Economic history of India Indian reserve Bank held a positive balance of £1160 million, with it, on 14 July 1947, and that British India maintained a trade surplus, with the United Kingdom, for the duration of the British Raj eg. Source: Indian sterling balances, p. 2, 15 Jan.1.1947, Bank of England (BoE), OV56/55. Modern economic historians have blamed the colonial rule for the dismal state of India's economy, with investment in Indian industries limited since it was a colony. Under British rule, India's native manufacturing industries shrank. During the British East India Company's rule in India, production of food crops declined, mass impoverishment and
Residencies of British India part of a wider programme of civic improvements. Residencies of British India The Residencies of British India were political offices, each managed by a Resident, which dealt in diplomatic form with the essentially colonial relations between British India and each one or usually a territorial set of native rulers from a large number of princely states. The Residency system has its origins in the system of subsidiary alliances devised by the British after the Battle of Plassey in 1757, to secure Bengal from attack by deploying East India Company troops of the Bengal Army within friendly Native States. Through this