In the previous part I gave an brief overview about why global capital is moving against the Indian state. In this article I will elaborate a bit more.

Indian state is a creation of British empire. In Asia, British India was second best place after Japan. The best things of Britain was always available in British India. Contrary to the claims of Indian Nationalists, Britain has built many things in India. Today’s India is run on those British built institutions. The education system which they follow is a thing of British Empire. All the things related to power structure from judiciary to civil service to law, they are creation of British. All the major metro cities also creation of British Empireincluding the capital so is the rail network, road network etc. Republic India inherited those all and so India was ahead of other parts of third world back then. So, it apparently looked a big thing. Plus Soviet Union was always ready with unlimited aid and helped in every sector from military to defense. But as time passes by, others have gone ahead. Today, only sub-Saharan Africa and war-torn regions lags behind India. Everyone is ahead. So it seems India was fortunate in circumstances contrary to what they boasts about. Indian space and nuclear program too is a Soviet gift itself.

Indian economy was run at the system of License-Permit Raj. These system required licenses and permits in everything, from buying a scooter to opening a shop etc. This processes involved bureaucratic hassle on epic scale which often took decades after decades. Private enterprises were curbed, so ruling baniya classes could retain monopoly. State completely decided the amount of production, number of workers hired, price etc. Foreign capital was blocked. India completely ran on a closed auktarkic economy cut off from the global economy and supply chain. It may be noted that socialist countries adopted closed command  economy due to sanctions while India did it deliberately to protect its pre-capitalist system. Plus the bureaucratic and judiciary classesalso wanted to have their cake too. So they set-up a predatory system which only benefits them by making processes lengthy, strenuous and confusing. Corruption was normalized.Living standards were bottom low, economy ran on scarcity and ‘Hindu Rate of Growth’. Government jobs were only jobs available, private jobs were miniscule, entrepreneurship was shunned and most people involved in seasonal agriculture. Poverty was the most common thing. With generous Soviet patronage, this system ran despite being utter dysfunctional.

But this didn’t go well for too long. Soviet Union ceased to exists in 1991 and Indian State was verge of Bankruptcy in that year. Then with advise of IMF, the Indian state opened part of their economy and there was a global capital flow. Service sector flourished. So India skipped the industrialization phase and went from agriculture to service directly. But after 2008 economic collapse, that steam gradually run out. With the ascendance of Modi, the License Raj era is being brought back. This is seen in their war against foreign capital and cutting down any competition to ruling Gujarati and Rajasthani baniya classes. So Modi can be easily called Nehru 2.0.

Let’s analyze the current scenario. It’s a pre-capitalist country with an extremely tribal, irrational, feral, superstitious population who are unproductive. Majority populace lives in agriculture while it is the service sector that runs the economy. But the service sector was also a low-hanging fruit which also is dwindling.The system is set-up to disincentivise productivity, efficiency. Huge resources have been wastage since its foundation. India’s function in global supply chain was mainly about consuming cheap goods, it did not play much role in production. So, overall it has nothing much to offer to global capital.

Rather, Indian geopolitical ambition is at loggerheads with global capital. India sees South Asia and sometimes South East Asia as its backyard. It also seeks to expand in many other countries i.e. expansion of baniyadom everywhere. This also makes the relation one-sided. India plunders its productive coastal states to subsidize landlocked states yet the latter have absolute dominion over the former. Payment according to ability is stalled and quota, connections are given priority. Upper social mobility is curbed. Productive people are robbed.

Capitalists are not going to take this lightly. Firstly, they are in search of new production centers, so India’s geopolitical aim of controlling entire South Asia is a major blockade to this. For example Bangladesh has emerged as new production hub yet India is indulging incontinuous effort to undo this and establish baniya hegemony there and also preventing Bangladeshi products from entering Indian markets. India always prefer one-sided deals in which only they can benefit. So in a larger scale, India wants every country to be open for Indian produce but India to be closed. This is generating huge anger among capitalists too. Capital also want to try untapped potential of other South Asian countries, which is also contrary to Indian geopolitical aim. Capitalists will also seek to utilize and emancipate the productive elements of India which are robbed, milked, destroyed by the indian state. So they will maneuver the necessary geopolitical moves for that.

Ford’s flight, Elon Musk’s refusal to invest in India already showing many signs.

So, analyzing all the trends, events and scenarios it can be easily said that Global Capital vs Indian state conflict is coming up in the years to come.

