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Political Diary
Interim Budget: WHO BENEFITS THE MOST?, By Dhurjati Mukherjee, 7 February 2024 |
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Open
Forum
New
Delhi, 7 February 2024
Interim Budget
WHO BENEFITS THE MOST?
By Dhurjati Mukherjee
Budget
analysis from various angles is found reflected in the media. Economists,
financial experts, and others involved in the analysis rarely try to find out
how much of the allocated sum reaches the lower segments of society, i.e., low-income
groups, economically weaker sections and the poor. This aspect is necessary as
around 60% of the population or more belong to the above category.
Experts note
that fiscal consolidation was attempted in the interim budget and there were no
populist measures, such as reducing the tax slab or increasing the standard
deduction so that the middle class pay less taxes. However, emphasis on infrastructure,
specially railways with allocation of Rs 2.55 lakh crore needs to be appreciated.
The three major economic railway corridors
announced shall improve logistic efficiency, reduce costs, ensure safety and
higher travel speed for passengers. Besides, the decision to roll out the first
set of 10 Vande Bharat trains with sleeper facilities and converting 40,000
bogies to such standards shall enhance passenger comfort.
The other positive aspects
include the vision of ‘Viksit Bharat’ which emphasises a prosperous nation in
harmony with nature and the steps outlined therein are welcome. Though the
focus of assisting States in accelerating development of aspirational districts
and blocks is well received, the target for each year and the funds to be disbursed
have not been outlined.
The
interim budget allocates significant resources to bolster the green energy
sector, with a focus on harnessing India’s vast offshore wind energy potential.
One such notable initiative includes viability gap funding for development of 1
gigawatt (GW) of offshore wind energy, which is expected to play a crucial role
in diversifying India’s renewable energy portfolio and reducing reliance on
fossil fuels. Besides, there’s an ambitious goal to set up coal gasification
and liquefaction projects capable of processing 100 metric tonnes by 2030 to
diminish India’s import dependency on natural gas, methanol, and ammonia, while
simultaneously promoting cleaner sources. There are plans too to set up
one crore rooftop solar power units for households.
As regards the farm sector, the
government’s resolve to increase output of oilseeds, milk aquaculture
production to help reduce dependence on imports for its food security and boost
exports is a long-awaited step. Experts have been emphasising diversification
of agriculture beyond crops to livestock and fisheries to increase farm income.
For the masses, support for 20 million rural homes is possibly the only area of
satisfaction as over Rs 50,000 crore has been allocated to PMAY-G for 2024-25,
which is almost double the Rs 28,174 crore spent in the current fiscal, as per
revised estimates.
Inequality remains a key
problem in the Indian economy and as per government data, per capita national
income increased from Rs 72,805 in 2014-15 to Rs 98,374 in 2022-23 –a 35% hike.
However, as known this is unequally distributed. A few big capitalists make
some big investments, but these are not enough to offset the decline in medium
and small enterprises or generate the much-needed employment. The big
economic concerns are unemployment and underemployment, poor viability of
farming, high food prices relative to workers’ incomes and inadequate access to
basic services.
Reacting to the interim budget,
Congress leader and former finance minister P. Chidambaram had said the fundamental flaw in NDA’s approach to the economy
and governance is it is biased in favour of the rich.“It is a government of the
rich, by the rich and for the rich,” he said, pointing out further “the government is either
ignorant or callous to the fact that the top 10% owns 60% of the nation’s
wealth and earn 57% of the nation’s income and that income inequality has
widened significantly in the last 10 years”.
Regarding government’s claim
that it was empowering women by increasing their participation in the work
force, he said the Labour Force Participation Rate among urban women is 24%
against 73.8% for men. Perhaps, the government increases workforce
participation for women by including unpaid helpers in family enterprises who don’t
get remuneration for their work.
The other basic problem of the
economy is the lack of momentum in the manufacturing sector, with weak private
consumption and investment and a rising divide between strong high-end and
subdued low-end purchases. Though there is much talk of fiscal consolidation,
the basic economic problems remain unresolved.
