29 August 2009

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India – Who made Indians Beggar British Rule or Indian Rule?

India – Who made Indians Beggar British Rule or Indian Rule?
Reality Views by sm-
Financial history of India can be divided into many groups. But I think correct approach is that to see Indian Financial history in two groups only
British India that is India before Independence and India after Independence.

1. Stone age before 3300 BCE
2. Mehrgarh Culture • 7000–3300 BCE

3. Indus Valley Civilization • 3300–1700 BCE
4. Late Harappan Culture • 1700–1300 BCE
5. Vedic Civilization 2000–600 BCE

6. Iron Age • 1200–1 BCE
7. Maha Janapadas • 700–300 BCE
8. Magadha Empire • 684–424 BCE
9. Nanda Empire • 424-321 BCE
10. Maurya Empire • 321–184 BCE
11. Sunga Empire • 185-73 BCE
12. Kanva Empire • 75-26 BCE
13. Kharavela Empire • 209–170 BCE
14. Kuninda Kingdom • 200s BCE–300s CE
15. Indo-Scythian Kingdom • 200 BC–400 CE
16. Chera Kingdom • 300 BCE–1200 CE
17. Pandyan Kingdom • 250 BCE–1345 CE
18. Satavahana Empire • 230 BCE–220 CE
19. Indo-Greek Kingdom • 180 BCE–10 CE
20. Indo-Parthian Kingdom • 21–130s CE
21. Western Satrap Empire • 35–405 CE
22. Kushan Empire • 60–240 CE
23. Indo-Sassanid Kingdom • 230–360 CE
24. Vakataka Empire • 250–500 CE
25. Kalabhras Kingdom • 250–600 CE
26. Gupta Empire • 280–550 CE
27. Pallava Kingdom • 275–800 CE
28. Kadamba Empire • 345–525 CE
29. Western Ganga Kingdom • 350–1000 CE
30. Vishnukundina Empire • 420-624 CE
31. Huna Kingdom • 475-576 CE
32. Rai Kingdom • 489–632 CE
33. Chalukya Empire • 543–753 CE
34. Harsha Empire • 590-647 CE
35. Shahi Kingdom • 565-670 CE
36. Eastern Chalukya Kingdom • 624-1075 CE
37. Pratihara Empire • 650–1036 CE
38. Pala Empire • 750–1174 CE
39. Rashtrakuta Empire • 753–982 CE
40. Paramara Kingdom • 800–1327 CE
41. Yadava Empire • 850–1334 CE
42. Solanki Kingdom • 942–1244 CE
43. Western Chalukya Empire • 973–1189 CE
44. Hoysala Empire • 1040–1346 CE
45. Sena Empire • 1070–1230 CE
46. Eastern Ganga Empire • 1078–1434 CE
47. Kakatiya Kingdom • 1083–1323 CE
48. Kalachuri Empire • 1130–1184 CE
49. Islamic Sultanates • 1206–1596 CE
50. Delhi Sultanate • 1206–1526 CE
51. Deccan Sultanates • 1490–1596 CE
52. Ahom Kingdom 1228–1826 CE
53. Vijayanagara Empire 1336–1646 CE
54. Mysore Kingdom 1399–1947 CE
55. Mughal Empire 1526–1858 CE
56. Madurai Nayak Kingdom 1559 –1736 CE
57. Thanjavur Nayak Kingdom 1572–1918 CE
58. Maratha Empire 1674–1818 CE
59. Durrani Empire 1747–1823 CE
60. Sikh Empire 1799–1849 CE
61. Company rule in India 1757–1858 CE
62. British India 1858–1947 CE
63. Partition of India 1947 CE
64. India 1947-48

India is an agriculture country from ancient times.

In olden times Indian economy was self sufficient this means that Indian villages were not dependant on outside world or other villages.
All the villages were self sufficient.

Before the formation of India, this land was divided into many kingdoms, and no one ever thought that time about the formation of India, the one nation.

