How did the assumption of diwani benefits the East India company?
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After the East India Company was appointed as the Diwan of the Bengal province, she made use of its vast resources. The British prior to 1765 had to import gold and silver form Britain for purchasing Indian goods. However, after it became the Diwan of Bengal, she used the revenues collected from the province for financing its trade with India, for building the Company’s fort and for maintaining its troops.
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It was free to make use of the vast resources of Bengal. ... After the assumption of the Diwani, the Company could use the revenues from Bengal to finance its expenses (which included purchasing cotton and silk textiles in India, maintaining its troops, and building the Company fort and offices at Calcutta).
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