The Greeks and the Making of Modern Egypt

1

The Muhammad Ali Era

and Beyond

In 1873, the advertising section of the Elpis , a Greek-language daily newspaper in Alexandria, bore witness to the diversity of occupations of the city’s Greek population, which numbered about 25,500, meaning that one in four of Alexandria’s foreign residents was Greek . ¹ The advertisements were for the Hotel Bosphorus owned by D. Dilaras, which had recently been refurbished; Georgios Lekkas’s bakery, next to the Greek-owned Café Paradeisos on Rue des Soeurs, which sold quality breads and flour; P. Sarandis’s Phoenix bookshop, which sold instructional books at reasonable prices and also carried Greek newspapers published in Trieste. The advertisements also showed Alexandria’s close connection with Europe. K. Fardoulis’s Grand Restaurant et Brasserie Universelle Entresol, located opposite the public gardens, served Viennese beer and quality wines from France, Germany, Hungary, and Greece; a young woman of Christian morals who had been educated at the Hill School and graduated from the Arsakeion (among the best schools in Athens) offered private lessons in Greek, French, and English as well as piano lessons; and the newspaper informed its readers it could offer translation services for Greek, French, Italian, English, German, and Arabic. The well-known merchant Constantinos Peleides, who was from the Greek town of Volos, informed the public he had recently returned from Paris bringing a large collection of clothes of the latest fashion. ²

The Elpis, a newspaper of commerce and one of the first Greek-language newspapers to appear in Egypt—the first was the Egyptos that appeared in 1862—reported the prices of the different cultivars of cotton and cottonseed at the Alexandria cotton exchange and markets in towns in the Nile Delta region on its front page. It was the prospective wealth in the cotton business that had brought Greek merchants to Egypt in the early 1800s. Their presence grew steadily over the years despite several political and diplomatic upheavals, and they soon branched out from purchasing, exporting, and shipping cotton to investing in banking, cotton ginning, real estate, and transport. Hoping they could also make money, thousands of other Greeks also began arriving in Alexandria. They did not have the capital to invest in cotton but they willingly became employees of the exporters and bankers or took up jobs in the service industries and retail trade that flourished in Alexandria, Cairo, and Egypt’s smaller towns.

Arrival

It all began when Muhammad Ali, Egypt’s wali (ruler) from 1805 to 1849 invited several Greek merchants to work with him to support his plan to push Egypt toward economic modernization, albeit with himself as a main beneficiary. When Muhammad Ali took power Egypt was a province of the Ottoman Empire, but during his rule he managed to carve out significant administrative autonomy for himself and gained the right to hand down power to his descendants who were recognized as Egypt’s khedives, an Ottoman title akin to viceroy. Initially a small group that functioned as the wali’s commercial agents in the eastern Mediterranean, the Greeks grew in number as others also came to staff Egypt’s fleet as captains or offer other services in maritime trade. The Greek presence in Alexandria began to expand as Egypt’s economic needs grew and the opportunities it offered foreigners began to increase. Throughout the period that Muhammad Ali and his successors ruled Egypt until 1882 when the British arrived to assume—informally—the reigns of power, the Greeks were the largest and most socially diverse of all the Europeans who came to assist as well as profit from Egypt’s drive toward modernization. If the ‘pull’ factors in this process were Muhammad Ali’s invitation and the encouragement of his successors, especially Sa‘id, who ruled between 1854 and 1863, and Ismail, who succeeded him and ruled through 1879, the ‘push’ factors were as important. They included Egypt’s geographical proximity to Greece, the existence of Greek merchant networks throughout the Mediterranean, always eager to pursue new commercial projects, and the lack of economic opportunity on many Aegean islands. Those Greeks fleeing the poverty of barren windswept islands were prepared to endure the difficult conditions in small rural towns.

