OPINION Vol.1, No.1 June 2013 - National Defence University

OPINION Vol.1, No.1 June 2013 - National Defence University OPINION Vol.1, No.1 June 2013 - National Defence University

03.01.2015 Views

The “pro-business” reforms of Mr Rajiv’s era were followed by what were known as the “promarket” reforms spearheaded by Mr Manmohan Singh in 1991. Under these reforms, licence raj system was abolished; government allowed foreign direct investment (FDI) and opened up numerous state monopolies to private sector especially in telecommunications and air transport while the banking and financial systems were liberalized. However, reforms fell short of being far-reaching, as the ‘Inspector Raj’ system and the labour law remained untouched, but India finally opened up to an already globalized world. At the turn of the millennium, ‘liberalization, privatization and globalization related economic reforms’ surged the growth rate, touching the 8 percent mark for the first time in the financial year 2003-04 and the tempo was maintained in the following years. Given the high economic growth, the Indian media increasingly spread euphoria and the government was prompted to raise the growth target until World Economic Recession struck in 2008. Slogans of ‘SHINING INDIA’ and ‘INCREDIBLE INDIA” were coined in the same period and projected to make the world believe what was far from reality. In Oct 2012, second wave of reforms was approved by the Indian Cabinet, further facilitating FDI (51 percent in multi-brand retail, allowed foreign airlines to buy 49 percent stakes in Indian carriers, and raised the FDI cap in broadcasting services from 49 percent to 75 percent) 8 . The wave has injected some hopes in maintaining the desired growth rates. However, at the same time, it has also stirred the political undercurrents in the Congress led coalition (United Progressive Alliance) and the opposition. India’s Strategic Culture Indian strategic thought process and Foreign Policy has been influenced by the Kautilya’s Arthashastra 9 . Mandala theory of foreign policy given by Kautalia, outlines cardinal principles 10 which are evident in the practice of Indian foreign policy:- Ambition to increase power and territory should never be allowed to die down. Always be wary of your neighbouring states. Consider them to be your enemies. Establish friendly ties with neighbours of your neighbours. Friendship with other states should always be to acquire benefits from such ties. Greater powers should be cultivated, equal or weaker powers could be defeated through judicious alliances. Weaker powers could be attacked, patronized or ignored. Always be prepared for war using various stratagems and be ruthless in war. Resort to propaganda, sabotage and psychological warfare against other states. Infiltrate your agents to act as fifth columnists and all this should be done clandestinely. Employ bribery and other means leading to economic strangulation of the adversary states. Buy traitors in neighbouring states at all costs. Peace should be invoked only when you feel that you are about to be defeated or that your interests will be served better by resorting to peace. Strike as soon as you are in a stronger position or your adversary is in disarray even if you have a treaty of peace with him. Indian Emerging Strategic Orientation Presently, India is at a pivotal moment in its history. The extraordinary changes of the last two decades are fundamentally transforming Indian economy and society. The foundations of Indian success will, therefore, depend on its strategic and developmental orientation. Indian core objectives at strategic plane encompass 11 :- Retain maximum strategic autonomy to pursue her developmental goals. Deepening economic engagement with the outside world at all levels: trade, labour, technology and innovation. Correspondingly, an increasing range of Indian strategic interests entail, attracting maximum FDI through projection of soft power, securing energy and other vital natural resources, protecting the rights of Indian labour, maintaining and protect sea lines of communication, OPINION Vol.1 No.1 34 June 2013

