After reading this article I got the sneaking suspicion that some major players in India did some cool calculations indicating that it was more profitable for them to keep things the way they are.
While a student in India, it seemed that some of the so-called elite didn’t give a hoot about the poverty around them. There were noble exceptions from some truly exceptional people, but many take the Hindu religion to say that poverty is mostly due to karma. The poor did something bad in a past life so “deserve” their fate. At least, that is the explanation I often got from those apathetic about social justice.
The country is, for the most part, in dire need of development and it’s choices like this that will probably keep it that way.