Mute Spectator : Disruptive Dissonance
December 24, 2019
To admit is to accept.
With our economy under dire straits, it is the
responsibility of the government to set things right irrespective of whatever
the circumstances may be. Yes, it is not easy to govern 1.32 billion people but
it is beyond difficult to manage such a large number of people if they are out
on the streets.
This write up is not on the general viewpoint
on the economy but how important it is for the stability & security of the
nation and that too for a party that lays high emphasis on national security.
It is for the government to come up with progressive economic policies,
accommodative legislation and to nurture and practice broadness in the minds
of its populace.
Taking cue from the global community, there is
much to learn & much to avoid for the Indian government. To start with one
of the most liberal and progressive countries, France is up against the ongoing
Yellow vest protest which was due to
the increase in fuel taxes and high cost of living..
In Latin America, countries such as Columbia,
Chile, Ecuador & Venezuela are facing strong protests against their
respective ruling regimes. With reasons varying from lack of national economic
plan in Columbia to a hike in the transport prices in Chile and then to
scrapping fuel subsidies as a cost cutting measure in Ecuador, people have
thronged the streets and have even brought governments to their knees. Nearing
its D- Day, Venezuela is a standing example of how failing economics will take
away the soul of a nation.
Moving away from the Europeans and Latinos to
the North Africans, countries such as Sudan and Algeria are also facing heavy
backlash from its citizens. Rising cost of basic necessities such as bread and
fuel spurred a movement against the Sudanese government.
Crossing the Suez Canal to the Arab world, the
anomaly isn't much different. The proposed WhatsApp taxes in Lebanon which
initially started as a dissent evolved into larger bouquet of multiple issues
threatening the Government of Lebanon and a regime change. Both Iran and Iraq
are no exceptions to this popular dissent. Again, failing economy and 50- 200%
hike in fuel prices by the Iranian government has resulted in a series of
violent protests.
Deteriorating economic conditions and
negligence to act on the same has paved the way for the famous Tishreen
revolution or Iraqi Intifada against the Iraqian government. As a textbook
case, the regime is under threat.
Not far away from Iraq, the situation is very
much similar in Pakistan with the recent Azadi
march and sit in protests against the failure of the Pakistan government to
correct its economic policies. Though it didn't achieve any of its objectives,
we can see it as a cyclic reaction across the world whenever economy fails.
These dramatic events have been solely based
on issues of failing economy in their respective lands. Now it is for us to see
how unpopular legislation disrupt
the society and thereby inflicting local economics.
Starting with one of the strongest uprisings
against the Chinese Communist Party in decades, the Hong Kong protest which
evolved as a dissent against the controversial Extradition bill by mainland
China has grown into a full-fledged demonstration for democracy. Consumer
spending has dropped by 10% on a y-o-y basis. Airport operations disrupted,
metro station being captured in showdowns. Hong Kong which is a hotspot of
tourism has received 22 travel advisories from various countries. Airport which
contributes around 5% of HK's GDP is about to slip with tourist shortfalls.
photo : Hong Kong protests
Recently, in Indonesia, thousands of people
thronged the streets across the archipelago to protest against the new
legislation of draft criminal code and Civil laws. People see this has a threat
to their rights and pluralism. The Island nation has flourished ever since the
fall of their dictator Suharto in 1988. The current chain of events is seen as
a risk to investments and dwindling business sentiment.
History is the grandma and grandpa of our Society.
There is plenty to learn from it. If we don't take these chain of events as a
stimulus of failing economics and poor legislation, then it is extremely
difficult to stop people from protesting in the streets. With unemployment rate
at 6.1% (FY 18), a four decade high, an exact 5.3% in rural India and 7.8% in
urban India are unemployed (NSSO DATA). With the recent quarterly GDP falling
to 4.5% and multiple rating agencies slashing down India's GDP for this
financial year is worrying. Though a consumer driven market, spending has been
low in both urban and rural areas.
All major indices such as Index of Industrial
Production (IIP), Purchasing Managers Index (PMI), Consumer Price Index (CPI),
Wholesale Price Index (WPI) declining, widening fiscal deficit, failure to meet
GST targets, shrinking exports, increasing NPAs clearly shows that the economic
climate is not well and needs immediate attention. Poor investor sentiment and
lacklustre private investment even at times of US - China tariff wars clearly indicates
the need for progressive and accommodative policies.
The national average age of India is 29 years
with 50% of its population below the age of 25 years and 65% of its population
below the age of 35 years. In this age of data, Information has been free
flowing and people are empowered with technology. They can’t be left unemployed
or underemployed. Their aspirations have to be met and the government needs to
facilitate the aspiring society. If not, at any certain point, their agony will
result in popular uprisings and that doesn't favour the stability and security
of our nation. Forward thinking legislation are the need of the hour and not
to dissect the society further. Our nation already has enough contentious
issues and it can’t afford more. It is perilous to leave the youth unengaged in
economic activities with technology in their hands.
JAI HIND.
By
Sathish Tk
Mute Spectator is the
primary series of the blog where we express our opinion on current affairs.
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