Oxfam Report Highlights $64.82 Trillion Wealth Extraction from India
A recent analysis has revealed that between 1765 and 1900, the United Kingdom extracted an estimated $64.82 trillion from India during its colonial rule. A significant portion of this wealth, over half, was concentrated in the hands of the richest 10% of the British population, further deepening economic inequality that persists today.
The study highlights that Britain’s economic policies during the colonial era deliberately suppressed India’s industrial growth. In 1750, India contributed around 25% of the world’s industrial output, but by 1900, this figure had plummeted to just 2%. This drastic decline was attributed to Britain’s restrictive policies that limited India’s ability to compete globally, particularly in textile manufacturing, which was once a thriving sector.
The findings indicate that the colonial-era wealth drain played a major role in shaping global economic disparities. Economists analyzing historical trade and financial data have long argued that Britain’s economic rise was heavily financed by resources extracted from India. The wealth transfer occurred through excessive taxation, unfair trade practices, and direct economic exploitation, all of which hindered India’s own industrial and economic progress.
The report also raises concerns over the lasting impact of colonialism, noting that economic inequalities established during that period continue to influence modern financial systems. Some experts argue that former colonial powers should acknowledge and address these historical injustices, with discussions around reparations and financial redress gaining momentum in global forums.
The revelations have reignited debates on Britain’s colonial legacy and its economic repercussions. Advocates for reparations argue that the scale of economic exploitation demands recognition and corrective measures, while others contend that historical reparations are difficult to quantify in modern terms. The discussion underscores the need for a deeper understanding of how colonial-era policies continue to affect global wealth distribution.