An important area that’s been
the subject of much discussion is the health sector. The country has 166,000 Health and Wellness Centres.
Beyond affordability and accessibility, the quality of healthcare is too poor
and can in no way be compared with other emerging nations. As per the Asian
Development Bank (ADB), the integration of quality into universal health
coverage is yet to be adequately addressed.
Apparently, there’s been a meager
1.7% rise in the budget for 2024-25 in the annual outlay for health programmes
after slashing the current year’s health expenditure by Rs 8500 crore. This
means a 4.3% decline in real terms, keeping in view inflation of 6%.As
Chidambaram pointed out that the budget for health is 1.8% and for education 1.5% of total expenditure, “None
of the boasts can be accomplished with such low expenditure.”
The government’s claim of
inclusive development has come under scrutiny as the National Campaign on Dalit
Human Rights (NCDHR) found that Scheduled Castes and Scheduled Tribes had been
allocated a paltry amount in the budget. The total estimated expenditure is Rs
51.08 crore, whereas the total allocation for the welfare of SCs is just Rs
1.66 lakh crore and even less for the STs at Rs 1.21 lakh crore.
Undoubtedly,
more resources are needed for welfare schemes, and this is only possible if
taxations are increased. Organisations like Oxfam have repeatedly stressed the
need to levy a wealth tax on the millionaires and billionaires of the country. Besides,
there is need to impose an inheritance tax of at least 25% as in most other
countries, including the US, it’s around 40%. But these suggestions sadly have
been ignored.
It’s basic
knowledge that generation of more revenue will lead to increase in development
expenditure. Most experts have been insisting on the need to increase tax to
GDP ratio, which would of course affect the corporate. This too is being
ignored by the ruling dispensation perhaps as some experts feel that top
corporates may be making donations to the party and/or for temples etc. The
inequality spectrum requires sustained attention.---INFA
(Copyright, India News & Feature Alliance)
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Uttarakhand UCC: IS INDIA NEXT ?, By Poonam I Kaushish, 6 February 2024 |
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Political Diary
New Delhi,, 6 February 2024
Uttarakhand UCC
IS INDIA NEXT ?
By Poonam I Kaushish
It’s been an in-n-out political doors
week: one Chief Minister switches sides, another is arrested and a third anointed
in his place topped by Opposition accusing BJP of ‘luring’ aka bribing MLAs to dump their Party. Amidst this, in salubrious
hilly Uttarakhand history was made when it became the first State to implement
the Uniform Civil Code (UCC), the last of BJP’s core agendas after it fulfilled
repeal of Article 370 in J&K and construction of a ‘magnificent’ temple in
Ayodhya, following recommendations from a Government-appointed committee.
Primarily, UCC a long-debated legal
reform aims at uniformity in personal laws, like marriage registration, child
custody, divorce, adoption, property rights and inter-State property rights
regardless of religious beliefs. It gives importance to safeguarding interests
of women, children and differently-abled and covers equal rights for daughters
living on ancestral properties and gender equality. The State also seeks a ban
on polygamy, child marriage and registration of live-in relationships.
It divests religion from social
relations and personal laws related to marriage,
inheritance, family, land etc,
bypasses contentious issue of reform of existing personal laws based on religion --- Hindu Marriage
Act (1955), Hindu Succession Act (1956) Hindu
Code Bill, Shariat law and Muslim Personal Law Application Act (1937). It would ensure all Indians are treated equally, provide gender equality and help improve women’s condition.
Tribals’ though have been kept out of its purview.
Pertinently, the need for a UCC
arises due to existence of discriminatory practices and is considered crucial
to achieving social reform, eliminating inequities, and upholding fundamental
rights. The BJP is clear: It believes no country should have any religion-based
law other than a single law for citizens. Moreover, UCC provides protection to
vulnerable sections and religious minorities, while encouraging nationalistic
fervour through unity.
