Constitution’s will upheld

Instead of seeing the NJAC verdict as one that leads to a confrontation between the Parliament and the judiciary, the executive must use this as an opportunity to help the Supreme Court in preparing an institutional design so that appointments are fair and transparent.

Two days after the Supreme Court pronounced its verdict on the 99th Constitution Amendment Act and the National Judicial Appointments Commission (NJAC), declaring them to be ultra vires the Constitution, the Finance Minister, Arun Jaitley, said in his blog, “Indian democracy cannot be a tyranny of the unelected and if elected are undermined, democracy itself would be in danger.”

Law Minister Sadanand Gowda, immediately after the pronouncement of the judgment by the Constitution Bench, said that he was surprised by the verdict. He went on to say, “the NJAC was completely supported by Rajya Sabha and Lok Sabha; It had 100 per cent support of the people.” Telecommunications Minister Ravi Shankar Prasad — earlier the Law Minister who vigorously worked for the NJAC Bill — remarked that parliamentary sovereignty has received a setback. Attorney-General Mukul Rohatgi echoed similar sentiments when he said, “It is a flawed judgment ignoring the unanimous will of the Parliament, half the State Legislatures and the will of the people for transparency in judicial appointments.”

Questions on judicial review

The reaction of the executive to the NJAC verdict raises the fundamental question: Should the exercise of power of judicial review depend upon the will of the Parliament?

Indian Constitution, unlike the Constitutions of United States of America and Australia, does not have an express provision of separation of powers but its sweep, operation and visibility are not unclear. While it is the Parliament’s prerogative to amend the Constitution and make laws, the duty to decide whether the basic elements of the constitutional structure have been transgressed has been placed on the judiciary.

Once the legislature has done a ‘legislative’ act, the constitutionality of such an act can only be decided through the process of judicial review and there can be no rule of law without such a provision. In other words, the power to strike down offending amendments to the Constitution on the touchstone of basic structure can be exercised by the superior judiciary alone, uninfluenced by the will of the Parliament. The rule of law would cease to have any meaning if the discharge of judicial functions is seen as thwarting the will of the people represented by the elected legislatures. Any attempt to reconcile judicial review with the will of representatives of people is sure recipe for destruction of the rule of law.

Our Constitution has given the power of judicial review to the unelected superior judiciary to declare ‘unconstitutional’ a legislative act, once it is found to be violative of the basic structure. It would be a sad day for our democracy if the exercise of judicial function is made dependent on the will of the representatives of people. What remains of democracy if there is no rule of law? The institutional arrangement at the heart of our democracy provides that the will of the people, as reflected in the decisions their elected representatives, is subject to the will of the Constitution, as reflected in the decisions of an independent judiciary.

In the words of Alexander Hamilton, one of the framers of American Constitution, “where the will of the legislature declared in the statutes is in opposition to the Constitution, the judges ought to be governed by the latter, rather than former.” This means that demands of the Constitution can override the wishes of the people expressed through elected governments. These are at the very core of a democratic commitment to judicial independence and constitutional supremacy.

Parliamentary supremacy refers to the power of Parliament to make laws within the limits imposed by the Constitution. It also denotes the supremacy of Parliament over the executive, primarily through the accountability of the Council of Ministers to Parliament. Judicial review of the constitutional validity of laws is also an integral part of a parliamentary democracy.

All the three organs of the state derive the power and jurisdiction from our Constitution. Each must operate within the sphere allotted to it. Judicial function is also a very important sovereign function of the state and provides the foundation for rule of law. When a verdict such as that striking down the NJAC comes, the ebb and flow, the critical scrutiny and the inherent relational tensions are not surprising. They must be handled deftly and with maturity.

Judicial independence is a central goal of most legal systems, and the mode of appointment of judges is seen as a crucial mechanism to achieve this goal. While in all democracies of the world, there is near-universal consensus on the importance of judicial independence, legal systems utilise a wide range of selection mechanisms — the split model, the collaborative model, the parliamentary model, the judicial self selection model and the judicial appointments commission model — in practice. Often, they reflect different conceptions of independence of judiciary.

The diversity of constitutional ethos in different countries suggests that it may not be a good idea to borrow other systems for the selection of judges. It is not wholly correct to say that judges appoint judges in India as consultative participation of the executive is present in the institutionalised procedure prescribed after the Third Judges case, but assuming it to be so, ours is perhaps the only country where the government is the biggest litigant before the courts.

We are one of the very few countries where actions of the political executive in diverse fields — ranging from violation of human rights to wrongful distribution of natural resources and wide range of issues which have huge political ramifications — are brought before the superior judiciary in the public interest litigation. Can judges who are appointed with the direct say of the government be relied upon to deliver neutral and high-quality decisions in such matters? It is no exaggeration to say that appointment processes shape the ability of courts to hold political institutions to account.

Veto to non-judicial members

In the Second Judges case, the nine-judge Bench exposited that appointment of judges to High Courts and the Supreme Court forms an integral part of the basic structure of our Constitution, and therefore, the executive cannot interfere with the primacy of judiciary in the matter of appointments. The NJAC’s flawed composition consisted of the fact that it merged certain components, reflected in the inclusion of Law Minister and two eminent persons and giving any two members the power to veto the decision of the other four. This directly affected the independence of judiciary in the judicial appointments process. Had the Parliament maintained the primacy of the judiciary while providing for the entire scheme of working of the NJAC, the decision may have been different.

It is true that while legislatures respond to the urgings of the people, the judges serve only for justice — for them justice is the only mandate. I see the NJAC verdict as a demonstration of constitutional compliance and not of the judiciary flexing its muscles to knock out the people’s will. For me, democracy is enhanced when judiciary effectively fulfils its constitutional mandate. Democratic values are strengthened not only by a strong legislature but also by a strong judiciary so that together a mutually respectful and independent partnership on the public’s right to justice is maintained.

While I admire the well crafted article “Usurping Parliament’s Power,” written by Abhishek Manu Singhvi , I find myself unable to agree with his reasoning. However, I agree with him that judicial appointments need fresh air and an innovative and objective set of inputs. That is what I felt as the Chief Justice of India. I wanted to institutionalise the best practices that would bring fairness and transparency in the appointment of judges to the superior judiciary. I had a long meeting with Chris Stephens and Lord Toulson, Chairperson and Vice Chairperson respectively, of Judicial Appointments Commission, England and Wales to understand their working in the judicial appointments.

The judges who delivered the judgment in the NJAC case also hold the view that an improvement in the working of the collegium system is the need of the hour. They have proposed a hearing on this aspect on November 3.

