Amidst growing anxieties about US President-elect Barack Obama’s policies on Kashmir and non-proliferation, India’s immediate attention will be rivetted on the new administration’s ability to put the US economy back on track and manage the world’s worst financial crisis in nearly a century. It is not that traditional security issues are unimportant; but they are likely to be overshadowed by the economic issues. Unlike in the past, when India had little commercial engagement with the US, it is far more integrated with the global economy today. See how the Mumbai market mimics the New York Stock Exchange. An American failure to restore confidence in the market might have profound consequences for India’s own near term economic performance. What could be more important than that for New Delhi?

Prime Minister Manmohan Singh might have a small opportunity to gauge the thinking of the Obama Administration later this month, when he travels to Washington to attend the G-20 summit called by outgoing President George W. Bush. By that time, Obama should have named at least some of his key economic managers and put out some hints on how his Administration might approach the challenge.

If all goes well, the PM should also get some time with Obama. In engaging Obama, the PM should remember that there would be no more ‘free lunches’ for India in the United States, which is facing some real pain at home. India will have to give some to get some.

More important, an Obama Administration will now expect that India, as a rising power, is prepared to take on more responsibilities for the management of the global order. That, in turn, means India can no longer afford to simply duck major international issues. Meanwhile, here is a checklist that the PM might want to tick if he does meet Obama in Washington.

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