Increasing populism

The trend will elevate macroeconomic risks

Political parties in the five poll-bound states are expanding the nature and scope of pre-poll promises, with long-term fiscal consequences. An analysis of the promises made in Chhattisgarh, for instance, shows that both the Congress and the Bharatiya Janata Party (BJP) are not very different in their approach. The promises made in the state include cash transfers to landless agricultural labourers, cheaper gas cylinders, and free education. The BJP has also promised a monthly allowance to married women. However, the biggest announcement in this regard came from Prime Minister Narendra Modi on Saturday that the Union government had decided to