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{{Use Indian English|date=May 2020}}
{{Use dmy dates|date=May 2020}}
{{Indira Gandhi series}}
The '''Domestic policy of the Indira Gandhi government''' was the domestic policy of [[India]] from 1966 to 1984 during the premiership of [[Indira Gandhi]] until [[Assassination of Indira Gandhi|her assassination]] in 1984. Designed to covers a wide range of areas, including to increased focus on developing national security, social welfare, economic and social affair, money and taxes.

== Nationalisation ==
Despite the provisions, control and regulations of [[Reserve Bank of India]], most banks in India had continued to be owned and operated by private persons.<ref name="Gomez">{{cite book|first=Clifford|last=Gomez|title=Financial Markets Institutions And Financial Services
|publisher=PHI|year=2008|page=283|isbn=978-8120335370}}</ref> Businessmen who owned the banks were often accused of channeling the deposits into their own companies, and ignoring the [[Priority sector lending|priority sector]]. Furthermore, there was a great resentment against ''class'' banking in India, which had left the poor (the majority population) [[unbanked]].<ref name="Off the record">{{cite news|author=Akshat Kaushal|url=http://www.business-standard.com/india/news/offrecord/436974/ |title=Off the record |publisher=Business-standard.com |date=28 May 2011 |access-date=31 July 2013|newspaper=Business Standard India }}</ref> After becoming Prime Minister, Gandhi expressed the intention of nationalising the banks in a paper titled, ''"Stray thoughts on Bank Nationalisation"'' in order to alleviate poverty.<ref name="Muralidharan1">{{cite book|last=Muralidharan|title=Modern Banking: Theory And Practice
|publisher=PHI|year=2009|page=364|isbn=978-8120336551}}</ref> The paper received the overwhelming support of the public.<ref name="Muralidharan1"/> In 1969, Gandhi moved to nationalise fourteen major commercial banks. After the nationalisation of banks, the branches of the public sector banks in India rose to approximate 800 percent in deposits, and advances took a huge jump by 11,000 percent.<ref name="Muralidharan2">{{cite book|last=Muralidharan|title=Modern Banking: Theory And Practice
|publisher=PHI|year=2009|page=4|isbn=978-8120336551}}</ref> Nationalisation also resulted in a significant growth in the geographical coverage of banks; the number of bank branches rose from 8,200 to over 62,000, most of which were opened in the unbanked, rural areas. The nationalization drive not only helped to increase household savings, but it also provided considerable investments in the informal sector, in small and medium-sized enterprises, and in agriculture, and contributed significantly to regional development and to the expansion of India's industrial and agricultural base.<ref name="Singh">{{cite book|first=Kavaljit|last=Singh|title=Questioning Globalization
|publisher=Zed Books|year=2005|page=45|isbn=978-1842772799}}</ref> [[Jayaprakash Narayan]], who became famous for leading the opposition to Gandhi in the 1970s, was solid in his praise for her bank nationalisations.<ref name="Off the record"/>

Having been re-elected in 1971 on a nationalisation platform, Gandhi proceeded to nationalise the coal, steel, copper, refining, cotton textiles, and insurance industries.<ref name="Rosser">{{Cite book
| publisher = MIT Press
| pages = 468–470
| url={{Google books|y3Mr6TgalqMC|page=PA470|keywords=|text=|plainurl=yes}}|isbn=978-0262182348
| last1 = Rosser
| first1 = J. Barkley
| last2 = Rosser
| first2 = Marina V.
| title = Comparative Economics in Transforming the World Economy
| year = 2004
}}</ref> Most of these nationalisations were made to protect employment and the interest of the organised labour.<ref name="Rosser"/> The remaining private sector industries were placed under strict regulatory control.<ref name="Rosser"/>