Instead of seeing the NJAC verdict as one that leads to a confrontation between the Parliament and the judiciary in the matter of the appointment and transfer of judges of the superior judiciary, the executive must use this as an opportunity to help the Supreme Court in preparing an institutional design so that all appointments by the collegium meet the tests of fairness and transparency and all selections are made solely on merit with an encouragement provided to the diversity in the persons available for selection. Appoint good judges; the rest will follow.

Text of PM’s address at the launch of IDFC Bank

Text of PM’s address at the launch of IDFC Bank

उपस्थित सभी वरिष्‍ठ महानुभाव,

मैं आईडीएफसी बैंक को बधाई देता हूं कि 18 साल की यात्रा कोई बहुत बड़ी नहीं होती, लेकिन 18 साल की इस छोटी सी यात्रा में भी भारत के नक्‍श्‍ो पर अपनी एक जगह बनाई है। लेकिन अब तक जो उन्‍होंने जगह बनाई थी वो ईंट, चूना, माटी, पत्‍थर, तार इसी के द्वारा बनाई थी। कभी रोड बनाएं कभी बिल्डिंग बनाएं, कभी port बनाए लेकिन अब वो जीवन निर्माण की दिशा में कदम रख रहे हैं। और मैं मानता हूं कि 18 साल में जो चुनौतियां आपको मिली हैं, अब शायद ज्‍यादा चुनौतियां आपके सामने हैं। क्‍योंकि वो एक limited clientele होता है और आपको अपनी गाड़ी को आगे बढ़ाना होता है। और कुछ चीजें उसमें assured होती हैं, पहले से पता होता है कि भई इस Project का क्‍या होगा, क्‍या refund होगा, क्‍या revenue होगा, बैंक की क्‍या स्थिति रहेगी। ये वो क्षेत्र नहीं है। और इसलिए एक इंजीनियर का काम सरल होता है, लेकिन एक शिक्षक का काम बड़ा भारी होता है क्‍योंकि शिक्षक को जीवन तैयार करना होता है, इंजीनियर को इमारत बनानी होती है। IDFC अब तक जो काम करती थी अब उसको शिक्षक का रोल भी अदा करना होगा और इसलिए मुझे लगता है कि आने वाले दिनों में ये चुनौतियों के बावजूद भी, एक सही दिशा में कदम होगा।

ये बैंक का मूल उद्देश्‍य तो गांव में जाना है और मैं मानता हूं ये देश का दुर्भाग्‍य है कि देश को नियम बनाना पड़ा कि 25% जब तक आप बैंक में गांव नहीं खोलते हैं आपको permission नहीं मिलेगी। मैं मानता हूं ये नियम बनाने की जरूरत नहीं पड़नी चाहिए थी, लेकिन पड़ी। क्‍योंकि हम लोगों ने कभी भी हमारे ग्रामीण जीवन के potential को समझा नहीं और urban life, governments, government machinery, वहां पर इन कारोबार को चलाने के लिए बहुत अवसर होता है और इसलिए एक प्रकार से बैंक को चलाना, बैंक का growth continue करना ये ज्‍यादा challenging work नहीं है और इस तरफ ध्‍यान नहीं गया। लेकिन पिछले कुछ वर्षों में ये ध्‍यान में आया है और हर किसी की नजर गई है कि भारत में ग्रामीण जीवन भी एक बहुत बड़ा growth centre बना है। आपको मालूम होगा जब telecom industry आई और उनको जब भी spectrum दिया जाता था और गांव की बात कहते थे तो आगे-पीछे, आगे-पीछे होते थे। या तो किसी को sub-contract दे देते थे और अपनी गाड़ी चला लेते थे। लेकिन जब गांव में गए तो उनके लिए surprise था कि telecom के growth का शहरी percentage से ग्रामीण percentage ज्‍यादा ऊंचा था। Spread भी ज्‍यादा था, गति भी तेज थी। और इस अर्थ में उनके लिए वो.. अच्‍छा! गांव के व्‍यक्ति का communication ज्‍यादातर अन्‍य शहरों से होता है, इसलिए Income का level भी ज्‍यादा था। शहर का गांव, शहर में ही शहर में करता था, लेकिन उनका Income level….लेकिन ये बातें उनको ध्‍यान आईं, बाद में जाने के बाद। मैं समझता हूं बैंकिग sector के लिए भी अब ये अनुभव आने वाला है। बहुत तेजी से ग्रामीण अर्थव्‍यवस्‍था भारत के जीवन को एक ताकत दे रही है। बड़ा बदलाव आ रहा है।

एक बात और भी है, जैसे अरुण जी ने बड़ा विस्‍तार से बताया कि अब, अब banking जीवन बदल चुका है, अब वो mobile banking ही चलने वाला है। premises-less, paper-less, ये ही बैंक की पहचान होने वाली है। न जिसमें कोई premises होगा और न ही कोई paper होगा। और उसके बाद भी बैंक चलेगी, लोगों को पैसे मिलेंगे, लोगों का कारेाबार चलेगा। और धीरे-धीरे हमारे देश में ये स्थिति आने वाली है कि currency भी, शायद आज जो currency print करने का खर्चा होता है, वो भी धीरे-धीरे-धीरे-धीरे कम होता जाएगा क्‍योंकि ये कारोबार इस प्रकार से बढ़ने वाला है। और हमने भी देश को उस दिशा में ले जाना है। और जैसे-जैसे हम technology के सहारे banking करेंगे, जब हम paper-less bank की व्‍यवस्‍था करेंगे, currency-less कारोबार चलाएंगे तो काले धन की संभावनाएं धीरे-धीरे-धीरे जीरो की तरफ चली जाएंगी। और इसलिए इस सारी व्‍यवस्‍था का उपयोग एक उस दायरे में होने वाला है जो देश की मूलभूत कुछ बाते हैं जिसको address करने वाला है। IDFC उसकी beginning कर रहा है। मध्‍यप्रदेश से उनका प्रारंभ हो रहा है, वो भी उस इलाके, जो एक प्रकार से आदिवासी क्षेत्र से जुड़े हुए हैं, नर्मदा के तट के साथ जुड़े हुए हैं, वहां से इस काम का आंरभ हो रहा है। ये भी आवश्‍यक है।