Ancient India saw many kings who won nearly all the kingdoms for a certain period.
But they never intended to form the one nation, it was just expansion of there kingdom to show other kings that who is more powerful.
Ancient India used the Barter system, but many kings even made gold coins and silver coins also.
Gupta dynasty used minted the silver coins in AD 414-55.
This Gupta dynasty period was 280 to 550 AD.
This was the Golden period of ancient India
Villagers paid revenue to the kings and other villagers exchanged there produce and skills and services.
Trade in kind and goods, exchange of goods can be said as a barter system.
E.g. craftsmen received a part of the crops at harvest time for their services to farmers.
Because of caste system, every one knew what he has to do in his future life.
There training started in that profession from their birth.

Important Note –

In this era agricultural products such as pepper, cinnamon, opium and indigo were exported to Europe, the Middle East and South East Asia in return for gold and silver.

In this era and period in present language I will say one dollar or one euro was equal to one rupee. Further more if someone says ancient Indian rupee was more powerful in ancient times than pound or dollar is also true.

I tried to get more information about ancient financial India but there is no information available.
But its accepted fact by the British people that
Revenue of Akbar's Mughal Empire in 1600 at £17.5 million, in contrast with the total revenue of Great Britain in 1800, which totaled £16 million.

This fact is enough to let us know and understand that in the year 1600 or 1800 also
Indian rupee was equal to one euro or one pound or one dollar.

It is the duty of every king or every employee, every human to see that his company, his home, his country makes progress.

With this view British Raj started there planning and worked towards that end.
The economic policies of the British Raj effectively bankrupted India's large handicrafts industry and caused a massive drain of India's resources
This was because of vast gains made by the Industrial revolution in Europe, the effects of which was deprived to Colonial India.

In the year 1948 also one rupee was equal to one pound or one dollar. 

Historian Angus Maddison reveals that India's share of the world income fell from 22.6% in 1700, comparable to Europe's share of 23.3%, to a low of 3.8% in 1952.

I wanted to say so in this way we can see that many rulers, kings ruled the India,
But no one made us beggar.
Our own politicians and leaders made us poor and beggars.

India inherited several institutions, such as the civil services, Reserve Bank of India, railways, etc., from its British rulers.

The RBI, the country's central bank was established on April 1, 1935. It serves as the nation's monetary authority, regulator and supervisor of the financial system, manager of exchange control and as an issuer of currency.

The RBI is governed by a central board, headed by a governor who is appointed by the Central government of India.
But we Indians became world beggars after the British people left India and we became independent.
The reason was that wrong policies used by our political kings.

So whenever you start to blame the British rule that they made us beggars
Remember that our own political kings and politicians made us beggar.
With their wrong policies, selfish motives and corruption.

Upto the year 1952,India had never taken any loans from the world Bank or any other nation.

First time after our Independence our Indian political leadership took the loan, without working towards the repayment of these loans our politicians are taking more and more loans from the World Bank and other nations.

On the name of progress Indian leaders and politicians took loans from World Bank and other nations and today situation is that

India has to take the loan to pay the interest of that loan not the original loan amount.

We Indians and media is so ashamed that when our political leaders beg to World Bank for loans and when we get the loans our political leaders and we all celebrate it proudly.
Around the year 1952 first time we took the loan and our Indian rupee lost its value.
Dollar and Pound become more powerful.

To get one Dollar we have to pay 7 Indian rupees that time.

Now today in the year 2009 one dollar is equal to 49 to 50 Indian rupees.

One pound is equal to 70 to 80 Indian rupees.

One euro is equal to 50 to 60 Indian rupees.

Today also you can see that no political party in India has thought on how to make repayment of Indian loans.No Indian political party has will to work towards this aim.



Suppose the price of one mango is 25 Indian Rupees.
So when you sell this one mango in international market,
We should get 25 dollars for one mango, 

But in reality, because of this loan and inequality of this exchange rate,
50 Indian rupees equal to one dollar
We do not get 25 dollars for one mango 

But we have to sell 2 mangoes at the price of One dollar.

So our total loss is 24 dollars for every one mango which we sell to outside world.
This is the loss of only one mango, 

Loss of 24 dollars on every mango which we sell in the international market.
This is happening from the year 1952, in our country, just imagine the amount
Which we are losing every year because of this loans which we take from World Bank
Now just add the products which we sell to outside world
Rice, Banana etc.
And try to calculate the loss how much we are suffering 

India was never a beggar country, British Ruled us and took unlimited money from India to there country but do not forget they were outsiders; they never came here to do social service. They came, They Ruled and They Took for there own land and people.