During the [[Indo-Pakistani War of 1971]], foreign-owned private oil companies had refused to supply fuel to the Indian Navy and Indian Air Force. In response, Gandhi nationalised oil companies in 1973.<ref>{{Cite journal|date=4 July 2015|title=Energy Geopolitics – An Overview|url=http://greatgameindia.com/energy-geopolitics-an-overview/|journal=GreatGameIndia Magazine|issue=July–Sept 2015 issue}}</ref> After nationalisation the oil majors such as the [[Indian Oil Corporation]] (IOC), the [[Hindustan Petroleum|Hindustan Petroleum Corporation]] (HPCL) and the [[Bharat Petroleum|Bharat Petroleum Corporation]] (BPCL) had to keep a minimum stock level of oil, to be supplied to the military when needed.<ref>{{cite book|first=Ved |last=Luthra|title=Poverty And Economic Reforms|location=New Delhi|publisher=Sarup & Sons|year=2005|page=293|isbn=978-8178901367}}</ref>

== Administration ==
[[File:Territorial evolution of India 1961–1975.png|thumb|upright=2.2|Administrative divisions of India 1961–1975. Gandhi established six states, [[Haryana]] (1966), [[Himachal Pradesh]] (1971), [[Meghalaya]], [[Manipur]] and [[Tripura]] (all 1972), and finally [[Sikkim]] (1975), bringing up the total of states to 22. She also established [[Arunachal Pradesh]] and [[Mizoram]] (1972) as Union Territories]]

In 1966, Gandhi [[Punjabi Suba movement|accepted the demands]] of the [[Shiromani Akali Dal|Akalis]] to reorganize [[Punjab, India|Punjab]] on linguistic lines. The [[Hindi]]-speaking southern half of Punjab became a separate state, [[Haryana]], while the [[Pahari languages|Pahari]] speaking hilly areas in the north east were joined to [[Himachal Pradesh]].{{sfn|Gupte|2012|p=302}} In doing so, she had hoped to ward off [[Punjabi Suba movement|the growing political conflict]] between [[Hindu]] and [[Sikh]] groups in the region.{{sfn|Gupte|2012|p=302}} However, a contentious issue that was considered unresolved by the Akalis was the status of [[Chandigarh]], a prosperous city on the Punjab-Haryana border, which Gandhi declared a union territory to be shared as a capital by both the states.<ref name="Pletcher">{{cite book|first= Kenneth|last=Pletcher|title=The History of India|publisher=The Rosen Publishing Group|year=2010|page=315|isbn=978-1615302017}}</ref>

Victory over Pakistan in 1971 consolidated Indian power in Kashmir. Gandhi indicated that she would make no major concessions on Kashmir. The most prominent of the Kashmiri separatists, [[Sheikh Abdullah]], had to recognize India's control over Kashmir in light of the new order in South Asia. The situation was normalized in the years following the war after Abdullah [[1975 Indira–Sheikh accord|agreed to an accord]] with Gandhi, by giving up the demand for a plebiscite in return for a [[Article 370 of the Constitution of India|special autonomous status for Kashmir]]. In 1975, Gandhi declared the state of [[Jammu and Kashmir (state)|Jammu and Kashmir]] as a constituent unit of India. The Kashmir conflict remained largely peaceful if frozen under Gandhi's premiership.<ref>{{cite book|first=Jayanta|last=Kumar Ray|title=Aspects of India's International Relations, 1700 to 2000: South Asia and the World|publisher=Pearson|year=2007|page=493|isbn=978-8131708347}}</ref>

In 1972, Gandhi granted statehood to [[Meghalaya]], [[Manipur]] and [[Tripura]], while the [[North-East Frontier Agency]] was declared a union territory and renamed [[Arunachal Pradesh]]. The transition to statehood for these territories was successfully overseen by her administration.<ref name="Chandra 2007b"/> This was followed by the annexation of [[Sikkim]] in 1975.{{sfn|Malik|1988|p=120-121}}

== Social reform ==
The principle of equal pay for equal work for both men and women was enshrined in the Indian Constitution under the Gandhi administration.<ref name="Sarkar ">{{Cite book
| publisher = Indiana University Press
| page = 490|url={{Google books|GEPYbuzOwcQC|page=PA490|keywords=|text=|plainurl=yes}}|isbn=978-0253352699
| last = Sarkar
| first = Sumit
|author2=Tanika Sarkar
| title = Women and Social Reform in Modern India: A Reader
| year = 2008
}}</ref>