आज सारा विश्‍व आर्थिक दृष्टि से भारत के प्रति एक बड़े संतोष की नजर से देख रहा है, सिर्फ आशा की नजर से नहीं, एक संतोष की नजर से। और उसको लगता है कि पूरे विश्‍व में इतना turmoil आ रहा है लेकिन एक भारत है जो स्थिर खड़ा रह पाया है और global economy में भी किसी राष्‍ट्र का स्थिर economy को handle करना ये भी अपने-आप में विश्‍व में संतुलन बनाने के लिए बहुत बड़ी भूमिका अदा करता है। और वो भूमिका भारत ने इस पूरे वैश्विक संकट के समय अदा की है। इतने बड़े तूफान के बीच भारत अपने आप को बना पाया है। और बना पाया है तो आगे बढ़ने की संभावना भी उसमें बहुत ज्‍यादा है।

विश्‍व भारत के संबंध में ये अनुमान लगाता है कि भारत का potential इतना अपरम्‍पार है अभी तक आप tap नहीं कर पाए। लोग ये नहीं करते हैं कि भई आप कैसे आगे बढ़ोगे, आप कुछ टिक पाओगे के नहीं पाओगे, बचोगे कि नहीं बचोगे, ये चर्चा नहीं। चर्चा ये है, अरे भाई इतना मौका है, आप, आप ठंडे क्‍यों ? ये सवाल पूछा जा रहा है। यानी सारे विश्‍व को लग रहा है कि आज विश्‍व के आर्थिक जीवन में सबसे अगर कोई potential area है जहां growth story है तो वो हिंदुस्‍तान में है। और हमने भी देखा है World Bank हो, IMF हो, बाकी जितनी Rating Agencies हों, सबने कहा है कि भारत आज दुनिया की, बड़े देशों की सबसे तेज गति से आगे बढ़ने वाली कम्‍पनी है। अगर ये ताकत हमारे पास है, तो हमारा काम है कि हम foundation को भी मजबूत करें और vertical भी जाएं। Horizontal and vertical, दोनों तरफ हमें आगे बढ़ना पड़ेगा और Horizontal जाने के लिए ये ग्रामीण जीवन में हम कैसे प्रवेश ? हमारा व्‍याप कैसे बढ़ाएं? उसी प्रकार से हम नए-नए क्षेत्रों को कैसे चुनें? अगर हम priority sector देखें, priority sector को पैसे देना, ये सरकार के कुछ नियम हैं, जाते हैं लेकिन मान लीजिए कहा गया कि भाई agriculture sector को पैसा देना है, लेकिन एक fertilizer कारखाने को दे दिया, माना जाएगा agriculture sector और हिसाब ठीक हो जाएगा तो agriculture sector को दे दिया। इससे हमें बाहर आना है। हम एक सामान्‍य agriculturist को या गांव को ध्‍यान में रख करके या दो, चार, दस गांव के बीच में cold storage कैसे बनें? Warehousing की व्‍यवस्‍था कैसे हो? उसमें banking कैसे? हम value addition में कैसे मदद कर सकते? हम सिर्फ agriculture sector को पकड़ें, आज मैं समझता हूं कि इतनी संभावनाएं पड़ी हुई हैं, हिन्‍दुस्‍तान का किसान आज दुनिया के साथ अपने-आप में तालमेल करने की कोशिश कर रहा है। आपने देखा होगा, कि एक महिला अपना नम्‍बर अंग्रेजी में बता रही थी, Mobile Number अंग्रेजी में बता रही थी। अब ये कोई जरूरी नहीं है कि उन्‍होंने किसी स्‍कूल में जा करके पढ़ा होगा। लेकिन अब धीरे-धीरे करके सब चीजें समाज, जीवन में सहज हिस्‍सा बन रही हैं। ये इस ताकत को पहचानना, यही तो सबसे बड़ी खूबी है। हम इसको अगर ताकत मानते हुए, हां ये बदलाव है क्‍योंकि मेरा तो ये अनुभव है।

मैंने एक बार कहीं वर्णन भी किया था, में गुजरात में जब मुख्‍यमंत्री था तो एक बहुत ही पिछड़ा तहसील है हमारे यहां, धर्मपुर के पास, बलसाड़ जिले में, tribal belt है। अब मेरा मुख्‍यमंत्री रहते हुए वहां कभी कार्यक्रम नहीं हुआ था तो मैंने आग्रह किया, मैंने कहा मुझे वहां जाना है। न एक दिन कोई कार्यक्रम नहीं होगा तो ऐसे ही जा करके एक पेड़ लगा करके वहां से वापिस आऊंगा। तो फिर एक chilling centre के उद्घाटन के लिए कार्यक्रम बन गया। अब chilling centre क्‍या 50 लाख का होता है, छोटा सा क्‍या होता है, जो दूध लोग देने आते हैं, उसको, ट्रक आने तक उसको संभालते हैं। इतना ही होता है। मैंने कहा मैं उसके लिए जाऊंगा। फिर वहां करनी थी तो जगह नहीं थी, क्‍योंकि जंगल है तो कोई जगह नहीं थी, तो एक स्‍कूल थी दूर, दो-ढाई किलोमीटर, स्‍कूल में function था। लेकिन इस कार्यक्रम के लिए उन्‍होंने 50 करीब आदिवासी महिलाओं को बुलाया था। दूध भरने वाली जो महिलाएं होती हैं, 50 को बुलाया था। जहां chilling centre था, वहां। सब वहां तो अलग था माहौल। मैं हैरान था जब chilling center में उद्घाटन वगैरह हुआ, ये महिलाएं सारी मोबाइल से फोटो निकालती थी। आदिवासी महिलाएं फोन से फोटो निकालती थी। मुझे जरा surprise हुआ। मैं उनके पास गया। मैंने कहा ये फोटो निकाल कर क्‍या करोगे? उन्‍होंने जो जवाब दिया वो और आश्‍चर्यजनक था। उन्‍होंने कहा, हम इसको download करवा देंगे। अब ये download शब्‍द उनको मालूम था। download कैसे होता है, कहां होता है, ये पता था। इसका मतलब ये हुआ कि हम कहां तक पहुंचे। इसको हम किस प्रकार से आने वाले दिनों में हमारी growth story का हिस्‍सा कैसे बनाए और उस दिशा में हम कैसे काम करे?

