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INDIA TODAY - The most widely read newsweekly in South Asia.
    CURRENT ISSUE JUNE 06, 2005
 
   STATES: GUJARAT
 
Mark of Approval

A recent survey, which ranks Gujarat as the No. 1 state on its economic freedom index, is a pointer to the visible progress in vital sectors achieved by the programmes of the Modi Government
 

There's one Narendra Modi, the one whom the secularists and human-rights activists love to hate. The state's communal record continues to haunt the BJP. But there is also another Narendra Modi, the tough, efficient administrator who is clearly making headway in his crusade to turn the state into a symbol of Gujarati pride. A recent survey, conducted by two leading Indian economists who have excellent reputations as academics, Bibek Debroy and Laveesh Bhandari, for a German foundation, has ranked Gujarat as India's No. 1 state on its economic freedom index based on a series of parameters. Debroy is director of the Rajiv Gandhi Institute for Contemporary Studies, which has created some confusion as the report is being mistakenly attributed to the Rajiv Gandhi Foundation.

  PICTURE SPEAK
ECONOMIC VICTORY: Modi's policies enhanced the state's image

The report is the best possible news for Modi, weighed down as he is by party rebels. The parameters on which the study ranked Gujarat are difficult to contest, even though Modi has also inherited much of what's right with the state from earlier regimes. He can, however, claim credit for some crucial aspects: Gujarat boasts of the lowest power subsidy, has a better than average power situation, low levels of corruption compared with other states and a business-friendly environment.

As always, there is the flip side. A section of Gujarat BJP MLAs has been up in arms against Modi for his "dictatorial style" while the RSS-backed Bharatiya Kisan Sangh has targeted Modi for his "anti-farmer" stance. In fact, it may be his dictatorial style that helped him push through vital programmes that led to progress in every sector. To Modi's credit, he has resisted earning populism through doles and subsidies.

SUCCESSFUL INITIATIVES
Jyotirgram power scheme has ensured 24-hour, three-phase power supply to domestic and cottage industry users in 9,600 of 18,000 villages so far.

The Gujarat Green Revolution company is engaged in popularising modern irrigation techniques like drip and sprinkler among farmers.

Municipal employees were motivated through a series of video conference meetings.

The recent Krishi Mahotsav, which focuses on involving farmers in modern agricultural techniques, drew farmers on a far greater scale than before.

Modi's main contribution has been his five-point programme: Jal Shakti (conservation and distribution of water resources), Jan Shakti (harnessing and coordination of human resources), Urja Shakti (development and conservation of energy resources), Gyan Shakti (emphasis on learning and education) and Raksha Shakti (emphasis on physical and social security). The results of these and other initiatives have been noticeable. For example, the Jyotirgram power scheme provides 24-hour power supply to domestic and cottage industry users in 9,600 of 18,000 villages so far. The Rs 1,500 crore Gujarat Green Revolution company is popularising modern irrigation techniques like drip and sprinkler among farmers. Modi, along with Urban Development Minister I.K. Jadeja, motivated municipal employees through video conference meetings. Now a large number of the 200-odd municipalities have come out of the red. The water situation has also improved with the Narmada waters reaching distant Kutch. Besides, for the first time in the history of Gujarat, the Modi Government presented a revenue surplus budget this year.

Modi has achieved what he has through the effective use of technology. Recently, while interacting with government employees through a video conference, he said, "When people call me a corporate CEO I don't like it. The first aim of corporate houses is profit. If we hand over everything to corporate houses, who will look after the common man? Government employees have an important role to play."

Modi's similar motivation of public-sector employees seems to have paid dividends. Part of the reason is his decision to appoint efficient bureaucrats to run them rather than political appointees. Loss-making companies like Gujarat State Fertiliser Company and Gujarat Alkalies and Chemicals Ltd have started making profits again. Modi's ability to involve people in government programmes is also responsible for Gujarat's economic performance.

All this suggests that Modi may be accused of bad politics, but it is good economics that is helping him enhance his image and, by extension, that of the state. Whether his economics succeeds in obscuring his politics is a question that will await a later report card.


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INDIA TODAY - The most widely read newsweekly in South Asia.
CURRENT ISSUE
JUNE 06, 2005
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