He studied at Krishnath College, Berhampur University and Presidency College, Kolkata and taught economics at Krishnath College. He earned a Master's degree from the London School of Economics and was among the first Indians to earn a PhD in Economics from London University. He had done his Ph.D. under Harold Lasky.
Career
While in London, Sanyal served on several committees for the London branch of the Indian National Congress, a banned organization. While he was a student in London he hoisted a Congress flag on the roof of a Govt building and was punished. He was a front ranking Congress leader of Bangiya Pradesik Congress Committee in 1930s. He was punished for becoming President in the Congress Session of 1933 which was banned by the then British Govt. He was arrested twice for his participation. Sanyal returned to India to become a professor at Calcutta University, but the government disallowed his appointment because of his activism. Sanyal took a position with insurance companies New India Assurance Co., the Metropolitan Assurance Co., and the Hindustan Co-operative Society Ltd.
Sanyal continued to actively protest against British colonial rule and was imprisoned seven times. He was elected to the Bengal Assembly in 1936. He took active participation in many historical cases in Brngal assembly during 1937-1947. and served as Chief Whip of the Indian National Congress of undivided Bengal, prior to the partition of the province. He was a vocal critic of the colonial government's policies during the Bengal Famine in 1943. In 1946, Dr. Sanyal was at the forefront of efforts to avoid the Partition of India. His suggestion of a loose federation was widely circulated and debated but was ultimately not adopted. When India was partitioned in 1947, he and Atulya Ghosh were able to convince the British to leave Maldah district in India (the area had a population that was evenly divided between Hindus and Muslims).
After independence, Sanyal remained an active force in building the new India and held many senior positions in government as well as represented India in international bodies.
Sanyal's book Development of Indian Railways is still considered a classic on railway transport and a primary source on the history of the Indian Railways. It was based on his Ph.D. thesis accepted by the University of London and was published by the University of Calcutta, 1930. The book is widely quoted in Land of the Seven Rivers: A Brief History of India's Geography by economist and writer Sanjeev Sanyal who is Nalinaksha Sanyal's great grandson.
In 1967 he along with Ajoy Mukherjee formed Bangla Congress and became an MLA. In the same year he left Bangla Congress and joined the PDF ministry with Dr. Prafulla Ghosh.
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