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                     Hint the final signing of the Oil Agreement   was hastened by the Shaikh’s know-
                     lodge that his people and more especially his   11  unemployed ” population were.
                     getting restless, over the prolonged negotiations.
                        4. Incidentally the depressed *state of Kuwait’s population, and the lack of
                     money among the masses, has given' just that impetus to Japanese traders
                    which was required. The latter grasped the fact quickly that a community
                     without means must and can only buy the very cheapest goods. They thus
                     appeared at the psychological moment and during 1934 were able to flood the.
                    local market with the cheapest of wares of every description. This applied
                    especially to cotton, wool, and articles of clothing generally.
                        (ff) Locusts.—During the year under review, Kuwait State and North East
                    Arabia were spared all visitations of the pest. According to Professor
                    UVAROV of the Natural History Museum, London, locusts may appear in
                    1935, more especially as the Autumn and Winter rains have been exceptionally
                    good. The matter is being watched by the Shaikh and the writer.
                        (/t) New Agency Building.—Work was started on the building in August
                    1932 and it was occupied by the Political Agent on the 1st December 1934.
                        (i)  Ilaj.—1. The 1934 Kuwait Haj season was not such a successful affair
                    as that of 1933, and only some 200 persons in place of the usual 1,500 to 2,000
                    did the journey across Arabia.
                        2. The Saudi-Ycmen war must be held entirely responsible for this, as the
                    stream of rumours which reached Kuwait from day to day as to the progress
                    of events at the front prevented would-be pilgrims making a decision. Chief
                    and most effective of these rumours was the report that Bin Sand intended
                    seizing all camels of pilgrims arriving overland, for “ War ” purposes. The
                    prospect of finding themselves stranded in the city of Mecca or Medina, with
                    no means of getting back was too much for even the most ardent “ Ilaji
                        (j)  II. HI. The. King Emperor's Birthday.—1. H. M. The King Emperor’s
                    birthday was celebrated in Kuwait in appropriate style on 3rd June 1934.
                       2. According to bis custom the Ruler declared a public holiday, and both
                   the Union Jack and the Kuwait Standard •were flown side by side on the
                    Agency flagstaff and over the Shaikh’s palace. Both flagstalTs were fully
                   dressed.
                       3. All Arab shipping hoisted flags by order of the Ruler, and generally the
                   Town looked gay with bunting.
                       4: The Political Agent’s annual banquet was dispensed with as he was
                   about to leave for ihe United Kingdom on leave, and the house was in disor­
                   ganized state. A reception was held instead.
                       (k) II. E. the Viceroy's Visit.—1. His Excellency the Viceroy of India
                   accompanied by Lady Willingdon passed through Kuwait by air cn route t*>
                   London on !7tli May. It had been previously arranged that the aircraft convey­
                   ing their Excellencies si: on Id stop for half an hour, that H. M. S. Fowcy ”
                   should fire a salute on their Excellencies arrival and that the Piuler should he
                   given an opportunity of meeting their Excellencies.
                       2. The Shaikh accordingly was on the aerodrome when the aircraft arrived,
                   and assisted by the Political Agent, leading members of the local Royal familv,
                   and principal merchants of the city, gave their Excellencies a true Arab wel­
                   come.
                       3. Their Excellencies on alighting w'ere taken to the aerodrome shed which
                   had been suitably decorated and carpeted, and an address of welcome from the
                   Shaikh was read. After refreshments and coffee and a short informal speech
                   by the Viceroy, the party left again at I p.m.
                        Note.—Their Excellencies again stopped at Kuwait on their outward
                              journey from London by air, but by previous request the Ruler’s
                              reception was entirely informal.

                                        V.—Condition of the Country.
                                             could be desired, and law, order, and security
                      1. This was all that
                  have reigned everywhere in the hinterland, throughout 1934.
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