History of Saudi Arabia - The Reigns of Saud & Faisal: 1953-1975

The Reigns of Saud & Faisal: 1953-1975

King Saud succeeded to the throne on his father's death in 1953. Oil provided Saudi Arabia with economic prosperity and a great deal of political leverage in the international community. The sudden wealth from increased production was a mixed blessing. Cultural life rapidly developed, primarily in the Hejaz, which was the center for newspapers and radio, but the large influx of foreigners increased the pre-existing propensity for xenophobia. At the same time, the government became increasingly wasteful and lavish. Despite the new wealth, extravagant spending led to governmental deficits and foreign borrowing in the 1950s.

However, by the early 1960s an intense rivalry between the King and his half-brother, Prince Faisal emerged, fueled by doubts in the royal family over Saud's competence. As a consequence, Saud was deposed in favor of Faisal in 1964.

The mid-1960s saw external pressures generated by Saudi-Egyptian differences over Yemen. When civil war broke out in 1962 between Yemeni royalists and republicans, Egyptian forces entered Yemen to support the new republican government, while Saudi Arabia backed the royalists. Tensions subsided only after 1967, when Egypt withdrew its troops from Yemen. Saudi forces did not participate in the Six-Day (Arab-Israeli) War of June 1967, but the government later provided annual subsidies to Egypt, Jordan, and Syria to support their economies.

In 1965 there was an exchange of territories between Saudi Arabia and Jordan in which Jordan gave up a relatively large area of inland desert in return for a small piece of seashore near Aqaba.The Saudi-Kuwaiti neutral zone was administratively partitioned in 1971, with each state continuing to share the petroleum resources of the former zone equally.

The Saudi economy and infrastructure was developed with help from abroad, particularly from the United States, creating strong links between the two dissimilar countries, and considerable and problematic American presence in the Kingdom. The Saudi petroleum industry under the company of ARAMCO was built by American petroleum companies, U.S. construction companies such as Bechtel built much of the country's infrastruture, Trans World Airlines, built the Saudi passenger air service; the Ford Foundation modernized Saudi government; the U.S. Army Corps of Engineers built the country's television and broadcast facilities and oversaw the development of its defense industry.

During the 1973 Arab-Israeli war, Saudi Arabia participated in the Arab oil boycott of the United States and Netherlands. A member of the Organization of Petroleum Exporting Countries (OPEC), Saudi Arabia had joined other member countries in moderate oil price increases beginning in 1971. After the 1973 war, the price of oil rose substantially, dramatically increasing Saudi Arabia's wealth and political influence.

Faisal was assassinated in 1975 by his nephew, Prince Faisal bin Musa'id.