उसी प्रकार से हमारे नौजवान। उनको पढ़ाई के लिए सरलता से Bank loan की व्‍यवस्‍था क्‍यों न हो? मेरा मत है ये women self-help groups....Women self-help group को पैसा मिलता है, अगर उनको बुधवार को पैसा जमा करवाना है 100 रुपए तो मंगल को आकर के दे जाते हैं कि लीजिए साहब मेरा पैसा कल पता नहीं कहीं और खर्च हो जाएगा। ये sensitivity है हमारे यहां, ग्रामीण जीवन में। इसका जितना लाभ लेना चाहिए हमने लिया नहीं और साहूकारों ने इस पर अपनी पकड़ा जमा दी और उसने हमारी economy को भी बहुत बड़ा नुकसान किया है। तो हमने एक विश्‍वास पैदा करना है, एक गारंटी पैदा करनी है। मैं समझता हूं ये जो प्रयास है, वो प्रयास उस परिणामों को जरूर अवश्‍य फल देगा।

Banking sector में हमारी ये कोशिश रही है कि bank nationalize हुई। तब तो बताया गया था कि भई गरीबों के लिए हुआ, लेकिन हमने जो देखा कि वो बहुत सीमित रहा। जैसे मध्‍यम वर्ग के परिवारों तक family doctor होता है, वैसे उच्‍च परिवारों का एक Banker होता है। बड़े ऊंचे घरानों का और बीमार भी होंगे लेकिन अगर Banker ने कहीं lunch-dinner रखा है तो जरूर जाएंगे क्‍योंकि उनको पता है कि भई इसका उनका कारोबार कितना महत्‍वपूर्ण है। ये अच्‍छा है, बुरा है लेकिन है। मैं समझता हूं कि अब हमारे यहां Neo-Middle Class कहो या मध्‍यम वर्ग कहो, ये एक बहुत बड़ी ताकत होती है। हम उनकी तरफ ध्‍यान केन्‍द्रित करके, ऐसी व्‍यवस्‍थाओं को कैसे विकसित करें। मान लीजिए आप, आपके सामने दो proposal है। एक है कि कोई भवन बनाना है, सरकारी दफ्तर बनाना है और दूसरी proposal है कि इसने प्राइवेट में कहा है कि मैं यहां एक कॉलेज खड़ा करना चाहता हूं, एक Higher-Secondary School चालू करना चाहता हूं, मुझे बैंक से पैसा चाहिए। अगर मैं बैंक में हूं तो मैं पहली priority उस स्‍कूल वाले को दूंगा। क्‍योंकि मुझे मालूम है कि वहां स्‍कूल बनता है तो फिर ऐसे 50 दफ्तर बनाने की ताकत उनसे अपने आप आ जाने वाली है। इसलिए हमारे investment की priority क्‍या बने? पैसे देने की priority क्‍या बने? ये अगर हमने chain शुरू की जिसके multiple हमें benefit हो। अगर ये होगा तो मैं मानता हूं कि बहुत ही लाभ होगा।

हमने जो financial inclusion का जो मिशन उठाया है। अब जैसे अरुण जी बता रहे थे कि प्रधानमंत्री की जो हमने योजना बनाई जिसमें हमने मध्‍यम वर्ग, गरीब, धोबी हो, नाई हो, दूध बेचने वाला हो, अखबार बेचने वाला हो उसको मुद्रा योजना के तहत finance कैसे हो। इस देश में करीब 6 करोड़ लोग ऐसे हैं, इस प्रकार के काम में और उनका average कर्ज 17 हजार रुपए है। कोई ज्‍यादा नहीं है, लेकिन वे ये पैसे साहूकार से लेते हैं, बहुत ब्‍याज देते हैं और वो अपना विकास-विस्‍तार नहीं कर पाते हैं। मुद्रा योजना के तहत हमारी कोशिश है कि ऐसे लोगों को इस ब्‍याज के चक्‍कर से मुक्‍ति दिलाना और उनको financial help liberally करना। हमने 50 हजार, 5 लाख, 10 लाख तक की, उसकी व्‍यवस्‍थाएं की, 50 लाख तक की की। अभी तो मैं समझता हूं मुश्‍किल से 100 दिन हुए होंगे इस योजना को launch किए। अब तक 61 लाख clients and करीब 35 thousand crore rupees, ये वहां गया है। 35 हजार करोड़ रुपया बाजार के अंदर नीचे जाना मतलब economy को कितनी बड़ी ताकत देता है वो। 35 हजार करोड़ किसी एक शहर में डालने से उतना change नहीं आता है जितना कि हजारों गांवों के अंदर 35 हजार करोड़ रुपया जाता है, तो economy में एक vibrancy आना शुरू हो जाता है, नीचे से शुरू हो जाता है और ये आने वाले दिनों में देखेंगे और हमारी कोशिश यही है कि हम उसको आगे बढ़ाना चाहते हैं।

हमारे देश में Banking sector के संबंध में पचासों प्रकार के सवालिया निशान उठे हैं। Appointment से लेकर के, governance से लेकर के, पैसे देने के संबंध में पचासों प्रकार के सवालिया निशान लगे हैं। हमने आने के बाद एक दिन round-table conference किया, चिंतन शिविर की, सभी बैंक के लोगों के साथ detail में चर्चा की। उनकी समस्‍याएं क्‍या हैं, सरकार से अपेक्षाएं क्‍या हैं, कानूनी मुसीबतें क्‍या हैं। सारी चीजों की विस्‍तार से चर्चा की। RBI भी मौजूद था, मैं भी था, अरुण जी भी थे, काफी विस्‍तार से चर्चा की और उसमें से जो बातें आईं उस बातों को हमने लागू करने का प्रयास किया है। हमने एक सप्‍तसूत्री योजना बनाई है, जिस योजना का मैं समझता हूं कि हमारे देश में ऐसी चीजों की चर्चा बहुत कम होती है। लेकिन इसका बहुत बड़ा निर्णय है और A B C D E F G, ये सप्‍तसूत्री मेरा कार्यक्रम है। ये सप्‍तसूत्री कार्यक्रम बैंकों के जीवन में बहुत बड़ा बदलाव लाने वाला है।

एक है हमारा A – Appointments. बैंकों में उच्‍च पदों पर नियुक्‍तियों में सुधार लाने का हमने फैसला किया है और इसलिए हमने 1969 के बाद nationalised bank में private sector के लोगों को भी लिया है, वरना nationalised bank से लोग private में चले जाते थे। पहली बार ये reverse trend शुरू हुआ है, जिसमें efficiency को हमने महत्‍व दिया है।

