What lies ahead for the new Indian government

What lies ahead for the new Indian government
Supporters of the ruling Bharatiya Janta Party (BJP) holding cut-outs of India’s Prime Minister and their leader, Narendra Modi shout slogans during an election campaign rally of their president and election candidate Jagat Prakash Nadda (not pictured), in Amritsar on May 30, 2024 ahead of the seventh and final phase of voting in India’s general election. (AFP)
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Updated 30 May 2024
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What lies ahead for the new Indian government

What lies ahead for the new Indian government
  • Economic disparity, inflation, taxes and unemployment likely to be key challenges 
  • Foreign relations with China, Pakistan, Canada will continue to plague any new administration

NEW DELHI: India is expected to have a new government in place by the middle of June after a six-week election that began on April 19. Votes will be counted on June 4 and analysts expect Prime Minister Narendra Modi to win a third straight term.
Here are some key issues the winning party, or coalition, will need to tackle in office.
ECONOMIC DISPARITY
India’s economy is expected to have grown by about 8 percent in the last fiscal year, one of the fastest rates among major economies, but voters have pointed to disparities on the ground, with growth more visible in cities than in the vast hinterland.
The economy has jumped five places to be the fifth-largest in the world in the past decade under Modi and he has said he will lift it to the third position if elected. But the country’s per-capita income still remains the lowest among G20 nations.
Nevertheless, S&P Global Ratings in late May raised India’s sovereign rating outlook to ‘positive’ from ‘stable’ while retaining the rating at ‘BBB-’, saying the country’s robust economic expansion was having a constructive impact on its credit metrics.
INFLATION ABOVE CENBANK TARGET
Annual retail inflation (INCPIY=ECI) in April stood at 4.83 percent, slightly lower than March, but still above the central bank’s 4 percent target.
Food inflation, which accounts for nearly half of the overall consumer price basket, was an annual 8.70 percent in April, compared with a 8.52 percent rise in the previous month. Food inflation has been at more than 8 percent year-on-year since November 2023.
Countering the steep increase in food prices has been one of the key campaign planks of the main opposition Congress party, which has promised several cash handouts to alleviate the situation.
Modi has meanwhile banned exports of wheat, rice and onions to contain domestic inflation.
UNEMPLOYMENT
Unemployment in India has also been one of the main issues in the campaign with Congress accusing the Modi government of doing little to provide jobs for the country’s youth.
The unemployment rate in India rose to 8.1 percent in April from 7.4 percent in March, according to the private think-tank Center for Monitoring Indian Economy.
Government estimates for the latest January-March quarter show that the urban unemployment rate in the 15-29 age group ticked higher to 17 percent from 16.5 percent in the prior quarter.
Overall, urban unemployment rate in the January-March quarter stood at 6.7 percent, compared to 6.5 percent in the previous quarter, according to government data.
The Indian government does not release quarterly unemployment figures for rural India.
FOREIGN RELATIONS
India’s rising world stature and assertive foreign policy have been touted as major recent achievements by Modi’s administration.
A key diplomatic strain, however, remains with China which was spurred by a 2020 border clash that left 20 Indian and four Chinese soldiers dead. Modi said last month the countries should address the “prolonged situation” on their border.
Modi’s government has been trying to attract foreign companies to diversify supply chains beyond China.
Relations with Canada have also been strained in recent months after Ottawa and Washington accused an Indian official of directing the plot in the attempted murder of Gurpatwant Singh Pannun, a Sikh separatist and dual citizen of the United States and Canada.
In May, Canadian police arrested and charged three Indian men with the murder of Sikh separatist leader Hardeep Singh Nijjar last year and said they were probing whether the men had ties to the Indian government.
TAXES
An industry lobby group earlier this year called for a tax exemption limit for individuals to be increased and linked with inflation to help boost consumption.
The Confederation of Indian Industry also asked that the government review its capital gains tax structure by bringing consistency in tax rates for different asset classes such as debt, equity and immovable assets.
FARMERS
Stagnant farm income is a major sign of widening inequality between urban and rural India that has led to widespread protests. The BJP had promised to double farm income by 2022 in its manifesto for the last election, but has failed to do so.
Despite that, Modi has set a new goal to lift rural per-capita income by 50 percent by 2030 but farmers in the hinterland remain skeptical of such plans, Reuters reported earlier.
LAND, LABOUR REFORMS
In February, a BJP spokesperson told Reuters that Modi could make labor reforms a priority if he wins the general election.
New labor codes, which would make it easier for firms to hire and fire workers and impose operating restrictions on unions, were approved by parliament in 2020, but they have yet to be implemented following resistance from workers and states.
The new government may also continue to delay taking on land reforms as any such moves would be contentious and lead to losses in state elections later this year.
In his first term as prime minister, Modi tried to push through legislation that would have made it easier to buy land for industrial corridors, rural housing and electrification, and for defense purposes. However, the plan was put on the backburner amid stiff resistance from the opposition.


