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A Vote of Confidence
India’s government survived a hotly contested confidence vote in Parliament this week, clearing the way for it to finalize a landmark nuclear energy deal with the United States. Prime Minister Manmohan Singh, who initiated the confidence motion after the withdrawal of communist support for India’s ruling coalition, won 275 votes. His opponents secured 256 votes, ending a week of intense politicking, including rancorous debate and allegations of bribery. The communist political parties had withdrawn their support to protest the nuclear deal, which they fear will give the U.S. too much influence over India. If the ruling coalition had lost, the nuclear agreement—that would allow India access to nuclear fuel and technology on the world market—would likely have been squelched. The deal is seen by some as the foundation of a newly forming strategic partnership between New Delhi and Washington. Singh has argued that India, which imports 75% of its oil, needs the arrangement to power its energy-hungry economy. Under the agreement, India would open its civilian reactors to global inspections in exchange for nuclear fuel and technology. India has been denied such resources because of its refusal to sign the Nuclear Nonproliferation Treaty and testing of atomic weapons. The impact of Tuesday’s vote will be felt in upcoming months as the country prepares for national elections in early spring. Indian politics does not appear to be of the highest order of integrity as the run-up to the vote was reportedly marked by constant heckling and repeated allegations of bribes and intimidation on the floor of parliament. Both sides tried desperately to rally support for votes, even reportedly wheeling one ailing lawmaker in on a gurney and temporarily releasing from prison a few incarcerated politicians. Nevertheless, when matters of national importance attract such debate it can be a sign of a robust democracy, and politics in India remains quite vibrant. Whether the vote of confidence was a statement in favor of revitalizing India's infrastructure for foreign investors is still uncertain. The big question is whether this victory changes the reform process in India. Structural reforms, including those to the insurance and banking sectors that had been stalled by the fracas, can now move ahead more freely. Whether the reforms will be realized is largely dependent on the will of politicians, who are vying for broad appeal ahead of elections. The nuclear deal now needs the approval of the International Atomic Energy Agency and the Nuclear Supplier Group, and requires a final vote in the U.S. Congress.
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