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Banking on India's States: the politics of World Bank reform programs in Andhra Pradesh and Karnataka
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18
“Poll Panel Tells Naidu to Stop Populist Schemes,” The Statesman, July 15, 1999.
19
“AP Told to Keep Gas Scheme in Abeyance,” Business Line, July 28, 1999.
20
Author’s interview with Montek Singh Ahluwalia, Director, Independent Evaluations Office,
International Monetary Fund, Washington, D.C., July 2002. During the 1990s Ahluwalia served in several high-level posts in India’s central administration, and returned as Deputy Chairman of the Planning Commission following the election of a new Congress-led coalition government in May 2004.
21
Manor, “Political Leadership,” emphasis added.
22
Suri, “Democratic Process and Electoral Politics,” p. 55.
23
The defector was the Tamil Nadu-based All India Anna Dravida Munnetra Kazhagam (AIADMK), led
by the mercurial former actress Jayalalitha Jayaram.
24
Manor, “Political Leadership”; see also CSDS (Centre for the Study of Developing Societies) Team with
K.C. Suri, “A Triumph of Alliance Arithmetic,” Frontline, November 6-19, 1999.
25
Rajen Harshe, “Stakeholder Participation in Andhra Pradesh Reform Process,” draft report submitted to
World Bank as an internal document (2001), pp. 22-38; shared with the author by Rajen Harshe, August 2002.
26
The Left Alliance had been formed the previous March, to protest the Hyderabad stop by United States
President Bill Clinton during his weeklong visit to India.
27
In a campaign speech to villagers in 1999, Naidu said, “You see me, you vote for me. Don’t go by local
considerations. I am here to control everybody.” Swapan Dasgupta and Amarnath K. Menon, “Selling Hard,” India Today International, September 13, 1999; emphasis added.
28
R. J. Rajendra Prasad, “WB Chief’s Remarks General: Govt.,” The Hindu, September 6, 2000, electronic
edition, <www.hinduonnet.com/thehindu/2000/09/06/stories/0406201e.htm>, accessed February 27, 2003.
29
Syed Amin Jafri, “AP House Rocked by World Bank Official's Statement,” Rediff.Com, September 5,
2000, <www.rediff.com/news/2000/sep/05ap.htm>, accessed February 28, 2003.
30
Remarks by BJP floor leader Indrasena Reddy as reported in V. Sridhar, “Brutal Crackdown,” Frontline,
September 16-29, 2000.
31
“Riding Two Horses” (editorial), The Hindu, June 4, 2000.
32
Lionel Messias, “World Bank Praise for AP,” Gulf News (online edition), November 10, 2000.
33
In 2000, AP had accounted for 385 of the 480 cases reported all over India. Though analysts attributed
these tragedies to a number of factors, state policies were substantially implicated in a recurring scenario: indigent and lacking access to formal credit, many of the victims had taken on large personal debts to local moneylenders in order to purchase fertilizer, pesticide, and other inputs—the price of which, like power tariffs, increased as Naidu’s government withdrew subsidies to meet its fiscal adjustment targets. Lacking expertise in the proper usage and application of such inputs, farmers were susceptible to improper and unscrupulous advice to apply large quantities. Following the failure of their crops and intense—often violent—intimidation to repay their debts, the farmers elected to take their own lives, in some cases in the gruesomely symbolic manner of ingesting lethal amounts of pesticide. Palagummi Sainath, a journalist, extensively analyzed this issue in a series of articles spanning 2001 to 2004; they are collected at <www.indiatogether.org/opinions/psainath/>.
34
Suri, “Democratic Process and Electoral Politics in Andhra Pradesh,” p. 53.
35
Literally the “crushed” or “ground down,” the term Dalit is the preferred self-identification of many
members of the group at the very bottom of India’s caste hierarchy sometimes referred to as the Untouchables.
36
Tara Shankar Sahay, “Naidu’s Mind was Made Up 2 Days After Attack,” Rediff.com, November 15,
2003.
37
Third quarter GDP growth of 10.4 percent in 2003-04 briefly distinguished India as the fastest-growing
economy in the world.
38
“Electricity Might Determine the Fate of TDP,” Indo-Asian News Service, April 16, 2004.
39
Figures from the Election Commission of India, as reported in Center for the Advanced Study of India,
“Andhra Pradesh’s Long March Toward 2020: electoral detours in a developmentalist state,” Doing Business in India: political, social and cultural overview (Spring 2005), p. 63.
40
See for example P. Sainath, “Andhra’s Electoral Outcome,” <www.indiatogether.org/2004/may/psa-
appolls.htm>.
41
Shekhar Gupta, “On the Record: Jairam Ramesh,” The Indian Express, May 25, 2004.
42
Subhomoy Bhattacharjee, “World Bank May Cut Off State Loans,” Rediff.com, August 9, 2004.