Capital flight from India continues. Between 2019 & 2021, share of global FDI inflows to India have shrunk, from 3.4% to 2.8% and this trend will continue. Moreover, many capitalists have openly voiced their disgust at Indian state policy. The current regime of Modi is Nehru version 2 who seeks to implement a new License Raj 2.0 by removing all the competitions of the baniya  merchantiles.

To understand this more clearly, one has to first understand the Indian state. In a previous article 'Creation of Indian State', I have elaborated how the Indian state basically a formation to protect certain groups. One of them is the Gujarati, Rajasthani, Sindhi, Haryanvi, Hindu Punjabi trader-banker-merchantile castes. Indian state seeks to ensure their complete monopoly in India and also abroad if possible. Other groups are the feudal, landed, petty owner groups and the Hindustani population who dominate the politics and bureaucracy. The Indian state is a pre-capitalist state who want to prevent any modernization as growth of entrepreneur capitalist will eradicate the Indian ruling classes. That's why the economic policies of Indian state centered around close-market economy where social mobility is shunned. The Indian ruling classes are a colonial creation who are not ruling by their own capability but rather inheritance, so they are in constant fear that they will face a challenge all the time. In order to prevent this, a servile and irrational population is created. To maintain status quo, they also have curbed down productivity, growth etc. The baniya ruling classes operate via family, community centric monopoly, keeping the circulation of money and good/services among themselves and preventing everyone from entering trade, commerce, business etc. As they require hordes of cheap labor, they want to make sure that there is a continuous supply of poor, desperate people whom they can exploit easily.

The Indian left uses class politics, social justice, anti-brahmin rhetoric, feminism, etc to keep this status quo while right wing uses Hindutva, anti-Muslim rhetoric etc to do the same. Both are ultranationalist in their approach.

In my previous articles, I have elaborated India in details and showed how India remains a primitive, feral, chaotic, unproductive place and how fails to honor contracts. So combining all this it can be easily concluded that India will not be able to give return to investments.

Indian workplace runs one or many of the following criteria:

• Tribalism, community-centrism e.g.: a manager from x caste will favor people of his caste and will discriminate against others, a person from y ethnicity will favor person from that ethnicity only and treat others badly etc. This is being done regardless of productivity, efficiency etc. So the output remains low. Workplace politics also run on this basis.
• Particularly in public sector but also in private sector, quotas matter more than anything. Quotas regarding caste, gender, language etc matters more than anything.
• Work is not focused on productivity, efficiency, objective, output etc. Work is rather seen as compliance. India thinks slogging, staying late, etc is hard-work. Basically they care more about stunts than the actual thing.
• India is anti-incentive. Those who are productive are humiliated, insulted, punished while those who play workplace politics are rewarded. Bootlicking and personal relations are more rewarded than performance. Plus everyone always try to make others overwork while themselves avoiding everything. This dis-incentivizes work.
• Babudom is the main mode of operation. Those who are in management positions want to be treated like royalty and treat others like serfs. They want their subordinates to do the work while all they want is to put a seal and claim the credit.
• They are anti-investment and sees everything as expense. So they mainly focuses on cutting cost rather than investing. They expect too much without proving nothing.
• Zero professional conduct in workplaces.
• Mode of management is bullying, harassing, ragging, sadism etc. So they fail to achieve actual purpose.
• Education is mainly about social status. The archaic education focuses on creating stupid paper pushers. Concept of skilling, training is absent.

So combining all the above factors, it can be easily said that no matter how hard one tries, India cannot become productive ever. So investing there will only creates negative returns there.

Plus the state policy is about making capital flee so that the baniya ruling class is freed from competitors.

So, India and global capital have become adversaries. It's mainly political classes that pampers the Indian state.

Now, here comes the main issue. Global capital will side with China as they want to maximize the full benefit from Chinese economy while India stands at the adverse side of that objective. Moreover, Bangladesh, Vietnam, the Phillipines are becoming new production centers. So they will be preferred over India.

So, in any geopolitical tussle, global capitalists will mostly take stance against India.

Global market forces and supply chain dynamics will work against India as neither it can produce cheap goods for itself nor can it acquire cheap goods from global market as Chinese economy is moderating and USA & China-Russia are in geopolitical competition resulting in distortion of global supply chain. So living standards will fall and more economic crisis like stagflation will come.

India's geopolitical ambitions particularly against China will not be taken lightly by global capital too as it will disrupt their supply chain.

So in future, expect more tussle in future between the Indian state and global capital.

Many will also seek to restructure and reengineer India into their own mould and for that they will nurture political forces necessary for it. And yes, on this matter they will ally with China.

