Reform Season

It’s the Budget season and there is no dearth of advice for the Union finance minister as political pundits in Delhi speculate the government’s likely priorities and Dalal Street wonders about the soon-to-be-revealed fiscal signals. This time round the Modi government is well-placed, having overcome a sub-par Lok Sabha performance with convincing wins in Haryana and Maharashtra although it failed in Jharkhand. The first Budget of Modi 3.0 stood out for a focus on employment that was thought to be an important issue in the 2024 elections apart from a continuing emphasis on capital expenditure. The internship scheme announced by the government is still in the works and some of the recent commentary has noted that the pace of reducing or doing away with red tape has slowed. The last quarter growth was underwhelming and though the government has said the trough has bottomed out, more needs to be done. The gathering view in policy circles is that a reiteration of reforms is needed and should occupy the government’s attention. The Budget requires a strong pro-reform push, possibly followed by an early decision to implement labour codes, at least in part, as this will signal intent and resolve. The goal of becoming the world’s third-largest economy needs better and more reliable regulatory and legal resolution structures which in turn can quicken inbound investment. The chatterati is waiting to see if the government bites the bullet.

Manmohan Memorial

The government is close to finalising a memorial space for India’s 13th Prime Minister Manmohan Singh who died of age-related ailments recently. This should end the unseeming controversy raked up by Congress which accused the government of “insulting” Singh by not announcing a site immediately. The charge is apiece with Congress’ belief in confrontationist politics although such tactics have brought limited returns. Those familiar with the UPA governments that held office from 2004-14 know that Singh was often bypassed by his
party on important political issues and had to accept the primacy of 10 Janpath. Singh’s former media adviser Sanjaya Baru has in a book recalled the ticking off he received from Singh for stating that an expansion of MGNREGA was the prime minister’s decision. The indiscretion ran counter to the plan to give credit for the decision to Rahul Gandhi and Singh was furious with Baru for overstepping his bounds. After UPA lost the 2014 elections, Singh retreated from public life but was sometimes seen standing with other Congress MPs at the Gandhi statue in Parliament as part of some protest or the other. Some commentators did feel he should have been spared this chore, being a former prime minister. But obviously Congress parliamentary managers thought differently.

Maga Muddle

MAGA handles on social media fuming about issues like H1B visas for Indians and Sriram Krishnan’s appointment as Donald Trump’s AI czar have given commentators dismayed by the growing support for Trump among Indian Americans a reason to insert themselves into the debate. The media is replete with reports, including by Washington-based commentators, about how the MAGA crowd has turned on Indians in general in a debate on immigration coloured by nativist interests. But Trump and his advisers are unlikely to ignore the role skilled foreign workers and immigrants play in ensuring America remains a leader in technology and innovation. And while the administration’s language might be conciliatory, no hostile act is expected. Meanwhile, Indian Americans who voted Trump were at least in part motivated by concerns about growing wokeism and the Left’s influence over the Democratic Party that was seen to encourage anti-Indian legislation and distorted depictions of Hinduism in school texts in some states. They were also, of course, hardly impressed by Democratic candidate Kamala Harris’ credentials either as a person with Indian roots or her suitability in general for the White House. As regards the second reason, Indian Americans were hardly an exception as a majority of American voters felt similarly.

The Bhagwat Effect

RSS chief Mohan Bhagwat’s remarks that raking up temple-mosque disputes won’t make people leaders of Hindus received varied reactions. Some Opposition parties dismissed the comments as empty words. VHP maintained silence but several Hindu seers said it was not RSS’ remit to comment on the matter. Now, Bhagwat has said similar things in the past and may well believe what he says, but VHP leaders point out that matters have progressed beyond even the position that disputes could be frozen if the Kashi and Mathura shrines were given to Hindus. There is, they point out, no indication of any reconciliation as Muslim bodies are planning long legal battles on the two shrines much as was the case with the Ram temple in Ayodhya. In the absence of reconciliation, there are other claims, such as the Bhojshala site in Madhya Pradesh where a temple was supposedly replaced by a mosque by Alauddin Khilji. “Who are we to say the Bhojshala claim or any other for that matter should be given up?” asked a VHP leader. The Supreme Court’s injunction will prevent courts from considering such pleas for now, but this is a temporary fix. The hastily legislated Places of Worship Act, pushed through Parliament by the PV Narasimha Rao government in the aftermath of the destruction of Babri Masjid, is bound to be rigorously re-examined despite efforts by an influential section of the commentariat to prevent the courts from allowing surveys of religious places intended to reveal their origins. A case can be made for status quo on the ground of preserving communal harmony. But this is unlikely to be accepted if the most egregious instances of Hindu temples that need restoration remain unaddressed.

Punjab Farm Fires

The Punjab government’s efforts to pass the buck on the logjam over the fast of farm union leader Jagjit Dallewal to the Centre are not succeeding. The unions are demanding Central legislation guaranteeing MSP for crops which the Centre has not accepted. The unions failed to march to Delhi due to barriers set up by Haryana Police along the border with Punjab. Expectations that the barriers would be lifted if Congress won the Haryana polls did not come to pass. The AAP government’s permissive stance towards farm unions has encouraged them to block roads and trains in Punjab at will and prevent Dallewal from receiving medical attention. The Punjab government argued in the Supreme Court that the Centre must accept the MSP demand as it is the only way the problem could be resolved. The court has so far not bought the argument and the AAP government has been left with an unpalatable situation. If it fails to remove Dallewal to a hospital, it not only risks the court’s ire but can also have a serious law and order problem on its hands if his condition deteriorates.

Economic reformIndian politicsIndian stock marketMaga MuddleManmohan SinghMohan Bhagwatsocial media