Another attraction Egypt held for the Greeks was the privileges they enjoyed. Muhammad Ali maintained the Ottoman approach to non-Muslim minorities, the so-called millet system that allowed confessional communities to rule themselves in matters of personal law. Greeks could also seek and receive official protection from one of the European powers. From the mid-nineteenth century onward, Greeks were able to benefit from the Capitulations. These were bilateral agreements between the Ottoman Empire and foreign governments granting extraterritorial rights and privileges to foreign subjects resident or doing business in Ottoman domains. Greece became one of those governments in 1856. By virtue of Egypt’s nominal status as a province of the Ottoman Empire, notwithstanding its considerable autonomy, the Capitulatory regime was transferred to Egypt, where it functioned with even greater force than it did in the Ottoman Empire. In Egypt, foreigners enjoyed almost complete tax immunity, along with freedom of movement and commerce and freedom from any legal or judicial control. In those cases when the litigants were from the same nationality, their own Consular Court adjudicated. In 1875 the creation of the Mixed Courts of Egypt brought some consistency to judging disputes between foreigners of different nationalities and foreigners and Egyptians.

There was already a small Greek presence in Egypt before Muhammad Ali took power in the early 1800s. Much later on, in the 1920s and 1930s, when the Greeks felt threatened by the rise of Egyptian nationalism, several writers produced studies claiming there had been a continuous close contact between Egypt and Greece that went back to antiquity and flourished during the Hellenistic era. The most comprehensive defense of the continuity thesis came in a well-documented and comprehensive two-volume study of the Greeks in Egypt through the ages and since the rule of Muhammad Ali, authored by Athanasios Politis and entitled Ο Ελληνισμός και η Νεωτέρα Αίγύπτος(Hellenism and Modern Egypt), published in the late 1920s in Alexandria and appearing in both Greek and French.³ Politis, who was a diplomat serving at the Greek general consulate in Alexandria at the time, purposely chose the term Hellenism rather than the Greeks in order to allude to the ties between ancient and modern Greece. The evidence of a Greek presence in Egypt during the Ottoman era, which began in the fifteenth century, is thin if we don’t count those who converted to Islam. It was sporadic at best and connected with maritime trade. The big exception was the existence of the Christian Church, established by Mark the Evangelist in ad 49 according to church sources. In its formative period the church, known as the Patriarchate of Alexandria, produced two of the major thinkers of early Christianity—known as ‘fathers’—Athanasius and Cyril, who were both Patriarchs of Alexandria. After an important meeting of the Christian Church, the Council of Chalcedon in 451, the Church of Alexandria split in two over a doctrinal dispute over the nature of Jesus Christ. This led to the creation of the Coptic Orthodox Church of Alexandria, which represented the majority of Christians in Egypt, and the Greek Orthodox Church of Alexandria. The Greek Orthodox Church used Greek as its liturgical language and remained in communion with the Ecumenical Patriarchate of Constantinople. It is considered one of the four ‘historic’ patriarchates of Eastern Orthodox Christianity along with those of Constantinople, Antioch, and Jerusalem.

After the Arab conquest of North Africa in the seventh century—which permanently separated the region from the Byzantine Empire—the Greek Orthodox became an isolated minority in Egypt, even among Christians, and the church remained small for many centuries. On several occasions its patriarchs had been forced to move away from Egypt temporarily. The two oldest Greek Orthodox churches in Egypt are the monasteries of St. Savva in Alexandria and St. George in Cairo. Out in the Sinai Desert was the monastery of St. Catherine, built in the sixth century.

After Egypt fell under Ottoman rule, the predominance of Greeks in the Ottoman navy brought small numbers of Greeks to Egypt. The Mamluks, the military caste that continued to rule Egypt in the Ottoman era, enlisted the help of Greeks to develop and operate a navy. Craftsmen also began making their way to Egypt from the Greek lands, especially the islands. When the French landed in Egypt in 1798, the Patriarch of Alexandria reported at the time that his flock amounted to two hundred families. A good estimate of the number of Greeks in Cairo would be around two thousand; one of the streets they lived on was known as Haret al-Rum, the street of the Greeks. The presence of a Greek Orthodox bishop in the small port of Damietta suggests there was a small number of Greeks there as well. The Greeks welcomed the French and the prospect of the end of Mamluk rule, and many joined the French forces so that Napoleon created a Greek regiment, although his treatment of them was uneven. He had to be dissuaded from pulling down the Greek Orthodox Church of St. Savva—supposedly to build military fortifications in its place—and, along with the other indigenous Christians, the French authorities taxed the Greeks fairly heavily.⁴

