Monday, December 9, 2013

Congress losses semi final; captain retired hurt

Thought for the day
“Most of us spend too much time on the last twenty-four hours and too little on the last six thousand years.”
-Will Durant (American, 1885-1981)
Word of the day
Largesse (n)
Generous bestowal of gifts.
(Source: Dictionary.com)
Shri Nārada Uvāca
Morarji Desai (1977); V. P. Singh (1989); NTR (1982); Praful Mahanta (1985) Arvind Kejariwal (2013)?
A quick telephonic survey of 28 young finance professionals  - 16 were not aware if V. P. Singh is dead or alive; 13 thought Morarji Desai was a RSS colleague of Atal Bihari Vajpayee and no one remembers who were three main leaders who founded AGP!

Congress losses semi final; captain retired hurt

The results of recently concluded four state assembly election, though not unexpected, would have surprised most. The key highlights of the results are (a) The people have mostly continued with the trend seen in past 3-4years by giving a decisive mandate at the state level; (b) complete and total decimation of Congress Party; (c) strong performance of the newly formed Aam Aadmi Party (AAP) and (d) stupendous victories of Shivraj Singh Chauhan and Vasundhara Raje in Madhya Pradesh and Rajasthan respectively.
The elections which were widely seen as semi final of the general elections due in 4months, have provided some very interesting trends. For example consider the following:
(a)   In Delhi, Congress lost its traditional Muslim, SC and lower caste vote in Delhi to AAP. BJP failed to win central government employees who also went with AAP. But in MP and Rajasthan BJP gained votes from both BSP and Congress.
These trends could be crucial during 2014 general election in UP and Bihar. A change in voting pattern of Muslim, OBC and SC voters in favor of BJP in these states could be a major swing factor.
(b)   Encouraged by Delhi results, AAP could take their chances in other metropolis, e.g., Mumbai, Bangalore, NOIDA where conditions are fertile for their kind of politics to take root.
(c)   Besides Congress the other major loser in this election seems to be BSP.
(d)   The detractors of Narendra Modi within BJP have got another chance; though they may not want to express their dissention before 2014 election. In case, BJP falls well short of 200 seats in 2014 election, Shivraj will definitely emerge as consensus leader around which a larger coalition could be stitched.
Implications
The results of just concluded state assembly elections, in our view, will certainly have far reaching implications for various parties in particular and general political environment in general. For example consider the following:
(a)   The chasm between old feudal lordship within Congress Party and young turks has been widening since past few years. Loss in 2013 elections will embolden the old guards. With Mrs. Sonia Gandhi not in best of her health, and Rahul being repeatedly rejected by the people of India, we might see some Kamraj, Morarji Desai, Jagjiwan Ram, Biju Patnaik, Mamata Banerjee, Jagan Reddy Mohammed Alimuddin and Bhajan Lal sort of rebellion against the family. Nonetheless there could certainly be more episodes of Kamalapati Tripathi, Sharad Pawar and Sitaram Kesari sort of misadventures.
Rahul Gandhi in “acknowledgement of defeat” press interaction highlighted that the feudal elements in Congress Party have not heeded to his suggestion of changing the way party has traditionally worked. He said that he would pursue his agenda more aggressively going forward.
(b)   Priayanka Gandhi has not been tested yet, but in our view, faced with such a situation she may not be as successful as Mrs. Indira Gandhi was in overcoming the threat from Syndicate in late 1960’s.
(c)   Absence of any recognized national level leader outside Gandhi family will encourage more secession on lines of Sharad Pawar, Mamata Banerjee, Jagan Reddy, et al. This could be especially true in case of states where Congress enjoys reasonably higher vote share but is doing poorly in terms of electoral wins, e.g., UP, Madhya Pradesh and Gujarat.
(d)   With Narendra Modi at the helm, the secularism vs. communalism debate will become almost irrelevant breaking the very fulcrum of opportunist alliances that have kept Congress and some regional parties like RJD in contention since mid 1990’s. The disenchantment of Muslim voters with Congress Party in recent elections indicates to this trend.
In a communally neutral political environment the regional parties would be more amenable to BJP which does not compete with many of these at state level and has demonstrated better track record in center – state relations.
(e)   With Congress likely out of power for 5years, much reduced strength in Rajya Sabha and only a few states under its rule (forecasts suggest it losing Andhra Pradesh too, leaving it with just one big state under its rule, i.e., Maharashtra) the already meager cadre may further splinter away, making a comeback even more unlikely.
(f)     Congress Party in panic may reverse its decision of going alone in the election in the key states like UP and Bihar. This would structurally weaken the Congress as they would get much fewer seats to contest and therefore find it difficult to retain their flocks together.
(g)   Modi effect is clearly visible in the state election results. Despite strong undercurrent in favor of AAP and bitter infighting in BJP, the party has been able to retain its traditional voter base. In MP and Rajasthan it has broken new grounds. In Chhattisgarh, despite a strong sympathy wave in critical tribal areas of Bastar, BJP could scrape through. Weakening of Congress Party could further aid in strengthening of this trend.
Modi will however need to change his strategy to positive campaigning from mere Congress bashing as that space is crowded and regional parties might have edge over BJP in that space. The performance of AAP will certainly encourage the regional parties to adopt an aggressive anti UPA strategy.
(h)   It is also clear that Modi alone will not be sufficient to take BJP home. BJP would need a strong local leadership to gain new grounds. The key states of UP, Haryana, West Bengal, Karnataka, Andhra Pradesh, Assam and Maharashtra etc. still do not have strong and popular leadership.
(i)      India shall now move even faster towards a truly federal structure of governance with strong state leaderships and a “cooperating” central administration.
Tomorrow we shall discuss the socio-economic implications of the results.

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