The Drought Years: The Forgotten Economic Transformations in Gulf History

Abstract

This article discusses a significant phase of transformation in the history of trade in the Gulf and the Indian Ocean, resulting from the expansion of World War II into the passages and ports of the Indian Ocean. The countries in the region suffered from the policies imposed by Britain, which sought to introduce austerity measures to the traditional system in an effort to mitigate the widespread economic and social instability at that time. These British interventions challenged the economic system in the Gulf and the Arabian Peninsula, marking a turning point from pearl- to oil-based economies. This transformative period spans approximately a decade, starting from the mid-World War II era until the early 1950s.