At the heart of India’s China problem is an Indian inability to size up the Middle Kingdom and the meaning of its spectacular rise and to devise realistic responses to meet the attendant challenges. To be fair, this is not an affliction of New Delhi alone. Successive American administrations have also remained equally puzzled about China’s long-term strategic intent. There are three views on China that dominate much of Indian public discourse: of China as a (historically) unique power; of China as an economic partner; and of China as fellow ‘norm-entrepreneur’.
China as a sui-generis power
Many in India have implicitly assumed China to be a sui generis power – grounded in a supposedly-Asian ethos – whose behaviour is to be understood outside the matrix that is usually employed to study traditional (Western) powers. When Xi Jinping calls for a new kind of great-power relationship, he has many takers here.
This group of China aficionados believes that Beijing’s mandarins privilege the impetus of a deep-historical identity over raison d’etat – the assumption being that China is a civilizational state that would eschew the use of force and coercion in its rise to great-power status. Such idealists are comforted whenever Chinese dignitaries visiting India invoke the ‘Five Principles of Peaceful Coexistence’ – a set of quasi-philosophical principles that were in vogue up and until Mao saw to it that India was abjectly defeated in a short and sharp confrontation in 1962.
China as an economic partner
The second view of India-China relationship can be termed econo-centric. China, in this view, emerges as a key partner in India’s economic transformation, especially when it comes to becoming a large market for Indian goods and services as well as an important source of foreign direct investment. ‘Chindia’ – a Chimerica-like portmanteau coined by a minister of the previous government – will be predicated, in equal parts, by the logic of economic interdependence and the history of civilizational ties, so goes the argument.
But idealism is not always a necessary condition in the econo-centric view. One prevalent pragmatic opinion in India is that of leveraging China for India’s infrastructure growth and connectivity needs to reduce the gap in material strength between the two countries. Once that gap is sufficiently bridged India will be in a position to deter Chinese designs, proponents of this view hold.
It is not uncommon to see this view being expressed pithily both on- and offline as “an 8 per cent GDP growth rate for the next two decades is India’s China policy.” For India to sustain this growth rate, Chinese surplus capital, directed at infrastructure development, can come handy. India’s connectivity aspirations can also be met by aligning them with Chinese mega-plans like the Belt-and-Road-Initiative.
There is indeed historical precedence to buttress this line of thinking. After all, China’s spectacular growth was supported through free-riding the economic and security architectures that the US put in place, not to mention through leveraging Western investment. Why can’t India out-China China in a similar way?
There are two problems with this argument. First, there is no common enemy that India can invoke to seek concessions, economic or otherwise, from China. The US-China rapprochement was in the shadow of the Soviet Union and is a classic example of how the two countries leveraged a strategic triangle to their own benefits.
With China-Russia animosity now buried (at least publicly) and India-Russia relationship increasingly under strain, triangular geopolitics is unlikely to work in New Delhi’s favour. Second, even assuming that Chinese economic growth slows down in the near future, the gap in material strength between the two countries is unlikely to be closed anytime soon.

Putin, Modi and XI Jingping
China as fellow norm-entrepreneur
The third view of China in India is as a potential partner in promoting global governance norms that will promote the unique needs of emerging economies led by the two countries. The coterie that hold this view have argued that existing multilateral institutions, whether it is the International Monetary Fund or the World Bank, have been insufficiently effective in meeting the needs of emerging economies.
They also hold the view that these economies are under-represented in multilateral institutions (as measured by voting shares, for example). Seen from the prism of multilateral bargaining it makes sense for India and China to deploy their collective heft to seek reforms of these institutions – when possible – and to create new institutions that compliments the existing ones.
BRICS was the product of this line of thinking. Pragmatic Indian scholars and policy-makers, even when suspicious of China’s strategic intent towards India, have argued that BRICS is a valuable platform in that it allows the two countries to cooperate on “low-politics” issues (the über-realist John Mearsheimer’s terminology) – trade, sustainable development, and finance, for example – without hard-security irritants that would normally stalemate bilateral discussions being in the picture. This was also the line of thinking that led India to seek membership as the second-largest shareholder in the China-led multilateral Asian Infrastructure Investment Bank.