B – B for Bank, Board, Bureau. ये B3 पहली बार हम इस देश में लाए हैं कि बैंकों में जो भी नियुक्‍तियां हुईं उसका selection top rank के लिए, ये board करेगा। Politically मुझे ये पसंद आया, उसको मैं एक director बना दू और वो वहां बैठ जाए और फिर बाद में जब loan देनी हो तो वाया उसी से आ जाए proposal और फिर पता चले भई ये तो PM का आदमी बोल रहा है, देना ही पड़ेगा। ये डूबने के पीछे कारण यही है और इसलिए हमने कहा है कि ये कतई हम नहीं करेंगे, सारे professional लोगों को हम इस काम में लगाएंगे।

C – Capitalization. पिछले कुछ वर्षों में दिए गए loans में bad loans हैं। उसके कारण संकट आया है। अब रोते-बैठने का कोई अर्थ नहीं है इसलिए हमने करीब आने वाले कुछ वर्षों में 70 हजार करोड़ रुपया बैंक के अंदर डालकर के ये bad loans के कारण जो संकट है, उसमें से हम बाहर लाने का कार्यक्रम कर रहे हैं।

D – De-stress of assets. कुछ क्षेत्रों में जहां ये समस्‍या गंभीर है, हमने import duties बढ़ाने का domestic producer को सहारा दिया है। आपने देखा होगा हमने Steel में अभी किया। ताकि जिसके कारण Steel जो बैंक के साथ Steel उद्योग पैसा लेता था, उसको एक ताकत मिले। तो हमने De-stress के लिए कई कदम उठाने की दिशा में काम किया है।

6 है -नए debt recovery tribunal. जिसमें हम bad loans recovery इन सारे कामों को मैंने कहा है जैसे Power sector. हम बहुत तेज गति से निर्णय पर जा रहे हैं। Power sector जो NPA की समस्‍या से जुड़ा हुआ है उसको कैसे handle करना है।

E – Empower. Empower का मेरा सीधा-सीधा मतलब था, जब मैं पुणे में गया था इस मीटिंग में तब मैंने कहा था, Zero interferes. आपको political leadership और establishment से कभी फोन नहीं आएगा कि इसके loan का क्‍या करना है लेना, देना और आज तक इतने महीने हो गए, एक भी जगह से खबर नहीं आई है कि ऐसा कोई pressure है। purely, professionally चलाइए और बाहर लाइए। तो इस प्रकार से बैंकों को Empower करने की दिशा में हमने काम किया है।

F – Framework for accountability. बैंकों का performance monitor करने के लिए key performance indicator हमने set किए हैं ताकि हमें regularly पता चले कि भई कहां जा रहे हैं, किस दिशा में जा रहे हैं। कितना जा रहे हैं, वो नहीं। कितना तो संतोष कभी-कभी दे देता है, लेकिन कहां और कैसे और कितने समय में। उस दिशा में indicators को हमने बल दिया है।

और last है G – Governance. हमारे banking sectorमें governance को बल देना है। हमने technology पर जाना है, transparency को लाना है। cyber crime की सबसे ज्‍यादा संभावनाएं banking sector, financial world में हैं या तो data चोरी करने की। ये दो ही सबसे बड़े क्षेत्र हैं और इसलिए हमको assure करना होगा हमारे governance को।

तो ऐसी सप्‍तसूत्री हमारी योजना के द्वारा इन seven pillars पर पूरा banking sector को ताकत कैसे मिले। सरकार ने इतने महत्‍वपूर्ण initiative लिए हैं। मुझे विश्‍वास है कि आने वाले दिनों में भारत जिस तेज गति से आगे बढ़ रहा है बैंक कंधे से कंधा मिलाकर के उसके साथ चलेगा। कुछ क्षेत्रों में बैंक दो कदम आगे होगा और मैं समझता हूं कि ये ताकत ultimately भारत के जो निर्धारित लक्ष्‍य हैं और जिन माध्‍यमों से हैं, उन सबको मिलकर के हम पूरा कर सकते हैं। 

Nobel lessons for India Chest-thumping by politicians when infected children are denied hospital admission is an alarmingly inept response

The 2015 Nobel Prize in Physiology or Medicine was awarded earlier this month. In a shared award, William C. Campbell and Satoshi Omura won for the discovery of avermectin and Tu Youyou won for the discovery of artemisinin: drugs used to treat parasitic infections caused by roundworm and the malarial parasite, respectively. Remarkably, both drugs are derived from natural substances.

Omura is a scholar in bioorganic chemistry and an avid golfer. His scientific philosophy has been to study microorganisms and use them to seek cures for common diseases. Five years ago, Omura wrote an article for the Tetrahedron Prize in Biochemistry entitled “Microbial Metabolites: 45 years of wandering, wondering and discovering”. Four decades ago, Omura picked up a soil sample with a promising microorganism near his golf course and sent it to the Merck, Sharpe and Dohme Laboratories to be tested for potency against animal parasites. In particular, the hydrogenated product of avermectin is used in veterinary medicine and in the control of onchocerciasis (river blindness in Africa), lymphatic filariasis (in combination with Albendazole), strongyloidiasis and scabies. Campbell collaborated with Omura but also worked independently on avermectin as head of the Merck Institute for Therapeutic Research. Campbell was instrumental in arranging to distribute ivermectin for free in Africa to cure river blindness. Some have likened the importance and impact of ivermectin to the discovery and impact of penicillin.

If you think Omura’s wandering golfer story is unusual, Tu’s is even more strange. At the height of the Cultural Revolution in China, Mao Tse Tung received a request to help the North Vietnamese soldiers who were dying (in greater number than by bullets) because the local malaria had become resistant to known drugs. Because most scientists had been sent to the villages, Mao ordered a group of scientists from the army to seek a cure. The teams were organized into two streams. One sought the cure in 40,000 known chemicals. The other, lead by Tu, began to look for it in traditional Chinese medicine (TCM) including by asking herbal healers for their secret fever cures. A Chinese herb called qinghao, identified today as sweet wormwood, was written about nearly 2,000 years ago as a fever cure. The herb qinghao generates the active ingredient artemisinin that proved to be nearly 100% effective against malaria in mice. The human body eliminates artemisinin very fast and so it had to be combined with other drugs to retain its impact. Novartis developed this combination by putting together artemether, a derivative, with lumefantrine, another Chinese drug: the company also filed Western patents. In 2001, Novartis agreed to provide this drug at cost to developing countries.

As India goes about tackling big public health problems such as dengue and chikungunya, these case studies can provide valuable lessons. Both stories have an east/west angle, a serendipity angle, a natural source angle and a collaboration angle. The scientific method to develop cures has relied on two techniques: 1) infected cell assays and 2) knowledge-based methods. The assay method tests millions of compounds against infected cells using high throughput screening techniques. It is essentially a trial-and-error procedure akin to what was followed for the Nobel Prizes. The knowledge-based test uses previously identified knowledge and directly targets the molecular or atomic level.