Muhammad Ali emerged as ruler in Egypt in the wake of the departure of the French after his Albanian troops, who were in the service of the Ottomans, eliminated the Mamluks—who had earlier survived an attempt by Ottoman Turkish troops to dislodge them from power. The Ottoman Sultan reluctantly recognized Muhammad Ali as the ruler of Egypt, who, intent on building his economic base, quickly enlisted the services of foreign merchants operating in the eastern Mediterranean who would act as his commercial and maritime agents because he was a pragmatist who made use of whatever talent was available; also he had no racial or religious prejudice. Thus he wasted no time in making use of the skills of Greek and Armenian merchants as well as French and British technocrats and Italian physicians.⁵ By patronizing them, as well as Arab and Egyptian merchants, Muhammad Ali received important financial services, and tied into a network of commercial and diplomatic intelligence.⁶ Before ‘modern’ state banking and diplomatic structures appeared, such associates would provide him with these functions. The flow of information permitted the pasha to manipulate exports and export prices to his advantage, and to devise policies—including agrarian policies—in light of international conditions. An attempted British invasion in 1807 had shown him how vulnerable the Egyptian coastline was and led him to develop a navy. A war he waged in the Hijaz was another reminder he needed to expand his fleet. His wish to enhance his and the state’s income from trade, meanwhile, led to the expansion of a merchant marine. The wali encouraged his friends and relations to invest in arms and shipping for him. Skilled foreigners were employed to establish or improve the production of silk, indigo, and opium. Land was granted tax free in order to encourage the cultivation of food crops and other traditional crops such as flax and oil seeds, which remained important for internal consumption, industry, and export. In addition, large new tracts of olives and vines were planted, opium culture was revived, and merino sheep were imported to supply a new wool industry. The Greeks would play a big part in this process.

Greek merchants had spread throughout the Mediterranean by 1800, and their arrival in Alexandria would be a part of a broader pattern. The eastern Mediterranean was under Ottoman rule, but trade across the Empire and beyond was in the hands of its non-Muslim subjects, the Armenians, the Greeks, and the Jews. The Greek islanders were also a dominant presence in the Ottoman navy. The upsurge in trade between the Ottoman Empire and the West from the middle of the eighteenth century onward led to the creation of networks of Greek trading communities, one stretching from the Black Sea all the way to the western Mediterranean, and another overland from the Balkans into central and western Europe. The integration of the Ottoman Empire in the world economy only served to strengthen the role of the Greek merchants who acted as middlemen in East–West trade thanks to the growing demand for grain and other goods. Anglo-French competition, moreover, contributed to the increase of Greek maritime trading because many of the English and French ships plying the Mediterranean reverted to naval warfare. Greek maritime trade spread outward from the islands of Hydra, Spezzes, Psara, and Chios. The rudimentary commercial practices of the era required merchants to rely on relatives or friends as their commercial agents along the trade routes. Thus, as Greek-borne trade expanded across the Mediterranean, so did the settlements of Greek merchants. By the late 1700s there were Greek mercantile communities in the ports of Ancona, Livorno, Marseilles, Minorca, Trieste, Venice, and the Black Sea port of Odessa.⁷

