Friday, November 30, 2012

India hardball is the game you want play, Maldives is not the best ground to play




Indian administration remark regarding Maldives government decisions to scrap GMR’s airport development project would be labeled as “immature”. Indian government made it very clear that GMR should stay in Maldives. One thing you should appreciate in GMR-Maldives saga is that GMR got the necessary power required to pull string in the Indian government.
India is the superpower of South Asia and Maldives is the smallest nation in Asia. This is a battle India can’t afford lose in terms of foreign diplomacy. The incumbent Congress also needs to win this war as election is on the horizon.
GMR thought Maldives as Fiji but they failed realized this islanders are pretty good at playing games when it comes to investment. When India and few other nations were colony of British Empire, Maldives outsmarted British and maintained its independence. Maldives did not wage a war to reclaim its land from British. Former president Ibrahim Naseer took back Gan from British using diplomacy.
Maldives may be small and is a small Muslim nation but the reality is its south Asian gate way to western world. Maldives is a major player in south Asian foreign diplomacy.  Under the steward ship of Former Maldivian Foreign Minister Ibrahim Hussain Zaki, SARC rose to prominence. Before that hardly people with in South Asia also knew about organization. Indian needs Maldives as much as Maldives need India.
Indian government should understand at the end of day  GMR issue was just simply business. Indian media should not take us as Pakistan; we are not Islamic militia nation. Indian Media is quick to highlight the some thirty thousand Indian live in Maldives failing to acknowledge 30% of them are illegal immigrants. They fail to acknowledge there lot of Indian investment in Maldives, who have been doing business for few decades.  
GMR came to Maldives as cocky multinational and failed big time. Here some of the main reason they failed.
 Failure to understand Maldivian culture
GMR chose worst time to invest. Maldives was undergoing huge change culturally and politically. This is a nation where youth listen to Pinkfloyd to Metallica. People are familiar with Davinchi and Darwins works. It seems GMR thought Maldives as small nation, with bunch of illiterates, who they can slave as they want. Mistreat as they want. The reality came to them biting as first few months they had problems with the staff of baggage handling department. From very start they had problems with laws and regulation of Maldives. They were found guilty of unlawful firing of few staffs by Employment tribunal of Maldives.
Bribes do not work all the time
First fall the politicians in Maldives as corrupt as their counterparts in sub-continent may be in the Maldives it is worse than any other country. They have been accusation that leading figures in DRP(the main opposition party two years ago) took some lofty gifts from GMR. If it’s true, it was worst way to spend their bribe money. Two years ago power struggle within DRP resulted in formation of PPM, which was led by former president Maumoon Abdul Gayoom. PPM stood against whatever MDP and DRP stood for.  GMR’s aggressive approach of flexing their financial mussels to buy people who are against them and support the politicians who defended GMR did not go well with PPM. Maumoon leading PPM, GMR forgot wealth of experience he brings to the table, as he was undisputed leader of this nation for 30 years. GMR got sucked in to old man’s trickery. GMR took Maumoon as a dinosaur, who belonged to museum. Its evident old man has plenty fight left him.

 There was no doubt this project was beneficial to Maldives and GMR, but GMR miss calculation cost them dearly. Maldives was fed up with 30 years abuse of power by former leader and they will not put up with abuse of power by anyone any more. As student of economics I believe there is more civilized ways to send GMR packing back to turkey or Delhi. But who is going to put up with Indian management style in Maldives.



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