Naturally, Opposition opposes this
on the fallacious ground UCC would interfere in religious groups personal laws and
right of religious freedom unless religious groups are prepared for change
(sic). It’s a ‘minority vs majority’ issue
and Hindutva Brigade’s policy for Muslims living in India. It would
disintegrate the country and hurt its diverse culture, they warn.
Many whoop for UCC underscoring
it is a comprehensive common law governing personal
matters: marriage, divorce, adoption, inheritance and succession for citizens
irrespective of religion, harmonising diverse
cultural groups, removing inequalities and protecting women rights.
Moreover, as India's political
realities have changed so much since 2014 and modern society is gradually
becoming homogenous whereby traditional barriers of religion, community and
caste are slowly dissipating thus supporting national
integration. A thought echoed by Supreme
Court in various judgments.
Those against it argue
it violates Constitutional freedom to practice religion of choice which allows communities to follow their
respective personal laws. For example, Article 25 gives every religious group
the right to manage its own affairs and Article
29 the right to conserve their distinct culture. Also, the Constituent
Assembly’s Fundamental Rights sub-committee deliberately did not include UCC as
a Fundamental Right.
As the cacophony for and against UCC
grows louder the correct answer lies somewhere in between. However, what cannot
be denied is UCC will benefit BJP electorally alongside the consecration of the
Ram mandir as it will be used as a ploy to corner the Opposition about
being pro-Muslim. A majority of Hindus would view it as the Party implementing
its agenda.
Towards that end Assam’s Chief
Minister Biswas avers he might copy paste Uttarakhand’s Bill while Gujarat
unleashed its UCC genie November 2022 by setting up a committee to study its
implementation and intends rolling it out pre-poll, the third State after
Himachal and Goa already has a UCC regardless of religion, gender, caste. It
has a common family law whereby all Hindus, Muslims and Christians are bound
with the same law related to marriage, divorce, succession.
However, some are wary
UCC will impose a Hinduised code for all communities as it could include
provisions regarding personal issues like marriage that are in line with Hindu
customs but will legally force other communities to follow the same.
Legal experts are
divided on whether a State has the power to bring about UCC. Some assert as
issues like marriage, divorce, inheritance and property rights come under the
Concurrent List, 52 subjects on which laws can be made by both Centre and States,
State Governments have the power to impose it.
Not a few disagree as
giving States the power to bring about UCC could pose a number of practical
issues. Think. What if Gujarat has UCC and two people who get married there move
to Rajasthan? Which law will they follow?
Besides, being a Directive
Principle of State policy it is not enforceable. Notably, Article 47 directs
the State to prohibit consumption of intoxicating drinks and drugs which are
injurious to health. But alcohol is sold in most States and different States
have different legal ages for drinking alcohol.
Arguably, what is it
about the Code that makes politicians other than Hindutva Brigade see red? Why
should UCC be viewed as anti-minority? If Hindu personal law can be modernized
and a traditional Christian custom struck down as unconstitutional, why should
Muslim personal law be treated as sacred? Should the State discriminate by
caste and religion?
Alas, over the years
deliberate distortions of religion to suit narrow personal-political agendas and vote-banks have vitiated
the country, obfuscating a crucial fact: Ambedkar advocated “optional” UCC. He made
two observations. One, Muslim Personal
Law was not immutable and uniform throughout India.
Regrettably, in today’s
politico-social reality Ambedkar’s advice is ignored and dismissed as utopian
hypothesis and Article 44 remains a dead letter. Undoubtedly, both Hindus and
Muslims have lost sight of their respective religions essentials, instead
largely misled by bigots and fundamentalists. Worse, even the educated are
speaking language barely distinguishable from that of Hindu-Muslim
fundamentalists. Their stock answer to every critique: Religion is in danger.
Complicating matters there are too
many religious practices and beliefs governed by personal laws, and unless we
as a society are ready to give up everything that we are used to, then there can
be a UCC. Think. Marriage, divorce, inheritance are not concepts that can be
regulated strictly by uniform laws, because they are all part of a personal
lifestyle which is interwoven within religious identity.
