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NEW DELHI: As their political masters wrestle with uniquely political verbs such as ‘roll back’ and ‘hold back’ to secure a dignified retreat from the crisis triggered by last week’s retail FDI decision, bureaucrats are finding comfort in ‘sit back’, a state of being they have long been accused of.

With little or no clarity on how the latest crisis will be resolved, bureaucrats in key economic ministries are watching from the sidelines, unsure of what to do now as their repeated attempts at kick-starting reforms run into a welter of political problems, which ministers are struggling to handle.

The November 24 decision to permit 51% foreign investment in multi-brand retail, born out of countless hours of burning the proverbial midnight oil and pitched as a bold reform measure, is the latest to blow up into a full-fledged crisis, with the move deeply dividing the government and raising the hackles of the Opposition.

With no mandate to proceed on any of the key economic issues, particularly those relating to FDI, bureaucrats are increasingly presenting an ignorant picture. Much like the journalists hounding them for information. “We have no clue what is going on,” said one exasperated official, who should otherwise be in thick of things.

Barely two weeks ago, the Department of Industrial Policy and Promotion (DIPP) was abuzz with action, debating and drafting proposals on how much FDI should be permitted in retail and aviation.

But today, DIPP has little clue about the fate of the baby it helped deliver, a mute spectator as rumours swirl political corridors of the 51% FDI limit in retail being cropped to 26% or 49% to make it more politically palatable.

The bureaucracy, which drafted the contours of the previous policy after a consultative process that lasted more than a year, has not been consulted on the possible tweaks. There is concern that the politically palatable might end up as something that is economically unworkable.

“Can 26% FDI really work? Will the Indian partner be able to bring in the rest of the funds?” asks an official who was intimately involved in the original deliberations, requesting not to be identified.

Bureaucrats say with the political class deeply divided and the government seemingly tamping down one crisis after another, there is little point in taking initiative.

“The bureaucracy is just waiting on the sidelines and not particularly taking bold decisions. I think even the government does not want them to take bold decisions,” said S Narayan, a former finance secretary. Serving government officials concur with this assessment.

“There is no direction. Work can begin only when there is clarity on which way policymaking shifts,” another government official said. “Whatever they decide, we will execute,” he said, making no bones of his frustration with the lack of direction.

Most of the officials ET spoke to for this article requested anonymity because of the sensitivity of the topic. It is not just FDI in retail that is likely to be the casualty of this state of affairs. Aviation, pension reform, insurance and tax reforms are being increasingly spoken of as possible victims of the ongoing political logjam.