Gandhi questioned the continued existence of a [[Privy Purse in India|privy purse]] for former rulers of [[princely state]]s. She argued the case for abolition based on equal rights for all citizens and the need to reduce the government's revenue deficit. The nobility responded by rallying around the [[Bharatiya Jana Sangh|Jana Sangh]] and other right-wing parties that stood in opposition to Gandhi's attempts to abolish royal privileges.<ref name="Jaffrelot">{{Cite book
| publisher = C. Hurst & Co. Publishers
| pages = 131–142|url={{Google books|-rMW03l_gx0C|page=PA136|keywords=|text=|plainurl=yes}}|isbn=978-1850653981
| last = Jaffrelot
| first = Christoph
| title = India's Silent Revolution: The Rise of the Lower Castes in North India
| year = 2003
}}</ref> The motion to abolish privy purses, and the official recognition of the titles, was originally brought before the [[Parliament of India|Parliament]] in 1970. It was passed in the [[Lok Sabha]] but felt short of the two-thirds majority in the [[Rajya Sabha]] by a single vote.{{sfn|Jayakar|1997|p=214}} Gandhi responded by having a [[Presidential proclamation]] issued; de-recognizing the princes; with this withdrawal of recognition, their claims to privy purses were also legally lost.{{sfn|Jayakar|1997|p=214}} However, the proclamation was struck down by the [[Supreme Court of India]].{{sfn|Jayakar|1997|p=214}} In 1971, Gandhi again motioned to abolish the privy purse. This time, it was successfully passed as the [[List of amendments of the Constitution of India|26th Amendment to the Constitution of India]].<ref name="Jaffrelot"/> Many royals tried to protest the abolition of the privy purse, primarily through campaigns to contest seats in elections. They, however, received a final setback when many of them were defeated by huge margins.{{citation needed|date=February 2019}}

Gandhi claimed that only "clear vision, iron will and the strictest discipline" can remove poverty.<ref name="Jaffrelot"/> She justified the imposition of the state of emergency in 1975 in the name of the socialist mission of the Congress.<ref name="Jaffrelot"/> Armed with the power to rule by decree and without constitutional constraints, Gandhi embarked on a massive redistribution program.<ref name="Jaffrelot"/> The provisions included rapid enforcement of land ceilings, housing for landless labourers, the abolition of bonded labour and a moratorium on the debts of the poor.<ref name="Jaffrelot"/> North India was at the centre of the reforms; millions of acres of land were acquired and redistributed.<ref name="Jaffrelot"/> The government was also successful in procuring houses for landless labourers; according to [[Francine Frankel|Frankel]], three-fourths of the targeted four million houses was achieved in 1975 alone.<ref name="Jaffrelot"/> Nevertheless, others have disputed the success of the program and criticized Gandhi for not doing enough to reform land ownership. The political economist, Jyotindra Das Gupta, cryptically questioned "...whether or not the real supporters of land-holders were in jail or in power?"<ref name="Jaffrelot"/> Critics also accused Gandhi of choosing to "talk left and act right", referring to her concurrent pro-business decisions and endeavours.<ref name="Jaffrelot"/> [[J. Barkley Rosser Jr.|Rosser]] wrote that "some have even seen the declaration of emergency rule in 1975 as a move to suppress dissent against Gandhi's policy shift to the right."<ref name="Rosser"/> Regardless of the controversy over the nature of the reforms, the long-term effects of the social changes gave rise to prominence of middle-ranking farmers from intermediate and lower castes in North India.<ref name="Jaffrelot"/> The rise of these newly empowered social classes challenged the political establishment of the [[Hindi Belt]] in the years to come.<ref name="Jaffrelot"/>

