The UPA-2 government experienced many disruptions in Parliament caused by the BJP. They revolved around the lack of appropriate responses and actions to the humongous scams in the allocation of coal mines and spectrum, identified by the CAG.

There were other troubling actions by the government that remained unexplained. UPA-2 did little to increase investment and was unable to keep inflation down. The balance of payments was continuously in large deficit.

Many expectations The BJP began its term on a promising note. It was given a big majority in the Lok Sabha because of the expectation that there would be accelerated development, more jobs, better living, and far less corruption. It was lucky on two counts: its regime almost coincided with the collapse in crude oil prices, and the collapse of the economies of Europe, the decline of the Chinese economy, and the lack of revival in Japan. These reduced inflation, imports, and improved the balance of payments. India became the star of the world economy since it was the only fast-growing economy. The revival of the US economy was the other feature in the global economy.

But excessive rainfall in some areas and drought in others led to accelerating food price inflation. While public investment is growing, private investment growth remains modest. There is lack of progress in unifying the economy through a national goods and services tax (which the BJP had delayed for years in Parliament), and blocks on land acquisition by industry. And for urban development, restrictive labour laws, the stifling regime of inspections and controls that made starting and operating business very difficult, had to change. The influence of the RSS affected the quality of education.

Now that it is in power, the BJP expects a degree of cooperation from the opposition parties led by the Congress, something the BJP did not give to UPA-2. The trauma of overwhelming defeat in the elections and the skeletons tumbling out of the Congress closet, have led to the Congress developing a strategy of non-cooperation in Parliament. Legislations that the Congress initiated when it was in power are now held up. Increasingly, it appears as if the Congress is adopting a “scorched earth” policy: “since we were stopped from governing, we shall not allow you, either, even if the country suffers as a result”.

No room for vengeance India cannot afford this vengeful behaviour by either the government or the Opposition. During the last 18 months in power, this government’s behaviour with the Congress has displayed unconcealed lack of civility, arrogance and lack of consultation. The Prime Minister has barely spoken in Parliament. The absence of regular meetings with chief ministers, the National Development Council, and formal and informal meetings with Opposition leaders, has created a huge distance between the government and the Opposition.

Sadly, it has taken the BJP 18 months of power to realise that they cannot function without legislation, and that even a handful of Opposition members can prevent the passage of legislation.

The present face-off between the Centre and the Congress will wreak havoc on economic development at a time when the external circumstances are most favourable for Indian economic growth.

As the face-off gets worse, what could happen? Arrests of top Congress leaders, prosecution of the Gandhi family for more offences now mainly only whispered about, charges against other leaders, no business accomplished in Parliament, street agitations, and even riots. Rahul Gandhi seems to be developing a leftist economic philosophy. Its features include leaving agricultural and protected land from acquisition for industry or urbanisation; not changing labour laws; returning to heavy social expenditure by the Centre with little monitoring for effective receipt by targeted beneficiaries; a fractured instead of a unified India market; heavy subsidies on “essential” goods for the “poor” and for groups such as farmers.

In other words, Central control, massive giveaways, large social schemes without ensuring delivery, a large government ownership and domination of the economy. Rahul Gandhi is said to have had modern managerial experience. His political philosophy appears to be rooted in his dynasty. He is, in this, probably copying his grandmother’s economic approach.

But we are not in the India of the 1970s. We have a large and youthful population. Many want to escape the poverty of livelihood from agriculture. Urban migration is rising and will increase. Unless these migrants have skills and decent urban living standards, we will witness great unrest.

Realising true potential Agricultural lands must be converted for the use of industry and for urbanisation. India must realise its true economic potential as a nation by a unified goods and services tax. We must enable large labour usage for relatively less automated industries such as garments and so on. Our education and skills development must reach many more than it does. We must improve the delivery of our social schemes and reduce thefts, waste, and improve efficient delivery. We must make it easier for new businesses to start and function.

None of this will happen in a “scorched earth” India which seems to be the Gandhi family objective. The BJP must unbend and meet the Opposition demands in a bigger way.

India is already on the downward path. There is still time to pull back and give our people the economy they deserve. Political agitation is the last thing the country needs just now.

India is today a football game played by a weak team against a much stronger one. But the weak team has the power to prevent the stronger one from scoring any goals. The strong team must change its tactics in India’s interest.

The writer was director-general of NCAER

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