Narendra Modi: The Indian Economy’s Sachin Tendulkar Has a Lot To Live Up To

By Mr. Anuj Puri, 

Chairman & Country Head, 

JLL India

In JLL’s recent report ‘Rebooting Indian Real Estate – A Twelve Month Realty Report Card of the NDA Government’, Narendra Modi’s prime ministership was likened to Sachin Tendulkar’s performance on the cricket field. The comparison may come across as surprising at first glance, but there is a good basis for it. When Sachin Tendulkar retired from his scintillating career in cricket in November 2013, it was easy to forget under how much pressure to perform he had been operating.

Because of his unprecedented prowess as a cricketer, Sachin Tendulkar spent his life squarely in the spotlight. He had set his own high benchmarks much earlier, and his fans across the world always judged his performance in every match on the basis of those benchmarks. The pressure was kept at a boiling point throughout his career; Sachin was expected to create magic from the moment he stepped on the field, and to end each match day in a blaze of glory.

Likewise, when Narendra Modi was elected as India’s 15^th Prime Minister in May 2014, it was to the backdrop of very high expectations. He had already proved his mettle as a savvy, pro-business politician during his tenure as Chief Minister of Gujarat. In that role, he had displayed an unerring instinct for focusing on what works and discarding what doesn’t, and a willingness to cut through miles of bureaucratic red tape when required.

Apart from being expected to live up to his reputation as a ‘performing’ politician, Modi also inherited a legacy of national disillusionment and even despair, which he is now expected to do something about. India was reeling then under multiple vulnerabilities such as weak political credibility, high fiscal deficit, currency volatility, and high inflation and interest rates. India had begun to come across as a nation which had had its chance on the field, but had fumbled the ball.

A year ago, Modi arrived at the pitch and was expected to forthwith bat all of the country’s woes out of the boundary line. When he completed 365 days in power, his track record to date was extensively analysed and critiqued on the basis of these expectations.

Anuj Puri, JLL India

Despite several remarkable achievements already to his credit, Modi’s resilience is definitely going to be tested in the times head. The Indian electorate and the political opposition are keeping an eagle eye on his every move – as are industries like the real estate sector, which is facing a protracted crisis-like situation and has pinned its hopes on the new government at the centre to provide relief.

Residential realty is beset by a glut of supply and weak demand. Developers are struggling with extraordinary debt and interest rates continue to be high despite three rounds of easing by the RBI in 2015. The Land Acquisition Bill and the Real Estate Bill have not been cleared by Parliament despite the government’s push. 

The Housing for all by 2022 scheme, though laudable, is also being questioned – constructing 2.34 million homes every year compared with the actual delivery of 1.2 million homes during the 11th five-year plan period is a huge undertaking.

India will have to give Modi more time to meet the industry’s expectations and its own goals. Initiatives such as developing affordable residentialprojects, robust infrastructure and the financial inclusion of the low income group segment in the banking sector are important initiatives, but require time to fructify. But then, Narendra Modi still has most of his innings before him.

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