Contours of Crony Capitalism in the Modi Raj

Author:

Bhattacharya A.K.,Thakurta Paranjoy Guha

Abstract

This chapter examines crony capitalism in the first four years of the Modi’s premiership. Firstly, it analyses the changing dynamics of crony capitalism in India after independence from the licensed raj to liberalization in 1991 after which it resurfaced in forms of favors to big businesses, such as special economic zones, spectrum allotment and mining contracts. Secondly, the analysis of data under the Modi regime shows that crony capitalism has decreased, but this can be misleading because the evolutionary process of declining dependence on government patronage also contributed to it. Crony capitalism is also the main political issue that catapulted Modi to power in 2014. It is an issue that has often led to political upheavals in independent India. Finally, with the electoral bonds, increasing private investment and sphere of influence, it may not be a surprise if history repeats itself.

Publisher

Oxford University Press

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