But when British Rulers left India that day and next 1 or 2 or 3 years also Dollar was equal to Indian rupee. By taking loan in the year 1952 and without repaying that loan our politicians started to take loans after loans which helped the increase in the exchange rate of dollar and pound 

But our political leaders failed to repay the international loans making us more and more beggar.

So I strongly feel British Rulers did not made us beggar but
Our own political leaders made us beggar.

When we will see the day when One Indian rupee will be equal to one dollar.


Ketan August 29, 2009  

Well written, well analyzed and heartfelt post!

I agree to all that you say. In fact, the examples economies of Germany and Japan (which also happens to have a very high population density, just like India) that were totally destroyed at the end of the WW-II (comparable time as our independence) should sufficiently demonstrate that with political will and ability in administration, India could've developed much better than is now.

But I think, more than the financial policies, it was the then government's populist population-policies and lack of will to promote education that's responsible for India's backwardness.

Also, if you don't mind, I'd like to point out that you've used 'there' instead of 'their' on multiple instances.

Take care, and thanks for visiting my blog!

AnjuGandhi August 29, 2009  

what a research!!!!!
you are right. but just one thing, begging has been there since God only knows when
MAA BHIKSHAM DEV" all the sadhus, sanyasis, Muni etc going door to door asking for food is it not begging?
every one bowing in front of temples asking the God for so many things Is it not begging.
this reminds me of a stroy a very wealthy king wants to gift something to a sadhu so tells him to ask him( the king) for any thing. The sadhu counter asks the king, "King why do u go to temple? King, " i Pray to God to give me happiness and always keep my treasury filled with money," sadhu, " If you being such a big king still begs in front of the Biggest king on the earth then why should i ask you to give me any thing, i will ask the supreme King whatever I want"
this story was just to show that begging has been there since ages.
yeah that begging was may be because of religious values but our politicans and leaders have made us beg for basic necessiteis too

Everymatter August 29, 2009  

very nice information

no politician wants to work for repayment of loan as they are putting these funds in their own pockets

Aswani August 29, 2009  

Nice post friend. very nicely explained. I think you have come out with a very strong point. Must read for those involved in political system of our country.

sm,  August 29, 2009  

Ketan thanks for comment, i will try to be careful about spellings.
i agree with you on education also.

sm,  August 29, 2009  

AnjuG thanks for the story, i do not support the begging.i agree with you its here from unknown times.

sm,  August 30, 2009  

Everymatter yes you have very correctly said where the money is going.

sm,  August 30, 2009  

Aswani thanks

deeps August 30, 2009  

haaa thats superb ..
thanks for once again taking me back to my Hist classes .....

i havbe always thought, they didnt leave our country without doing some good work

BK Chowla, August 30, 2009  

It is dream to expect a Rs to be equal to a dollar/pound.When our netas mortgaged our gold to borrow money from the world bank,what else can we expect from them?.Our politicians are responsible for all the ills of this country.Do you think the govt is serious about trying to get Indian money in Swiss bank back?If all that money is brought back,Rs will be equal to $

Anwin August 30, 2009  

Nicely written. I suspect that we were equal to the pound because we were actually equal in the sense that both came under the same sovereign, the British Raj. However, when the British left they could not lend their gold reserves or they took all they could or whatever, our gold reserves in the banks should have come down.

I think there is an economic concept where the amount of gold reserves a country has determines the currency stand as well.

Unknown August 30, 2009  

we should really feel bad for our country's situation.we must do something atleast for our satisfaction that we did something for our country

sm,  August 31, 2009  

deeps thanks for comment, we need this history,we dont need the history of dead politicians who was good or bad.

sm,  August 31, 2009  

Bk Yes this may happen, we all that there is sufficent black money,but its in the swiss bank as well as withinin our nation.

sm,  August 31, 2009  

Anwin thanks for comment, yes gold is important but most import is cash, only with this cash we can purchase gold and oil, otherwise we have to take the loans to purchase this gold and oil.

sm,  August 31, 2009  

Pavithra thanks

Indian Pundit September 03, 2009  

Very well written post.

i agree with many things written.

i am following u now....will read ur future posts.

Apurva September 03, 2009  

Great research and history of rulers of India....keep it up! Just seeing all of the different ruling groups in a list like that is daunting, makes you really appreciate the culture and how it is maintained itself through all of these different groups and periods.

