2nd January 2025
The Centre for Economic and Social Studies (CESS) hosted a faculty seminar on the Economic History of Hyderabad State: 1858 to 1948 on Thursday, 2nd January 2025, by Prof E Revathi, at the Seminar Hall of the B.P.R. Vithal Auditorium. The seminar, chaired by Dr G.R. Reddy, Founder Member of CESS, emphasized the importance of understanding historical contexts for contemporary socio-economic development. Prof. Adapa Satyanarayana, Former Professor at Osmania University, was the discussant, offering valuable insights.
Prof. Revathi began her presentation by discussing the 220-year reign of the Nizams (1729–1948), during which Hyderabad evolved into a significant princely state under colonial influence. She explained that by 1881, Hyderabad covered an area of 82,698 sq miles with a population of 9.8 million, consisting of Kannada-Marathi speaking regions in the north-west and Telugu-speaking regions in the south-east. She also explored the socio-political impact of anti-British and anti-Nizam movements, such as the 1857 Sepoy Mutiny and Turre Baz Khan’s revolt.
She highlighted the key reforms during the Era of Salarjung (1853–1883), including efforts to address state debts, modernize governance, and foster socio-economic development. She pointed out that Hyderabad led significant innovations, being the first princely state in British India to separate the judiciary from the executive, establish a university with Urdu as the medium of instruction, and develop public sector industries. She also mentioned that the state introduced its own railway system (Nizam’s Guaranteed State Railway), postal service, and currency (“Osmania Sikka”).
In her discussion on agrarian reforms, Prof. Revathi explained how changes in land tenure, revenue surveys, and the abolition of exploitative practices of tax collection played a pivotal role in fiscal consolidation, investment in economic infrastructure like railways, road transport and irrigation which positively impacted agriculture and the overall economy. She further noted that fiscal reforms from 1858 to 1930 led to a 292% increase in revenue, marking a shift from feudal stagnation to a developmental economy. Agriculture was commercialised, serving as suppliers of raw commodities and market for finished products. The integration of Hyderabad economy with world economy witnessed challenges posed by global events such as World War I, the Great Depression, and World War II, which significantly impacted the state’s economy. Following Hyderabad’s merger with the Indian Union in 1948, she noted that progressive legislations like the Jagirdari Regulation Act (1948) and the Hyderabad Tenancy and Agricultural Lands Act (1950) reshaped agrarian structures and gave rights to tenants.
Prof. Adapa Satyanarayana discussed the inclusive approach of the Nizams, highlighting their belief that Hindus and Muslims were like “two eyes” of the state. He noted that the VI and VII Nizams were secular in their outlook and promoted Urdu as the medium of instruction, similar to how the British introduced English. The Nizams believed the Jagirdar system was inherited from their forefathers, which is why they did not interfere with it. This tradition played a key role in maintaining continuity in the administration. Hyderabad also became a centre for modern research in medicine, with Osmania Medical College welcoming international research and encouraging scientific advancements. Both the VI and VII Nizams were broad-minded, fostering an atmosphere of communal harmony in Hyderabad. The city maintained a tradition of resistance against domination, from figures like Sarvai Papanna to Chakali Ilamma. Prof. Satyanarayana also emphasized the significance of two post-1948 acts: the Jagirdari Regulation Act of 1948 and the Hyderabad Tenancy and Agricultural Lands Act of 1950 in the agrarian history of the Hyderabad State.
Dr. G.R. Reddy concluded the seminar by thanking the speaker, discussant, faculty, and scholars for their valuable contributions, expressing hope for more enriching seminars at CESS.