Man killed by automatic gunfire in French city of Dijon

Man killed by automatic gunfire in French city of Dijon
Updated 57 min 57 sec ago
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Man killed by automatic gunfire in French city of Dijon

Man killed by automatic gunfire in French city of Dijon
  • The police criminal investigation unit determined the shooter
  • The southern Chenove district where the killing occurred was known for drug trafficking

LYON: A 29-year-old man was fatally shot overnight in the eastern French city of Dijon, the local prosecutor said on Sunday, adding that a gangland killing was suspected.
The southern Chenove district where the killing occurred was known for drug trafficking, the prosecutor, Olivier Caracotch, said in a statement.
“A dozen shell casings used by an automatic weapon” were found in the street where the killing took place, he said.
Nearby vehicles and a third-floor apartment were hit by some of the shots, but there were no other casualties, he said.
The police criminal investigation unit determined the shooter had approached a group that included the victim around midnight, opened fire, then escaped by car, Caracotch said.
The man killed lived in the city and had no police record for drug-related crimes, he said, adding that the investigation opened was for organized gang murder and criminal association.


Australia airdrops supplies to farmers stranded by floods

Australia airdrops supplies to farmers stranded by floods
Updated 25 May 2025
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Australia airdrops supplies to farmers stranded by floods

Australia airdrops supplies to farmers stranded by floods
  • Recovery is under way in the mid-north coast region of New South Wales state after days of flooding
  • About 32,000 residents of Australia’s most populous state remained isolated due to floodwaters

GHINNI GHINNI, Australia: Helicopters were airdropping animal feed on Sunday to farmers in Australia stranded by floods that have killed five and isolated tens of thousands in the country’s southeast.
Recovery was under way in the mid-north coast region of New South Wales state after days of flooding cut off towns, swept away livestock and destroyed homes. At least 10,000 properties may have been damaged in the floods, which were sparked by days of incessant rain, authorities estimate.
The floodwaters “trashed” Dan Patch’s house in rural Ghinni Ghinni near hard-hit Taree, and some cattle on the property have gone without food for days, he said.
“It’s the worst we’ve ever seen,” Patch told Reuters. “It’s the worst everybody’s seen around this area.”
About 32,000 residents of Australia’s most populous state remained isolated due to floodwaters that were slowly starting to recede, the state’s Emergency Services posted on the X platform.
“The New South Wales government is providing emergency fodder, veterinary care, management advice and aerial support for isolated stock,” state Agriculture Minister Tara Moriarty said in a statement.
It said 43 helicopter drops and around 130 drops by other means had provided “isolated farmers with emergency fodder for their stranded livestock.”
At their peak, the floods isolated around 50,000 people, submerging intersections and street signs in mid-north coast towns and covering cars up to their windshields, after fast-rising waters burst river banks.
Five deaths have been linked to the floods, the latest a man in his 80s whose body was found at a flooded property about 50km from Taree, police said. Taree sits along the Manning River more than 300km north of the state capital, Sydney.
Prime Minister Anthony Albanese said on Saturday that conditions remained critical in flood-affected regions as clean-up efforts began.
Australia has been hit with increasing extreme weather events that some experts say are the result of climate change. After droughts and devastating bushfires at the end of last decade, frequent floods have wreaked havoc since early 2021.


Bangladesh’s Yunus seeks unity with fresh political talks

Bangladesh’s Yunus seeks unity with fresh political talks
Updated 25 May 2025
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Bangladesh’s Yunus seeks unity with fresh political talks

Bangladesh’s Yunus seeks unity with fresh political talks
  • The South Asian nation has been in political turmoil since former prime minister Sheikh Hasina was ousted in August 2024
  • There are 54 registered political parties in Bangladesh – not including the now-banned Awami League of fugitive former leader Hasina

DHAKA: Bangladesh’s interim leader will meet multiple parties on Sunday in marathon talks as he seeks to build unity and calm intense political power struggles, party leaders and officials said.

Muhammad Yunus, the 84-year-old Nobel Peace Prize winner who leads the caretaker government as its chief adviser until elections are held, has called for rival parties to give him their full support.

The South Asian nation of around 170 million people has been in political turmoil since former prime minister Sheikh Hasina was ousted by a student-led revolt in August 2024, ending her iron-fisted rule of 15 years.

The talks come after meetings that stretched late into Saturday evening with major political parties, including those who have protested against the government this month.

“Chief adviser professor Muhammad Yunus will meet the leaders of several parties on Sunday,” his press secretary Shafiqul Alam said.

There are 54 registered political parties in Bangladesh – not including the now-banned Awami League of fugitive former leader Hasina.

