Future of Democracy: A candid talk with Dr. Jaya Prakash Narayana

Dr. Jaya Prakash Narayana is a man who typically needs no introduction, but for those unfamiliar with his extensive contributions: here is a brief overview.

JP, as affectionately by his legions of devoted followers, is a veritable wealth of knowledge. A physician by training, he joined the Indian Administrative Service following the emergency and failure of the Janata Experiment. Dr. JP’s 16-year public service career convinced him that a flawed governance process was the most significant impediment to India and Indians achieving greater success. He believes what India requires is a fundamental change in the rules of the game, rather than a periodic change of players. Committed to his belief in transformative change, in 1996, he resigned from the Indian Administrative Service and founded Lok Satta and FDR with colleagues who shared his vision.

Foundation for Democratic Reforms, Lok Satta movement, and other initiatives aim to improve governance at the state and local levels by promoting service guarantees, education, healthcare, local government empowerment, judicial, political, and police reforms, and anti-corruption measures.

During our candid session with Dr. JP, we got the chance to delve deeper into the crucial topics: economy, youth, policies, reforms, governance, etc.

Q: The state is crippled by serious issues like lack of investments and infrastructure, delayed government projects, 43% on- and off-budget loan amount, 1 lakh crores to be remitted by the government, etc. What should the game plan be for the upcoming government?

A: Andhra Pradesh has fantastic opportunities with an enterprising population and a 1000-kilometre coastline. Right from the beginning of British rule, irrigation was given utmost importance, leading to wealth creation. In the pre- and post-freedom struggle, for a generation or two, many towering leaders have taken education as a movement, and despite inadequate facilities, the best quality education was provided. Being a coastal state with natural advantages, AP should have progressed really fast, but alas, the results are not promising, especially in the last five years, because of the bad choices made in terms of expenditure and policies. It's now high time to retrace the steps and correct the mistakes. In order to grow, there are two central pillars: One is how to manage and utilise the resources. Unfortunately, the AP government in the last few years spent funds on short-term benefits that are dominant in expenditure without building the future, infrastructure, encouraging investments and growth, & creating jobs and skills, which pushed that state into unrecoverable poverty riddled by enormous amounts of debt. AP is one of the highest debt-ridden states in the country right now, standing at about 50%, whereas the norm is 20% of the GSTP for state debt, hurting the economy and making our future generations less prosperous and more poor.

The second pillar is the government going about its job dutifully: working on infrastructure, encouraging investments, promoting economic growth and incomes, and having a balance between short-term welfare measures and long-term growth-oriented measures. If all these aspects are perfectly covered, the government need not create wealth; the young people of the state with passion and novel ideas will! The lack of investments in the state is making us go back to the cave era. Harassing the investors, fleecing money out of them, and showing disinterest in the inception of projects are forcing the investors to choose other states and countries. If these two pillars are laid in the state with a solid foundation based on the framework of the rule of law, encouragement of innovation & independence, development of small towns, genuine educational outcomes, and quality healthcare, the society and the people of AP across every spectrum, with their hard work and dedication, will take care of themselves.

Q: The government has developed and implemented policies and schemes such as allocating 90,000/- per student + tablets (from 1 to 12th standards). Are the current schemes helping the education ecosystem thrive, and if so, are these policies equipping students with the necessary skills?

A: The purpose of education is to ensure that every single child, irrespective of the circumstances of birth, accidental wounds /other disabilities, caste, religion, creed, economic status, education/job profile of the parents, and region they reside in, receives equal opportunities to bring out their potential and innovative mindset & enhance their skills and productivity, raising them to be productive members of society and therefore augmenting their earning capacity. Any government that measures education by just the amount of funds it has spent for the sector isn’t wise by any means. It has to analyse the results in terms of the knowledge obtained by the students. The yardstick for the measurement is the flourishment of the minds of the children and their capabilities, skills, and confidence. All the evidence in the state of the AP and the country proves otherwise. Statistics prove that about 80% of the students in government schools and colleges do not possess intellectual abilities as per their age. If the child, going forward, still depends forever on the government for his employment and caregiving, the whole education system is a disaster.

