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Tuesday, 16 September 2025

History repeats: The great divide of India is on its way

Partition of India in 1947, once called as "The Great Divide" is now a forgotten story. Shimmering tension between South India and the rest of the nation is expected to blow up with a new great divide occurring unless proper strategy is framed taking into considerations of domestic economy and geoeconomics outside:

The five southern Indian states namely Andhra Pradesh, Karnataka, Kerala, Tamil Nadu and Telengana, in alphabetical order, accounts for roughly 20% of population and contribute app. 31% of Indian GDP which is estimated as USD 4 Trillion. While in terms of being richest states Maharashtra in the West takes the first notch the second position goes to Tamilnadu, a vibrant Dravidian part of India. More than what meets your eye: the leader of Tamil Nadu, Stalin is quintessentially a young leader who is considered as a liberator of the Dravidian State running the largest administrative set up in the southern region.

Originally there were four south Indian states amongst whom the largest was Andhra Pradesh which was later split into two whereby, Telengana as a separate entity was carved out in 2014 from erstwhile Andhra. By this move it lost the position of being most populous state among the original four, giving that covetous crown to Tamilnadu. By the way Tamil Nadu boasts a population of more than 76 million today.

In any case, south India as a whole had 283 million population whose cultural identity differs vastly from the northern segment. In terms of political power the southerners have little clout as the Hindi belt of India has more than 600 million, a teeming population who have the right to elect more members of Parliament and ensure that they get preferential treatment due mainly to their numbers rather than their productivity. Or for that matter, economic contribution.

Not only in terms of culture and languages, but in every aspect of the life index south India covets a great degree of recognition. Excellent law & order situation is the prime feature, followed by rapid degree of industrialization. For example Tamil Nadu is the number one state when it comes to electronics manufacture in the all–India indices.

The north- south divide is not a recent phenomenon. From the time of British India the southerners got hooked to English language while preserving their local dialect. In fact, the proportion of English seekers in the five states of south India is more than twice that of the rest of India except in Maharashtra.

Divisive tendencies had been there since independence but the rate is growing steadfast due mainly as economic disparity between south and the rest widens, along with the sensitivity commonly felt among the southern pollution that they are being exploited. One example is that the amount south contributes to the central treasury is much higher than the dole central government distributes to the south.

Unless proper strategy is framed up to gain the confidence of southerners, the tendency to break away from the Indian Union is likely to grow. Domestic economics is only one part, the overall geoeconomics surrounding south India functions as an allure for other nations to pay interest and necessary action. By the same token internally the feasibility of forming a south Indian confederation cannot be ruled out.

Navigating strategy amid geoeconomics is what needed today!

 

Cheers!

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail: cosmicgems@gmail.com

Blog:   Business Strategist

Monday, 15 September 2025

Nepal Gen Z riots, what is lying beneath?

Last few days saw massive riots taking place in Kathmandu under “Gen Z” that ravaged the economy together with the current administration. Seemingly there is dissatisfaction felt across the strands of society culminating in civic chaos. Politics aside there are notable geoeconomics reasons that fuel this social upheaval:

Internal dimension is what interested many analysts to look at the domestic economic performance. But the external dimension that was really behind this disturbance was glossed over. Nepal has been a poor land–locked country often at the mercy of her southern neighbour India. To extricate from the elephant’s horn Nepali leaders have been in touch with her neighbours.

Neither Pakistan nor Bhutan could be of any help. The former does not have a land border and the latter keeps the border under tight control to avoid Nepali workers creeping into the kingdom. But China is a different story.

Connectivity was sought and action taken to build major China-Nepal Highway, a 800 kilometre road running over the slopes of Himalaya. Since 2023 Kathmandu was connected to the border point via two major crossings, amongst the six located on the Nepal-China border that extends to about 1415 km.

Ostensibly this deprives India her hegemonic role within Nepal as trade starts blossoming between China and Nepal in leaps and bounds. Yet there is wide spread dissatisfaction amongst the ruling elites who basically plunder the Nepalis using their Indian connection.

Their grouse was expressed differently in terms of unfavourable trade balance between Nepal & China where Nepal’s imports from China is around USD 2.05 Billion while Nepal exports to China was a mere USD 18 million. Critics also cite that India is a better trading partner as Indian exports to Nepal estimated to be USD 7.25 Billion while Nepal could pinch a salutary USD 811 Million exports to India.

Weaning away Nepal from China has emerged a vital agenda for the Nepali elites who see their future sealed with Hindutva led India rather than Communist led China.

Unknowingly to the Nepalis, the Americans got wind of the findings of Uranium in the Nepali mountains.  A geological study confirmed the presence of a uranium mine in the Upper Mustang region in 2016 without ascertaining the quantum. Incidentally this type of Uranium could be used for turning out nuclear weapons. Chinese are also smart. They have already traced the approximate quantum and the method of mining it.

This geoeconomics boon to the poor nation of Nepal could be devastating, so to speak. America, China and India are jostling for power in Kathmandu. National Endowment for Democracy (NED) a US Think Tank is already active in Kathmandu and their first attempt has just succeeded in deposing the present government.

How China and India would play their part is a Billion Dollar question in navigating strategy amid geoeconomics?

 

Cheers! 

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail: cosmicgems@gmail.com

Blog:   Business Strategist