Alam did not specify how many parties were invited to this round of talks.

Mamunul Haque, leader of the Islamist Khelafat-e-Majlish party, said he was attending discussions expected to focus on “the ongoing crisis.”

Zonayed Saki of the liberal Ganosamhati Andolon party said he was also attending.

After a week of escalation during which rival parties protested on the streets of the capital Dhaka, the government led by Yunus warned on Saturday that political power struggles risked jeopardizing gains that have been made.

“Broader unity is essential to maintain national stability, organize free and fair elections, justice, and reform, and permanently prevent the return of authoritarianism in the country,” it said in a statement.

Microfinance pioneer Yunus, who returned from exile at the behest of protesters in August 2024, says he has a duty to implement democratic reforms before elections he has vowed will take place by June 2026 at the latest.

The caretaker government has formed multiple reform commissions providing a long list of recommendations – and is now seeking the backing of political parties.

Yunus last held an all-party meeting – to discuss efforts to overhaul Bangladesh’s democratic system – on February 15, and some parties cited frustration at the lack of contact.

But on Saturday, the government warned that it had faced “unreasonable demands, deliberately provocative and jurisdictionally overreaching statements,” which it said had been “continuously obstructing” its work.

Sources in his office and a key political ally said on Thursday that Yunus had threatened to quit, but his cabinet said he would not step down early.

Yunus on Saturday met with the the key Bangladesh Nationalist Party (BNP), seen as the election front-runners, who are pushing hard for polls to be held by December.

According to Bangladeshi media and military sources, army chief General Waker-Uz-Zaman also said this week that elections should be held by December, aligning with BNP demands.

Yunus also met with leaders of Jamaat-e-Islami, the Muslim-majority nation’s largest Islamist party, and the National Citizen Party (NCP) made up of many students who spearheaded the uprising that ended Hasina’s rule.

NCP leader Nahid Islam warned on Saturday that rival parties were pushing for swift elections to skip reforms and “assume power,” and that he believed there were “indications” that a “military-backed government could re-emerge.”


Opposition vows boycott as Venezuela holds new divisive vote

Opposition vows boycott as Venezuela holds new divisive vote
Updated 25 May 2025
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Opposition vows boycott as Venezuela holds new divisive vote

Opposition vows boycott as Venezuela holds new divisive vote
  • President Nicolas Maduro secures himself another term despite not producing detailed polling results
  • The opposition party published its own tally of results showing a win for Gonzalez Urrutia instead

CARACAS: Can Venezuelans be persuaded to return to the polls on Sunday, ten months after President Nicolas Maduro claimed a third term in elections marred by violence and allegations of fraud?
The issue of voter participation is the big unknown as the sanctions-hit Caribbean country returns to the polls to elect a new parliament and 24 state governors.
The main opposition led by Maria Corina Machado, an engineer and former MP, has urged Venezuelans not to legitimize what they see as yet another sham election by voting.
A small opposition faction led by two-time former presidential candidate Henrique Capriles rejected the boycott call, arguing that previous voter stayaways had merely allowed 62-year-old Maduro to expand his grip on power.
“We must vote as an act of resistance, of struggle,” Capriles, who is running for parliament, said.


Tensions were high in the run-up to the election.
More than 400,000 security agents were deployed to monitor the vote.
On Friday, a leading opposition member and close ally of Machado, Juan Pablo Guanipa, was arrested on charges of heading a “terrorist network” planning to attack Sunday’s vote.
Cabello linked Guanipa, a former MP, to a group of 50 people arrested earlier in the week on suspicion of being mercenaries in the pay of foreign powers.
Venezuela, which frequently alleges foreign-backed coup plots, said the suspects entered the country from Colombia and closed the busy border with its neighbor until after the election.
Guanipa is just the latest opposition leader to be targeted by the authorities.
Opposition presidential candidate Edmundo Gonzalez Urrutia went into exile in Spain last year after a bounty was put on his head.
A message on Guanipa’s X account, shortly after his arrest, declared he had been “kidnapped by the forces of Nicolas Maduro’s regime” but would continue the “long fight against the dictatorship.”


Many opposition supporters in Venezuela lost any remaining faith they had in the electoral process after the July presidential election.
Maduro claimed to have won a third term, without producing detailed results to back his claim.
The opposition published its own tally of results from polling stations, which appeared to showed a convincing win for Gonzalez Urrutia.
A deadly crackdown on protests that erupted over Maduro’s victory claim cemented Venezuela’s pariah status on the world stage.
Only a handful of countries, including longtime allies Russia and Cuba, have recognized Maduro as the country’s rightful leader.
Sunday’s election comes as the country’s economy — once the envy of Latin America, now in tatters after years of mismanagement and sanctions — faces even further turmoil.
US President Donald Trump has revoked permission for oil giant Chevron to continue pumping Venezuelan crude, potentially depriving Maduro’s administration of its last lifeline.
Washington has also revoked deportation protection from 350,000 Venezuelan migrants in the United States and expelled hundreds of others to a brutal prison for gangsters in El Salvador.
The pressure has failed to sway Maduro, who continues to defy the world and spar with his neighbors.
On Sunday, Venezuela will for the first time hold elections for parliament and state governor in the disputed oil-rich region of Essequibo, on its border with Guyana.
Guyana has administered the region for decades but Caracas has threatened to partially annex it.


