A few months ago, BJP government decided to build a bullet train between Mumbai and Ahmedabad; even though it will be a financial disaster. Reference.
Why did BJP decide to build this bullet train?
The toll roads between Mumbai and Ahmedabad are controlled by BJP's political opponent Sharad Pawar. By building this bullet train, BJP wants to undercut the huge toll collected in cash (no taxes) by Sharad Pawar and thereby weaken him.
Why build the bullet train only till Mumbai, and not Pune? There is lot of traffic between Mumbai and Pune too.
The toll road between Mumbai and Pune is controlled by a BJP politician Gadkari. BJP wants the revenue (in cash with no taxes) received by its policians to remain intact.
Why is RBI governor Rajan being forced to quit?
Rajan was appointed by Chidambaram, a Congress politician. BJP does not want, anyone close to Congress, in an important position. So Rajan has been privately indicated that he should drop out of the race on his own; since he will anyway not receive any extension.
Rajan had done a reasonably good job as RBI governor. When currencies of many countries (Russia, Brazil, etc) were falling; Rajan's high interest rates ensured that Indian rupee was strong.
In India, performance does not dictate government decision; it is whom you know; with what political party are you associated with.
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