One (controversial) way to limit the spread of dengue is to introduce genetically modified (GM) male Aedes aegyptimosquitoes (engineered by a company called Oxitec) into the environment. These self-limiting transgenic males produce offspring with dengue-carrying females that have a very limited lifespan. In pilot tests in the Cayman Islands, Malaysia and Brazil, Aedes aegypti populations have shrunk by 80% or more, resulting in a dramatic reduction in the probability of dengue transmission. In the meantime, several different approaches to a vaccine are being attempted. Sanofi Pasteur is furthest ahead with a vaccine in Phase III human trials: four others are in various stages of development. The first vaccine may be available as early as 2016.

India’s scientific presence in vector-borne disease prevention and cure is muted. While India is a member of the dengue vaccine initiative, it has not signed up to be an early adopter country. The National Centre for Disease Control and the National Vector-Borne Disease Control Programme appear to be asleep at the switch with their plan to tackle dengue and chikungunya dating back to more than five years ago. Serendipity, natural source/semi-synthetic cures and collaboration take hard work and perseverance. Tu might recommend mission mode and Omura might suggest wandering, but persistence is a basic requirement to both. Chest-thumping by politicians when infected children are denied hospital admission is an alarmingly inept response.

Millions of people attempting to dodge billions of (disease-carrying) mosquitoes does not make for a statistically winnable proposition. This year’s Nobel Prize suggests a more active and persistent attempt.

P.S. “I wonder if I deserve this prize. I have learnt so much from microorganisms, I would much rather give the prize to them”, said Satoshi Omura.

Carbon sink: the states have to be equal partners

A fortnight ago, India made its first commitment to reduce the carbon intensity of its economic activity, ahead of the international climate change talks to be held in Paris in December. The move was widely welcomed, but the question of how the target of reducing emissions per unit of gross domestic product by 33-35% by 2030 with 2005 as the base year can be achieved remains unanswered.

Will it be a cap-and-trade system such as the one China has promised; a carbon tax such as the one discussed in some recent government discussions on the increase in excise duties on fuel; or subsidies for newer forms of energy such as solar?

The blueprint for achieving the green pledge is rather blurry, but one powerful proposal is the one to expand India’s carbon sink to absorb emissions. India has committed to create an additional carbon sink of 2.5 to 3 billion tonnes of CO2 equivalent through a growth in forest and tree cover by 2030. But again, the strategy to achieve this commitment is not clear, especially since the current rate of forest cover growth could be inadequate.

According to the Indian Council of Forestry and Research estimates, from 1995 to 2005, carbon stocks stored in our forests registered an annual increment of 37.68 mt of carbon or 138.15 mt of CO2 equivalent.

At this rate of growth, India would be able to capture carbon emissions equivalent to 2.07 billion tonnes of CO2 by 2030, leaving it around 0.5 to 1 billion tonnes short of the target by 2030.

India plans to raise its forest cover to 33% of its land area through a planned afforestation drive, which includes a number of programmes and initiatives such as the Green India Mission, green highways policy, financial incentive for forests, plantation along rivers, the United Nations REDD+ programme to create financial value for the carbon stored in forests, and the Compensatory Afforestation Fund Management and Planning Authority in India.

Having the states on board is crucial in this exercise. Forests fall in the concurrent list of the Constitution, and are the responsibility of the states as well as the centre. An inter-state comparison of forest area in the latest Forest Survey, shows us that states with maximum forest cover—such as Madhya Pradesh, Arunachal Pradesh and Chhattisgarh (with the exception of Maharashtra)—have all shown a dip in forest cover from 2011 to 2013. The north-eastern states, with more than 75% forest cover, have also shown a decrease. Overall, forests expanded at the rate of 0.18% a year.

Forests and the positive externalities associated to them have an impact both on the revenue capacities and the expenditure needs of states. As a result, there are tensions between growth and environmental concerns. The quashing of the Madhav Gadgil Committee recommendations on preserving the forests of the Western Ghats is an example of how states have strong reasons to prioritize development over preserving forests. The unenthusiastic formulation of State Action Plans illustrates their general apathy towards afforestation and the larger issue of climate change.

The Fourteenth Finance Commission has assigned a 7.5% weight for forest cover in the new devolution index, to compensate states for their opportunity costs for maintaining forest cover as a part of a national carbon sink. It could be thought of as a payment by the industrial states to the states with dense forest cover. This is the right approach since the international commitment on a bigger carbon sink cannot be met unless the states have strong incentives to protect their forest cover.

Trusting the states with a greater percentage of the tax pool confirms to our federal tradition and shows the centre’s confidence in the states to make the right choice. But it should by no means end here.

A one-solution-fits-all remedy may not be the right way to nurture our forests. States and local bodies should be included at the planning and execution level to find the right solution for the right region. And states on their part must reciprocate by being more active in contributing to the national climate change goal.

Indian microfinance institutions have just busted a myth

By definition, microfinance is the business of giving tiny loans to people who do not have access to formal banking services. The Investopedia website defines microfinance as a type of banking service that is provided to unemployed or low-income individuals or groups who would otherwise have no other means of gaining financial services. “...the goal of microfinance is to give-low income people an opportunity to become self-sufficient by providing a means of saving money, borrowing money and insurance,” it says. In India, microfinance institutions (MFIs) cannot collect deposits, but sell insurance products, besides offering small loans that are typically paid back in weekly or monthly instalments.

Such institutions operate in the hinterland where traditional banks balk at serving. Or, so we believed. The scene has changed. MFIs have shifted their focus from rural pockets to urban India. For the first time in its 25-year history, Indian MFIs have more urban clients than rural ones. The latest data, compiled by industry self-regulatory organization Sa-Dhan, shows 67% of the 37 million MFI customers live in urban India.

The share of rural customers was 69% in fiscal year 2012. That dropped marginally to 67% in 2013. In the following two years, the share of rural customers has declined drastically. In 2014, rural customers constituted 56% of the total. It dropped further to 33% in the following year. This busts the myth that Indian microfinance is predominantly a rural phenomenon, very different from what we see in Latin America and large parts of Africa and Asia.