== Language policy ==
Under the [[Constitution of India]] of 1950, Hindi was to have become the official national language by 1965. This was not acceptable to many non-Hindi speaking states, who wanted the continued use of English in government. In 1967, Gandhi made a constitutional amendment that guaranteed the de facto use of both Hindi and English as official languages. This established the official government policy of bilingualism in India and satisfied the non-Hindi speaking Indian states.<ref name="Steinberg">{{cite book|first= Blema|last=Steinberg|title=Women in Power: The Personalities and Leadership Styles of Indira Gandhi, Golda Meir, and Margaret Thatcher|publisher=McGill-Queen's Press|year=2008|pages=79–95|isbn=9780-773533561}}</ref> Gandhi thus put herself forward as a leader with a pan-Indian vision.<ref name="Chandra 2007">{{Cite book
| publisher = Penguin Books India
| page = 122|url={{Google books|dE9qEg-NgHMC|page=PA122|keywords=|text=|plainurl=yes}}|isbn=978-0143104094
| last = Chandra
| first = Bipan
|author2=Aditya Mukherjee |author3=Mridula Mukherjee
| title = India Since Independence
| year = 2008
}}</ref> Nevertheless, critics alleged that her stance was actually meant to weaken the position of rival Congress leaders from the northern states such as [[Uttar Pradesh]], where there had been strong, sometimes violent, pro-Hindi agitations.<ref name="Steinberg"/> Gandhi came out of the language conflicts with the strong support of the south Indian populace.<ref name="Chandra 2007"/>

== National security ==
In the late 1960s and 1970s, Gandhi had the Indian army crush [[Naxalite#Violence in West Bengal|militant Communist uprisings]] in the Indian state of [[West Bengal]].<ref name="Hamlet">{{cite web|url=http://www.sify.com/news/hamlet-and-the-naxals-news-defence-jgsnxMbjcdh.html |archive-url=https://web.archive.org/web/20091126055048/http://sify.com/news/hamlet-and-the-naxals-news-defence-jgsnxMbjcdh.html |url-status=dead |archive-date=26 November 2009 |title=Hamlet and the Naxals |publisher=Sify.com |access-date=31 July 2013}}</ref> The communist insurgency in India was completely suppressed during the [[The Emergency (India)|state of emergency]].<ref name="Naxalites">[http://www.watershed.com.br/article/208/naxalites-who-are-they-and-what-are-their-demands.aspx Naxalites: who are they and what are their demands?] {{webarchive |url=https://web.archive.org/web/20130602111341/http://www.watershed.com.br/article/208/naxalites-who-are-they-and-what-are-their-demands.aspx |date=2 June 2013 }}</ref><ref name="History">{{cite web|url=http://www.hindustantimes.com/News-Feed/NM2/History-of-Naxalism/Article1-6545.aspx |title=History of Naxalism |publisher=Hindustantimes.com |date=15 December 2005 |access-date=31 July 2013 |url-status=dead |archive-url=https://web.archive.org/web/20130722091758/http://www.hindustantimes.com/News-Feed/NM2/History-of-Naxalism/Article1-6545.aspx |archive-date=22 July 2013 }}</ref><ref name="break">{{cite web|url=http://www.ndtv.com/article/india/indira-gandhi-used-army-to-break-naxals-retired-general-30840 |title=Indira Gandhi used Army to break Naxals: Retired General |publisher=Ndtv.com |date=10 June 2010 |access-date=31 July 2013}}</ref>

Gandhi considered the [[Northeast India|north-eastern regions]] important, because of its strategic situation.<ref>{{cite book|first=Indira|last=Gandhi|title=Selected Thoughts of Indira Gandhi: A Book of Quotes|publisher=Mittal Publications|year=1985|page=224}}</ref> In 1966, the [[March 1966 Mizo National Front uprising|Mizo uprising]] took place against the government of India and overran almost the whole of the [[Mizoram|Mizoram region]]. Gandhi ordered the [[Indian Army]] to launch massive retaliatory strikes in response. The rebellion was suppressed with the [[Indian Air Force]] even carrying out airstrikes in [[Aizawl]]; this remains the only instance of India carrying out an airstrike in its own civilian territory.<ref name="Chandra 2007b">{{Cite book
| publisher = Penguin Books India
| pages = 146–147|url={{Google books|dE9qEg-NgHMC|page=PA147|keywords=|text=|plainurl=yes}}|isbn=978-0143104094
| last = Chandra
| first = Bipan
|author2=Aditya Mukherjee |author3=Mridula Mukherjee
| title = India Since Independence
| year = 2008
}}</ref><ref name="rediff_iaf">{{cite web |url=http://news.rediff.com/slide-show/2010/aug/03/slide-show-1-special-dont-bomb-the-naxals.htm#6| title = Don't bomb the Naxals!: IAF last strafed Indian territory in 1966 | work =[[Rediff.com]] | date = 5 August 2010 | access-date = 27 December 2012 }}</ref> The defeat of Pakistan in 1971 and the secession of East Pakistan as pro-India Bangladesh led to the collapse of the Mizo separatist movement. In 1972, after the less extremist Mizo leaders came to the negotiating table, Gandhi upgraded Mizoram to the status of a union territory. A small-scale insurgency by some militants continued into the late 1970s but was successfully dealt with by the government.<ref name="Chandra 2007b"/> The Mizo conflict was [[Mizo Accord|definitively resolved]] during the administration of Gandhi's son [[Rajiv Gandhi|Rajiv]]. Today, [[Mizoram]] is considered as one of the most peaceful states in the north-east.<ref name="Stepan">{{Cite book
| publisher = JHU Press
| page = 105|url={{Google books|kGUuOdeCiXQC|page=PA105|keywords=|text=|plainurl=yes}}|isbn=978-0801897238
| last = Stepan
| first = Alfred
|author2=Juan J. Linz |author3=Yogendra Yadav
| title = Crafting State-Nations: India and Other Multinational Democracies
| year = 2011
}}</ref>