Certainly the path to UCC is
sensitive and difficult but it must be taken. A beginning has to be made if the
Constitution is to have any meaning. Discrimination cannot be justified on the
grounds of traditions and customs. To establish equality the law that regulates
population of a country should also be one. A common civil code will help the
cause of national integration by removing desperate loyalties to laws, which
have conflicting ideologies.
What next? Ultimately, no community
should be allowed to veto or block progressive legislation. Time now, to reject
different laws for different communities, implement Article 44 and reform
India.
One cannot progress riding on past’s
wheels. India needs uniform laws and should figure what is satisfactory to all
groups. Criminal and commercial laws are basic, so there is little purpose
behind common laws to appear as something else. It just partitions Indians on
the premise of religion that should not happen in the 21st century. It is
beyond endurance of sensitive minds to allow injustice to be suffered when it
is so palpable. What gives? ---- INFA
(Copyright, India News & Feature Alliance)
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Jharkhand Drama: OATH DELAY, POACHING THREAT, By Insaf, 5 February 2024 |
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Round The States
New
Delhi, 5 February 2024
Jharkhand Drama
OATH DELAY, POACHING THREAT
By Insaf
High
drama engulfs Jharkhand. The Champai Soren-led coalition government must win
the trust vote on Monday, which looks certain, but not after guarding itself
against BJP’s alleged attempts of ‘poaching’ some of its MLAs or indulging in
now familiar horse-trading? This, as past week saw political twists and turns.
On Wednesday, ED arrested JMM leader and then chief minister Hemant Soren in a
money laundering and land mafia case. He resigned before ED took him and senior
leader and aide of Shibhu Soren, Champai was named his successor. However, it
took two days for Raj Bhavan to administer him oath, unlike Nitish Kumar, back
with BJP in Bihar who was re-administered oath hours after breaking ties with
RJD.
Anxious
over the delay, JMM-Congress-RJD alliance flew its MLAs (43 in 81-member
Assembly) to Hyderabad, Congress-ruled Telangana soon after the swearing-in
fearing poaching threat and chose to prove its majority within 48 hours instead
of ‘10 days’ given. Predictably, lady luck shall be on Champai’s side given the
‘resort politics’, unlike his predecessor, wherein the Supreme Court refused to
entertain Hemant’s writ petition and interfere with his arrest, “a
well-orchestrated conspiracy” by Centre ahead of general elections and asked it
to approach the High Court. When his lawyers persisted saying “We are dealing
with a chief minister who has been arrested. See the evidence. This is not fair,”,
the top court advised it was at liberty to seek expeditious listing of his
petition before the Jharkhand HC. Sooner the better.
* * * *
Puja At Gyanvapi Mosque
Muslim
organisations under umbrella of AIMPLB (All India Muslim Personal Law Board)
are seeing red. following developments in mosque case. With Varanasi court
allowing puja in the Gyanvapi mosque’s southern cellar and Allahabad High Court
refusing interim stay, the Board said it would go up to Supreme Court. Said its
President Maulana Rahmani: “The court (Varanasi) ruled in haste and other (Muslim)
side wasn’t even given a chance to put arguments in detail. This has hurt minorities
confidence in judiciary.” Jamiat Ulema-e-Hind President Maulana Madani said: “If
such a big minority says it’s losing faith in judiciary, it’s not good for
country.” Noting ‘nation’s dignity and impartiality of judicial system and
administrative affairs being grossly compromised’ the group urged all
constitutional officials to take timely notice of it.” While that’s uncertain, security
was stepped up at the mosque on Friday for prayers as attendance was at its
capacity. Shops in the city and nearby vicinity remained closed as mosque
committee called for a shutdown. Growing tension needs to be nipped in the
bud.
