This chapter critically examines the role of financial imperialism in sustaining British colonial dominance in India during the interwar period, with a particular focus on the Great Depression. It argues that colonial control transitioned from overt political coercion to subtle yet potent financial mechanisms.  Drawing on a macroeconomic lens and world-systems analysis, this study explores how fiscal and monetary policies—disguised as 'sound finance'—prioritized metropolitan interests at the expense of Indian welfare. While Britain pursued Keynesian strategies at home, Indian policy remained staunchly deflationary, aggravating economic distress. The chapter details how exchange rate rigidity, punitive taxation, and coercive revenue collection enabled large-scale gold extractions from India, which were instrumental in stabilizing Britain’s post-gold-standard financial regime. Institutional instruments like the Imperial and Reserve Banks were structured to serve British interests, limiting India’s monetary sovereignty. The work also contrasts global responses to agrarian crises with British inaction in India, highlighting the deliberate neglect of debt relief and welfare initiatives. Ultimately, the chapter reveals that these policies not only deepened India’s economic dislocation but also intensified mass discontent, feeding into broader anti-colonial resistance. It concludes by noting how financial imperialism’s legacy shaped postcolonial dependency, reinforcing neo-colonialism under the guise of developmental aid.