Their similar viewpoints translated into overlapping constituencies, for whom they had to compete intensely and deliver tangible benefits. In addition, ideological closeness increased the chances that power would alternate between the two parties regularly, as they had little policy basis on which to differentiate themselves from one another.
As a result, it was not in the interest of any given administration to reverse successful policies or block investments secured by the previous administration; doing so would likely go against their own ideology and the preferences of their own constituents. This policy stability was a boon to productive industrial sectors, and even lured those investing in technology-intensive businesses despite their longer timelines for learning and pay-offs. Again, the automotive industry provides an interesting example.
Yet his administration lived up to previously agreed government commitments, enabling Hyundai to roll out the first car from their operations in Tamil Nadu in September The commitment of the government to creating relevant policies and incentives is necessary.
In the system of democracy, the government ruling party keeps changing. An election keeps coming and after five years the government changes.
But an industrial development plan needs 40 or 50 years, it does not respect this change of governments. A successful government should keep the promises of the previous government in pursuing such investment projects continuously.
This is business, not politics [for economic growth]. Both the DMK and the AIADMK governments consider investment projects as significant for the industry, so the successive government[s have] honoured such industrial promises of the previous government[s].
Kalaiyarasan and M. Vijayabaskar, review of S. This has enabled the state government to translate its lofty ideals into tangible progress on industrial development, education and health while also reducing leakages of public funds.
During the tenures of Anna and Karunanidhi as Chief Minister in the s and s, the state government actively sought to recruit from lower-caste groups, many of whom were from rural areas and thus could better understand rural conditions and issues.
Interestingly, the competition between the two main political parties also served as an impetus to drive implementation. Committing to and openly identifying with a particular party meant that, when that party was in power, civil servants faced pressure from party officials to execute their development agenda as effectively as possible. At the same time, both parties had similar agendas across several dimensions—for instance, both sought to encourage industrial investments and develop links with the private sector.
Hence, despite political divisions spanning not only electoral politics but also the bureaucracy, bureaucrats of either political leaning continued to implement policy effectively even if their party of choice was not in power; after all, they were unlikely to have major differences of opinion on policy with the party that they opposed. The focused mandate of these agencies, combined with the prioritisation of industrialisation at the political level, made clear the task of bureaucrats in these agencies—to facilitate between investors and the state government—and, in turn, empowered them to play this role effectively.
For example, with the limited but critical mission of acquiring and managing industrial land, SIPCOT has developed, maintained and managed industrial complexes and SEZs in 12 districts across Tamil Nadu. Likewise, TIDCO has played a key role in promoting the state for investment and in getting the state government to meet investor requirements in order to secure their investment. They wanted us to make sure that there was no other industry within twenty kilometres which will create dust pollution because of their ultra-modern paint shop.
Today, TIDCO has institutionalised its investment facilitation efforts, by creating a thorough monitoring system to attract investment projects and regular meetings to push forward the implementation of investment policies.
Indeed, the Tamil Nadu state government, like all governments, has had some degrees of freedom to promote development that improves the lives of a wide range of people in the state. In particular:. The takeaways for many African countries are simple but important.
The economic vision should be geared toward the needs and aspirations of society at large, and should be clear to all parts of government, the private sector and citizens. Economic transformation takes time and thus requires policy consistency and sustained commitment spanning changes in political leadership across multiple decades.
Tamil Nadu is still in the middle of its development journey, but its experience thus far underscores how political leadership and state capability can be leveraged in African countries that seek to follow a similar path.
All rights reserved. Citation, reproduction and or translation of this publication, in whole or in part, for educational or other non-commercial purposes is authorised provided the source is fully acknowledged. Centre of Government and Delivery. Briefing Posted on: 20th January By Multiple Authors. Kartik Akileswaran. Luca Graziadei. Underlying the policies and investments that the Tamil Nadu state government has pursued are: An inclusive vision traced out by widely popular Tamil cultural figures turned political leaders, such as former chief ministers the top executive post at the state level M.
Karunanidhi and M. Indicators Tamil Nadu Gujarat Male life expectancy Social Policies While other Indian states have pursued similar industrial policies, Tamil Nadu stands out in its parallel focus on social welfare policies, in the areas of public education, social security and healthcare.
Role of Government. Forward-thinking leadership married to social development The political climate in Tamil Nadu has long been influenced by ideas of social justice. These same chief ministers maintained a commitment to industrial investment and development, as well as a consistent policy approach to encourage them—despite alternating power with opposition parties.
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