* * * *
‘Fraud
& Forgery’ Poll
The
Chandigarh Mayoral elections continue to be dogged by controversy. AAP-Congress
bloc, confident of victory has alleged the polls were rigged by presiding
officer Anil Masih. BJP BJP candidate
Manoj Sonkar won the top post with 16 votes of 35-member corporation, and bloc candidate
Kuldeep Kumar got 12 votes, with Masih rejecting 8 votes as ‘invalid.’ Alleging
‘complete fraud and forgery’, Kumar promptly
petitioned Punjab & Haryana High Court seeking setting aside of poll; holding
fresh polls under retired HC judge’s supervision; restraining Sonkar from his mayor’s
functions and asking respondents to preserve/present before it entire poll
process, including ballot papers’ record and videography. With the court refusing
interim stay and issuing notices to Chandigarh administration, corporation,
Masih and Sonkar, among others, to file replies within 3 weeks, Kumar
approached Supreme Court for ‘urgent hearing’, challenging HC order ‘as the returning
officer was caught on video smudging the ballots.” The court said it would
consider it. Whoever said time is of the essence.
* * * *
Never
Ending Woes
Delhi
AAP’s woes are never ending. On Saturday last, a Delhi police crime branch team
went to Chief Minister Arvind Kejriwal’s residence to serve him a notice regarding
investigation over his claim that BJP was trying to buy AAP MLAs. But he
refused to take it. At the same time, Kejriwal has refused to appear before the
Enforcement Directorate, its fifth summon for questioning in Delhi excise
policy scam. Recall, that he has termed these notices “illegal” and not in ‘consonance
with the law’ and these be withdrawn. Indeed, AAP fears that the ED shall
arrest the leader, as it has done in Manish Sisodia and Sanjay Singh’s case
till now and the party would be at a loose end with general elections round the
corner. Worse, AAP itself could be made party to the case and could face
prospects of losing recognition by the Election Commission, though there hasn’t
been such a case before it. The fear is not unfounded as developments in
Jharkhand and the arrest of Hemant Soren ring warning bells. All eyes will be
on far the cat and mouse game will be played out.
* * * *
From Films To Politics
Tamil super
star Vijay has decided to script a new role for himself. On Friday last, the
49-year-old actor announced the launch of his political party ‘Tamizhaga Vetri
Kazhagam’ as people of Tamil Nadu, he said were yearning for a change. However,
it will pan out slowly as he will neither be contesting nor supporting any
party in ensuing Lok Sabha elections. The new role, from cinema to politics, is
aimed at 2026 Assembly polls given his concern over “administrative
deterioration, corruption and divisive politics.” ‘Thalapathy,' as he is addressed
by his ardent fans, called for a people’s movement, as it can only usher in the
much-needed political change –'a selfless, transparent, visionary and efficient
administration that is free of corruption, and caste and religious differences.’
Dialogue oft heard. An application has been submitted to Election Commission for
registration, following which policies, flag symbol, among others, would be
planned. Will he succeed as MGR or Jayalalitha did or will his fate be like
Rajnikanth and Kamal Hasan, time will tell. For will there
be takers to his commitment: “Politics
is not just another profession, it’s a sacred service to the people…”---INFA
(Copyright, India News & Feature Alliance)
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FM Promises Golden Era: HI DEBT FUNDS Rs 47tr BUDGET, By Shivaji Sarkar, 3 February 2024 |
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Economic Highlights
New Delhi, 3 February
2024
FM Promises Golden Era
HI DEBT FUNDS Rs 47tr BUDGET
By Shivaji Sarkar
It is a sparkling poll budget right from the President’s address
of Draupadi Murmu harping on the economy, to Finance Minister Nirmala
Sitharaman harping on the need to give hope to the people, attract investments,
highest capital expenditure, focus on rural recovery with housing, post-harvest
activities unveiling series of programmes for farmers, women, middle class and
dream GDP growth of 7.3 per cent.
The election emphasis was sharper in the President’s speech
as she unfolded the narrative of space to the economy and the finance minister
announced bringing a White Paper on mismanagement of the economy till 2014,
which marks an era of one of the five fragile economies led by Congress-led
UPA. It may also illustrate how it is becoming one of the top five economies.
