A journey Into India`s Economy

A JOURNEY INTO INDIA’S ECONOMY

In the words of George Bernard Shaw, “The British are a wonderful people: they will take half the world’s wealth, call it a fair trade, and thank you for being part of the arrangement.” This sharp observation encapsulates centuries of exploitation faced by India—a nation whose history is replete with achievements that profoundly influenced the world. A recent article by Tavleen Singh in The Indian Express (November 10, 2024) reignited this conversation. Echoing Rahul Gandhi’s earlier piece in the same publication, she reflected on India’s lost glory and advised him to delve into William Dalrymple’s The Golden Road. As someone who recently explored this subject for my YouTube channel, her words sparked a renewed sense of curiosity and pride in India’s unparalleled contributions to humanity. India’s economic journey is a testament to its resilience, resourcefulness, and the enduring spirit of its people. From its incomparable intellectual legacy to its position as a global economic powerhouse today, the country’s trajectory reflects a glorious past and the hard-earned lessons of history. This article delves into India’s economic evolution, exploring its ancient intellectual contributions, periods of prosperity, and subsequent challenges, ultimately celebrating its resurgence in modern times.

Rekindling a Passion for History

Though I have always been passionate about science, history remained a neglected corner of my intellectual pursuits—a regret I now aim to rectify. A podcast by Dalrymple proved transformative, offering a vivid depiction of India’s intellectual zenith. It introduced me to luminaries like Aryabhatta Ji and Brahmagupta Ji, whose contributions laid the groundwork for countless scientific and mathematical advancements. Intrigued, I immersed myself in The Golden Road and began uncovering the remarkable legacy of this profoundly influential civilisation. Let me give you a glimpse into the pool of knowledge by starting  with Aryabhatta Ji (476–550 CE) a visionary who calculated the value of pi (3.1416) and proposed that the Earth rotates on its axis—a revolutionary concept for his time. His estimations of the Earth’s circumference and the distance to the moon were precise, showcasing India’s scientific prowess. Teaching at Nalanda University, a hub of ancient learning, Aryabhatta’s influence extended far beyond his era.

Brahmagupta Ji (598–668 CE), another luminary, transformed mathematics with the conceptualization of zero as a number with unique properties. This breakthrough enabled humanity to advance in arithmetic, algebra, and beyond. His works, Brāhmasphuṭasiddhānta and Khandakhadyaka, written in poetic Sanskrit, bridged science and art. These texts were later translated and carried to Baghdad around 700 CE, catalysing the spread of Indian mathematics to the Arab world and eventually Europe. Interestingly, what the West termed “Arabic Mathematics” was, in essence, Indian mathematics that reshaped global understanding.

The contributions of Aryabhatta Ji and Brahmagupta Ji underscore the depth of India’s intellectual heritage. Their work enriched the country’s scientific tradition and served as a foundation for advancements worldwide.

The Economic Zenith: India as “Sone Ki Chiriya”

India’s moniker, "Sone Ki Chiriya" (Golden Bird) reflected its immense wealth and prosperity during ancient and medieval times. Historian Angus Maddison’s research, published in The World Economy: A Millennial Perspective, reveals that India contributed 32-35% to global GDP until 1100 CE.

Several factors contributed to this economic supremacy:

1.     Geographic Advantage: India’s strategic location, bordered by the Himalayas and surrounded by seas, made it a natural hub for trade. Fertile plains, abundant rivers, and a favorable climate ensured agricultural prosperity.

2.     Maritime Expertise: The monsoon winds, which changed direction every six months, facilitated sea trade. Indian ships, guided by these winds, carried spices, textiles, and other goods to distant shores with minimal reliance on manual rowing.

3.     Cultural and Educational Prowess: With access to the Vedas and Puranas, Indians were well-versed in philosophy, science, and trade practices, enhancing their ability to innovate and adapt.

India’s trade networks extended across the Roman Empire, Egypt, and East Asia. The country’s wealth was unparalleled, and its rulers governed with a vision of service before self, treating their subjects as family. This blend of governance, education, and trade ensured India’s place as an economic leader for centuries and made the subcontinent an economic powerhouse.

The Era of Decline: Invaders and Exploiters

India’s economic zenith began to decline with the onset of invasions and colonial exploitation. The country’s immense wealth became a target for invaders, starting with Mahmud of Ghazni, followed by the Delhi Sultanate, the Mughals, and later, the British East India Company.

