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Records of Bahrain
CONFIDENTIAL. Political Agoncy,
Ho. C/393. Bahrain, tho 21st March, 1946.
From
Major T. Hickinbothorn, C.I.E., O.B.E.,
Political Agent, Bahrain.
To
The non'ble tho Political Residont
in tho Persian Gulf, Bushiro.
Sir,
I have tho honour to enolose u copy of the Bahrain
State Budget for the year 1364 A.H. which corresponds to
1945 A.D. and a briof note on tho aforesaid budget by the
Adviser to the Bahrain Government.
2. It would seem that tho Advisor has budgeted simply
and solely to save a cortain sum of money and has made his
estimates accordingly without due regard to the urgent
needs of the Stato and the necessity for forward planning
to meet post war conditions, The budget is an uninspiring
document.
The "note" which is correctly described as brief
throws but little light on tho roasons for the reduction
In tho estimates and for tho lncroasos forecast in the
oxponditure. What otands out above everything else is
the extra-ordinary fact that the state haw-succeeded in
saving no less than Rs. 13,92.000 during the 5th year of
tho world war and this in spite of very considerable
increases in expenditure. Almost as astounding is tho
Adviser's forecast for a saving of Rs. 10,00,000 on the
working of the present year, With the sum which has
bocome available for transfer to the Reserve Fund as a
result of last yeur's credit balance tho amount now to
the credit of the Bahrain Government in British and Indian
Government stock has reached tho satisfactory figure of
Rs. 1,01,18,947.
I feel strongly that the policy of saving at the
expense of the well-being of tho population and the material
progress of the state which has been followed in the last
throe Bahrain Government budgets is neither reasonable nor
correct. It is true that owing to war conditions materials
for building and other purposes have not boon available, but
unfortunately it is equally true that there is a tendency
to cloak inertia with the excuse thut progress io impossible
owing to war conditions. Not only can progress bo made at
the present time but plans can be thought out for post-war
expansion and estimates can bo worked out for improvements
which will be profitable to tho people and financially
advantageous to the State. Unfortunatoly I see no sign of
any desire on the part of the Dahrain Government to improve
living and working conditions in the country rather they
Incline moro and more to tho unhealthy accumulation of a
I large reserve.
3. On the "Receipt" side of the Budget tho principal
item io of course tho "Royalty" from oil exported by tho
Bahrein PflhmUnm cospsny £nd I am in agreement «ith t.»c _
Adviser that thero is no reason to suppose that there will
bo any diminution in revonuo from thio souroe, T^flajuYJ-flof