The Roman Empire developed into one of the most prosperous, vibrant and affluent civilisations
of the ancient world, but what made it this way? Conquests and taxes are the stereotypical
viewpoint, however many of these were drains on the Empire’s resources rather than boons.
As the costs of defending and maintaining territorial gains gradually increased throughout
the first century BC, Augustus was forced to look for new sources of revenue. The new
imperial regime found that in the ancient land of Egypt. Welcome to our video on the
Roman Egypt, its importance to the Roman Empire and its governance.
This video is sponsored by Imperator: Rome - the newest historical grand strategy game
from Paradox Interactive! Build a glorious empire out of blood and marble. Take the reins
of power over any of hundreds of ancient nations, including Rome and Carthage, as you slowly
expand to dominate the classical Mediterranean, Europe and India. Expand trade, build roads
and command armies on the most detailed map ever made for a Paradox game. But keep an
eye on your generals and governors! Some of them will increase their own power and plunge
your land into civil war. Enjoy the panoply and majesty of the world of Caesar and Hannibal
in Imperator: Rome, coming April 25. You can support our channel by buying the game via
the link in the description!
Conquest in the Roman Republican period accelerated at the end of the third century BC. It was
often a profitable venture for legionaries and their commanders, who would often gain
vast wealth in war loot. However when a new province was conquered, it would serve as
a drain on funds due to the necessary administrative and defensive costs.
Beginning in the early 2nd century BC, Rome gradually began to expand into the eastern
mediterranean basin, encountering and annexing the economically prosperous, well organised
and long-urbanised territories in the east. The conquests of Gnaeus Pompey in particular
were a landmark moment. After finally defeating the Pontic Kingdom in the Mithridatic Wars,
Pompey turned the Anatolian territories of Bithynia, Cilicia [si’lishia], and Pontus
itself into Roman provinces. Further east, he annexed Syria and accepted the Judean Kingdom
as a protectorate. These rapid territorial acquisitions raised
the revenue of the Roman state from 200 million sesterces per annum to 340 million - a colossal
increase in such a short time. However, during the late republican period, many Roman territories
operated at a deficit and only the recently acquired Anatolian territories, now part of
the province called Asia, were able to send wealth back to Rome after paying their own
costs. As Cicero stated: “Due to its multitude of exports, Asia is greatly superior to all
other lands.” As the Republic’s political turmoil intensified,
Mark Antony and Octavian divided the Roman state through the Treaty of Brundisium in
40 BC. While Octavian took the turbulent and unconsolidated western half, Antony - as the
senior partner, took the wealthier east. He quickly turned his gaze onto Egypt and made
an alliance with Cleopatra VII, a descendant of Alexander the Great’s general, Ptolemy.
During this period, taxes were vastly increased in order to fund an expensive war against
the Parthian Empire, which damaged Egyptian businesses and the economy. Moreover, Antony’s
regime neglected important aspects of Egypt’s infrastructure, such as the canals necessary
for both irrigation of crops and for transportation. The Battle of Actium in 31 BC saw the end
of Ptolemaic Egypt and Antony’s regime there. When Octavian conquered it in 30 BC, the neglected
new province could only provide 40 million sesterces per annum. In comparison, Julius
Caesar’s recent conquest of the economically less developed Gallic province also provided
40 million, showing the mismanagement which had occurred under Antony, and the often decadent
and neglectful Ptolemaic Dynasty as a whole. Even with the reduced Egyptian incomes now
flowing into the Empire’s treasuries, the enlarged Roman state could not be maintained
for long. In the hopes of finding additional methods of meeting their monetary needs, a
conference between various imperial leaders was held. The best solution at first was an
attempt to conquer and seize the incense-rich Sabaean Kingdom, or to attack and plunder
the Parthian Empire. When these invasions didn’t happen for a variety of reasons,
Augustus and his subordinates were forced to search for other sources of revenue.
