Communication in Palestine: Ports before Nakba, British Mandate: A Survey of Palestine: Supplement - Page 112

(§ 10)

The cost of running the railways has risen sharply during the war and after, owing to the great increases in cost of labour and materials. At the end of the financial year 1945/46, the operation of the Palestine Government Railways (i.e. excluding the Hijaz and Kantara-Rafa Railways) had resulted in an accumulated surplus balance of LP.216.000, including all advances for capital works and renewals. Owing to the heavy fall in military traffic and the effect of sabotage on civilian traffic, this surplus has been converted during 1946/47 into a deficit which at 31st March, 1947, reached the total of T_,P.284,000. This amount, however, does not include the sum of LP.90,000 expended 011 security measures, and repairs of damage caused by terrorists. There is a heavy accumulated deficit on the working of the Hijaz Railway which is financed by the Palestine Government. This deficit reached at 31st March, 1947, a total of LP.705,000. This amount does not, however, include the sum of LP.56,000 expended in 1946/47 on security measures and repairs of damage caused by terrorists.

The political tension at present prevailing in the country has resulted in a highly uneconomical operation of the railway and in a general depression in trade and travelling. Restoration of normal conditions would immediately bring about an expansion in trade and will enable the railway, at least between Haifa and Lydda, to be worked to fnll capacity, and will permit consideration to be given to the realisation of major railway development works.

LP. LP.
1936-37 600,699 956,301
1939-40 495,875 541,117
1942-43 1,579,030 2,425,952
1943-44 2,134,669 3,115,470
1944-45 2,321,453 2,658,122
1945-46 2,285,956 2,863,305
1946-47 'l,712,i85 2,312,131

PORTS.

(p. 857)

The unstable political conditions during the year 1946/47 do not appear to have had the effect of deterring ships from using the Port of Haifa, nor of diverting to other channels the seaborne trade natural to this Port. The operation of the Port has been impeded from time to time by curfews imposed for security reasons both
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(*) For the 'over-all' figures see Table 4_ in chapter XIV. The above figures do not include certain items, e.g. contributions to the renewals fund, interest and capital expenditure.

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