Politics India
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Politics India

November, 1998


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Issues of the Day

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1Issues of the Day Empty Issues of the Day Sun Nov 25, 2007 3:17 pm

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Major Political Issues in 1998


Privatisation
Privatisation of non-strategic public sector enterprises is popular with the business classes and somewhat popular with the general public. However, trade unions are strongly opposed and will resist any move towards privatisation.

Labour Law
Labour laws are very rigid. Any establishment employing over 100 persons needs to get permission from the government to lay off employees. The business classes support 'labour law reform'. However, no government has as yet taken on the powerful trade unions which will resist any such move.

Nuclear Weapons
Nuclear tests conducted by this government were popular with the general public, although opposed by the Communist Parties. Indian governments of the Congress and the BJP have argued that the CTBT (Comprehensive Test Ban Treaty) enforces a system of nuclear apartheid and have steadfastly refused to sign up to it.

Kashmir
The insurgency in Kashmir has taken a turn for the worse. The BJP has a policy of repealing Article 370 of the Constitution which gives greater autonomy to Kashmir, they want to integrate it into the Union on par with other states.

North-East (Further East of Bengal)
The low level insurgency in the North East is taking its toll on the local economy. Local people are upset with the government for turning a blind eye to the high levels of illegal immigration from Bangladesh which they claim is destroying their society. The North East is thought to hold substantial oil and gas reserves most of which is untapped.

Subsidies
The government operates an extensive and expensive system of subsidies for food, cooking fuel and fertilisers. There is broad support for reform to increase the effectiveness and efficiency of these subsidies. Many on the right also believe these subsidies to be too expensive.

Poverty
The poverty rate has actually increased since economic reforms began in 1991. Rural poverty, especially among landless labourers is particularly harsh. Slums are prevalent in major cities housing most of the immigrants from nearby villages who have arrived in search of work.

Ayodhya
Hindu nationalist mobs demolished the 16th-century Babri mosque in 1992 which was built over a pre-existing Hindu temple, vowing to replace it with a Hindu temple to Rama. The matter is before the Supreme Court. The Vishwa Hindu Parishad (World Hindu Council) wants a legislative solution to the dispute. The BJP made a manifesto commitment to construct a temple at the disputed site. The Congress and other 'secular' parties want to abide by the Supreme Court verdict.

Health
Government spending on healthcare in India is woefully inadequate. Hospitals run by state and local governments are often mismanaged and offer a poor quality of service. Most medical spending for private medicine is paid out of pocket as health insurance coverage is not very widespread.

Electricity
Electricity distribution is handled by state electricity boards. Supply is inadequate and power cuts for a couple of hours or so each day are common in the cities. A small number of villages are yet to be electrified. Some of the states charge very low tariffs and provide subsidised or free electricity to farmers; they are also beset by large transmission and distribution losses due to a lack of investment in infrastructure. As a result, many state electricity boards are close to bankrupt.

Water
Water supply and sanitation are inadequate. Municipal authorities responsible for water supply and sanitation often lack the resources for investment and maintenance of infrastructure.

Transport
Indian Railways constitute the main transport network for both goods and people. Much of the infrastructure is outdated as there hasn't been much investment in the last couple of decades. Instead, a populist policy of keeping passenger fares low and freight levies high is forcing more and more freight onto the road. The Railways now need government subsidies even for their current expenditure.

Education
While most people now have access to primary education, the quality of government schools is often poor. Fees for secondary schools often impose a heavy burden on poorer families. The quality of vocational education is poor and its availability is inadequate; it is a factor that is holding back rapid industrial growth. Some of the central universities are world class institutions. However, the majority of university students go to state government run universities which are of a lesser quality.

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