Indian Rupee cannot be internationalized. To be an international currency, a currency have to represent a big economy. Indian GDP is mere 3.25% of global GDP. Only USD Euro Yuan can be truly global currency. It is because USA represents 24% of global GDP, China represents 19% and EU represents 17%. Indian option of using Rupee in global transactions is simply a waste of time and mere big talk. That's why even after making Rubble Rupee deal, Indian companies are trading with Russia in Yuan.

GDP is most important. The larger GDP a country has, the larger production value and asset value it owns. A country's currency buys that same country's production and assets only. The larger production value and asset value a country has the more value its currency can buy. It means Chile and Nigeria can trade with USD, Euro and Yuan only because by possessing these currencies these countries can buy production and assets from USA, EU and China. Being largest economies each almost one fifth of global GDP, USA, EU and China have the have highest probability of offering best products and assets to Chile and Nigeria.

Hence the more GDP a country has the higher will be the demand for that country's currency. Now question comes, can the country defend its production and asset from external aggression? Here comes the importance of military power. But again, military power of a country is dependent on that country's GDP especially manufacturing and technological strength.

Now EU is a collection of many countries having little military power and hence Euro stands no chance to be used at same rate as USD is used in global market. So Euro is always less used compared to USD though their GDP was similar most of times since 2000. China has exceeded US GDP in terms of PPP (quantity) and about to exceed US GDP in nominal terms (quality both perceived and real) between 2024 and 2028.

China is one country and has military potential to dominate at least its neighbourhood. So Yuan is indeed a potential challenger to USD in the long run. But they will happen in steps.

First China has to show its capability to dominate its neighbourhood. Second economic and military compulsions will force USA to allow China to dominate Chinese backyard. Thirdly China's neighbours will start using Yuan in global transactions. Gradually Yuan usage share in global market will rise and that of USD and or Euro will fall.

By 2035, the global economy will see equal usage of USD and Yuan. In between 2022 and 203, three currencies to dominate global transactions namely USD Euro and Yuan. It may happen that Euro lost out. This is because EU is mostly economically stagnant since the last two decades, EU is union of many nations which can break anytime and Russia-Ukraine war is weakening EU production to the core. So by 2035 we may find global market mainly dominated by USD and Yuan only. Any other currency can have minor role in Multi-polar world. In 2022, Indian Rupee cannot be used in global transactions as nobody will find good product or asset in Indian market.

Everyone is familiar with the term Indigo. It is a color which is used in textile. But here i am going to discuss about a completely different Indigo which is ever present and faced by many, but haven't deciphered it. It is a color which has many different shades. This the Indigo or Indian Ego. It is a natural phenomena which many may have discovered before it, but i hereby giving it a nomenclature. Let's focus on the actual topic without digressing much.

Indians wear ego on their sleeve and it is their main motivator in everything. But wait a second, exactly how it came into being when in reality Indians have virtually no basis for having an ego. Their living standard is similar to animals and everyday is a struggle for life. They don't have anything in particular which they can boast about. The country falls in the lowest of global pecking order and often falls below sub-Saharan Africa in many aspects. Every country in this earth have Indian migrants who went there looking for basic livelihood. Many of the states haven't progressed beyond Paleolithic and Neolithic age. For example, the state of Bihar is equivalent to Somalia. Yet the question arises, despite all these, why are Indians so egotist, arrogant, narcissists while they should be opposite given their poor condition ?

The answer is their ego has no particular basis but exists within themselves. Indians are arrogant where they don't have to. They become rude, rustic, uncouth etc when there is no need to be.  Lets examine this in details.

