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UPSC History Expansion Company and Bengal Nawabs Question Bank British Rule and Its Impacts and Regional Powers

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    What was the 'privy purse' in the context of the history of modem India? [NDA 2011-II]

    A)  A purse given privately by one organization to another

    B)  A purse given by the Government of India to dignitaries for sendees rendered

    C)  A grant given by the Government of India to the erstwhile Prince of India

    D)  A gift given by an erstwhile Prince of India to the Government of India

    Correct Answer: C

    Solution :

     Privy Purse in India was a payment that was made to the royal families of the former princely states of India. The Privy Purse was created as part of the agreements made by them to merge with Union of India in the year 1947.


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