A joke doing the rounds several months ago was that the “i” in Brics stood for Indonesia. Recent events lend credence to that witticism. Indian growth rates are closer to 6 per cent than 8 per cent. Inflation rates exceed 10 per cent.
The rupee is at its lowest ever level against the US dollar. Long-promised reforms such as the opening of the retail sector and the promotion of a countrywide goods and services tax have been abandoned.
The Indian economy is slowing and spluttering, and will continue to do so for some time. Behind this economic deceleration is a deeper story of political degradation. The country’s greatest political party is in steady decline. Founded in 1885, the Indian National Congress led a successful mass movement against colonial rule.