91 'Saudi Arabia. Policy of H.M.G. Qn. of credits and guarantee of assistance to Ibn Saud.' [70r] (140/680), British Library: India Office Records and Private Papers, IOR/L/PS/12/2163, in Qatar Digital Library <https://www.qdl.qa/archive/81055/vdc_100046518046.0x00008f> [accessed 7 April 2025]
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- Reference
- IOR/L/PS/12/2163
- Title
- Coll 6/91 'Saudi Arabia. Policy of H.M.G. Qn. of credits and guarantee of assistance to Ibn Saud.'
- Pages
- front, front-i, 2r:36v, 39r:57v, 59r:110v, 113r:182v, 184r:189v, 191r:310r, 311v:339v, back
- Author
- East India Company, the Board of Control, the India Office, or other British Government Department
- Usage terms
- Open Government Licence