The President in her ceremonial address to the joint
session of Parliament in the new building presented the government’s
achievements over 10 years across a variety of areas, offering a glimpse into
the issues the BJP-led NDA might focus ahead of the 2024 elections. “Since
childhood we have been hearing the slogan of “Garibi Hatao” (Indira
Gandhi’s plank in 1971), now for the first time in our lives, we are witnessing
eradication of poverty on a massive scale” adding that the poor people, youth,
women, and farmers would be the four ‘strong pillars’ of Viksit Bharat.
Repeating the “four pillars”, Sitharaman stressed on the various
programmes on the path to progress and growth. She repeatedly harped on all
kinds of farming classes – farmers, fishermen and dairy developers, the potential
voters.
The interim budget is not without its focus to impress. It
has large figures such as Rs 47.65 lakh crore expenditure (about Rs 3 lakh
crore more than 2023-4), Rs 30.8 lakh crore revenue including Rs 26.06 lakh
crore from taxes, capital expenditure outlay rise by 11.1 per cent to Rs
11,11,111 crore, 3.4 per cent of GDP, a 50-year-interest free innovation
loan and foreign direct investment of $596 billion – twice the inflow during
2005-2014, the UPA period, inflow.
But a matter of concern is its fiscal deficit and maturity
of dated securities, long term bonds that are to mature and have to be repaid.
Though technically fiscal deficit comes down to 5.1 per cent from last year’s
5.8 per cent, she said gross and net borrowings through dated securities would
be Rs 14.25 and 11.75 lakh crore. Total debt, external and internal, at Rs
168.72 lakh crore on 31 March 2024 is set to rise to 183.67 lakh crore.
Outstanding debt has increased by Rs 15 lakh crore entailing the higher
interest liabilities.
One interesting factor is the technicality in economic
terms, and she is right. Debt is earning and boosts GDP. The Finance Ministry
so far has never reneged on its repayment commitments. The debt burden seems
higher than revenue earnings.
The finance minister has cut Rs 32000 crore subsidies in
food, fertiliser and petroleum. The food subsidy cut comes amid the rising
minimum support prices. It banks on reduction of numbers of beneficiaries
following Adhar linkages. The allocation to MNREGA, however, is raised to Rs
86000 crore from Rs 60000 crore of the current fiscal.
Outgo to States as their share of revenue is Rs 22.22 lakh
crore. Interest payment liability has been budgeted at Rs 11.90 lakh crore,
10.18 per cent more than 2023-24. The innovation funding as interest free loans
for 50 years may be reviewed. The timeframe is too long though and may give a
psychological edge.
Sitharaman has not announced any concession on the tax
front. The highest income tax rates remain at 39 per cent while corporate tax
remains at 22 per cent and a new venture 15 per cent. Her core supporters are
critical as she ignored the “middle class” facing high cumulative inflation of
27.5 per cent in five years at the rate of Reserve Bank’s India’s 5.5 per cent
a year. One comment is interesting. It says, “We are clearly not a vote bank
that needs to be appeased”.
Expectedly her focus is on climate, farmers, agriculture
growth and other measures that would immensely improve the conditions of the
people as per the principle of ‘Reform, Perform and Transform’ and goes on to
include MSMEs, aspirational districts, the Eastern region, and its people –
Bihar and West Bengal, key electoral targets! Other than the PM housing for
rural area, for the first time she mentioned housing for the middle class “living
in rented houses, or slums, chawls and unauthorised colonies” to buy or build
their own houses.
Along with are mentioned agriculture and food processing to
employ 10 lakh persons, post-harvest activities including aggregation, modern
storage, supply chains and marketing, intense dairy development, setting up of
fisheries department to boost Matsya Sampada, five aquatic parks and sea food
exports. Also announced was the Atmanirbhar Oilseeds Abhiyan. The premise is
that these sectors would transform critical sectors and please the crucial
electorate in the farm sector in various parts of the country. However,
difference of farmgate prices and high retail for consumers has yet to be
bridged.
