Question

what was meant by home charges

Answer 1

Before independence in India, home charges were special types of contributions which were used by the British government for meeting various types of expenses for maintenance of the colony.

These consist of payments of pensions and salaries of British people staying in India and interests earned on external debt of India.

Surpluses from the trade were used for making these payments.

Answer 2

Explanation:

Home Charges are the interests of India's external debts and the payments of the salaries and pensions of British officials in India are what the Home Charges comprised of. The trade surplus was used to make these payments or the payments for the Home Charges.