Despite the country’s depleted and neglected status, the conquest of Egypt granted Augustus
an enormous fortune initially, mainly from the capture of Ptolemaic treasures. The wealthiest
people in their society had ⅔ of their wealth confiscated, and the Romans stole the plentiful
religious offerings gathered by Cleopatra. Two distinct, but connected, events now occurred
which would result in a drastic rise in Roman prosperity, and they were directly linked
to Egypt. The first was the way in which Augustus used this sudden dramatic influx of wealth,
which had flowed back to Rome in unprecedented quantities. He used it to supplement state
spending, and more crucially granted generous amounts to the Roman People. In one of these
payouts, the Princeps gave gifts to the soldiers, and 400 sesterces to each Roman citizen. As
well as ensuring his popularity, this gift also had a profound economic impact. A consumer
boom began which eventually led to the increasing of prices of saleable goods to up to double
their previous level - which began to attract many foreign merchants to the eternal city.
The second was the conquest of the Egyptian Red Sea ports and their accompanying sea-lanes,
which led to ancient India and beyond. Though Egypt had been neglected for over a
century by the Ptolemaic rulers, Augustus would now begin to restore sound governance
and vibrancy to the region. He used the Roman army, now famous for its construction work,
as a massive labour force, to rapidly restore the agricultural and transportation infrastructure,
which had been allowed to decay by the Ptolemies. Roads and trade routes were improved, caravan
stations were constructed and military outposts, as well as watchtowers, were erected to facilitate
and take control of communication and trade. Making routes safe for traders was crucial,
as more would travel if they felt secure in their safety and property.
Crucially, the main advancements in this aspect of governance were accomplished in a concentrated
area between the Nile port city of Coptos and its closest Red Sea ports - primarily
Myos Hormos. Strabo reported that cisterns filled with plentiful rainwater were constructed
at regular intervals, which aided travelling merchants. Additionally, the Romans moved
in to utilise the ancient gold and emerald mines of the Eastern Desert of Egypt, as well
as the decorative porphyry and granite quarries of Mons Porphyrites and Mons Claudanius. The
early Ptolemaic kings had also developed a competent administration, which was revitalised
and added onto by Augustus, in order to efficiently deal with the vast quantities of grain and
wealth which flowed through the province. After only a few years of good Roman administration,
the number of ships sailing from Egypt to India per year had increased from less than
20 to over 120, and this began to provide important new revenues derived from import
and export taxes. A document known as the Muziris Papyrus confirms how Roman customs
agents taxed the lucrative eastern cargo. For example, a ship named the Hermapollon
returned from India carrying a staggering 9 million sesterces worth of goods, primarily
exotic eastern pepper and spices. State officials supposedly collected around 2.2 million sesterces
as a 25% tax from this one ship. Therefore, all 120 ships could have brought in 250 million
sesterces in import taxes. As they travelled to Rome and to their newly
wealthy buyers, the imports were likely taxed again by the one-fortieth Mediterranean Portoria,
which likely totalled around 25 million sesterces per annum. Another 25 million was collected
by the state as Roman exports, such as cereals, wine and olive oil being shipped to India
were taxed on their exit. Therefore, by 20 BC, Augustus was receiving from Egypt an income
larger than that received by king Ptolemy XII in 80 BC, and it is likely that the province
provided up to half of the income needed to finance the whole Empire.
The prosperity that this trade brought merchants is shown in an incident which occurred late
in the life of Augustus. Tacitus tells us that as the Emperor’s ship was passing by
the Bay of Puteoli, an Alexandrian merchant freighter approached. The ship’s merchant
crew and passengers, donning white garments and dressed in garlands, began burning celebratory
incense. They lavished good wishes and praise on the emperor, stating gratefully that he
and his reforms had given them their livelihood. The aging Augustus watched with pleasure,
and gave forty gold pieces to each of the ship’s soldiers, provided they all swore
to spend the gift on eastern goods from Alexandria. By the mid first-century AD, Egypt was producing
staggering revenues of around 600 million sesterces, or two thirds of imperial revenue
per year, highlighting its importance to the Roman economy and massive potential when administered
correctly. The growth of eastern trade explains how the
Empire received such a massive, sudden boost to its revenues in the reign of Tiberius.
When that Emperor perished, the imperial treasury reportedly had 2.7 billion sesterces of surplus.