Women have been wooed in different ways. A laudable scheme
of course is vaccination for girls in age group of 9 to 14 for prevention of
cervical cancer. Similarly, maternal and child health care is being brought
under one comprehensive programme. Anganvadis are upgraded as centres for
nutrition delivery, early childhood care and development. Ayushman Bharat
benefits are being extended to all Asha, Anganvadi and helpers. It is expected
to incentivise the grassroot workers.
Overall health has got Rs 1095 crore more at Rs 90,170
crore and education Rs 13000 crore at Rs 1.25 lakh crore. The budget also
effects cut in Rs 32000 crore subsidies in food, fertiliser and petroleum.
The government is adhering to the fiscal glide path,
retaining the capex focus offering as much as trillion rupees in 50-year
interest-free loans to private players to take up scientific research. The
finance minister is buoyant on consumer confidence and has subtle satisfaction
of inflation being in the 2 to 6 per cent range even though the RBI has been
insisting on 4 per cent target for stabilising the economy.
The government’s growth strategy seems to be one that will
kickstart a virtual cycle while guarding against fiscal slippage, in view of
international war situations. The budget has many promises making good noises,
but one only hopes that the final July budget would be different.---INFA
(Copyright, India News & Feature
Alliance)
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Macron & Modi: SYMBOLISM & SUBSTANCE, By Prof. (Dr.) D.K. Giri, 2 February 2024 |
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Round The World
New Delhi, 2 February 2024
Macron & Modi
SYMBOLISM & SUBSTANCE
By Prof. (Dr.) D.K. Giri
(Secretary General, Assn for
Democratic Socialism)
French President Emanuel Macron was the Chief Guest on the
75th Republic Day celebration of India, stepping in for American
President Joe Biden, who had declined the invitation. In addition to growing
proximity between France and India, Macron was perhaps reciprocating Prime
Minister Narendra Modi’s presence at the Bastille Day celebration in Paris, on
14 July last year. Macron’s last-minute response to Modi’s invitation bespeaks
French willingness to stand by India in symbolism as well as substance of India-France
bilateralism.
Interestingly, France, although a member of NATO as well as
European Union, has been taking, at times, a strategic posture, independent of
the United States. That is why it aligns with India’s ‘strategic autonomy’ in her
foreign policy. New Delhi may not have common ground with USA and Russia, but
it is on the same page with France. Modi-Macron interactions resulted in a
joint statement that carries the convergence of perspectives like –
condemnation of terror attack in Israel, the need for humanitarian assistance
in Gaza and Ukraine, nuanced differences on the war in Ukraine, concerns over
the attack in Red Sea, attitude towards Houthis and Hezbollah’s etc.
What is of major interest is the reiteration of French
support to the newly-planned India-Middle East-Europe Corridor (IMEC) during
the G-20 Summit last September. Macron, once again, applauded the leadership of
Modi, on successful conduct and conclusion of the Summit. Both leaders agreed
that project IMEC would be of great strategic importance and would
significantly enhance the potential and resilience of the flow of commerce and
energy between India, the Middle East and Europe. To many observers, it is
obvious that the proposed IMEC is an alternative to the Belt and Road Project
of China.
In the current volatile international political situation,
France and India have decided to stand by each other. This is quite an encouraging
development for both Paris and New Delhi as there is grave tension from Morocco
to Iran, in South-East Asia due to Chinese hegemony. In South Asia, Beijing plans
to encircle India by seducing her neighbours. China is ‘gobbling up’ Maldives
inch-by-inch, having gripped Nepal, Bhutan, Bangladesh and Pakistan. Sri Lanka
is resisting but as India is jittery, Colombo might also fall for China. For
India to resist Chinese expansionism, it needs strong partners and France is
proving to be one. Apparently, the French President instructed his officials in
multiple sectors to allow India ‘no limit’ in accessing its technologies and
know-how.
