30 May 2024

Modi’s Middling Economy

Rohit Lamba and Raghuram Rajan

On June 4, after counting roughly 650 million votes, the Election Commission of India is scheduled to announce the winner of the 2024 parliamentary elections. Polls suggest it will be the Bharatiya Janata Party, led by Prime Minister Narendra Modi. If the BJP is voted back to power after a ten-year tenure, it would be a remarkable feat, driven largely by the prime minister’s personal popularity. According to an April poll by Morning Consult, 76 percent of Indians approve of him.

There are multiple theories for why Modi is so popular. Some attribute it to the fact that he has advanced the “Hindutva” agenda, which views India from a Hindu-first lens. Despite the periodic dog whistles against Muslims during the elections by Modi and his lieutenants, this agenda is a primary electoral concern for only a small fraction of India’s voters. In the 2019 elections, BJP’s vote share nationally was less than 38 percent, and obviously, an even smaller share are committed to the othering of religious minorities.

Another explanation is that Modi has managed the economy well, with India recently overtaking the United Kingdom to become the fifth-largest economy in the world, and soon surpassing stagnant Germany and Japan to become the third largest. His economic stewardship, some experts argue, is setting up the country and its 1.4 billion people to succeed in the future.

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