protecting Indian investments overseas and knowledge and knowledge production, especially the capacity to innovate and to generate new forms of knowledge. Pacify the immediate neighbours especially China and Pakistan. Become an indispensable power in the littorals of the Indian Ocean and south-western Pacific 12 . Increase weight in global governance and eventually emerge as a "rule-maker"; quest for permanent seat at UNSC is crucial in this regard. Strengthen military muscle for becoming a credible power. Indian Vision 2020. 13 Indian elite has now started believing in ‘India Vision 2020’ that India should become part of the developed nations of the World. Objectives set forth are:- India, by 2020 will be bustling with energy, entrepreneurship and innovation. The country’s 1.35 billion people will be better fed, dressed and housed, taller and healthier, more educated and longer living. Silicon Valley will diversify from IT to biotechnology, medical sciences and other emerging fields of technology. Economic disparities between the “Haves” and “Have nots” will reduce. India will be integrated with the global economy and a major player in terms of trade, technology and investment. Rising levels of education, employment and income will help stabilize India’s internal security and social environment. A socially united, militarily strong and economically prosperous India being far less vulnerable to external threats. Driving Factors for Rising India. The following factors drive the Indian Vision of “Rising India”:- Geostrategic Significance. Indian geography is bestowed with abundant natural resources, diversity of landscapes and a dominating location in the Indian Ocean providing her the requisite power potential and geo-strategic advantage. It enables her to influence Indian Ocean as a counterweight to China and remain relevant to future global politics and help rise in the process. It is believed that India’s power resides at the convergence of the United States’ great interests; winning the war in Afghanistan, finding pivot in Asia-Pacific and the containment of China’s growing assertiveness. National Political Will. The fact remains that within last 19 years, India has experienced seven governments, 6 prime ministers but one direction which has managed average of 7.3% growth. According to Prime Minister Manmohan Singh, priorities of India are 14 :- First, India seeks rapid economic growth to accumulate wealth for the people. Second, India seeks growth that creates employment and development that is socially and regionally balanced and inclusive. Third, India seeks to build a modern, knowledge and science-based economy to complement agricultural and industrial base. Fourth, India wants development to be sustainable so that the wealth of natural resources is conserved for future generations. Fifth, India seeks a cooperative relationship with her neighbours and other partners so that all can prosper and benefit from each other. Sixth, India seeks to realize its development ambitions within the framework of a plural and secular democracy. Democratic Values. India has been a democracy for over six decades with fifteen General Elections to her credit. In this time, it has achieved some remarkable successes. Despite being severely critical of its politicians, the Indian electorate remains enthusiastic in its political participation especially at the elections with over 60% turnout rates; one of the highest in the world. OPINION Vol.1 No.1 35 June 2013

protecting Indian investments overseas and knowledge and knowledge production, especially the<br />

capacity to innovate and to generate new forms of knowledge.<br />

Pacify the immediate neighbours especially China and Pakistan.<br />

Become an indispensable power in the littorals of the Indian Ocean and south-western Pacific 12 .<br />

Increase weight in global governance and eventually emerge as a "rule-maker"; quest for<br />

permanent seat at UNSC is crucial in this regard.<br />

Strengthen military muscle for becoming a credible power.<br />

Indian Vision 2020. 13 Indian elite has now started believing in ‘India Vision 2020’ that India should<br />

become part of the developed nations of the World. Objectives set forth are:-<br />

India, by 2020 will be bustling with energy, entrepreneurship and innovation.<br />

The country’s 1.35 billion people will be better fed, dressed and housed, taller and healthier, more<br />

educated and longer living.<br />

Silicon Valley will diversify from IT to biotechnology, medical sciences and other emerging fields<br />

of technology.<br />

Economic disparities between the “Haves” and “Have nots” will reduce.<br />

India will be integrated with the global economy and a major player in terms of trade, technology<br />

and investment.<br />

Rising levels of education, employment and income will help stabilize India’s internal security and<br />

social environment.<br />

A socially united, militarily strong and economically prosperous India being far less vulnerable to<br />

external threats.<br />

Driving Factors for Rising India. The following factors drive the Indian Vision of “Rising India”:-<br />

Geostrategic Significance. Indian geography is bestowed with abundant natural resources,<br />

diversity of landscapes and a dominating location in the Indian Ocean providing her the requisite<br />

power potential and geo-strategic advantage. It enables her to influence Indian Ocean as a<br />

counterweight to China and remain relevant to future global politics and help rise in the process. It is<br />

believed that India’s power resides at the convergence of the United States’ great interests; winning<br />

the war in Afghanistan, finding pivot in Asia-Pacific and the containment of China’s growing<br />

assertiveness.<br />

<strong>National</strong> Political Will. The fact remains that within last 19 years, India has experienced seven<br />

governments, 6 prime ministers but one direction which has managed average of 7.3% growth.<br />

According to Prime Minister Manmohan Singh, priorities of India are 14 :-<br />

First, India seeks rapid economic growth to accumulate wealth for the people.<br />

Second, India seeks growth that creates employment and development that is socially and<br />

regionally balanced and inclusive.<br />

Third, India seeks to build a modern, knowledge and science-based economy to complement<br />

agricultural and industrial base.<br />

Fourth, India wants development to be sustainable so that the wealth of natural resources is<br />

conserved for future generations.<br />

Fifth, India seeks a cooperative relationship with her neighbours and other partners so that all<br />

can prosper and benefit from each other.<br />

Sixth, India seeks to realize its development ambitions within the framework of a plural and<br />

secular democracy.<br />

Democratic Values. India has been a democracy for over six decades with fifteen General<br />

Elections to her credit. In this time, it has achieved some remarkable successes. Despite being<br />

severely critical of its politicians, the Indian electorate remains enthusiastic in its political<br />

participation especially at the elections with over 60% turnout rates; one of the highest in the world.<br />

<strong>OPINION</strong> <strong>Vol.1</strong> <strong>No.1</strong> 35 <strong>June</strong> <strong>2013</strong>

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!