An unstated hope was that as both countries find convergence on low-politics issues, the road towards greater understanding on hard-security concerns and sensitivities would be paved. That has not come to a pass. While India has enthusiastically supported the BRICS agenda – last year’s summit in New Delhi had a record number of events around it – China has shown no discernible softening around India’s core security concerns regarding Pakistan or India’s membership in the NSG.
The view that the 21st century will be that of Asia’s has become commonplace to the point of being trite. The fructification of this long bet will be predicated in large measures by whether India and China can simultaneously and peacefully rise to great-power status. This will be invariably determined by whether India reads China – and absorbs the consequences of China’s rise into its strategic calculus – correctly and realistically.
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- In the Large States category (overall), Chhattisgarh ranks 1st, followed by Odisha and Telangana, whereas, towards the bottom are Maharashtra at 16th, Assam at 17th and Gujarat at 18th. Gujarat is one State that has seen startling performance ranking 5th in the PAI 2021 Index outperforming traditionally good performing States like Andhra Pradesh and Karnataka, but ranks last in terms of Delta
- In the Small States category (overall), Nagaland tops, followed by Mizoram and Tripura. Towards the tail end of the overall Delta ranking is Uttarakhand (9th), Arunachal Pradesh (10th) and Meghalaya (11th). Nagaland despite being a poor performer in the PAI 2021 Index has come out to be the top performer in Delta, similarly, Mizoram’s performance in Delta is also reflected in it’s ranking in the PAI 2021 Index
- In terms of Equity, in the Large States category, Chhattisgarh has the best Delta rate on Equity indicators, this is also reflected in the performance of Chhattisgarh in the Equity Pillar where it ranks 4th. Following Chhattisgarh is Odisha ranking 2nd in Delta-Equity ranking, but ranks 17th in the Equity Pillar of PAI 2021. Telangana ranks 3rd in Delta-Equity ranking even though it is not a top performer in this Pillar in the overall PAI 2021 Index. Jharkhand (16th), Uttar Pradesh (17th) and Assam (18th) rank at the bottom with Uttar Pradesh’s performance in line with the PAI 2021 Index
- Odisha and Nagaland have shown the best year-on-year improvement under 12 Key Development indicators.
- In the 60:40 division States, the top three performers are Kerala, Goa and Tamil Nadu and, the bottom three performers are Uttar Pradesh, Jharkhand and Bihar.
- In the 90:10 division States, the top three performers were Himachal Pradesh, Sikkim and Mizoram; and, the bottom three performers are Manipur, Assam and Meghalaya.
- Among the 60:40 division States, Orissa, Chhattisgarh and Madhya Pradesh are the top three performers and Tamil Nadu, Telangana and Delhi appear as the bottom three performers.
- Among the 90:10 division States, the top three performers are Manipur, Arunachal Pradesh and Nagaland; and, the bottom three performers are Jammu and Kashmir, Uttarakhand and Himachal Pradesh
- Among the 60:40 division States, Goa, West Bengal and Delhi appear as the top three performers and Andhra Pradesh, Telangana and Bihar appear as the bottom three performers.
- Among the 90:10 division States, Mizoram, Himachal Pradesh and Tripura were the top three performers and Jammu & Kashmir, Nagaland and Arunachal Pradesh were the bottom three performers
- West Bengal, Bihar and Tamil Nadu were the top three States amongst the 60:40 division States; while Haryana, Punjab and Rajasthan appeared as the bottom three performers
- In the case of 90:10 division States, Mizoram, Assam and Tripura were the top three performers and Nagaland, Jammu & Kashmir and Uttarakhand featured as the bottom three
- Among the 60:40 division States, the top three performers are Kerala, Andhra Pradesh and Orissa and the bottom three performers are Madhya Pradesh, Jharkhand and Goa
- In the 90:10 division States, the top three performers are Mizoram, Sikkim and Nagaland and the bottom three performers are Manipur and Assam
In a diverse country like India, where each State is socially, culturally, economically, and politically distinct, measuring Governance becomes increasingly tricky. The Public Affairs Index (PAI 2021) is a scientifically rigorous, data-based framework that measures the quality of governance at the Sub-national level and ranks the States and Union Territories (UTs) of India on a Composite Index (CI).
States are classified into two categories – Large and Small – using population as the criteria.
In PAI 2021, PAC defined three significant pillars that embody Governance – Growth, Equity, and Sustainability. Each of the three Pillars is circumscribed by five governance praxis Themes.
The themes include – Voice and Accountability, Government Effectiveness, Rule of Law, Regulatory Quality and Control of Corruption.
At the bottom of the pyramid, 43 component indicators are mapped to 14 Sustainable Development Goals (SDGs) that are relevant to the States and UTs.
This forms the foundation of the conceptual framework of PAI 2021. The choice of the 43 indicators that go into the calculation of the CI were dictated by the objective of uncovering the complexity and multidimensional character of development governance