To speak of ‘Greek’ merchants and ‘Greek’ shipping in this era may sound somewhat anachronistic especially to the ears of anyone familiar with the voluminous scholarship on the modernity and the ‘imagined’ nature of nationhood. After the Ottomans conquered the Byzantine lands in the Balkans and Asia Minor, the Greeks who were Greek-speaking members of the Eastern (Greek) Orthodox Church became Ottoman subjects. Visions of a modern Greek nation, defined by language, religion, and continuity with Classical Greece gathered momentum in the wake of the French Revolution of 1789, and in 1821 armed uprisings against the Ottoman overlords called upon the Greeks to take up arms to gain freedom and independence. Yet prior to the emergence of a modern idea of Greek nationhood, one can argue there existed a sense of Greekness, though by no means as clearly defined or cohesive. The Ottomans had granted a degree of self-administration to the Greek Orthodox, the Armenians, and the Jews through the millet system. Russian interest in the Mediterranean in the late eighteenth century came with pledges to protect their fellow Orthodox who were under Ottoman rule. Moreover, the rise of commerce in the Balkans and the eastern Mediterranean at the same time had used the Greek language as its lingua franca. Last but not least, European travelers in the eastern Mediterranean, keen to recognize non-Muslim populations and especially the Greeks, whom they assumed were descendants of the Classical Greeks, also contributed to a conventional wisdom that saw a distinctly Greek population present throughout the region.

Following the creation of an independent Greek state in 1830, the elaboration of a Greekness more akin to a modern national identity began to gain ground thanks to the government’s policies, the growth of an educational system, and the cultural output of intellectuals and artists keen to contribute to the nation’s self-awareness. A significant dimension of those efforts was directed toward the Greeks living in areas under Ottoman rule, which Greece considered as historically Greek and rightfully part of a greater Greece. Greece also courted the allegiance of the Greeks in the diaspora, whom it considered as a valuable asset for the nation and its expansionist program.

Before all this happened, the French Revolutionary Wars and the Napoleonic Wars between 1792 and 1815 had brought increased prosperity to the Greek mercantile marine and maritime diaspora. The sea and maritime trade were an outlet to the Greeks who inhabited the many islands of the Aegean. It insulated them from Ottoman rule and offered them freedom and often prosperity. Moreover, lacking the guarantees a powerful government could offer them, the Greeks relied upon themselves and used kinship and local ties to build their networks. Indirectly, that mode of operation served to strengthen the ties among the Greeks. The outbreak of the French Revolution caused the diminution of French trading in the Mediterranean. The French were never to return to their former strength on the seas and their naval defeats by Britain sealed the decline of French trading in the Mediterranean. The continental system imposed by Napoleon in 1806, the embargo on British ships and trade, meant that the British had to rely on neutral or private shipping in order to trade with the European ports under French control. Greek shippers and merchants were prepared to run the risk of breaking the embargo, because local officials were susceptible to bribes and turned a blind eye to what was, in effect, Greek smuggling activity, and both the Habsburgs and the Ottomans welcomed trade with Britain. Inevitably, with the end of the Napoleonic Wars and the restoration of peace throughout Europe in 1815, the economic boom the Greek middlemen had enjoyed throughout the Mediterranean came to an end. But they remained in place because yet again they adapted to the new reality.⁸ A series of economic and technological developments and innovations consolidated Britain’s commercial dominance internationally: the establishment of free trade between 1832 and 1849 and the consequent growth of British shipping and commerce; Britain’s ability to negotiate extremely beneficial trade agreements with the weak governments in the eastern Mediterranean region; the technological advantages accruing to Britain’s merchant marine through its reliance on steamships; and the rise of the joint-stock company in Britain and France. The newly founded joint-stock companies were much stronger financially than the non-corporate, family-run firms the Greeks operated. Meanwhile steam, coupled with the use of the telegraph—available initially to the British and French but not to the Greeks—shrunk the size of the Mediterranean and the Black Sea, eliminating the isolation of many ports which had been connected to Europe through a network of local, mainly Greek, merchants and shippers. The response of the Greek merchants varied; some relocated to London, in an if-you-can’t-beat-them-join-them move. There, they were able to tap the lucrative source of capital on which British overseas superiority was built. Having established a toehold in London, the Greeks were able to show the business sense of the pre-1815 period. They outflanked British houses by daring to reach out to untapped markets—or as one British observer put it, distant and semi-barbaric regions where Manchester fabrics were before as unknown as the very name itself in England. Greeks also inaugurated the practice of selling bills of landing before the arrival of a vessel, and purchasing return cargoes, thus operating on relatively small capitals and at the same time earning a reputation for prompt cash payments.⁹ Next to London, Cairo and Alexandria also became likely destinations for Greek merchants thanks to Muhammad Ali’s timely invitation.

