The scope and nature of Bihar verdict are stunning. Once again, the illiterate, long-suffering people rose above caste and religion in search of a better future, and proved the psephologists and pundits wrong. This capacity to transcend narrow loyalties and express the collective will with calm grandeur has been the saving grace of our otherwise flawed democracy. Clearly, our democracy is vibrant, and there is hope, if only we harness these opportunities for a greater cause, and not squander them in personal aggrandizement.

Our urban population is growing dramatically. According to 2001 census, 285 million Indians lived in cities and towns, more than the American population. The residents of large metropolitan areas of Mumbai, Kolkata and Delhi now exceed 10 million each; Chennai, Bangalore, Hyderabad and Ahmedabad exceed 5 million each. And 35 other metropolitan areas have more than a million residents – almost twice as many as in 1991. Projections show that our urban population would grow to about 473 million in 2021, and 820 million by 2051.

The last ten months have witnessed unusually severe natural calamities affecting the sub-continent. The tsunami of December 2004, the Mumbai floods of July this year, and the recent Muzaffarabad earthquake have caused great devastation. But these disasters have a silver lining for India. Our administration did respond with some vigour and alacrity compared with the littoral states of the Indian ocean, US authorities in the wake of hurricane Katrina, and Pakistan officials now.

The devastation caused by Hurricane Katrina has once again brought into sharp focus the world’s energy vulnerability. Global over dependence on oil is now possibly the single biggest risk to economies everywhere.

align="left">This month marks the thirtieth anniversary of the most defining event of our republic’s history – the imposition of ‘emergency’ during the midnight of June 25-26, 1975.  Thirty years is a long enough period to enable us to take a dispassionate, objective view of the tumultuous events of that period.

align="left">The Union cabinet recently decided to appoint the Second Administrative Reforms Commission (SARC), and a group of ministers has been constituted to finalize the terms of reference. This is in keeping with the UPA government’s commitment, and the Prime Minister’s oft-repeated concern about revamping the delivery system.

Rule of law is the essence of modern civilization and democratic governance. Delayed justice, poor appreciation of evidence, and incapacity to apply constitutional and legal principles to real-life situations play havoc with people’s lives. In particular, the economic life of a society revolves round contractual obligations, enforcement of rights, conformity with various laws protecting the environment and citizens, and fair, impartial and effective application of various tax and other laws. Failure of justice extracts a heavy toll from the society and economy.

One of the great challenges confronting India is amelioration of the plight of the unorganized workers. NSS estimates show that about 370 million workers belonged to this category in 1999-2000. Of them, about 240 million are engaged in agriculture as owner-cultivators and wage labourers. Of the remaining 130 million non-agricultural workers, about 40 million are engaged in manufacturing, 37 million each in trade and other services, and the remaining in construction.

President Abdul Kalam made strong observations about the “dubious and undemocratic” political practices prevalent.  He rightly said, “When politics degrades itself into political adventurism, the nation would be on the calamitous road to inevitable disaster and ruination.  Let us not risk it”.

align="left">The Union budget for fiscal year 2005-2006 is due in just over two weeks.  This is the period during which a lot of pressure is usually brought to bear on the Finance Minister (FM) to increase budgetary allocations for this or that panacea to transform India and eliminate mass poverty.  With greater continuity and stability in the tax regime the usual excitement about tax rates and the guessing games have been missing in recent years.  Therefore, much of the debate is about allocations, expenditure and fiscal deficits.