The industry’s outreach to urban clients was increasing every year and it has now outstripped that of rural customers. Why has this happened? Before we look for an answer, let’s look at the broader picture. The industry had a customer base of 37.1 million in March 2015, up from 33 million a year ago. It included 6.5 million customers of Bandhan Financial Services Ltd, the largest MFI that turned into a bank in August. The percentage of women customers remained unchanged at 97%, while the share of Scheduled Caste and Scheduled Tribe customers rose from 19% to 28%. The loan portfolio was close to Rs.40,000 crore and 80% of it was for income-generating activities. The average loan per borrower in the year ended 31 March rose to Rs.13,162 from Rs.10,079 in at the end of the previous fiscal.

The quality of assets has improved. If we leave a few MFIs that had been affected by the crisis that gripped the industry following the Andhra Pradesh state law five years ago, the industry’s non-performing assets (NPAs) were to the tune of 13 basis points as on 31 March. A basis point is one-hundredth of a percentage point.

Such MFIs were referred to the so-called corporate debt restructuring cell as their equity and reserves were eroded by accumulated bad loans. About 80% of 250-odd MFIs have less than 1% of their loan portfolios at risk. About 12% of MFIs have 1-3% of their loan portfolio at risk, and 8% of MFIs have more than 5% of their loan portfolio at risk. The loans at risk are those that have not been serviced for 30 days.

In contrast, the quality of small loans distributed through the so-called self-help group (SHG) model is inferior. The number of SHGs shrank to 7.71 million in 2015 from 7.43 million in the previous year even though the number of families involved in SHGs increased from 97 million to 101 million. SHGs, typically a group of 20 women, save as well as offer credit to its members from money sourced from commercial banks. SHGs’ total savings stood at Rs.11,307 crore in 2015 and the loan portfolio was Rs.51,727 crore. The average loan outstanding per SHG was Rs.1.15 lakh and NPAs were 7.4%, up from 6.8% in the previous year.

One reason behind the rise in urban customers is the phenomenal growth of a few urban-focused MFIs such as Janalakshmi Financial Services Pvt. Ltd, Ujjivan Financial Services Pvt. Ltd and Satin Credit Card Network Ltd. These three collectively had around 5.7 million customers in March. Their growth last year had been higher than the average industry growth and most of their customers live in urban India. Till it became a bank, Bandhan had an 18% market share of customers, followed by SKS Microfinance Ltd and Shri Kshethra Dharmasthala Rural Development Project. Others among the top 10 are Janalakshmi, Equitus Microfinance Pvt. Ltd, Spandana Spoorthy Financial Ltd, Share Microfin Ltd, Satin and Grameen Koota Financial Services Pvt Ltd. Janalakshmi, Ujjiivan and Equitus have received in-principle approval from the Reserve Bank of India to become small finance banks.

Another reason behind the growth in urban customers is the shift in the business models of many MFIs. They are becoming increasingly urban-centric to cut down operational expenses and maximize operational efficiency. Under the priority sector lending norms, banks in India are required to give 40% of their loans to small borrowers. As they do not have the reach, they give money to the MFIs to be on-lent to such borrowers. While fixing the loan price for small borrowers, the MFIs cannot charge more than 10% over the cost of loans taken from banks. This means their profitability solely depends on operational efficiency as the cost of raising resources is almost the same for all MFIs.

The rise in urban clients of MFIs also tells us that banks in India have a cultural problem—they don’t like small borrowers, be they in rural or urban India. The official reason for not reaching out to small borrowers are many—ranging from higher transaction costs and lack of reach to the absence of a competent rural cadre. These probably explain the banks’ absence in remote villages. But what about urban India? Our drivers and housemaids, vegetable vendors and fishermen in Mumbai and Delhi are being serviced by MFIs as the banks refuse to see business there

GM cotton: whitefly attack raises anxiety among farmers

PAU is now recommending farmers to sow traditional non-Bt varieties of American and indigenous cotton

The ineffectiveness of genetically modified (GM) cotton against the recent whitefly attack in Punjab and Haryana, which witnessed widespread protests by farmers, has raised concern among agricultural experts and farmers over the growing dependency on Bt cotton.

They believe it is time for India to actively promote and involve public-private partnership (PPP) model in GM crop technology and also focus on developing new technologies to fight pest infestation on cotton and other crops.

The whitefly attack in Punjab that damaged over 75 per cent crop across the cotton belt had led to widespread protests in the past few days. The damage to the cotton crop, over 95 per cent of which is Bt cotton, is estimated to be around Rs. 4,500 crore. It is also being blamed as a reason for suicides of over a dozen farmers in the cotton belt, including Abohar, Fazileka, Bathinda and Muktsar districts.

The whitefly attack on Bt cotton crop is the latest reason for the government to work and develop new crop technologies.

“It’s high time, the government should start thinking beyond GM crop and focus on new crop technologies by adopting successful PPP models from other nations or develop its own,” C.D. Mayee, president, Indian Society for Cotton Improvement, told The Hindu.

He said the GM crop technology served a good purpose, but there was always a possibility that pests might develop resistance. It was, therefore, that the government must evolve new crop technologies.

“Bt cotton is around 14 years old technology and is effective against specific type of bollworms, but not insects such as whitefly,” he said.

“Whitefly attack is expected to cause over 50 per cent drop in cotton yield this season in Punjab,” said R.K. Gumber, Additional Director of Research (crop improvement) at Punjab Agricultural University (PAU), Ludhiana.

PAU is now recommending farmers to sow traditional non-Bt varieties of American and desi (indigenous) cotton during next season in areas susceptible to high infestation of whitefly. “If farmers want to reduce dependency on Bt cotton, they should preferably sow desi cotton as it is comparatively tolerant to sucking insect pests, including whitefly,” said Dr. Gumber.

Cotton farmers in Punjab, however, say they do not have a better choice for the next season. “We don't have an alternative to Bt cotton in this area. Desi cotton is not viable as its yield is very low and also it has its own set of infestation problems,” said Balwinder Singh, a farmer.

Engaging with an aspirational Africa

India’s attitude towards Africa cannot remain imprisoned in the ‘dark continent’ stereotype. Neither can it be defined solely by the legacy of the colonial era. Our language of engagement needs to create a new edifice defined by an aspirational Africa’s quest for a good life

The views of most Indians, including the educated ones, about Africa are still largely trapped in stereotypes. The episodic reportage in the media perpetuates some myths: Africa is still the land of jungle safaris; the place of Mahatma Gandhi’s first satyagraha; the continent of Ebola, HIV and tribal conflicts; the home-place of both Idi Amin and Nelson Mandela. We also see news items on Nigerian students peddling drugs and the hosting of fancy wedding ceremonies for India’s nouveau riche in South Africa. In short, a ‘dark continent’ with some bright spots. Some new stereotypes have also come to shape contemporary views of Africa — it is a growing market for Indian companies but the Chinese have stolen a march over the Indians.

