ISAS Insights

Political grand-standing on the alleged complicity of a Central Minister and two State Chief Ministers, all belonging to the ruling Bharatiya Janata Party, has stalled the passage of a reforms-linked Constitution Amendment Bill in India's Parliament. To salvage this bill, which is designed to introduce the General Sales Tax (GST) and create a uniform nationwide tax structure, the Narendra Modi Government is exploring various scenarios that might also address the concerns of some parties opposed to this measure. The popular focus, however, remains centred on the economic costs of political disruptions in India.