This prosperity seems to have been unexpected, as during the reign of Augustus he had advised
his potential successors not to undertake further conquests - as the Empire at that
time could not support the additional costs. However, due to the monumental revenues generated
by Egypt it became possible to embark on more ambitious endeavors.
By the year 43 AD, Claudius could afford to undertake the conquest of Britannia, adding
another deficit region to the imperial domains. This annexation also sacrificed the acquisition
of trading tariffs which were more prosperous than the possession of the area itself. The
last Flavian emperor - Domitian, also raised army pay by a third in the late first century
AD, in order to cement his popularity with the soldiers, increasing military spending
by 200 million sesterces per year. Both of these fiscally negative moves would have been
impossible without Egypt. With its fertility, massively prosperous eastern trade and low
military costs, the now well-administered Roman Egypt essentially bankrolled the rest
of the empire, propping up its deficit provinces and allowing for further expansion.
During this early period of the Empire, control over Egypt meant consequent control over the
vast majority of imperial revenue and possession of a third of Rome’s crucial grain supply,
intended for the Annona grain dole. We must take a moment to discuss the importance of
this underestimated economic phenomena. During the late Republic, socio-economic conditions
in Rome, the growing population and political unrest, caused senators to enact the grain
dole in order to secure popular support among the citizens. The Roman poet Juvenal derisively
coined the phrase ‘bread and circuses’ to describe both the grain dole and the entertainments
Romans were supposedly preoccupied with during this time. However, there was an economic
incentive to subsidising the population which is rarely outlined. Low-income citizens, instead
of having to spend all their surplus money on bread, could now afford luxury goods purchased
from the increasingly vibrant markets of Rome, which encouraged trade even further. In essence,
the Roman state had indirectly fostered market commerce by allowing their citizens to maintain
their surplus income for luxury spending. Furthermore, the grain dole allowed for Rome
to become the most massive urban area of the ancient world, reaching up to a million people.
At the time of Rome's peak population, its nearest rival was the city of Luoyang in Han
China, with a population of 500,000. To recap, Egypt provided both massive revenues and massive
quantities of the grain necessary to maintain Rome’s integrity. Now, we shall discuss
how the Roman Emperors managed this unique province.
Aware of the economic potential of Egypt, and its importance to the imperial structure,
the Emperors realised that access to the province needed to be limited. It could not be afforded
for any aristocratic challenger or native separatist movement to originate in the province,
as it would severely disturb imperial finances and possibly cause food shortages. To this
end, Egypt was governed in a manner unlike any other province, with measures which shall
now be discussed. Shortly after Augustus consolidated the Empire,
he split it into senatorial and imperial provinces. Senatorial provinces, or 'Provinces of the
Roman People’, were those territories where the senate had the authority to appoint the
proconsular governor, and were also less threatened regions which possessed fewer legions. Conversely,
the governors of imperial provinces were appointed solely by the emperors as legatus Augusti.
Imperial provinces usually possessed vastly more military force, due to the risk that
senators might attempt a coup against the emperor.
Egypt was an imperial province, but it was subject to even more restrictions. Its governor
was always a member of the equestrian class - Equestrian Praefectus - rather than a senator.
In addition, no senator was permitted to visit Egypt without the direct approval of the Emperor,
and therefore could not own property or conspire to use the province to rebel. Moreover, no
Alexandrian was permitted to become a Roman senator and the leading citizens were forbidden
from assembling any native administrative council.
Egypt was the gateway to the vast and untapped riches of the east which, when exploited through
international trade, granted Rome an unprecedented level of wealth and prosperity. The Greek
author Dio Chrysostom outlined that, fundamentally, Roman control of Egypt altered mediterranean
commerce, and Alexandria become the greatest emporium in the inhabited world. What were
the many commodities, products and routes through which they travelled? What other kingdoms
partook in this ancient globalised trade network? We are planning to make more videos on the
Roman economy, so make sure you are subscribed to our channel and have pressed the bell button.
We would like to express our gratitude to our Patreon supporters and channel members,
who make the creation of our videos possible. Now, you can also support us by buying our
merchandise via the link in the description. This is the Kings and Generals channel, and
we will catch you on the next one.