Thursday, March 6, 2014

Change of government in India, Indonesia

Among the Fragile Five, a change in government is likely in India and Indonesia.

But uncertainty abounds. In Indonesia, economic nationalism is on the rise, implying a risk that economic policy will follow an inward-looking course. 

In India, the opposition Bharatiya Janata Party’s prime ministerial candidate, Narendra Modi, if elected, may or may not be able to implement at the national level the growth-oriented policies that he successfully implemented at the state level in Gujarat. Much will depend on whether he can shed his sectarian attitudes and become a truly inclusive leader.