Mehmet Cavid Bey, a politician, economist, and writer was born into the prominent Baruchia Russo (Osman Baba) family in Salonica. His father, Recep Naim Efendi (1834-1888), was a merchant; his mother, Fatma Molla Hanım (1859-1935), the mother of six children. The family lived in the old city of Salonica.
Mehmet Cavid began his education at Şemsi Efendi School and continued his secondary studies at Feyziye School, where his family was among the founders. Growing up as a Sabbatean in the old city of Salonica, he witnessed the city's rapid modernization and economic growth, in which the Sabbateans played a vital role.

After graduating from Mülkiye-i Şahane in Istanbul 1896, he began his career as a civil servant at Ziraat Bank. He also served as an economics lecturer at prominent educational institutions. During this early stage of his professional life, Cavid Bey published the four-volume book entitled İlm-i İktisâd, in which he championed liberal economic doctrine. He also engaged in public debate in the field of political economy.
In 1902, prompted by a a complaint (jurnal) against him, Cavid left his duties in Istanbul and returned to Salonica. He became the principal of the Fevziye Schools, from which he had graduated. He worked to secure the school’s future as it faced financial difficulties. Cavid implemented many innovations in both educational and management areas at school.

After returning to Salonica, Cavid contacted the Young Turks in a short time, close to one of its leaders, Mehmet Talat Pasha (1874-1921). Cavid was also a Freemason, having joined a Masonic lodge called Perseverancia. Under the watchful eyes of Sultan Abdulhamid II’s spies, Freemasonry provided a safe space for the Young Turks to gather for open discussions. In 1903, foreign diplomats first recorded Cavid’s name alongside Talat’s and other Unionists. Cavid officially became a member of the Ottoman Freedom Society (Est. 1906, which would later evolve into the Committee of Unions and Progress) in 1907 and can be considered as one of the key civilian figures behind the 1908 Revolution.
After the revolution, Mehmed Cavid served as the deputy representing Salonica in Parliament. He emerged as the statesman who led public and financial affairs, engaging in diplomatic negotiations intertwined with financial topics during this period.

In 1909, he became the first minister to join the cabinet, representing the Committee of Union and Progress. He served for several terms as Minister of Finance during the Second Constitutional Period (1908-1918), significantly influencing what is known as liberal period, especially between 1908 and 1913. During this time, he modernised the Finance and Public Works Ministries and completed what could be called the first modern budget. He improved public administration, and was a backer of political progress, notably through the constitional amendments of 1909. Cavid also aimed to manage checks and balances mechanism in the public administration, despite potential conflicts with the Ministry of War. He also negotiated investments, privileges, and debts with the Great Powers - France, the United Kingdom, Germany, and Russia. Cavid, an exceptional speech writer ad orator, was a key was a key figure who articulated his—and the CUP's—political views.

Another major accomplishment of Mehmed Cavid during this period was the publication of the Journal of Economic and Social Sciences (JSES) (Ulûm-u İktisâdiyye ve İçtimâiyye Mecmûası), which he co-founded with Ahmet Şuayip and Rıza Tevfik. The JSES was published from December 29, 1908, to March 14, 1911. The twenty-four issues featured twenty-two contributors; Cavid, the second most prolific writer, wrote twenty-seven articles. They typically addressed contemporary economic problems and proposed solutions based on his liberal perspective.

The period from 1908 to 1913 saw intense political competition and conflicts in both the domestic and international poltics of the Ottoman Empire. However, Cavid, despite having attained the position of Minister of Finance, was forced to resign in 1911, went to exile twice in 1909 and 1912, and spent twenty days in prison in 1912. The CUP seized power following the Bab-ı Ali Coup on January 23, 1913. Instead of joining the cabinet, Cavid conducted negotiations in various European capitals, focusing on resolving consolidated debt and restructuring investments including the Baghdad Railways.
He became the Minister of Finance again in 1914, serving until the Ottoman Empire entered the World War I on October 29. Unaware of the secret agreement signed with the Germans, he opposed the decision to join the war on both political and financial grounds. Despite being the leading figure of anti-war lobby until the war’s entry, he played a key role in crucial regulations, including abolishing capitulations. Unionist circles reacted negatively to his resignation following the decision to enter the war, but his absence cannot be overloooked. He remained in Berlin and Vienna until spring 1917 and participated in loan negotiations to finance the Ottoman army.