Responding to the insurgency in [[Nagaland]], Gandhi "unleashed a powerful military offensive" in the 1970s.<ref name="Das">{{Cite book
| publisher = Sage
| page = 207|url={{Google books|4bY27nAdkocC|page=PA207|keywords=|text=|plainurl=yes}}|isbn=978-0761933915
| last = Das
| first = Samir
| title = Peace Processes and Peace Accords
| year = 2005
}}</ref> Finally, a massive crackdown on the insurgents took place during the [[The Emergency (India)|state of emergency]] ordered by Gandhi. The insurgents soon agreed to surrender and signed the [[Shillong Accord of 1975|Shillong Accord]] in 1975.<ref name="R1">{{cite web |url= http://www.satp.org/satporgtp/countries/india/states/nagaland/documents/papers/nagaland_accord_the_shillong_nov_11_1975.htm |title= Nagaland Accord – The Shillong Agreement of November 11, 1975 |quote= representatives of the underground organisations met the Governor of Nagaland, Shri L.P. Singh representing the Government of India, at Shillong on 10th and 11th November, 1975.|publisher= satp.org/ |access-date= 27 December 2012 }}</ref> While the agreement was considered a victory for the Indian government and ended large-scale conflicts,<ref name="R3">{{cite web|url=http://nagaland.nic.in/profile/history/peace.htm |title=Dawn of Peace in Nagaland – SHILLONG ACCORD |quote=the historic "Shillong" signed at Shillong on November 11, 1975, by the Governor of Nagaland Mr. L.P Singh representing the Government of India and the underground leadership represented by Mr. Assa and Mr. Kevi Yalley |publisher=nagaland.nic.in |access-date=27 April 2012 |url-status=dead |archive-url=https://web.archive.org/web/20120314113027/http://nagaland.nic.in/profile/history/peace.htm |archive-date=14 March 2012 }}</ref> there has since been spurts of violence by [[National Socialist Council of Nagaland|rebel holdouts]] and [[Ethnic conflict in Nagaland|ethnic conflict amongst the tribes]].<ref name="R3"/>

== Nuclear program ==
{{Main|India and weapons of mass destruction|Smiling Buddha}}
Gandhi contributed and further carried out the vision of [[Jawaharlal Nehru]], former Premier of India to develop the program.<ref name="http://nuclearweaponarchive.org"/><ref name=prolifimpact>{{cite book|last=Perkovich|first=George|title=India's nuclear bomb: the impact on global proliferation|year=2002|publisher=University of California Press|isbn= 978-0-520-23210-5}}</ref> Gandhi authorized the development of nuclear weapons in 1967, in response to the ''[[Test No. 6]]'' by People's Republic of China. Gandhi saw this test as Chinese nuclear intimidation, therefore, Gandhi promoted the views of Nehru to establish India's stability and security interests as independent from those of the nuclear superpowers.<ref>{{Cite news|url=https://economictimes.indiatimes.com/news/defence/nehrus-refusal-of-kennedys-offer-of-nuclear-detonation-kept-india-out-of-the-nsg/articleshow/52732667.cms?from=mdr|title = Nehru's refusal of Kennedy's offer of nuclear detonation kept India out of the NSG|newspaper = The Economic Times|last1 = Chaudhury|first1 = Dipanjan Roy}}</ref>

