The Diaspora and India's Growth Story
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MARCH 2018 ISSUE NO. 232 The Diaspora and India’s Growth Story SHREYA CHALLAGALLA ABSTRACT This brief sketches the growing interest of the incumbent Bharatiya Janata Party (BJP) government in the Indian diaspora. Over the last three years, the prime minister has repeatedly called attention to the role that the diaspora will play in India’s development process and in the promotion of its foreign policy goals. The brief gives an overview of the policies that the present government has rolled out and examines the benefits from, and pitfalls of an increased focus on the diaspora. INTRODUCTION If Atal Bihari Vajpayee, during his 1998-2004 Unlike the Indian National Congress which tenure, is credited for having promoted serious tends to disassociate with the diaspora and engagement with the Indian diaspora to views them as largely burdensome, the develop mutually beneficial linkages, current Bharatiya Janata Party (BJP) perceives the Prime Minister Narendra Modi is getting Indian diaspora as an asset. In 1964 in Burma known for his enthusiasm in expanding those (now Myanmar), when General Ne Win earlier efforts. The prime minister’s vigour in nationalised all businesses in the country, the this arena has been evident since the day he large Indian trading community was greatly took office in May 2014, and it begins with his affected. They lost their livelihoods, were public pronouncements. In foreign trips and denied compensation, and as many as 300,000 outreach activities with India’s expatriate of them were expelled from the country.1 The communities, he persuades them to Indian Government at the time did not extend “contribute to India’s growth story”. help to the diaspora, maintaining that those Observer Research Foundation (ORF) is a public policy think-tank that aims to influence the formulation of policies for building a strong and prosperous India. ORF pursues these goals by providing informed analyses and in-depth research, and organising events that serve as platforms for stimulating and productive discussions. ISBN 978-93-87407-89-3 © 2018 Observer Research Foundation. All rights reserved. No part of this publication may be reproduced, copied, archived, retained or transmitted through print, speech or electronic media without prior written approval from ORF. The Diaspora and India’s Growth Story events were “strictly a matter of domestic diaspora policy. In this backdrop it was not jurisdiction”.2 Similarly, in 1972, when 70,000 logical for them to focus on the diaspora. Indians suffered persecution in Idi Amin’s Recently, however, it appears from its leaders’ Uganda and were expelled from the country, public statements that the Congress party is many were forced to take asylum in England employing a new approach. When party leader after the Indian government “turned a blind Rahul Gandhi visited the United States in eye” on their plight.3 September 2017, he told a gathering of Indian- Americans to “get involved” and help in Today, a close look at the two parties’ “transforming India”.6 During his visit to manifestos in the run-up to the 2014 election Bahrain in 2018, Gandhi also told the diaspora reveals a gap in their outlook towards India’s that they are “important”.7 expatriate communities. The BJP in its 2014 election manifesto made it clear that it will Ram Madhav, BJP general secretary, at the work with Non-Resident Indians (NRIs) and launch of the 2015 Indian Diaspora Persons of Indian Origin (PIOs), by adopting a Investment Initiative made his party’s policy proactive diplomacy strategy, to develop what clear when he said, “They (Indian diaspora) it referred to as “Brand India”. It stated that can be India’s voice even while being loyal “the NRIs, PIOs and professionals settled citizens in those countries. That is the long- abroad are a vast reservoir to articulate the term goal behind the diaspora diplomacy. It is national interests and affairs globally. This like the way the Jewish community looks out resource will be harnessed for strengthening for Israel’s interests in the United States”.8 It is Brand India”.4 In contrast, the Congress’ hard to imagine Modi repeating the mistakes manifesto highlighted the “protective” role it of former Prime Minister Indira Gandhi when sees itself playing towards the diaspora. It Indians were expelled from Uganda in 1972. In said, “Protecting Indians overseas from general, the Congress has been happy to cut its exploitation or threats will remain a 5 ties with those who have left the country; the paramount concern”. As part of this larger strategy, it envisioned playing a role in BJP tends to nurture those very ties. This brief safeguarding Tamilians in Sri Lanka, and in examines the growing significance of the establishing exchange centres for youth in diaspora in Indian foreign policy, and the India. As can be gleaned from its 2014 challenges and opportunities that follow. manifesto, the Congress party does not view the diaspora as a tool to leverage its foreign DEFINING ‘DIASPORA’ policy goals or in the development of India. Who comprises the Indian diaspora? The term The Congress’ outlook towards the “diaspora” is derived from the Greek word diaspora, as shaped over the years, was diaspeirein, which means “dispersion”. Over influenced by non-alignment and the Cold time, the term evolved, and now loosely refers War, which was characterised by suspicion – to any person/s belonging to a particular the Indian government had no trust for the country with a common origin or culture, but West, which only reciprocated the sentiment – residing outside their homeland for various thereby creating a hostile environment for any reasons. 