Mehmed Cavid, a key economic decision-maker since 1908, relegated his policies to the background after the outbreak of the World War I. During the tumultuous economic period of the war, the Ottoman government enacted national economic policies with an ethno-religious component. In February 1917, he accepted a ministerial position at the request of Talat Pasha and joined the war cabinet. Mehmed Cavid played a crucial role in establishing the National Credit Bank in January 1917 to counter the potential seizure of the Ottoman Bank by the Germans and to provide credit for national economic policies.
At the end of World War I, the leaders of the CUP fled the empire. For a very brief period, Mehmed Cavid joined the Izzet Pasha (Furgaç, 1864-1937) cabinet. However, after being court-martialed and sentenced to 15 years of hard labor, he sought refuge in his friends’ homes. He tried to join the national movement in Ankara but faced an implicit rejection. With the assistance of French governent, Cavid escaped to Europe. He spent two years and ten months in exile, primarily in Switzerland. Financial difficulties marked this period, and Cavid’s reconnecting with the Unionist network culminated in his attendance at the final meeting in Rome. During this time, he established ties with Bekir Sami Bey (Kunduh, 1865-1933), who represented the Ankara government. Engaging in discussions with Bekir Sami Bey and European diplomats, he participated in the 1921 London Conference as a guest of the British government. However, there is widespread acknowldgement that the Ankara government disregarded Bekir Sami Bey’s achivements in London.

Mehmed Cavid returned to Istanbul as the Deputy for The Ottoman Public Debt Administration (Düyûn-ı Umûmiye), succeeding Hüseyin Cahit Bey (Yalçın, 1875-1957) in this role. Cahit had been his closest friend since their time at Mülkiye and served as the chief writer for the Tanîn newspaper. Speculation in the press surrounded Cavid’s appointment, but the Ankara government remained silent about his return to Istanbul.
Istanbul’s political structure and atmosphere have completely transformed since Cavid’s exile. The triumvirate of Enver Pasha (1881-1922), Talat Pasha, and Cemal Pasha (1872-1922) were no longer present in the political scene, and figures such as Cavid, Ismail Canbolad (1880-1926), Kara Kemal (1868-1926), and Dr.Nazım (1870-1926) were among the most senior members of the former organization. After the Great Offensive on August 30, 1922, the Ankara government moved toward peace talks as the next step. Ismet Pasha (İnönü, 1884-1973) invited Cavid Bey to serve as a consultant during the Lausanne Peace negotiations. One of the most challenging and technical issues in the discussions focused on financial matters, primarily debts. Given his extensive background in economic and financial issues, Cavid was one of the best-informed individuals on this topic—perhaps even the most knowledgeable.

However, due to disagreements between him and the Turkish delegation over the allocation of debts owed by nations under Ottoman rule before World War I, Ismet Pasha ended Mehmed Cavid’s consultancy. During a break in the peace negotiations, Ismet Pasha criticized Cavid Bey in his address to Parliament.
After Cavid returned from the Lausanne Talks, Unionists began gathering at the end of February. Many of these meetings occured at Cavid's house. According to Cavid's memoirs, these gatherings aimed to establish Unionists' position at the request of Mustafa Kemal Pasha (Atatürk, 1881-1938). Attendees included Kara Kemal, Huseyin Cahit, Ismail Canbolad, Dr. Nazım, Ali Ihsan Bey, Nesîmî Bey, Rusûhi, Rahmi Bey, Hacı Adil Bey, and Yenibahceli Nail Bey. As a result of these meetings, they developed a manifesto outlining nine points that contrasted with the Nine Principles declared by Mustafa Kemal Pasha as the program of the Association for the Defense of Rights of Anatolia and Rumelia.

On November 17, 1924, the Progressive Republican Party (PRP), with Kâzım Pasha (Karabekir, 1882-1948) as its president and Adnan Bey (Adıvar, 1882-1955) and Rauf Bey (Orbay, 1881-1964) serving as vice presidents. The economic facets of the party's platform reflect the principles of economic liberalism championed by Mehmed Cavid. Although he did not assert a direct role in the PRP program, Cavid had been actively involved in this environment since 1922.

The 1926 assassination attempt on Mustafa Kemal Pasha marked a pivotal moment between the oppposition bloc in Istanbul and the Ankara government, which the two political pillars of that time. The conspirators behind the assassination attempt were quickly arrested in Izmir and executed shortly after a rapid trial. However, they detained many opponents, including Cavid, Dr. Nazım, and even Kazım Karabekir, led to their separate trials in Ankara. Cavid was arrested on June 19, 1926, and taken to Ankara, where he was promptly tried by the Independence Trials without the right to an attorney. Cavid was found guilty of opposing the Republican regime and was executed on August 26, 1926.
Mehmed Cavid had two marriages. In 1906, he wed Saniye Hanım (1885-1909), who suffered from tuberculosis and passed away at a young age in early 1909.
Cavid Bey remarried Aliye Nazlı Hanım (1893-1976) in 1921 in Switzerland. She was the divorced wife of Ottoman prince Mehmed Burhaneddin, son of Abdulhamid II. They had a son called Osman Şiar, born on 25 October 1924.

Author: Cengiz Şişman