British Empire: Egypt Revision Notes
Introduction
The occupation of Egypt has been studied by historians for two main reasons:
The occupation appeared to be a complete U-turn in policy for Gladstone, the champion of cheap government
with low taxation and efficient spending, and an anti-imperialist.
The occupation was followed by what became known as the scramble for Africa and the partition of the interior
of the continent by the European powers.
Historical interpretations regarding the occupation of Egypt are used to explain the swift colonisation of the rest of
Africa, Britain’s later interventions in the Nile valley and to explain Gladstone’s dramatic change in policy.
Overview
The Ottoman Empire
In the 16th century all of North Africa, apart from Morocco, fell under Ottoman rule and remained so until the
19th century. The Ottoman Empire had captured Egypt in 1517.
In 1811 Mohammed Ali, a high-ranking Albanian army officer serving the Ottoman Empire ousted the Governor
of Egypt and appointed himself ruler. He remained nominally under Ottoman authority and was carefully
observed by the British, who were determined to strengthen their position in North Africa.
In 1820, with the encouragement of Britain, Mohammed Ali invaded Sudan in search of slaves and to keep his
army occupied.
Mohammed Ali launched an extensive modernisation programme for Egypt inviting foreigners to come and give
technical expertise.
By the nineteenth century the Ottoman Empire was in decline. This worried the British who feared that if it
collapsed completely, other European powers would gain territory from its collapse and this would not be to
Britain’s advantage. The Austro-Hungarian and Russian Empires were keen to extend their influence into Serbia
and Greece, while the French wished to control the Mediterranean.
, The problem became more acute following the completion of the Suez Canal in 1869. This connected the
Mediterranean with the Red Sea and opened a new route to India.
The Suez Canal separates the African continent from Asia and provides the shortest maritime route between
Europe and the lands around the Indian and western Pacific oceans. Suez Canal important because = crucial
shipping lanes for efficient and cost effective trading. The importance of Egypt to Britain rose dramatically after
the opening of the Suez Canal in 1869. At a stroke there was a new route from Europe to the Far East that halved
the journey time between Britain and India.
The governance of the Ottoman Empire was at the heart of the problem:
It was huge
Ruled on the periphery by princes and sultans
Lacked rapid methods of communication
Devolved power to local lords to ensure the rule of law, defend its borders and collect taxes.
The system of governance inevitably resulted in challenges for Constantinople from its satellite rulers as they
sought more and more autonomy from the Empire.
Egypt
The khedives (lord/ viceroy = rulers) in Egypt enjoyed considerable political freedom.
From the 1850s they increasingly relied on European financial investment from Britain and France to develop
Egypt’s economy.
Factories, primary and technical schools were built, irrigation projects were constructed, and vast tracts of land
were put under cotton cultivation; the appointment of thousands of barber vaccinators greatly reduced the
spread of smallpox.
Egypt became flooded with British goods and local industry collapsed. British investment grew in Egypt and
North Africa became a focus for Anglo-French rivalry. Mohammed Ali's successor, Abbas, appointed General
Gordon Governor of Khartoum under pressure from the British. Under his rule, the 90 mile long Suez Canal was
built with French engineering and Egyptian labour.
The decline in North American cotton exports caused by the American Civil War (1861–65) greatly
increased Britain’s demand for Egyptian long-staple cotton. This product had been introduced and developed in
Muḥammad Alī’s time, but its production had languished until the interruption of supplies of American cotton
caused a fourfold increase in price during the war years.
When peace returned, prices collapsed with disastrous consequences for the Egyptian economy. In the
management of his finances, the khedive Ismāʿīl Pasha was both extravagant and unwise.
1863-70, Egypt’s foreign debt increased from £3m to £100m. Despite the opening of the Suez Canal and the
Khedive's sale of his 45% holding in it to Britain for £4 million in 1875, by 1875-6 the khedive was effectively
bankrupt. Worried the British because Egypt heavily indebted to them and were worried it would not be able to
pay its debts.
Britain and France established a system of financial control for Egypt known as the Dual Control. Egyptian
revenue and expenditure were placed under the supervision of a British and a French controller. Significant
because Egypt was no longer autonomous in its financial actions.
They forced Ismail Pasha, the khedive, to introduce stringent financial reforms, including cutting the pay of the
army and introducing sales taxes on food and goods to increase revenue. This caused dissatisfaction in the army,
growth of nationalism, increased cost of living, lower living standards.
They also reduced the interest the Egyptians were forced to pay on foreign debt to 5% to slow down the increase
of the debt.
An international commission, the Caisse de la Dette (Commission of the Public Debt), supervised Egyptian
actions. Members of the Caisse de la Dette were nominated by Austria, Britain, France and Italy. The Khedive was
