BACKGROUND CHECK: BRITISH RULE IN INDIA
COLLIDED WITH THE INDUSTRIAL REVOLUTION IN
Feature of Indian economy on the eve of independence:
1. Stagnant economy: There was very slow or no economic growth in the country. As
the result of stagnation there was unemployment, death and suffering due to lack of
2. Backward economy: Indian economy was a backward and per capita income was
very low and in India it was just Rs. 230 from 1947-1948.
3. Agricultural backwardness: With 70% people engaged in agriculture, its
contribution in GDP was only 50%. Productivity and production too were extremely
4. Industrial backwardness: Industrial sector was not developed, there was lack of
basic and heavy industries in the country.
5. Widespread Poverty: The people in the country could not even meet their basic
needs i.e food, shelter and clothing. Unemployment and Illiteracy were other issues
faced by the country.
6. Poor Infrastructure: Infrastructure like communication, transport, power or energy
7. Major dependence on imports: As a result of industrial backwardness in the
country several consumer goods like medicines were imported from abroad.
8. Limited Urbanisation: Majority of the population lived in villages meaning that they
lacked opportunities outside agriculture.
9. Colonial economy: As India was a British colony, Britishers exploited Indian
economy for their own benefits