Why Maharashtra Matters? It’s The Economy, Stupid

The political drama and contortions witnessed by Indians over government formation in Maharashtra were unprecedented even in a country which has seen Aaya Rams and Gaya Rams in Haryana in the 80s and recent wholesale purchase of MLAs in Karnataka and Goa. Wrangling in coalition practice is nothing new, but this was the first time in history that a pre-poll alliance was broken to find new bedfellows after the elections. 

One reason is that the stakes in Maharashtra are particularly high. The state boasts of the highest number of under implementation projects, running into billions of dollars. In its demography, Maharashtra is as large as Mexico and has the highest number of urban dwellers in the country for a state. It produces more pulses than Brazil and more fruits than Indonesia.

It is either number 1 or number 2 on most economic indicators in India with the largest number of foreign companies operating from Mumbai. 

Ruling Maharashtra is like taking the reins of a middle-level country. To be in power in Mumbai is second only to be at the controls of Delhi. That's why the Shiv Sena ditched a three decade old partner like the BJP, fearing it will not get enough share of the pinion in the second term. 

The NCP and Indian National Congress are risking support to a staunch and formidable critic only to keep the BJP out of power in a state which houses most corporate headquarters and financial institutions. It's the economy that trumps the political calculations in Maharashtra.