FirstFT: India clamps down on communal violence in New Delhi’s business hub

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Good morning. Indian authorities have moved to restore order after deadly sectarian violence this week reached the outskirts of New Delhi’s premier business hub.

Gurugram, located west of Delhi in Haryana state, is one of the capital’s biggest satellite cities and houses offices for leading domestic and foreign companies including Google, Meta and Hyundai. Nicknamed “Millennium City”, the area, previously named Gurgaon, is also home to some of the country’s priciest apartments and villas.

Violence broke out on Monday in Nuh, a small city south of Gurugram, where a Hindu religious procession passed through a Muslim-dominated neighbourhood.

Clashes spread to nearby districts, including Gurugram, where a mob set fire to a mosque and, according to local media, killed its deputy imam. Rioters also torched shops in a mostly Muslim working-class part of the city, alarming residents. Manohar Lal Khattar, chief minister of Haryana, said on Wednesday that a total of six people, including two police officers, had been killed.

“Bombay is the financial centre, but as far as many Indian corporates go, Gurgaon is the centre,” said Shumita Deveshwar, chief India economist at GlobalData TS Lombard, who lives and works in the city. “To see communal violence happening in an area that’s 15 to 30 minutes away from the business district is disconcerting.”

Authorities imposed a temporary internet blackout and curfew in parts of Haryana on Monday and arrested more than 100 people, and by Wednesday afternoon the clashes appeared to have subsided. Some companies advised staff to stay at home, while shops remain closed amid fears of the unrest stretching into a third day.

Communal tensions have been escalating in the lead-up to national elections next year in which prime minister Narendra Modi’s Hindu nationalist Bharatiya Janata party is seeking a third term. Critics and opponents of the Modi government have accused it of degrading civil liberties and weakening democratic institutions as it promotes the country’s Hindu majority over India’s many minority groups.

• More India news: Indian authorities plan to introduce a new online gaming tax despite a fierce backlash from companies and investors who warn that it will kill the multibillion-dollar industry for fantasy sports and other real-money games.

Here’s what I’m keeping tabs on today:

• Donald Trump in court: The former US president is due to make an initial court appearance in Washington after prosecutors charged him in connection with his attempts to overturn the results of the 2020 election.

• Thailand: The constitutional court meets to consider whether to accept a petition on the renomination of Pita Limjaroenrat as prime minister. Last month, Thailand’s national assembly rejected the election winner’s bid to become prime minister, and later suspended him from parliament and voted that he could not be nominated for the premiership.

• Economic data: Turkey publishes July consumer price index inflation rate figures. Scroll down to today’s chart of the day for more on inflation in Turkey.

• Results: Amazon, Airbnb, Apple, Mitsubishi and Nintendo report. See our Week Ahead newsletter for the full list.

Five more top stories

1. Donald Trump’s legal team has pushed back against the US government’s push for a “speedy trial” over this week’s charges that the former president conspired to subvert the 2020 election. John Lauro, one of his lawyers, said that any suggestion of taking the case to court in a matter of months was “absurd”, signalling Trump’s desire to slow proceedings — possibly until after next year’s presidential contest. Read the full story.

2. China has proposed new rules to limit minors’ device usage and control the content young people can consume online, in a move that poses a fresh challenge to tech groups already tightly policed by the state. The new system requires device makers, operating systems, apps and app stores to include a new function called “minor mode”. Here are more details on the rules.

3. The White House will ask Congress to fund arms for Taiwan as part of a supplemental budget request for Ukraine, in an effort to speed up the supply of weapons to the country amid the rising threat from China. Read more on what the request, if passed, would mean for Taiwan.

4. Singapore’s prime minister has defended its reputation for clean governance after a series of scandals tarnished the city-state’s image. Lee Hsien Loong addressed a high-profile corruption investigation and an “inappropriate” parliamentary relationship, admitting that the ruling People’s Action party has “taken a hit” ahead of a leadership change. Read more on Singapore’s rare political drama.

5. Fitch Ratings’ downgrade of the US’s debt rating from triple A to double A plus prompted outrage from the White House and relative calm among investors in the market for Treasury bonds assessed by the agency. In its decision, Fitch cited the country’s growing debt burden and an “erosion of governance”, including on fiscal matters. But the downgrade was brushed off by some, including JPMorgan Chase chief Jamie Dimon, who called it “ridiculous”. Here’s more reaction.

The Big Read

The influence of Mexico’s military has grown dramatically under populist president Andrés Manuel López Obrador. To realise his vision of stamping out corruption and running state-owned facilities efficiently, the army and navy will manage more than a dozen civilian airports, the national customs agency, maritime ports and two new train lines. But critics say there has been no accountability or transparency.

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Chart of the day

Turkish equities have posted blistering gains this summer as an economic policy overhaul and fears about a fresh flare-up in inflation draw local savers and foreign investors into the market. 

Take a break from the news

George Orwell’s warnings about state control and surveillance are often invoked — especially now, in the age of artificial intelligence and big data. But if the legacy is secure, his reputation is less so. Two biographies offer contrasting perspectives on the author — and the invisible life of his first wife.

Additional contributions by Tee Zhuo and Gordon Smith