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Introduction. For the greater part of the Qajar era (1796-1924) Persia was the scene of intense rivalry between the Russian and British empires. Concerned about Russian expansion southward and securing India from encroachments via Persia, the British wanted to ensure their hegemony in Persia while the Russians were relentless in countering British efforts. Greater Russian and British influence was facilitated by the weakness of the Qajar state, but at the same time, the rivalry between the two powers enabled Persia to maintain a fragile and nominal independence. During the second half of the nineteenth century, the British built a telegraph line across Persia to link London with India; they increased their trading and banking activities and concerns, and sought to acquire lucrative concessions. In 1889 the British owned Imperial Bank of Persia was founded in 1901 the Persian government granted the British subject William Knox D'Arcy (q.v.) a sixty-year concession involving exclusive and comprehensive rights to Persian oil in the whole of the country except for five northern provinces adjacent to the Russian borders.

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