Coll 28/39(2) ‘Persia. Printed Correspondence, 1937–’ [‎79r] (157/320)

41
6. On the expenditure side an increase of 45 million rials (£562,500) is
shown in the estimates of the Ministry of War, which, including the gendar
merie, amount to 354,408,380 rials (£4,430,000) or nearly 24 per cent, of the
whole budget. The estimates for 1937-38 amounted to 309 million rials
(£3,867,600).
7. The Ministry of Public Instruction’s estimates are similarly on the
increase for, whereas they amounted to 71 million rials in the previous budget,
they are now increased to 81 million rials.
8. On the other hand a notable drop in expenditure is shown in the esti
mates of the Ministry of Roads and Communications where under the item
railways, a sum of 105 million rials (£1,312,500) is budgeted for 1938-39 as
compared with 200 million rials (£2,500,000) in the previous budget. This
decrease of £1,187,500 is presumably due to the fact that exploitation of all
the northern section of the railway from Bander Shah to Tehran and on to
Qum, has already commenced, and that several expensive lots in the Southern
Section have been completed by the contractors.
9. The estimates of the Ministry of Industry and Mines have increased
from 154 million rials (£1,900,000) in the previous budget to 256 million rials
(£3,200,000) for the new year. This year’s estimates include credits in respect
of the following : 101 million rials for the administration of mines, 36 million
rials for the completion and exploitation of the cement factory An East India Company trading post. , 30 million
rials in connexion with the spinning and weaving industry, 92 million
rials to assist the sugar industry (this figure includes the sum of 7,300,000
rials to be paid to the Banque Mellie, Iran in respect of interest and capital),
18 million rials for the glycerine and soap factory An East India Company trading post. now in course of construction
near the cement factory An East India Company trading post. at Tehran, and 14 million rials for the construction
of the gas mask factory An East India Company trading post. which is also being installed close to Tehran.
10. Other items of interest which appear under “ miscellaneous expenses ”
include the sum of 17 million rials for the building of new customs ware
houses, 1,500,000 rials increased capital of the Agricultural and Industrial
Bank, 60 million rials in connexion with the silos which are now being erected
in various grain centres, 5 million rials for the construction of a new factory An East India Company trading post.
for husking rice, 10 million rials for the purchase of a sand carrier boat, and
30 million rials towards the stabilisation of cereal prices.
11. The annual payments of the Anglo-Iranian Oil Company, Limited,
for royalties and taxation are not included in the budget : these are always
paid into the Government reserves abroad and are used when important
purchases in foreign currency have to be effected. Proceeds of the Sugar
and Tea Monopoly Tax, devoted to railway construction, and the bulk of the
Road Tax are also left out of the budget.
12. I am sending copies of this despatch to the Department of Overseas
Trade, to the Secretary to the Government of India in the External Affairs
Department, and to His Majesty’s Ambassador at Baghdad.
THE DETAILED BUDGET OF THE COUNTRY AS PROPOSED TO THE
MAJLIS.
PART I.—RECEIPTS.
Ministby of Finance.
Direct Taxes.
Rials.
1 Income tax, stamp fees, and fees on other documents for transfer of money . 140,000,000
2. Inheritance Tax . • ......... 13,000,000
3 Taxes in arrears on cultivated lands ....... 3,800,000
*4. Funds from repurchase of transferred crown lands 200,000 *
* The moaning of the original is obscure.
17(S) EAD.