Thursday, 26 July 2007

Two Indias

If you have a map of India with you, I suggest you draw a line across it, starting at the point which forms the intersection of Rajasthan, Gujarat and Pakistan, and stretch it across the deccan to end at Vizag.

You have just successfully divided India into its two economic futures. The north of this line representing the poor India of tomorrow and to the south of this line is the new age modern resurgent India. Pick up any economic indicator like per capita income, direct taxes or any business infrastructure indicators such as presence of banking, it is these southern states which are poised to become India's western Europe.

The North with a behemoth like Uttar Pradesh (UP has a population of close to 160 Million) in a state of regress, is India's eastern europe. As a matter of fact, Bihar and UP together account for almost 25% of India's population.

These will effectively be two independent economic entities, which are already culturally different and distinct. For all residents of Delhi, buy that house in Bangalore now....

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