2 ORF ISSUE BRIEF No. 232 l MARCH 2018 The Diaspora and India’s Growth Story The Government of India does not follow a As of December 2016, the Indian diaspora specific definition, although it attempted to comprised approximately 31 million people, of define the term in 2004 as “a generic term to which PIOs were 17 million and NRIs were 13 describe the people who migrated from million, spread across 146 countries in the territories that are currently within the world.10 The US, Saudi Arabia, the United Arab borders of the Republic of India. It also refers Emirates, Malaysia, Myanmar, the UK, Sri to their descendants.”9 Today, ‘diaspora’ is Lanka, South Africa and Canada host an commonly understood to include Non- Indian diasporic population of at least one Resident Indians (NRIs), Persons of Indian million each. Origin (PIOs) and Overseas Citizens of India Generally, the Indian diaspora is looked at (OCI), of which PIO and OCI card holders were as a “model minority” and comprises many merged under one category — OCI — in 2015. accomplished individuals. This is especially Broadly speaking, for the Indian government, true of Indians in more developed countries the diaspora encompasses a group of people like Australia, the UK and US. As they gain who can either trace their origins to India or prominence, both in terms of their sheer size who are Indian citizens living abroad, either and through their economic contributions, temporarily or permanently. the host country finds that it must pay more attention to the Indian expatriate Diaspora is not homogenous since communities. They are becoming increasingly migration involves human mobility over visible in electoral politics, though still in multiple time periods, encompassing a whole relatively small numbers. US President Donald spectrum and types of movements. The Indian Trump, for one, has appointed some example of migration began in large numbers individual Indians to key positions within his during the British rule as indentured labourers administration, including the following: Nikki to former colonies like Fiji, Kenya and Haley as US Ambassador to the UN; Raj Shah Malaysia. It continued in the post- as his Deputy Assistant and Research Director; independence period with Indians from Krishna Urs as the Ambassador to Peru; Neil different social strata moving to countries like Chatterjee to the Federal Energy Regulatory Commission; and Vishal Amin as Intellectual the United Kingdom, the United States, and Property Enforcement Coordinator. In Gulf countries. Today as there are numerous, Europe, Ireland witnessed the rise of Leo heterogeneous diaspora, they have different Varadkar and Portugal has Antonio Costa, demands of the Indian Government. The both of whom serve as prime ministers in their diaspora from the Gulf, for example, look to respective countries. Interestingly, both India for support on welfare issues, while Varadkar and Costa are second-generation those from wealthier nations such as the US migrants whose fathers uprooted from look to India for investment opportunities. India— the former is from Maharashtra while The Indian communities in countries such as the latter migrated from Goa. There is also Fiji and Mauritius, meanwhile, desire to Ashwin Adhin, a Grimitiya,11 and the vice reconnect with the country on cultural president of Suriname who traces his roots to grounds. Allahabad, Uttar Pradesh. ORF ISSUE BRIEF No. 232 l MARCH 2018 3 The Diaspora and India’s Growth Story Modi has effectively played to the 2014 Minimum Referral Wages (MRW), diaspora’s emotions – they see in him a man of applicable only to Emigration Check Required action, someone who can bring about change (ECR) countries, increased the minimum wage in corruption-ridden, bureaucratic India; the of Indian workers employed as industrial same India they left many years ago. It is clear workers, domestic servants, cleaners and that Modi sees tremendous potential in the labourers. To partially reduce the risk of diaspora, and is eager to see them contribute vulnerability from fraudulent contracts, to India’s growth story. At the 2017 Pravasi nurses for example can now only be recruited Bharatiya Divas in Bengaluru, Modi through one of the six state government announced that India is moving from “brain placement agencies.