• The irrationality and stupidity makes them unable to understand how to behave with whom, the time, situation, places of that particular behavior etc. They are simply unable to process this basic thing.
• In the so called great kulcha it is taught that being rude, brash, uncouth, insulting are the traits of great caliber. To them, it's a 'hero behavior'. The popular culture also nurture this concept only.
• Manners, etiquette etc are never criteria for evaluation. So this behavior goes unchecked.
• As people are amoral and exists outside of civilization constraints, so being feral is completely normal and often celebrated. So it's natural what type of people they will create.
• People believe in 'might is right' and 'master-slave' relationship. So establishing might and mastery remains top priority. Power over others is always looked after. Yet their definition of power is actually very animalistic so humane treatment is big no-no. Well-behaved people are seen as weak and are bullied, harassed. Rather they will venerate the absolute brute in his face. But again, they want to be the absolute master, so they will badmouth him behind his back for self-failure. As everyone constantly looking for overpowering others they are bound to be egotists.
• Praising someone is seen as self-weakness and criticizing others is seen as a great milestone. So putting down others is a constant attempt which they live by.
• Status, titles matter more than actual work. They live and die by social validation. They will buy cars, accessories, clothes not for actual use rather to show-off. Same case with their lavish marriage spending often on debt despite being poor. As everyone constantly fighting for validation they are bound to be egotists.
• Myths and fairytales are valued while history is frowned upon. So they always like to live in a mythical world. In their myths, they are always on top while ignoring reality.
• Blame is always shifted on others shirking self-responsibility. Making mistakes is seen as blasphemy rather than being normal. So, they try to avoid blame. In this process, they also forgets the practice of introspections and develop an overinflated image about themselves.
• Large chunk of population lives on absolute freebies. As they get everything without doing anything they develop a sense of entitlement and thinks the world owes them everything.
• Payment according to ability, incentive is absent from Indian workplace. The main criteria of evaluation are seniority, connections, family, personal relationships and also many times corrupt means. This makes the beneficiaries more arrogant as performance has nothing to do with reward. This why office politics and buttering up is the only way to go forward. Businesses are controlled by family based baniya communities whose monopolies are secured by the state. So they also face no competition and behave like king.
• Most of the countries are open-ground for these green card merchants making them believe they are desired worldwide and a semi-divine entity.
• They live in a dog eats dog atomized world, so rat race and putting down others is their primary way of operation. They also don't have any life for themselves, so external validation and establishing feral power over others is the only purpose in their life.
• Their jelousy is that of a teenage girl. They simply can't tolerate anybody doing good other than themselves. This makes continuously leg-pulling, backstabbing and putting down others as the norm.
• The country is huge with huge population and resource base. So the total GDP is huge, the military is huge and high resource mobilization capability makes them believe they are at par with China, France, Britain, USA etc while in reality Bangladesh and Sri Lanka has overtaken them in per capita income. They are also continuously bombarded with state indoctrination from childhood about their mythical status.

• They live an isolated, disconnected, sedentary lifestyle without any exposure to the actual world. So they think their family, mohalla, village etc are the universe and whatever they are indoctrinated with is divine truth and lack of thinking capacity stops them from questioning. Even in foreign lands they are stuck in their own ghetto, so nothing changes.
• From all the above points, it can be easily deciphered that they either venerate someone or treat someone like dirt. Those who are pedestalized develops god-complex while those who are mistreated develops low-self esteem, inferiority complex and from that comes a desire for inflicting the same thing to others, sadist tendencies and narcissism.

Combining all the above factors and many more, the mammoth Indian Ego aka Indigo is created. Whoever try to resist this faces hell, such a kind of monster it is! Indian parents can't help but abuse children, teachers can't live without abusing students while being manager means all about bullying your staffs. Indians abuse their friends, relatives all the time. The public authority, political class and legal authority expects divine prostration from everyone and are entitled to offerings aka bribes.

But make no mistake, it has become a global phenomenon. I am not discussing this now, but will pen it in future if i get the scope.

But here to disappoint the readers, it has no cure. Rather than curbing it, it has been continuously allowed to flourish. Nobody had a moral spine to call spade a spade.

Things can change always. But who will bell the cat, sorry, I mean Indigo???

Han-non Han in China vs Hindi-non Hindi in India

80% of Chinese population is in 25% of eastern most coastal region.

90% of Chinese population is mandarin writing/speaking an Chinese mostly in coastal most region.

10% non Hans live in non coastal internal region and fragmented into 48 ethnicity.

Non Hans are dependent on coastal Hans for exports and imports and hence economic prosperity.

So non Hans have economic motives to remain united with politically dominant coastal Hans and share Han generated prosperity.

In India population is widely spread along coastal and internal areas.

46% Indian population are Hindi speakers who live in internal region.

54% non Hindis are divided into 9 coastal ethnicity and 9 internal ethnicity ranging from 7% to 2% of entire Indian population.

Internal Hindis completely dependent on 9 non Hindi coastal ethnicity for export import and hence economic prosperity.

Internal 9 non Hindi ethnicity can have export import from Paksiatan (Punjab-Kashmir) and Bangladesh (north-east 7 sisters).

So economically no non Hindi is dependent on Hindis and Hindis dependent on coastal non Hindis.

But Indian politics being dominated by 46% Hindis, Indian system is working as rent squeezing machine by Hindis from non Hindis.