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    South Asia
     Jun 29, 2006
Manmohan: Nothing ventured, nothing lost
By Ashok Malik

NEW DELHI - Just two years into his first and almost certainly final term as India's most educated and inherently most non-political prime minister, Manmohan Singh is contemplating the big six-letter word: legacy. What will history remember him for?

It's a question that must eat into him. After all, before he became prime minister - handed the job when the Congress party president, Sonia Gandhi, turned it down - the answer would have been easy. Manmohan was the distinguished technocrat who, as finance minister in 1991, opened India's economy to the world.

Today, the picture isn't quite as clear. Manmohan seems less and less in control of the government. His Congress party colleagues regard him as a stopgap until such time as Sonia's son Rahul



Gandhi, 36, is ready to lead. (Indeed, one political commentator has referred to the Singh prime ministry as "The Regency".)

The numerous smaller parties that participate in the Congress-led United Progressive Alliance (UPA) consider Manmohan a political lightweight, not the person to speak to if you want to cut deals with Big Sister. In recent weeks, despite the best efforts of diligent spin doctors in the Prime Minister's Office (PMO), it has become difficult to explain away Manmohan's inability to rein in senior ministers as merely "an example of the traditionally chaotic democracy in the Congress". In its worst moments, this government is a free-for-all.

This has brought into serious doubt elements of Manmohan's planned three-pronged legacy:
  • Sustained if politically calibrated economic reforms that would push India's GDP (gross domestic product] growth rates to 10% and more for the coming decade.
  • Focused interventions - from biotechnology in agriculture to spreading higher-education facilities to remote areas - that would ameliorate inequities.
  • A growing relationship with the United States, giving a political-strategic seal to a social-economic relationship and accepting, however vaguely, the potential of this partnership in the 21st century.

    The sum of this legacy, to quote an official in the PMO, would be: "the peaceful rise of India ... An India not suspicious of the world but willing to engage it, on its own terms".

    Yet that proposed legacy is at risk.

    For a start, economic reform is decidedly in the slow lane. The Left Front - a collective of four Marxist parties that supports the UPA in parliament but isn't part of the government - continues its role as an in-house opposition. It has scuttled privatization and snarls at even sales of minority stakes in state-owned companies. It has shut the gates on greater foreign direct investment in retail, and has opposed changes in labor laws.

    A few weeks ago, a junior commerce minister made a speech cautioning against free trade agreements with, among others, countries belonging to the Association of Southeast Asian Nations and warned that these would hurt Indian producers. He contradicted his senior minister as well as the prime minister. Yet, only days later, Sonia wrote to Manmohan making the same protectionist points.

    Ironically, it has taken a Manmohan Singh government to talk down business sentiment and temper the "India story". "Eight percent growth rates are still possible," said an economist, "but that's a low-hanging fruit. Without more reforms we won't reach the 10-12% rates we need to even seriously compete with China."
    Then there's everybody's favorite bogeyman - the United States. In mid-2005, Manmohan and US President George W Bush announced negotiations for a possible agreement that would allow India to import civilian nuclear technology while retaining its military program.

    This deal, a key component of which will probably be decided upon by the US Congress next month, amounts to a de facto legitimization of India's bomb and ends an embargo going back to 1974, when India conducted its first nuclear test. Not surprisingly, the implications of the Indo-US deal excite New Delhi's strategic thinkers and intelligentsia - Manmohan's natural constituency.

    Yet the deal has come at a price. As an aspiring power, and in keeping with its self-perception as a stabilizing force in South Asia, India has had to set aside the adventurism that historically marked its diplomacy: sending off a foreign minister publicly to embrace Saddam Hussein weeks after he invaded Kuwait, for example, or its reflexive Third Worldism or the hostility shown to Israel by issuing more supportive gestures to Palestinian groups than most Muslim countries.

    This shift has been reflected in a nuanced but consistent opposition to Iran's acquisition of nuclear weapons. It was also apparent when Manmohan skipped the Shanghai Cooperation Organization's recent summit. As one Foreign Office representative in Delhi explained, "We didn't really need to share the stage with [Iranian President] Mahmud Ahmadinejad ... Besides, the SCO is part of a subtle America-China tussle in Central Asia. India is not a big factor in the region. So why get involved?"

    Not everybody agrees with this interpretation. The move toward the United States actually began under the previous government, led by the Congress' chief rival the Bharatiya Janata Party, and to that extent it can hardly be described as freelancing by a non-representative prime minister. This has coincided with a growing distrust between the US and Muslim communities worldwide. Muslims in India have not been immune to this.

    The cocktail of Iran, the nuclear deal and Bush's visit to India in March was potent enough for the left to use it to canvass for Muslim support in state elections this summer, when the Congress and the Marxists fought each other. This could be repeated in Uttar Pradesh - a large state where every fourth voter is a Muslim and which goes to polls this winter.

    Manmohan's biggest problem, however, is that his party hasn't backed him wholeheartedly on the America front. This could be for one of three reasons. First, the Congress party doesn't want to be painted as anti-Muslim by its domestic opponents. Second, a residual anti-Americanism - a remnant of the 1970s - is still part of Congress' baggage.

    Third, nobody wants to give Manmohan absolute credit for a blockbuster deal. The Congress party - and Sonia too, perhaps - don't want him to fall flat, but they don't want him to shine and soar, either. Such attributes rightfully belong to the Nehru-Gandhi dynasty, which has provided three of the Congress' five prime ministers and thinks it has a fourth in the wings.

    In this situation, mere survival looks to Manmohan like an alluring end in itself. This means his ability to achieve great things in office will always be constrained. Paradoxically, it could also mean nobody sees any real need to replace him and that he stays on as prime minister until his terms ends in 2009.

    As the first rule of politics goes: nothing ventured, nothing lost. It may be Manmohan Singh's motto for the next three years.

    Ashok Malik is a journalist based in New Delhi. He can be contacted at malikashok@gmail.com.

    (Copyright 2006 Asia Times Online Ltd. All rights reserved. Please contact us about sales, syndication and republishing.)

  • China, India moving ahead of the pack (Jun 24, '06)

    India, US: The natural partnership (Jun 13, '06)

    Airport reforms: Make or break for Manmohan (Feb 3, '06)

     
     



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