The Forgotten Drain of Wealth: How Islamic Invaders Drained India’s Riches

The colonial exploitation of India by the British has long been a subject of historical discourse, with well-documented instances of wealth being systematically drained from the country. However, what is less acknowledged is that the practice of siphoning off India's wealth predates British colonization by several centuries. From the early 8th century, Islamic invaders began a long-standing pattern of draining India’s immense resources. These invaders, coming from Arab, Persian, Turkic, and Central Asian regions, transferred large amounts of wealth and millions of Hindu slaves to their homelands. This article delves into how Islamic rulers drained India’s wealth over several centuries, significantly diminishing its status as a global economic powerhouse.

India’s Economic Decline Post 712 CE

From 1 CE to 1000 CE, India was a global leader in terms of economic prosperity, boasting the world’s largest GDP. However, India’s decline began with the Islamic conquests in 712 CE, starting with the capture of Sindh by the Umayyad Caliphate. This conquest marked the beginning of an era where India became part of the Islamic Caliphate, with vast regions of the subcontinent falling under Muslim rule for centuries. These rulers were tributaries of the Caliphate, and each year, wealth and resources collected from non-Muslim subjects were funneled to the Islamic capitals in Damascus, Baghdad, Cairo, and Tashkent. The historian M.A. Khan, in his book Islamic Jihad: A Legacy of Forced Conversion, Imperialism, and Slavery, points out how non-Muslim subjects were exploited for the benefit of distant rulers. Slaves and treasures looted from India formed the backbone of the opulent lifestyles enjoyed by the elites in the Islamic world.

The Mughal Dynasty’s Independence – But Not India’s Wealth

Although the Mughals eventually severed ties with the Islamic Caliphate, this did not stop the flow of wealth out of India. The first Mughal emperor, Babur, after capturing the Delhi Sultanate in 1526, continued sending vast sums of wealth Makkah and madina. In his autobiography, Baburnama, Babur recounts how he emptied the imperial treasury of Agra to send gifts and largesse to Muslim holy men in Samarkand, Khurasan, and even the cities of Mecca and Medina. The gifts he distributed were not out of any devotion to India but to secure his place among the Muslim elites Makkah and madina. The Mughal treasury overflowed with riches. As historian Abul Fazl describes, the wealth of India was so immense that 12 separate treasuries were needed to store different kinds of cash payments, gold, and precious jewels. Yet, despite their independence from the Caliphate, the Mughals continued exporting wealth through donations, gifts, and tributes.

Religious Wealth Drain During the Mughal Period

Even during the reign of later Mughal emperors like Akbar, Jahangir, and Shah Jahan, the practice of sending money Makkah and madina continued. A prime example of this is the financing of the Hajj pilgrimage. Beginning in the late 16th century, Mughal emperors sponsored thousands of Muslim pilgrims who journeyed to Mecca each year, paying for their expenses out of India’s public treasury. These pilgrimages, made at great public cost, funneled substantial resources into the Islamic world.

In 1576, Akbar’s Hajj caravan left with Rs 600,000 – a colossal sum for that time, equal to years of wages for common workers. This continued even under Jahangir and Shah Jahan, who were more interested in luxurious living than religious piety. They viewed these donations as necessary to maintain their status as leaders of the Islamic world. Shah Jahan, for example, sent intricately designed candlesticks worth lakhs of rupees to Mecca, while his imperial court enjoyed excessive luxuries, all funded by the Indian peasantry.

Aurangzeb’s Enormous Donations

Among the Mughal emperors, Aurangzeb was the most fanatic in his devotion to Islam. During his reign (1658–1707), he donated more wealth to Muslim lands than any other Indian ruler. Aurangzeb regularly entertained foreign Muslim rulers from Persia, Afghanistan, and Central Asia, showering them with lavish gifts of gold, silk, and jewels, amounting to nearly Rs 3 million over seven years. This sum was nearly double the entire revenue of England at the time. Aurangzeb’s largesse, however, brought no benefits back to India. It was a one-way drain that left the subcontinent impoverished while enriching Muslim lands Makkah and madina.

The Misery of Mughal Rule

Despite being the wealthiest empire of its time, India under the Mughals was home to some of the poorest people in the world. The relentless wars waged by the Mughals, combined with their lavish lifestyles, severely drained the economy. Aurangzeb's 28-year-long war against the Marathas, combined with the exorbitant taxes imposed on the peasantry, left much of the population destitute. As European traveler François Bernier noted, while the Mughal court glittered with riches, the countryside was filled with destitution and ruin.

During famines, like the one that occurred in 1631–32 under Shah Jahan’s reign, millions perished due to a lack of food. This famine, caused in part by Mughal military campaigns that scorched the land, left over 7.4 million dead. Despite these tragedies, the Mughal court continued to indulge in luxuries, with Shah Jahan spending vast sums on grand monuments like the Taj Mahal, while his empire crumbled around him.

The Canal of Najaf – An Example of Misplaced Priorities

One of the starkest examples of the misplaced priorities of the Mughal rulers was their decision to finance the construction of a canal in Iraq while neglecting agricultural infrastructure at home. In the late 18th century, as the Mughal Empire was in decline, the ruler of Awadh, Hasan Raza Khan, contributed Rs 500,000 to the building of the Hindiya Canal, which brought water to the cities of Najaf and Karbala in Iraq. While this canal transformed the barren desert into fertile land, back in India, the Mughals had built nothing of similar significance to aid their own agrarian economy.

Conclusion

The wealth drain that began with Islamic invasions in the 8th century continued for nearly a millennium, weakening India’s economy and subjecting its people to extreme hardship. While the British era of economic exploitation is well recognized, it is crucial to also acknowledge the earlier, long-standing depletion of wealth under Islamic rulers. This overlooked chapter in history played a significant role in diminishing India’s global economic dominance and left a legacy of poverty and devastation that lasted for centuries.

  Sources

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   3. Annette Beveridge, Baburnama, Vol II, page 22

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