Know thy neighbour

India and Pakistan need to understand how policymaking process works across the border.


Shahid Javed Burki September 16, 2012

The recent visit by the Indian Foreign Minister, SM Krishna, to Islamabad and the indication that Pakistan may finally get a visit from the Indian Prime Minister, Manmohan Singh, are clear indications that the process of economic and trade normalisation is proceeding slowly but reasonably smoothly. There are three aspects of this process that need some consideration and will be the subject of the article today, and a couple that will follow thereafter. The first is that most of the advances have been made at the political level. The decision to move the process forward was taken at an informal meeting of the Indian prime minister and Pakistani President Asif Ali Zardari, a few months ago. Most of the work related to normalisation was done by the ministries of foreign affairs in the two countries. There was relatively little involvement of the technical people and institutions.

The second important aspect of this process is that the Indian states and the Pakistani provinces that would be affected as normalisation proceeds have not been directly involved in the discussions. When the bulk of the trade begins to flow over land-routes, the provinces on the Pakistani side of the border and the states on the Indian side will need to be included in the contemplated changes. Third, a framework will be needed to move the process forward. It is interesting that much of the work that has been done, to-date, was undertaken outside the Saarc and South Asian Free trade Area arrangements. However, if the process also brings in countries other than India and Pakistan, as it must, a multilateral framework would be required.

Now that India and Pakistan are inching towards closer economic relations, it would be useful if each country understood well how the policymaking process works across the border. The Indian system has been democratic virtually from the day the country started out as an independent state. Pakistan, on the other hand, has ridden a political roller coaster, trying and discarding many systems. It is only during the five-year period since the beginning of 2008 that a durable democratic political order has been shaped. Both countries are now democratic, India more so than Pakistan. Both are evolving rapidly but in doing so are moving in different directions. It is important to understand where they are going in order to appreciate the relationship that will develop over time in the area of economics.

As political scientists point out, calling a political system democratic means more than recognising that those who wield policymaking power do so as the elected representatives of the people. Holding periodic elections to choose those who will govern is only one part of the political process. A political order is also defined by the location of the policymakers. This is what distinguishes a highly centralised system from the one that is federal. At this point in time, both India and Pakistan are federal systems but that is where the similarity ends. Political power is much more disbursed in India than is the case in Pakistan. This difference will deeply impact the development of economic ties between the two countries as they evolve.

The states in India at this time are important economic actors. The economic choices they make are determined more by the local political establishment than by those who govern in New Delhi. This is one reason why there are vast differences in the economic performance of the states, as well as in the economic systems that have been adopted by them. Gujarat, for instance, has given the private sector much greater space within which it can operate. West Bengal, on the other hand, has a much more intrusive government. This reflects the very different histories of the two states. Gujarat has some well-established industrial and business houses that became prominent players, not only in the state, but in all of India. West Bengal was long governed by a coalition of Left parties led by the Communist Party of India (Marxist), which saw the government as the leading player in the economy.

In Pakistan, in spite of the passage of the Eighteenth Amendment to the Constitution that allowed the provinces much greater authority in economic matters, policymaking has remained highly centralised. Not only does Islamabad remain the most important policymaker, most important policies are taken by the presidency. If the Eighteenth Amendment were to be interpreted literally, it would have created a presidency akin to the one that exists across the border in India. The president would have become a figure head, with most of the power in the hands of the prime minister, answerable to parliament. That has not happened. In India, the constitution also sees the prime minister as the most important policymaker. That, however, is not the case at present. Much of the power resides in the hands of the leader of the Congress Party that governs as the leader of the ruling coalition in New Delhi. In both cases, these are departures from the Constitutions that clearly give governing authority to the head of the government — the prime minister — not the head of the state; which is the president. Why that has happened is an important answer to determine in order to understand which way the two systems may be proceeding. I will take up this question next week.

Published in The Express Tribune, September 17th, 2012.

COMMENTS (32)

varuag | 11 years ago | Reply

@Gary: I think you take an offence to Canada being a state-nation from my perspective, too rigidly. These matters are subjective and we can't draw a hard line in the sand. Its like debating if a system is unitary or federal. The US is federal but to an absent minded puritanical, the Swiss might be more so due to the fact that they are a confederation. The greater assertion of Quebec's identity (especially after the September 4 elections that gave victory to secession oriented PQ party) as distinct from rest of Canada is what makes me think of it as a state-nation. It is not inimical to the notion of nation-state. I read somewhere that Canada has traversed through this issue of identity by forging the slogan of Unity in Diversity. This is the exact same slogan that India utilizes to encompass its mind-boggling diversity. Just as a nation can have aspects of federal as well as unitary system, so can the country have characteristics of nation-state as well as state-nation. In fact, the constitutions of Canada and India despite being federal have many unitary characteristics. We can agree to disagree :)

Well in India, most states that were based on linguistics were created in the early 60's and 70's. The newly independent nation of India did not want multiple fault-lines to emerge and therefore steadily refused creation of more provinces especially creation of linguistic provinces. There was a feeling that it would aid centrifugal forces and fissiparous tendencies in a nascent republic. In 1953, a devout satyagrahi by the name of Potti Sreeramulu died after a hunger strike for creation of separate province of Andhra Pradesh. The Government had to bow down and thus started the process of linguistic provinces. But in the 90's the division was based on tribal affiliation thus creation multiple provinces in the North-East. The last 3 provinces were created in 2000 viz. Chattisgarh, Jharkhand, Uttarakhand and for most the reasoning was the perceived deprivation of these provinces economically. Even now the provinces where such struggles are present have economic considerations and not linguistic ones like Vidarbha, Telengana, Bundelkhand, Gorkhaland etc. This is not to say that linguistic considerations have evaporated, just that they are down in the pecking order.

Language most certainly can't be equated with culture. Especially in India where there is a huge proliferation of dialects and the same language undergoes mutation as one traverses a province. Middle-class are more comfortable in English because in reality in the professional space, one gets to work with people from all the provinces and generally the only common language for all people is English. This acceptance of an alien language by no way makes them any less affiliated to their provinces.

Gary | 11 years ago | Reply

@Sanjay: Ha, can you tell us how and why any of your statements prove he is a leader, let alone statesmen? @varuag: I agree with you to an extent, but not sure how is canada a state-nation. It's still a nation-state looking more closely at India model to deal with Quebec... The structure of India too is federal (with a strong central bias) in a general way (with an exception of J&K), yet there are certain aspects that are unique to federalism as practiced in India. Since mid 50's states and territories in India are based on linguistic lines. I understand language and culture are intimately related but to what extent is still under debate, but i would not equate language with culture.

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