Development Experience (1947-90) & Economic Reforms since 1991
Current Challenges Facing Indian Economy
Development Experience of India

Essence of Chapter


  • The agricultural sector was directly engaged 70-75%  labour and despite it suffered extremely low productivity.
  • The industrial sector did not flourish, that is, it was not modernized and diversified under the British rule.
  • Foreign trade was oriented in such a way, that it feeds only British industries.
  • The infrastructure was developed with the motive of the development of the economy of their home country.
  • There were acute poverty and unemployment among the Indian people.
  • In the whole, the country was facing economic and social challenges.


Was there anything positive about British rule in India?

There are few positives of British rule in India.

  • Britain introduced a modern, Western-style infrastructure to all aspects and levels of Indian affairs, which was far more efficient and sophisticated than the creaky, monolithic systems before British rule.
  • Britain also provided India with modern technology, such as the railway network, electricity and, later, air transport.

  • They commercialized Indian agriculture, which now helps us in competing with other economies.

  • They gave birth to communication services in India like postal service, electric telegraph, which further developed.