THE INDIA CONTEST

Bentley at the Red Light: Old Poverty, New Wealth

For the first time, the electorate faces a clear ideological choice. The Congress is the architect of liberalisation that unleashed the animal spirits of competition and innovation in the economy. The ensuing economic boom peaked in 2004; in the following decade, the economy grew at an average of 8% a year. This is evident as many sectors, including telecom, automobiles, pharmaceuticals and IT, became globally competitive.

Somewhere down the line, this growth story came up against some cruel facts: a large population afflicted by poverty and illiteracy, high malnutrition and abysmal public health. In stark contrast, world-class private schools, private hospitals, private estates, private planes, private roads and private banks blossomed.
There was always disparity, but never in your face. The pathetic picture of a car worth over a crore, waiting at a red light, besieged by begging children, is a new phenomenon. There have always been beggars, never Bentleys and Jaguars. Over the years, the rich became richer. This was not the outcome that Manmohan Singh, as finance minister, envisioned in 1991.

A year later, the BJP changed the debate with its sacking of the Babri Masjid. Suddenly, the debate was about Hindutva and the Ram temple. In the tumultuous decade that followed, the opened economy was hijacked by crony capitalists and middlemen. Mistaking this to be genuine reforms, the NDA government launched a highvoltage “India Shining” campaign. They even called an early election, hoping to cash in. In the event, a Congress-led coalition came to power in 2004 on an inclusive growth manifesto and was reelected in 2009.

Now, Narendra Modi, the new RSS mascot, has turned the BJP around to make it a US-style Republican party, stalling reforms in the legislature, promoting laissez faire and protectionist policies in the same breath, railing against government welfare spending, espousing a hardline but whimsical foreign policy. He speaks to an urban, upper-middle class audience and believes there are enough votes there to see him through.
Modi and his supporters believe he can form a government in 2014. It’s hard to believe, though, that his agenda of gated communities, luxury cars and conspicuous consumption will garner votes from the urban and rural poor, Dalits, tribals and Muslims who form the bulk of the young population. Meanwhile, the Congress has again arrayed itself in support of the excluded. More than his mother, Sonia Gandhi, who nudged the government into adopting a welfare-based legislative agenda, Rahul Gandhi is vocal about the skewed priorities.

The Indian business elite is up in arms against the Congress welfare agenda. They say India can’t afford it; they demand business-friendly policies that encourage growth, never mind the disparity. Senior ministers in the government are at pains to point out an inclusive agenda is not anti-growth and point to the national manufacturing policy that aims, in the next 10 years, to boost the share of manufacturing to 25% from 15% and, in the process, to create 100 million jobs.

In the face of heightened disparity, no political party can embrace trickledown economics and expect to form a government. Hence, the Congress lays emphasis on welfare along with its track record of growth. Modi’s noisy campaign, on the other hand, is based on disputable claims about growth and governance; the underlying message, however, is an unmistakable one of Hindu chauvinism.

Modi hopes to ascend on many contradictory platforms: authoritarian capitalism, muscular nationalism as a subliminal plank against minorities. In voting the Congress back in 2004 and again in 2009, the electorate turned its back on the BJP’s growth hype. The question now is whether voters will buy Modi’s high-voltage pitch. The idea behind the multilayered campaign is to fudge his track record that is sullied by allegations of his involvement in the 2002 Gujarat riots.

These charges have proved difficult to shake. Modi’s controversial role in the riots also attracted global concern. Major western countries instituted a diplomatic boycott; the US revoked his travel visa and is yet to restore it. Will the US presidential-style campaign help overcome the stain of 2002?

This article appeared in The Economic Times, November 5, 2013.

The India Contest

A new age of unreason

On a television talk show recently in which I was a participant, the question posed was “Have opposition politicians misunderstood the nature of lobbying?” The moderator went straight for the jugular, asking the BJP spokesman to defend the assertion of a senior leader of his party, who had asserted in Parliament that lobbying is illegal in India.