Bangladesh government calls for unity to prevent ‘return of authoritarianism’

Bangladesh government calls for unity to prevent ‘return of authoritarianism’
Updated 25 May 2025
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Bangladesh government calls for unity to prevent ‘return of authoritarianism’

Bangladesh government calls for unity to prevent ‘return of authoritarianism’
  • The South Asian nation of around 170 million people has been in political turmoil since ex-PM Hasina was ousted by student-led protests in 2024
  • Muhammad Yunus, the 84-year-old Nobel Peace Prize winner who returned from exile at the behest of protesters, says he has a duty to implement reforms

DHAKA: Bangladesh’s interim government, which took over after a mass uprising last year, warned on Saturday that unity was needed to “prevent the return of authoritarianism.”

The South Asian nation of around 170 million people has been in political turmoil since former prime minister Sheikh Hasina was ousted by student-led protests in August 2024, ending her iron-fisted rule of 15 years.

After a week of escalation during which rival parties protested on the streets of the capital Dhaka, the government led by Muhammad Yunus said political power struggles risked jeopardizing gains that have been made and pleaded for people to give it their full support.

“Broader unity is essential to maintain national stability, organize free and fair elections, justice, and reform, and permanently prevent the return of authoritarianism in the country,” it said in a statement.

Yunus, the 84-year-old Nobel Peace Prize winner who returned from exile at the behest of protesters last year, says he has a duty to implement democratic reforms before elections that are due by June 2026 at the latest.

However, the government warned that it had faced “unreasonable demands, deliberately provocative and jurisdictionally overreaching statements,” which it said had been “continuously obstructing” its work.

Sources in his office and a key political ally said on Thursday that microfinance pioneer Yunus had threatened to quit.

“If the government’s autonomy, reform efforts, justice process, fair election plan, and normal operations are obstructed to the point of making its duties unmanageable, it will, with the people, take the necessary steps,” Saturday’s statement said, without giving further details.

Wahiduddin Mahmud, who heads the finance and planning ministry, insisted that Yunus will not step down early.

“We are going to carry out the responsibilities assigned to us,” Mahmud told reporters on Saturday. “We can’t simply abandon our duties.”

Yunus held talks on Saturday evening with key political parties, including those who have protested against the government this month.

His press secretary Shafiqul Alam insisted that the parties all had “full trust” in Yunus, with an all-party meeting scheduled for Sunday.

Yunus met leaders of the powerful Bangladesh Nationalist Party (BNP), seen as the election front-runners, who are pushing hard for polls to be held by December.

“Any excuse to delay the election may open the door for the return of dictatorship,” senior BNP leader Khandaker Mosharraf Hossain said after the meeting.

“The interim government and its allies will be held responsible for such a consequence.”

Yunus has said polls could be held as early as December but that holding them later — with the deadline of June — would give the government more time for reform.

But Hossain said that reforms, justice and elections were not “mutually exclusive goals.”

According to Bangladeshi media and military sources, army chief General Waker-Uz-Zaman also said this week that elections should be held by December, aligning with BNP demands.

Bangladesh has a long history of military coups, and the army retains a powerful role.

The upcoming elections will be the first since Hasina fled to India, where she remains in self-imposed exile in defiance of an arrest warrant to face trial for crimes against humanity related to last year’s police crackdown on protesters, during which at least 1,400 people were killed.

Shafiqur Rahman, the leader of Jamaat-e-Islami, the Muslim-majority nation’s largest religious party, said after his meeting with Yunus that he had asked for an election timetable — saying he was open to a later date if it allowed for reforms.

He also said he had sought “progress in the ongoing trials” of those from Hasina’s ousted regime.

Nahid Islam, leader of the National Citizen Party (NCP) made up of many students who spearheaded the uprising that ended Hasina’s rule, has said he wants later elections to allow time for “fundamental reforms.”

He fears rival parties want swift elections to “assume power.”

Speaking after meeting with Yunus, he said the NCP had “demanded a specific roadmap for reforms, trials, and the election of a constituent assembly.”

Islam, an ally of Yunus who previously served in his cabinet, speaking earlier on Saturday, warned that he had seen “indications” that a “military-backed government could re-emerge — one that is anti-democratic and anti-people.”