ABSTRACT

This chapter presents from the archival records incidences of Anglo-American friction and fraternity during the course of their collaboration in India. It is argued that the Anglo-American in-theatre tensions, which largely pertained to routine operational matters, were insignificant in comparison with their intelligence cooperation. America built a rapport with India that helped it enormously in its post-war plans. War intricately tied India to the Anglo-American financial order. On the one hand, the sterling balances that accrued to India at the end of the war kept her dependent on Britain for foreign exchange. On the other hand, the financial impact of American Lend-Lease material that was left behind in India and the US silver loan to India in 1944 continued to keep India engaged until as late as 1958. These instruments of financial control exercised by the Anglo-American combine ensured that postcolonial India remained chained to the liberal international order and Americanism.

The Second World War introduced America to India and laid the foundation for a relationship that would operate at many levels in the post-independence period. The setting up of a military base in India also gave Britain greater flexibility during the transfer to tackle Indian nationalists. The American presence ensured that anti-colonialism did not take a violent turn in India and both the British as well Indian bourgeois interests were well protected. The Anglo-American combination guaranteed that independent India did not drift away from the Anglo-American orbit.