This post written in jiffy has become one of the most popular posts of this blog. The post looked at a timeline when Bombay probably replaced Calcutta as the leading financial centre. The post drew data from Clearing house data which shows how by late 1940s more cheques were cleared in Bombay over Delhi. This data was supported by RBI history which showed how overtime RBI moved from a twin office of Calcutta and Bombay to just Bombay. This transiton also happened towards late 1940s.
However, the question still remains why did Bombay eventually take over? I came across a wonderful book written in 1943 – A study of Indian Money Market by Bimal C Ghose (1943). The book particularly studies Calcutta Money Market but compares Bombay and Calcutta financial centres.
Before why Bombay, let us look at some more data which shows how Calcutta was more prominent compared to Bombay. All data is drawn from the Ghose book.