Page 193 - Bahrain Gov Annual Reports (IV)_Neat

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REVIEW OF 1369

On ist January 1950 (utli Rabi-al-Awal 1369) the Bahrain Petroleum
Company completed the first 15 years of its concession. According to the terms
of the concession the rate of royalty, which up to this date had been Rs. 3-8 per
ton, became liable for revision. Negotiations which were carried on between the
Adviser to the Government and the representative of the Company resulted in an
agreement by which for a further 15 years the Company would pay to His
Highness's Government the sum of Rs. 10 per ton on all oil produced. The new
rate of royalty, which was included in the second half-yearly payment to the
Government, produced additional revenue of approximately 44J- lakhs in 1369.
In the budget for 1370 it is estimated that revenue from oil will amount to 138
lakhs ; together with 52 lakhs from Customs and 13 lakhs from other sources, the
total revenue of the State is expected to reach 203J lakhs, over i-{ million pounds
sterling. Bahrain’s financial progress over the last 25 years has been a gradual
one, the sudden increase in the wealth of the state, though very satisfactory,
brings with it many difficult problems.

An important event in the history of Bahrain was the settlement of the
longstanding quarrel between Bahrain and Qatar which for the last 14 years has
caused bitter feelings between the ruling houses of Bahrain and Qatar as well as
between the people of these two neighbouring states. The situation of Zubara
on the Qatar coast opposite Bahrain, the ancestral home of the Khalifah family
from the time when they migrated from Kuwait until they conquered Bahrain,
has now reverted to the status quo which existed before the quarrel.
Bahrain during the year under review was quiet and prosperous, there were
no internal disorders, trade flourished and there was a noticeable expansion of
both private enterprise and public works and schemes carried out by the state.
When the war in Korea began there were indications of hoarding and profiteering
in the bazaar by merchants who had made big profits out of the last war. The
Government dealt with the situation immediately by issuing a larger ration of
rice and by making an order reducing the amount of profit allowed on essential
commodities. The Government is in the fortunate position of holding substantial
stocks of cereals and sugar and is therefore able to control the market; at the
end of the year it held stocks of food supplies which were worth approximately
34 lakhs and large quantities of ri:e were on order.
In the spring a census was taken, the second that has been held in Bahrain.
The total population numbered 109,650, in addition it was found that about 5,000
men were engaged in work outside Bahrain, mainly in Saudi Arabia. The number
of foreigners was 18,471 of whom 6,934 were Persians, 3,043 Indians and Pakistanis
and 2,208 British, Americans and Europeans. The population of Manamah
increased by 43 per cent in nine 3'ears.

Much progress was made in social services. The schools were full to
capacity, a new boys’ school was opened in Rafaa and the Muharraq Boys’ School
was greatly enlarged. The people of Bahrain are insatiable in their demands .for
education, provided that they do not have to pay for it, though parents still remove