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What is the Significance of this Grant of the Diwani?

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Question

This picture portrays a momentous event in 1765, involving a British Governor and a Mughal emperor wherein the Mughal emperor is conveying the grant of the Diwani to the governor.

What is the significance of this grant of the Diwani?

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Solution

The significance of granting the company the Diwani i.e. the right to collect revenue from these provinces and judge civil cases.

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