39
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18
“Poll Panel Tells Naidu to Stop Populist Schemes,” The Statesman, July 15, 1999.
19
“AP Told to Keep Gas Scheme in Abeyance,” Business Line, July 28, 1999.
20
Author’s interview with Montek Singh Ahluwalia, Director, Independent Evaluations Office,
International Monetary Fund, Washington, D.C., July 2002. During the 1990s Ahluwalia served in several
high-level posts in India’s central administration, and returned as Deputy Chairman of the Planning
Commission following the election of a new Congress-led coalition government in May 2004.
21
Manor, “Political Leadership,” emphasis added.
22
Suri, “Democratic Process and Electoral Politics,” p. 55.
23
The defector was the Tamil Nadu-based All India Anna Dravida Munnetra Kazhagam (AIADMK), led
by the mercurial former actress Jayalalitha Jayaram.
24
Manor, “Political Leadership”; see also CSDS (Centre for the Study of Developing Societies) Team with
K.C. Suri, “A Triumph of Alliance Arithmetic,” Frontline, November 6-19, 1999.
25
Rajen Harshe, “Stakeholder Participation in Andhra Pradesh Reform Process,” draft report submitted to
World Bank as an internal document (2001), pp. 22-38; shared with the author by Rajen Harshe, August
2002.
26
The Left Alliance had been formed the previous March, to protest the Hyderabad stop by United States
President Bill Clinton during his weeklong visit to India.
27
In a campaign speech to villagers in 1999, Naidu said, “You see me, you vote for me. Don’t go by local
considerations. I am here to control everybody.” Swapan Dasgupta and Amarnath K. Menon, “Selling
Hard,” India Today International, September 13, 1999; emphasis added.
28
R. J. Rajendra Prasad, “WB Chief’s Remarks General: Govt.,” The Hindu, September 6, 2000, electronic
edition, <www.hinduonnet.com/thehindu/2000/09/06/stories/0406201e.htm>, accessed February 27, 2003.
29
Syed Amin Jafri, “AP House Rocked by World Bank Official's Statement,” Rediff.Com, September 5,
2000, <www.rediff.com/news/2000/sep/05ap.htm>, accessed February 28, 2003.
30
Remarks by BJP floor leader Indrasena Reddy as reported in V. Sridhar, “Brutal Crackdown,” Frontline,
September 16-29, 2000.
31
“Riding Two Horses” (editorial), The Hindu, June 4, 2000.
32
Lionel Messias, “World Bank Praise for AP,” Gulf News (online edition), November 10, 2000.
33
In 2000, AP had accounted for 385 of the 480 cases reported all over India. Though analysts attributed
these tragedies to a number of factors, state policies were substantially implicated in a recurring scenario:
indigent and lacking access to formal credit, many of the victims had taken on large personal debts to local
moneylenders in order to purchase fertilizer, pesticide, and other inputs—the price of which, like power
tariffs, increased as Naidu’s government withdrew subsidies to meet its fiscal adjustment targets. Lacking
expertise in the proper usage and application of such inputs, farmers were susceptible to improper and
unscrupulous advice to apply large quantities. Following the failure of their crops and intense—often
violent—intimidation to repay their debts, the farmers elected to take their own lives, in some cases in the
gruesomely symbolic manner of ingesting lethal amounts of pesticide. Palagummi Sainath, a journalist,
extensively analyzed this issue in a series of articles spanning 2001 to 2004; they are collected at
<www.indiatogether.org/opinions/psainath/>.
34
Suri, “Democratic Process and Electoral Politics in Andhra Pradesh,” p. 53.
35
Literally the “crushed” or “ground down,” the term Dalit is the preferred self-identification of many
members of the group at the very bottom of India’s caste hierarchy sometimes referred to as the
Untouchables.
36
Tara Shankar Sahay, “Naidu’s Mind was Made Up 2 Days After Attack,” Rediff.com, November 15,
2003.
37
Third quarter GDP growth of 10.4 percent in 2003-04 briefly distinguished India as the fastest-growing
economy in the world.
38
“Electricity Might Determine the Fate of TDP,” Indo-Asian News Service, April 16, 2004.
39
Figures from the Election Commission of India, as reported in Center for the Advanced Study of India,
“Andhra Pradesh’s Long March Toward 2020: electoral detours in a developmentalist state,” Doing
Business in India: political, social and cultural overview (Spring 2005), p. 63.
40
See for example P. Sainath, “Andhra’s Electoral Outcome,” <www.indiatogether.org/2004/may/psa-
appolls.htm>.
41
Shekhar Gupta, “On the Record: Jairam Ramesh,” The Indian Express, May 25, 2004.
42
Subhomoy Bhattacharjee, “World Bank May Cut Off State Loans,” Rediff.com, August 9, 2004.
39
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