The anchor said his due diligence had satisfied him that lobbying is not illegal. Somewhat disingenuously and with the brash confidence of a man who knows little, the BJP participant contradicted him, saying there is no law that makes lobbying legal. To which the anchor responded: laws make things illegal, not legal. The BJP man was having none of it. “Why are you standing up for a corrupt company like Walmart?” he asked the journalist. “How can the spokesman of a leading political party accuse an international firm of corruption on prime time national TV?” I interjected. The BJP stalwart was undeterred and continued his rant, insisting lobbying is illegal and no different from corruption. It was plain that he knew very little about business processes and public policy apart from a few stray facts he may have picked up from newspapers.

Later, Delhi’s middle classes led by Left-leaning student unions took to the streets to protest the rape of a woman on a bus in the capital. Their demand was for the police chief, the chief minister and the Union home minister to resign. Granted, the police in Delhi are not very high on anyone’s security assurance list, and that one may have reservations about the Congress governments in the state of Delhi and at the Centre. But, the heinous crime was committed by violent psychopaths, like the shooter in Newtown, Connecticut. I didn’t hear any calls for Obama’s head or of the state governor or police chief. Crimes are mostly dealt with in retrospect, except in the Tom Cruise sci-fi film, Minority Report, which is about seers gifted with the ability to look into the future and prevent crime.

Crimes are committed the world over and sometimes law enforcement agencies are able to anticipate and prevent them. Mostly, they simply happen and police hunt down the perpetrators and turn them over to the criminal justice system for prosecution and, if proved guilty, punishment.

Then there’s the massive media hype about Narendra Modi winning a third term in Gujarat. The truth is he won by a smaller margin than five years ago; even his vote share has declined. Yet the talking heads and anchors of cable television and newspaper reporters would have us believe he will be the next prime minister of India. This is an individual who refuses to apologise for the riots that killed thousands in Gujarat when he was chief minister as well as home minister. While he has never been able to shake off allegations that he connived with mass violence, there’s no doubt he should be held responsible because he was the man in charge.

Every time this issue is raised in public, his supporters who are few but loud, raise the issue of the 1984 anti-Sikh riots in Delhi. Both incidents, 18 years apart, involved a lapse of governance leading to wanton loss of life and are condemnable. Except in the Gujarat case, the riots were followed by the systematic boycott of victims which pushed them into ghettos, a situation that persists to this day. Modi’s triumphalism and communalism is shameless and unapologetic as evident by his reference to Congress member Ahmed Patel as Ahmed mian.

A common thread runs through these narratives: lack of reasoned discourse. Between the media, opposition politicians and sundry activists outraged by some atrocity or corruption, debate has transformed into noise in which prejudice is the norm. The talking heads of television, pundits of print and those who attend exclusive parties in the capital, talk at each other without the slightest deference to reality. Did Walmart bribe government officials? Was Sheila Dikshit asleep when the heinous rape took place? Will Modi be the next prime minister? These are the questions being debated in public. Walmart may well have indulged in corrupt practices; there is an internal inquiry and some executives of the company have been suspended. The Delhi chief minister reacted with powers under her control — and that excludes the Delhi police — by scrubbing the licence of the operator on whose bus the woman was raped. And Modi actually lost ground in Gujarat; he still has a brute majority but his national ambitions have dimmed.

The Age of Unreason is upon us. People who would normally know better, including businessmen, members of the academy, activists, journalists and other groups which influence public opinion, seem to have lost their bearings. Pursuing their own limited agendas, they have put a crimp on Indian modernisation. As a concerned Indian citizen, “J’Accuse”, in the words of French writer Emile Zola. But while Zola complained about anti-Semitism in France, my complaint is about anti-Congressism. It seems to me that the entire political debate in India is focused on this grand old party. Those who hate it have forums to express themselves; those who are voiceless seem to vote for it, even in Gujarat.

The Age of Unreason is what 21st century’s second decade will be called in India. Everyone shouts and postures. And judgment seems to have fled to brutish beasts.

This article appeared in Education world magazine in January 2013 issue.

A new age of unreason