Dadabhai Naoroji first put forward ‘the theory of drain of wealth’. 2. The Indian National Congress adopted a resoultion to criticize the drain of wealth in its annual session at Calcutta in 1896.
Who was given drain and wealth theory?
In 1867, Dadabhai Naoroji put forward the ‘drain of wealth’ theory in which he stated that the Britain was completely draining India. He mentioned this theory in his book Poverty and Un-British Rule in India.
What contributed to economic drain from India?
The most sophisticated account of the economic drain—a basic characteristic of the Indian colonial economy—was made by Dadabhai Naoroji in 1871 in his book, Poverty and un-British Rule in India. … According to him, the drain was the basic cause of India’s, poverty and the fundamental end of the British rule.
How was Indian wealth drained to England?
Further, British Government used India’s manpower to spread its colonial base outside India. Indians served in the British army at lower salaries than their British counterparts. … Thus, the British rule drained out Indian wealth for the fulfillment of its own interests.
How did British drain wealth away from India?
So, the ‘Drain of wealth‘ from India to England started after 1757 (Battle of Plassey), when the Company acquired political power and the servants of the Company a ‘privileged status’ and, therefore, acquired wealth through dastak, dastur, nazarana and private trade.
What is known as drain of wealth?
The transfer of wealth from India to England for which Indian got no proportionate economic return, is called the Drain of Wealth. Till the Battle of Plassey, the European traders used to bring gold into India to buy Indian cotton and silk.
Did drain of wealth include home charges?
Another form of movement of wealth away from India was the money paid to banks, insurance companies, shipping companies in England for the services they render in India. The Company’s remittances to England (Home Charges) also formed a major part of the drain.
Who said the British rule was a bleeding drain from India?