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How did the assumption of diwani …

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How did the assumption of diwani benifit the east india company?

    • Posted by Vinod Mishra 6 years, 4 months ago

    CBSE > Class 08 > Social Science
    • 1 answers

    Sia ? 6 years, 4 months ago

    1. The Mughal emperor in the year 1765, appointed the company as the Diwan of the provinces of Bengal.
    2. The Diwani allowed the company to use the vast revenue resources of Bengal.
    3. This solved a major problem that the company had earlier faced.
    4. The Diwani allowed the Company to use the vast revenue resources of Bengal. After the assumption of Diwani, gold was not imported from Britain and revenues from India were enough to finance Company expenses.
    5. The outflow of gold from Britain stopped after the assumption of Diwani.
    6. Now revenues from India could finance company expenses.
    7. These revenues were used to purchase cotton and silk textiles in India and to maintain Company troops and meet the cost of building the Company fort and offices at Calcutta.

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