The success of the Africa-India Summit being hosted this month in New Delhi will have to be measured by the extent to which it challenges these stereotypes and encourages greater people-to-people contact between the neighbouring continents. Can India’s ‘sub-continental drift’, so to speak, away from, what can be called, its ‘Mother Continent’, be reversed?

Rise of the African middle class

At the turn of the century The Economist magazine (May 2000) ran a cover story on Africa titled “The Hopeless Continent”. Thirteen years later the magazine returned to that ‘hopeless’ continent and published a cover story (March 2013) titled “Africa Rising: A Hopeful Continent”. The lead editorial focused on an ‘aspiring Africa’, drawing attention to the rise of a new urban middle class seeking the good things of life.

“Africa is booming,” reported Fred Swaniker, founder and executive chairman of the African Leadership Academy (South Africa), at a conference that the International Institute for Strategic Studies organised on African geo-economics a couple of years ago. “One feels it every time one lands in Lagos, Addis Ababa, Nairobi or Accra... The energy on the streets is palpable, and for once, the rest of the world is noticing.”

Africa is no longer just about resources. A 2010 McKinsey report, entitled “Lions on the Move”, found that in the first decade of the 21st century, growing consumer spending contributed more to the growth of African economies than the commodities boom of that decade. This is one reason the World Bank and other institutions still remain optimistic about Africa’s economic rise despite the end of the ‘commodities super cycle’— the long-term decline in commodity prices, especially oil.

Despite the perpetuation of stereotypes at home, Indian businesses have been betting big on Africa’s rise. Many big Indian companies have already invested in opportunities presented by Africa and, contrary to the widespread perceptions, India is ahead of China at least in terms of private corporate investment. Greenfield projects involving investments from India are twice the number of such projects funded by investment from China, according to a recent report of the African Development Bank.

Business-to-business links

Several Indian business leaders with investments in Africa have told this writer that they are happy to have entered Africa and their business is doing well in Africa. Business-to-business links between India and several African nations, across the continent and including key markets in the eastern, southern and western regions of Africa, have become increasingly important and are driving the government-to-government relationship.

Investment from India accounted for six per cent — compared to three per cent from China — of all greenfield projects in Africa in the period 2009-14. While Europe and North America continue to dominate investment into the continent and still account for over 50 per cent of such projects, their share has been declining over the years while that of China and India has been rising.

Mr. Swaniker attributes Africa’s economic rise to five factors: an improving political governance; a rapidly growing population; urbanisation; a better-educated and skilled workforce; and, global demographics that will enable Africa, like India, to remain a young continent in an ageing world. Clearly, these factors mimic the Indian development experience.

There is one other key similarity between Africa and India — regional diversity. If India is a sum of its diversities, so is Africa, in every sense of the term. Equally, it too is marked by geo-economic diversity. Just as coastal India is more developed than the landlocked regions, coastal Africa is more developed than inland Africa, except where nature has blessed it with oil and other valuable commodities. It may have been a good move for Prime Minister Narendra Modi to invite a mix of State Chief Ministers to interact with the African heads of government because the continent-to-continent dialogue is in fact conducted at the level of nations and States.

India’s new middle class may find a better connect with their aspirational African counterparts. Urbanisation is the growth engine for many African nations, spawning a new urban middle class that young India has to discover and relate to. Yet, city-to-city connectivity between India and Africa is virtually non-existent. Barring a couple of flights from Mumbai, there are few flights directly connecting cities in India to African cities. Better connectivity will boost people-to-people links, a weak link in the growing trans-continental relationship. Absence of a greater interaction between the constituents of a new aspirational Africa and their counterparts in a rising India has meant that the trans-continental relationship has been largely defined by the legacy of a shared colonial past rather than by the potential for a dynamic present and a promising future.

African culture deserves exposure

While the language of the new engagement with Africa should build on the foundations of the past — Gandhi, Mandela and Afro-Asian solidarity — it must create a new edifice defined by aspirational Africa’s quest for a good life. African music — especially that from west Africa (Baaba Maal and Youssou N’Dour) and South Africa (Miriam Makeba and the group Ladysmith Black Mambazo) — has its fan following in India. However, the more recent trends in modern African culture deserve wider exposure, especially on Indian television.

Authorities in China have invested in a systematic, institutionalised campaign to purge at least the educated urban Chinese of their racial prejudice against ‘black’ Africans. Enough has not been done in India, as is evident from the sporadic incidents of racist abuse against African students and tourists. Without a change of attitude at the people-to-people level, mere summitry at the top and government-sponsored events are unlikely to bring India and Africa closer to each other.

Another aspect of Africa’s diversity is the changing power equations among the continent’s leaders and laggards. Before the end of Apartheid, it was the nationalist post-colonial leaders like Kenya’s Jomo Kenyatta; Zambia’s Kenneth Kaunda; Ghana's Kwame Nkrumah; and Ethiopia’s Haile Selassie who spoke for Africa. Then Nelson Mandela rose to tower over all.

Thanks to Mandela and the competent Thabo Mbeki, South Africa gained salience and emerged as a continental leader. South Africa became part of the IBSA (India, Brazil and South Africa) group of developing world democracies, countries seeking membership of the United Nations Security Council. It also was admitted to the more high-profile BRICS (Brazil, Russia, India, China and South Africa), to which it was invited by China. South Africa seems to have since lost the stature, on account of corruption and incompetence of its present leadership under President Jacob Zuma, and its economic slowdown.

On the other hand, despite the fall in oil prices and civil strife within, Nigeria has gained in regional and global stature on account of the successful democratic transition and the new government’s battle against corruption and sectarianism. Given the rise of several other countries in Africa, and Egypt’s stabilisation, it is now not clear which African country would join the Group of Four (G4) — Brazil, Germany, India and Japan — in seeking UNSC membership. This explains Africa’s absence at the recent G4 Summit.

The diversity of the African growth experience, and of the continent’s geo-economic and geopolitical evolution in the post-Cold War period, has opened up new opportunities for Indian diplomacy and business. To be sure, other rising and major powers are also busy engaging with an aspirational Africa. What this means is that the opportunity that presents itself to India requires careful nurturing and much investment at all levels. Old slogans and platforms from the post-colonial Cold War-era will find few takers in modern post-Cold War Africa. It is the interests of a new aspirational, rising and hope-filled continent that India must now address.