Q: In your previous interview, you emphasised that Amaravathi should be developed as a green-field city, and 100 small towns should be self-sufficient in terms of development. Please elaborate.

A: In this day and age, to attract global investments, technology, and talent, we need state-of-the-art infrastructure. In terms of investment, productivity, job creation, and growth, when we’re talking about a green-field city, our thoughts glide to the city of Hyderabad. Areas like Hitech City and Financial District were developed and are developing leaps and bounds, standing out as global magnets for growth and investment, not just sticking to the core MCH limits. In 1995, I was among the first to allocate land to software entrepreneurs and sign a MOU with L&T to develop Hitech City. The then CM, Mr. Chandra Babu Naidu, took over with tremendous gusto and enthusiasm and built everything up. All the successor governments, for example, led by Mr. Raja Sekhar Reddy and Mr. KCR, despite the political differences, strived for the immense development of Hyderabad, making it the ultimate software capital. A green-field city is critical for growth in the new economy. The availability of land and space all around Hyderabad works in its favour. The same applies to Amaravathi in AP, where lands were pooled by all the farmers, giving them fair compensation instead of using force on them. The then government acted wisely by preparing a fair field of hinterland with a mighty river nearby, backed by an entrepreneurial population ready to work hard and take risks with hope for their prosperous future—all the conditions were just right for enormous investments. It is with deep pain that I say that the government that took over squandered this priceless opportunity. All governments, new and old, should always bring continuity. Regarding developing small towns, according to the cluster effect of the economy, all the trades and skills are not needed only in the major cities to survive or flourish. As the economy is not being developed beyond the big cities, the poorest people with low levels of skills and no support system are forced to migrate to distant cities. The result is that their income is inadequate as per the city's living standards, leading to utter pain and anguish. Supposing the government allocates funds to develop small towns and spends time and effort on infrastructure, town planning, and creating jobs, the same income levels can help these people live comfortably rather than struggling in a city. Until and unless the government strives to develop small towns and cluster-effect big cities, the growth benefits will only be concentrated on a particular segment, causing a disaster to the economy and, in turn, the state and the country in the long run. AP needs both a green field city, Amaravathi, and a hundred different small towns consciously built for proper development and flourishment.

Q: There is a lot of foul play and a host of confusing statements regarding the privatisation of the Vizag Steel Plant. At some point, you mentioned that as long as work and welfare are going on optimally, public and private issues don't matter. Are you still on the same page?

A: In my opinion, public and private are great myths. A public company is nothing but the hard-earned tax money of a common man invested in a public company. The money has been routed from our funds that are to be allocated to education, healthcare, the rule of law, and infrastructure. For the past 70 years, governments have failed to do what they ought to do, i.e., to fulfil the collective needs of the people by a collective entity chosen by the people, which is nothing but the government! All these aspects mentioned can be taken care of by governments only at the end of the day, as the market will not work for those crucial roles. Instead of concentrating on their core roles and responsibilities, the government entered and intervened in segments where the market and the public could excel better. It is against this backdrop that we should look at the public and private sectors. Over time, every public sector, such as Air India, has declined and become a burden on the general public. Everyone must realise that the private sector is nothing but us, the investors and risk-takers!

Q: Post-separation, AP witnessed many changes during phases 1 and 2. How will phase 3 look?

A: It depends on the future government's good sense in terms of fiscal discipline—using the government money wisely, safely, and prudently, investing funds in infrastructure, encouraging private investments, and making people partners—then, despite all the issues we have faced, there is a surety of growth and a better future. The government must ensure that steps are taken to see that the fruits of growth reach every commoner: quality education, healthcare, decentralisation of power and development, and the rule of law. I hope and expect that the future AP government will focus on economic growth, social stability, and fiscal prudence. Despite serious challenges, AP has the potential to grow at a rate of 9–10%. The transition to a virtuous cycle from a vicious cycle is what the state desperately needs!