Scanning the agreements arrived at during Macron’s visit,
there were number of deals done. In principle, France decided to support India
in developing top-of-the-line defence platforms such as fighter aircraft
engines, nuclear attack submarines, underwater drones, all of which are to be
locally made. The idea is to make India self-reliant with a robust industrial
base. A Letter of Intent on defence partnership was signed between Union Ministry
of Defence and the Ministry of the Armed Forces of France. Another
unprecedented defence agreement for Space, which has not been reported widely,
was signed between the two countries.
From the available information, as President Macron was at
the ‘At home’ reception in Rashtrapati Bhawan, this important deal was signed
by the French Defence Minister Sebastian Locornu and India’s National Security
Advisor Ajit Doval on 26 January. This agreement will facilitate protection of
communication and surveillance satellites and will make the battlefield more
transparent in air, land and sea. This agreement will also help develop and
launch military satellites to protect the national security of both countries. Moreover,
this will not only protect the space assets of India but track the movement of
adversaries. Similarly, another important agreement was signed for South-West
Indian Ocean. This will build on joint surveillance missions carried out from
the French Island territory of La Reunion.
More important for New Delhi, it was decided to jointly
manufacture in India and to export the products to third countries. As an
example of collaboration in third countries, it was decided to set up a solar
academy in Senegal under the star-C programme of international programme of
International Solar Alliance, which was primarily jointly created by India and
France. Overall, in industrial defence cooperation, both countries would co-design,
co-develop and co-produce defence hardware for the air, land and the sea.
A Memorandum of Agreement between Tata Advanced Systems Ltd
(TASL) and Airbus was signed to set up an assembly of civilian helicopters in
India. A Declaration of Intent was signed between Union Ministry of Health and
Family Welfare and the Ministry of Labour and Solidarity of France for
cooperation in the field of health and medicine. There was a renewal of
agreement between the Union Ministry of Housing and Urban Affairs and the
Ministry of Ecological Transition and Territorial Cohesion of France on the
cooperation in the field of sustainable urban development.
For Indian students, good news is in store. President
Macron declared that he would like to have 30,000 Indian students by 2030. He
said, “When this target is met, I will be the happiest President”. There would
be special Classes Internationales for Indian students to learn French,
necessary for admission into various colleges and universities. Macron said that
this was a new initiative called French for All, French for Better Future. France
will continue to offer scholarships to meritorious Indian students to be able
to study there. So far, India is the largest beneficiary of French
scholarships. Furthermore, France will offer five-year short stay Schengen Visa
for alumni of French educational institutions.
Modi spread a red carpet for Macron by receiving him
personally in Jaipur and asking his Foreign Minister to accompany Macron from
his arrival to departure. Macron landed in Jaipur and was taken to Jantar
Mantar, a world heritage site since 2010. Modi and Macron had tea at a Jaipur
teal stall on 25 January, where Macron paid for it by using the UPI. Both had a
road show from Jantar Mantar to Sanganeri state with a stopover at Hawa Mahal.
Macron was impressed by the huge turnout of people to greet them as well as the
pro-incumbency of Modi government weeks before the elections.
Overall, Macron’s visit was a success from the Indian point
of view as well as for Macron who is trying to re-establish his political
popularity after a shaky start to his second term. The reception and the
publicity he got from India may stand in good stead for him back home. However,
a closure look at the two-day visit of the French President shows a lot of
symbolism as well as some substance. Interestingly, quite a few observers argue
that any warmth and goodwill coming India’s way is a function of the defence
deals that India makes with those countries. France is India’s second largest
arm supplier and of course, has been the closest partner in Europe.
While there may be multiple interpretations of India-French
relations including the latest visit by French President, which, in fact, is
the third one by Macron, France is a solid partner of India. At the end of the
day that is what should count for New Delhi in its undeclared rivalry with
Beijing. ---INFA
(Copyright, India News & Feature
Alliance)
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