The Guardian view on India’s Iran shock: Asia’s neoliberal era starts to fracture |
The Indian prime minister’s call for sacrifice last week marks a fundamental shift. He urged the country’s 1.4 billion people to consume less fuel and fertiliser, buy less gold and curb foreign travel as global energy prices surge because of the war in Iran. The message, redolent of the Covid-era restrictions, suggests something larger: a retreat from neoliberal globalisation in Asia and the return of strategic economic management. The Hindu nationalist Narendra Modi waited for key regional elections to finish before pressing for the austerity measures. He was following other Asian states such as the Philippines, Bangladesh and Sri Lanka, which have made similar requests and even demands of their citizens since March.
Mr Modi made an explicit economic argument: reduce energy imports because India must conserve its foreign exchange. About 90% of India’s oil and gas needs come from abroad. When........