One glaring example of loot is Nadir Shah’s raid on Delhi in 1739. He reportedly plundered so much wealth that it required 7,000 elephants, 4,000 camels, and 12,000 horses to transport that to Persia. This single event caused an economic ripple that lasted for years decimating Delhi’s wealth.

The East India Company exploited India under the guise of trade. By the time the British fully colonised the subcontinent, India’s contribution to the global GDP had fallen to 22%, and by independence in 1947, it was a mere 5%.

The British systematically dismantled industries, particularly textiles, which had contributed nearly 25% of global textile exports before colonial rule. By 1947, this figure was reduced to just over 3%, leaving a once-thriving sector in ruins.

Post-Independence Struggles and Reforms

When India gained independence in 1947, it inherited a shattered economy. Partition had divided resources, and the nascent government faced challenges such as poverty, illiteracy, and regional conflicts with Pakistan and China. Amid these issues, economic growth was slow, and by the mid-1990s, India’s share of the global GDP had dwindled to 3.2%.

The turning point came in 1991 when Prime Minister P.V. Narasimha Rao and Finance Minister Dr Manmohan Singh introduced bold liberalisation reforms. These reforms deregulated industries, encouraged foreign investment, and promoted privatisation, setting the stage for sustained economic growth.

The results were transformative. India’s GDP contribution to the world economy began to climb, reaching approximately 8% by 2022. Today, India is the third-largest economy globally, and its trajectory suggests that it could soon regain its position as a leading economic powerhouse.

 Lessons in Unity

India’s history underscores the devastating consequences of internal divisions. The defeat of Prithviraj Chauhan by Muhammad Ghori in the 12th century is a poignant example. Despite winning 16 battles against Ghori, Prithviraj’s inability to unite Rajput kingdoms led to his ultimate defeat. This lack of unity was a recurring theme throughout India’s history, exploited by invaders and colonisers alike.

Today, unity remains India’s greatest strength. The nation’s diversity—its myriad languages, cultures, and religions - is a source of unparalleled innovation and resilience. When communities unite, they can overcome social and economic challenges, building a future rooted in collective strength and shared prosperity.

Reclaiming India’s Narrative

India’s legacy is one of resilience and ingenuity. From Aryabhatta’s groundbreaking calculations to Brahmagupta’s philosophical musings, from Nalanda’s intellectual sanctity to its maritime dominance, India has been a guiding light for the world. Yet, much of this history remains obscured, either forgotten or misrepresented.

Our country’s economic resurgence is fuelled by its people’s entrepreneurial spirit, technological innovation, and cultural heritage. Initiatives, like Make in India, Digital India, and a robust startup ecosystem, are paving the way for sustained growth.

The country’s demographic dividend—its young, skilled workforce—offers a unique advantage in a rapidly digitising world. Additionally, India’s leadership in renewable energy, space technology, and healthcare innovation positions it as a global leader in addressing the challenges of the 21st century.

It is time we reclaim and celebrate this narrative. As a nation, we must honour our past not merely as a source of pride but as a foundation for future progress. By investing in education, preserving cultural heritage, and boosting innovation, we can ensure that India again takes its rightful place as a global leader.

However, challenges remain. Addressing inequality, ensuring sustainable development, and bolstering education and healthcare access are crucial to maintaining momentum. By learning from its past and leveraging its strengths, India can continue to rise as a beacon of hope and progress.

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A Message of Hope and Resilience

India’s economic journey is not merely a tale of numbers it is a story of resilience, reinvention, and hope. The same land that gave the world zero—a number with infinite potential—embodies that spirit.

As we move forward, let us remember the wisdom of our ancestors and the sacrifices of those who fought for our freedom. Together, we can honour our past while building a future where India reclaims its place as a leader in the global community.

In unity lies our strength, and in progress lies our destiny. Let us all contribute to the growth and greatness of our nation, ensuring that the world recognises India for its ancient achievements and modern triumphs.

The Way Forward

India’s journey from the world’s richest civilisation to a colonised nation and now an emerging superpower is a testament to its indomitable spirit. The challenges of the past have offered invaluable lessons: the importance of unity, the dangers of complacency, and the transformative power of knowledge.

Today, as India stands at the cusp of a new era, let us remember Mahatma Gandhi’s words of acumen: “The best way to find yourself is to lose yourself in the service of others.” By dedicating our talents and resources to the welfare of our nation, we can honour the legacy of those who came before us and pave the way for a brighter, more equitable future.

Indeed, everything without exception is Indian in origin—a legacy to be remembered, lived and celebrated each day.