- Sugar Cube - September 03, 2009  

Amazing research! Never came across anything like this :)

You explained it really well.

Jyoti,  September 04, 2009  

very nice information

sm,  September 04, 2009  

sugar cube thanks

sm,  September 04, 2009  

Indian Pundit thanks

sm,  September 04, 2009  

Apurva thanks

SG September 05, 2009  

Nice post. In my humble opinion, the following reasons also contributed:

Non violent peaceful agitation to make the British leave. British were not our next door neighbors. They came here thousands of miles away. Just like the Americans, we should have kicked them of out of our country by force. By our non violent policy, they stayed too long.

Non alignment policy which means affinity towards USSR. USSR was just all talk and no action except a few vetos at the UN Security Council. When the Chinese invaded India, USSR did not come to our rescue. When the American forces landed in India, the Chinese withdrew.

Socialism, which means make every one poor. This policy was adopted until Rajiv Gandhi became Prime Minister.

Insignia September 05, 2009  

Amazing research.

I recently read somewhere that there's about $75lakh crores of Indian black money in Swiss banks. If that money comes to India, phew!! guess INR will improve.

Why are we still sticking to old policies? Isn't it time for us to change our economic and financial policy? But would Indian politicians take this pain? They are cozy and happy being where they are.

sm,  September 06, 2009  

thanks i agree with you about our foreign friendship policy and peaceful agitation.

sm,  September 06, 2009  

very well said.

Swatantra September 07, 2009  

Very well written!! The last lines are very true!! They are thought provoking!!

Thanks for sharing!! Thanks for the visit to my blog, do come again!!

shilpa September 07, 2009  

what an information very detailed and precise thanks for posting

sujata sengupta September 07, 2009  

That was a detailed perspective. Took me back in time to my school days. But the conclusions drawn do make sense.

sm,  September 08, 2009  

sure i will visit your blog regularly.
thanks for your comment.

sm,  September 08, 2009  

thanks for comment

sm,  September 08, 2009  


Swatantra September 10, 2009  

New post is there...

Tejaswy September 12, 2009  

O come on!!!
The British got rid of so many evils in India....

They got rid of the god damn Mughals....You never know some guy like Aurangzeb would have taken over and damnn...Hindus would be like a minority in India

They unified the country into one voice.
They took out all the princly states... Bengal, nawabs, patli putra, and god know how many.

The measured the lengths and breaths of India... The have been to places like Meghalaya, Assam, Tripura and places that still today are hard to reach , and unified the country

If it wasn't for them India would have been divided into 10-15 states baesed on caste color and creed.

Education system... they gave the backbone to the current education system

Free fair, Democracy system... you can't argue on that

Free and fair courts...

regarding the loans from world banks... please do some R&D.
Please read the following article
and see the table

sm,  September 13, 2009  

i agree with you i will read the pdf but i think you miss total point what i am trying to say.

sm,  September 13, 2009  

i read the document there are releting with 2005 external debt, here i am trying to say do we take the loans to build the statues,
India does not need any type of loan from outside world,we are self sufficent.Do you know in india begging is crime there is beggers act which prohibits begging.

Claudia,  October 08, 2009  

Very well written

Haresh January 16, 2010  

Who made Indians Beggar: British Rule or Indian Rule?

A colon (:) would have helped make the title more understandable.

I'm yet to read the post. So, can't comment on that :)

sm,  January 17, 2010  

thanks for suggestion
hope you will get the time to read the article.

Anonymous,  May 15, 2010  

Our Prime minister is a well educated man. Being such a well educated and being silent at that position without acting on $$$$$$$ simply lying in swiss bank , then what use he is for our country ? Many people say so many things before landing the top post , but once they land there they become calm as if they forgot everthing and becomes blind. Once he is blind means he starts begging.
Income tax should be collected very stricly in india.To some extend interal money can be genreated.

Lets ask ourselves are we paying our income tax correctly without any malpractice ?

sm,  May 15, 2010  


Anonymous,  February 17, 2013  

after 1952 take note of all the ministers wealth indian loan from world bank will be their wealth only ............it will be change one day am waiting.......

Unknown June 30, 2013  

Mind Blowing..Awesomely written. Now I understand why Indian Rupees is loosing its value.
Thanks :)