What explains India’s peculiar stability?
In a tricky neighbourhood the country remains calm
An economist with super-hero vision might stand in New Delhi, gaze in every direction and see turmoil. In Nepal, India’s neighbour to the north-east, “Gen Z” protests erupted earlier this year over inequality, as the scions of political dynasties flaunt their luxury holidays and designer clothes on Instagram while ordinary Nepalis struggle with unemployment. Further east, Bangladesh’s students led a revolution last year to overthrow Sheikh Hasina, who had been prime minister since 2009. Among their grievances was a quota system that reserved state jobs for descendants of war veterans. To India’s south, Sri Lankans stormed the presidential palace in 2022, forcing Gotabaya Rajapaksa, the president, to flee. Mr Rajapaksa had presided over an economic crisis that left the country bankrupt, with fuel and medicine running out. To the west, Pakistan faces protests by supporters of an imprisoned former prime minister and yet another IMF rescue.
Already have an account?Log in
Continue with a free trial
Get full access to our independent journalism for free
Get startedExplore more
Handpicked stories, in your inbox
A daily newsletter with the best of our journalism
The Trump administration threatens the Fed with a criminal cudgel
The president denies all knowledge. A bizarre fight could get nasty
Pessimism is the world’s main economic problem
Gloomy expectations are starting to matter more than the data
Vietnam’s growth is fast—but fragile
The economy is unduly reliant on a handful of conglomerates
Why Europe’s biggest pension funds are dumping government bonds
Dutch reforms will push up borrowing costs across the continent
Venezuela’s astoundingly messy debts are about to get messier
Oil majors, hedge funds, Chinese lenders—all have a stake