The program became fully mature in 1974, when Dr. [[Raja Ramanna]] reported to Gandhi that India had the ability to test its first nuclear weapon. Gandhi gave verbal authorisation of this [[nuclear testing|test]], and preparations were made in a long-constructed army base, the [[Indian Army]] [[Pokhran Test Range]].<ref name = "http://nuclearweaponarchive.org">{{cite web|last= Sublette|first= Carey|title= Origins of Indian nuclear program | url = http://nuclearweaponarchive.org/India/IndiaOrigin.html| work = Nuclear weapon Archive | access-date = 13 November 2011}}</ref> In 1974, India successfully conducted an underground nuclear test, unofficially code named as "''[[Smiling Buddha]]''", near the desert village of [[Pokhran]] in Rajasthan.<ref name= "Smiling Buddha">{{cite web| url= http://nuclearweaponarchive.org/India/IndiaSmiling.html| work = India's Nuclear Weapons Program | title = Smiling Buddha, 1974|publisher=Nuclear Weapon Archive}}</ref> As the world was quiet by this test, a vehement protest came forward from Pakistan. Great ire was raised in Pakistan and its Prime Minister, [[Zulfikar Ali Bhutto]], described this test as "''Indian hegemony''" to intimidate Pakistan.<ref>{{Citation | publisher = Associated Press of Pakistan (APP) and Pakistan Television (PTV) | title = Prime minister Secretariat Press Release | quote = India's so-called Peaceful Nuclear Explosion (PNE) is tested and designed to intimidate and establish "Indian hegemony in the subcontinent", most particularly Pakistan... | first = Zulfikar Ali | last = Bhutto | date = 18 May 1974 | url = http://www.nti.org/e_research/profiles/Pakistan/Nuclear/chronology_1974.html | url-status = dead | archive-url = https://web.archive.org/web/20110918040826/http://www.nti.org/e_research/profiles/Pakistan/Nuclear/chronology_1974.html | archive-date = 18 September 2011 | df = dmy-all }}</ref> In response to this [[Zulfikar Ali Bhutto|Bhutto]] launched a massive campaign all over the Pakistan to make Pakistan a nuclear power. In these campaigns [[Zulfikar Ali Bhutto|Bhutto]] asked the nation to get united and great slogans were raised such as {{transl|ar|hum ghaas aur pattay kha lay gay magar nuclear power ban k rhe gay}} (We will eat grass or leaves or even go hungry, but we will get nuclear power)''. Gandhi directed a letter to [[Zulfikar Ali Bhutto|Bhutto]] and, later to the world, describing the test for [[Peaceful nuclear explosion|peaceful purposes]] and India's commitment to develop its programme for industrial and scientific use.<ref>{{Cite web|url=https://timesofindia.indiatimes.com/india/WikiLeaks-Indira-had-offered-to-share-N-tech-with-Pakistan-in-1974/articleshow/19467959.cms|title = WikiLeaks: Indira had offered to share N-tech with Pakistan in 1974 | India News - Times of India|website = [[The Times of India]]}}</ref>

==References==
{{Reflist}}

===Sources===
{{Refbegin}}
* {{Cite book | author = Pupul Jayakar| title = Indira Gandhi: A Biography | publisher = [[Penguin Books]] | year = 1997 | isbn = 978-0140114621 | ref = CITEREFJayakar1997}}
* {{Cite book | author = Pranay Gupte | title = Mother India: A Political Biography of Indira Gandhi | publisher = [[Penguin Books]]| year = 2012 | isbn = 978-0143068266 | ref = CITEREFGupte2012}}
* {{Cite book | author = Yogendra Kumar Malik | title = India: The Years of Indira Gandhi | publisher = [[BRILL Publishers]] | year = 1988 | isbn = 978-9004086814 | ref = CITEREFMalik1988}}

[[Category:Indira Gandhi]]
[[Category:Indira Gandhi administration]]

Domestic policy of the Indira Gandhi government - Revision history

->Citation bot at 02:17, 1 December 2021