A key ally of Indian Prime Minister Narendra Modi pledged support to him on Wednesday, boosting Modi’s chances of a record third term in office. Modi’s Bharatiya Janata Party (BJP) lost its outright majority in parliament in a surprise election verdict, requiring support from partners in the National Democratic Alliance (NDA) to form the government. The BJP won 240 seats, falling 32 short of the halfway mark in the 543-member lower house.
The Telugu Desam Party (TDP) affirmed support for Modi and the NDA, with Naidu attending a pivotal meeting in Delhi. With the NDA securing 293 seats, the BJP’s reduced majority poses challenges for the reform agenda, although policy continuity is expected.
The election outcome unsettled investors due to reliance on regional parties. Despite setbacks, Modi vowed to work harder, while Gandhi’s Congress party made unexpected gains. The INDIA alliance was set to meet to discuss future actions.
Modi’s reduced victory margin in Varanasi may not impede reforms, ensuring sustained growth. The NDA’s third term victory signals a message for future governance, with the opposition facing obstacles in government formation.