Hundi
Topic: Mughal Agrarian Society and Economy · NCERT: Class 8, Ch 2 "Reshaping India's Political Map"
Meaning
A hundi was a written note telling someone to pay a sum of money to a named person. Merchants used it to move money from one place to another without carrying coins. This made long-distance trade safer and quicker. It worked like an early bill of exchange and was an early step towards modern banking.
Example
In the 17th century, a merchant in Surat could get a hundi from a banker and send it to a partner in another city. A banker there would pay the money in cash. Marwari banking networks ran such payments across Mughal India.
Don't confuse with
- Shroff: a moneychanger or banker, who was a person. A hundi was the paper used to pay.
Related concepts
- Flow of silver into India
- Silver rupya
- Banjaras
- Mahajan
- Nagarsheth
- Urbanisation in Mughal India
- Urban professional classes
- Manzil-abadi
- Sipah-abadi
- Mulk-abadi