A young Greek who went to Egypt a few decades later, as so many did riding on the coattails of those who became wealthy, observed that both the elite but also the small shopkeepers in the provincial towns were fiercely patriotic. While they had left Greece, they would invest there or remit money to their relatives who stayed behind only when the moment was propitious. They also appeared to be well ensconced in Egypt, quite able to operate in its big cities and rural towns.¹⁰ What that newly arrived Greek was noticing was part of a bigger picture, the adaptability of the Greeks who had settled in Egypt. We can think of it as a continuity of the agility and flexibility that earlier generations of Greeks had demonstrated in their maritime activities in the Mediterranean. It has been argued that the functions of the Greek diaspora merchants of the eighteenth and nineteenth centuries defy any narrow categorization. For example, they were based abroad but attached to Greece and driven by the profit motive. They were middlemen but in no way deracinated compradors, able and ready to switch roles according to prevailing circumstances.¹¹ In the case of the Greeks in Egypt, we could add, they were developing a deep attachment to that country as well. The adaptability of the maritime trader was about to be transformed into that of the cotton merchant.

Muhammad Ali and the Greeks

Muhammad Ali was already familiar with the Greeks before arriving in Egypt. Of Albanian origin, he was born in Kavala, a busy seaport in Ottoman Macedonia that became part of Greece in 1913 and where his house is preserved as a museum. Kavala, populated mostly by Greeks and Turks as well as Albanians and Jews (all of them Ottoman subjects), was one of the outlets for the export of tobacco from its hinterland, a business in which the Greeks were prominent, and something the young Muhammad Ali would dabble in, and that was how, according to one source, he got to know Theodore Tossizza. He was one of the four sons of Anastasios Tossizza, a fur merchant from Metsovo, a village in the Pindus mountain range, in present-day northwestern Greece. Another source claims that it was Theodore’s brother Constantinos who knew Muhammad Ali in Kavala and had lent him some money. Their father, Anastasis, was based in Salonica, the region’s wealthy commercial center, and the business was eventually taken over by his four sons. The eldest, Michael, was in charge. With their business feeling the effects of the Continental Blockade imposed by Britain on France, the Tossizzas were glad to respond to Muhammad Ali’s invitation to Theodore to move to Alexandria. In 1812 the other two brothers also went and settled in Cairo, and in 1920 Michael also moved to Alexandria.

Soon the Tossizza commercial network based in Egypt had acquired branches in Damascus, Livorno, and Malta. In 1833 newly independent Greece appointed Michael as its consul in Egypt, and two years later he was promoted to general consul. The Greek merchants who were invited by the wali were Ioannis d’Anastasi, whose business in Malta was not doing well but he prospered in Egypt and eventually became consul of Sweden, and Athanasios Casulli from Rhodes, whom the ruler placed in charge of Egypt’s mint. In 1818 his Greek agents Tossizza and Anastasi built three ships, which would trade in the waters of the Greek archipelago for Muhammad Ali. Tossizza was made director of a glass factory and later became Greek consul. Stephanos Zizinia, whose family-based merchant house included his brother, who was based in Marseilles, also settled in Alexandria. He bought and outfitted a ship to expand the wali’s merchant navy, and provided him with his first frigates. A number of Greeks from the islands became the captains of the new fleet and some of them converted to Islam. From 1812, ships bearing Greek laborers and tradesmen had come yearly from the maritime islands of Hydra and Spezzes. In return for his services, Zizinia received a large tract of land, which was later to become Alexandria’s Ramla section. Decades later, when the first pieces of the machinery for the tramline to Ramla arrived in Alexandria, it was passed by Zizinia’s house in celebration. In what would be a permanent feature in Egypt, the presence of wealthy merchants functioned as a magnet for other Greeks. Very soon craftsmen, farmers, and traders from mainland Greece and the Aegean Islands began settling in Alexandria, Cairo, and the port cities of Rosetta and