The Equity Principle
The Equity Pillar of the PAI 2021 Index analyses the inclusiveness impact at the Sub-national level in the country; inclusiveness in terms of the welfare of a society that depends primarily on establishing that all people feel that they have a say in the governance and are not excluded from the mainstream policy framework.
This requires all individuals and communities, but particularly the most vulnerable, to have an opportunity to improve or maintain their wellbeing. This chapter of PAI 2021 reflects the performance of States and UTs during the pandemic and questions the governance infrastructure in the country, analysing the effectiveness of schemes and the general livelihood of the people in terms of Equity.



Growth and its Discontents
Growth in its multidimensional form encompasses the essence of access to and the availability and optimal utilisation of resources. By resources, PAI 2021 refer to human resources, infrastructure and the budgetary allocations. Capacity building of an economy cannot take place if all the key players of growth do not drive development. The multiplier effects of better health care, improved educational outcomes, increased capital accumulation and lower unemployment levels contribute magnificently in the growth and development of the States.



The Pursuit Of Sustainability
The Sustainability Pillar analyses the access to and usage of resources that has an impact on environment, economy and humankind. The Pillar subsumes two themes and uses seven indicators to measure the effectiveness of government efforts with regards to Sustainability.



The Curious Case Of The Delta
The Delta Analysis presents the results on the State performance on year-on-year improvement. The rankings are measured as the Delta value over the last five to 10 years of data available for 12 Key Development Indicators (KDI). In PAI 2021, 12 indicators across the three Pillars of Equity (five indicators), Growth (five indicators) and Sustainability (two indicators). These KDIs are the outcome indicators crucial to assess Human Development. The Performance in the Delta Analysis is then compared to the Overall PAI 2021 Index.
Key Findings:-
In the Scheme of Things
The Scheme Analysis adds an additional dimension to ranking of the States on their governance. It attempts to complement the Governance Model by trying to understand the developmental activities undertaken by State Governments in the form of schemes. It also tries to understand whether better performance of States in schemes reflect in better governance.
The Centrally Sponsored schemes that were analysed are National Health Mission (NHM), Umbrella Integrated Child Development Services scheme (ICDS), Mahatma Gandh National Rural Employment Guarantee Scheme (MGNREGS), Samagra Shiksha Abhiyan (SmSA) and MidDay Meal Scheme (MDMS).
National Health Mission (NHM)
INTEGRATED CHILD DEVELOPMENT SERVICES (ICDS)
MID- DAY MEAL SCHEME (MDMS)
SAMAGRA SHIKSHA ABHIYAN (SMSA)
MAHATMA GANDHI NATIONAL RURAL EMPLOYMENT GUARANTEE SCHEME (MGNREGS)