Residencies of British India not maintain military forces other than for internal policing or else form diplomatic alliances with other States. The Residents attempted to modernize these Native States through promotion of European notions of progressive government. The first Native States to enter such subsidiary alliances included Arcot, Oudh and Hyderabad. Before the Rebellion of 1857, the role of the British Resident in Delhi was more important than that of other Residents, because of the tension that existed between the declining Mughal Empire and the emerging power of the East India Company. After the establishment of Crown rule of British India in 1858, the
Economy of India under the British Raj Economy of India under the British Raj The Indian economy under the British Raj describes the economy of India during the years of the British Raj, from 1858 to 1947. During this period, the Indian economy essentially remained stagnant, growing at the same rate (1.2%) as the population. India experienced deindustrialization during this period. Compared to the Mughal Era, India during the British colonial era had a lower per-capita income, a large decline in the secondary sector, and lower levels of urbanisation. The subject of the economic impact of British imperialism on India remains disputable. The issue was raised by