India may develop rating index to counter negative international ratings

The repeated downgrading of indices that rate a wide range of human rights rankings, including democracy, religious freedom, and press freedom by international ranking agencies, has reportedly prodded India’s BJP government to develop a home-grown democracy ratings index.

What prompted the Centre to counter the negative international indices about India is the potential impact these rankings could have on the country’s credit rating.

As per report published in Al Jazeera, the Modi government has reportedly initiated collaborating the Observer Research Foundation (ORF), known for its collaboration with the Indian government on various initiatives, is working on developing the ratings framework. The index aims to align more closely with New Delhi's narrative compared to Western-based rankings, which have faced criticism from Prime Minister Narendra Modi's team.

A top government official, speaking on condition of anonymity, disclosed that a review meeting was convened by NITI Aayog in January, where it was decided that ORF would be responsible for releasing the Democracy Rankings in the coming weeks. The official also hinted at the imminent release of the new rankings system, although the exact timeline remains uncertain.

The potential unveiling of the index before India's upcoming national elections, scheduled to commence on April 19, raises questions about its potential impact on the political landscape. With Modi poised as a strong favourite for a third term in power, the timing of the release could carry significant implications.

However, the government's own public policy think tank, NITI Aayog, has distanced itself from directly developing the index, although it did not confirm nor deny its involvement in assisting an external think tank in the process. A spokesperson for NITI Aayog emphasized the government's focus on monitoring select global indices to drive reforms and growth in the country.

The urgency within the Modi administration to address setbacks in India's democracy credentials became apparent following downgrades by international indices such as Freedom House and the V-Dem Institute. These rankings raised concerns about India's status as a free democracy, prompting internal discussions within the government on potential repercussions.

The downgrades coincided with the implementation of contentious policies such as the Citizenship Amendment Act (CAA) and the revocation of special status in Indian-administered Kashmir. Criticism from international bodies regarding these policies further fueled the government's determination to challenge the prevailing narrative.

The Indian government is closely monitongri its performance in global indices. Cabinet Secretary Rajiv Gauba instructed top officials to identify areas where the country's standing had declined, signalling a proactive approach to address concerns about India's democracy ratings.

Sanjeev Sanyal, a key figure within the Economic Advisory Council to the Prime Minister, highlighted flaws in existing methodologies used by global agencies, advocating for greater transparency and accountability. The government's scrutiny extended to the World Bank's Worldwide Governance Indicators (WGI), which play a crucial role in determining sovereign ratings.

Despite criticism from independent economists regarding the emphasis on democracy ratings, the Indian government remained steadfast in its pursuit of developing an indigenous index. The Ministry of External Affairs urged Indian diplomatic missions to engage with organizations like V-Dem and Reporters Without Borders (RSF) to present India's perspective on democracy and press freedom.

However, concerns remain about the credibility of an India-developed democracy rating, particularly if perceived as driven solely by the government's agenda. Rathin Roy, a senior fellow at the UK-based Overseas Development Institute, cautioned against the potential backlash such an index might face on the global stage.

As India prepares to navigate the release of its homegrown democracy ratings index, questions linger about its effectiveness in reshaping the country's international image. With democracy and press freedom under scrutiny, the government's efforts to assert its narrative on the global stage underscore the complexities of balancing domestic priorities with international perceptions.