Modi’s balancing act

India sees its hosting of the G-20 summit as a key moment [View in browser]( [Bloomberg]( Welcome to Balance of Power, bringing you the latest in global politics. If you haven’t yet, sign up [here](. India’s top diplomat, Subrahmanyam Jaishankar, once described his nation’s foreign policy as a complex pursuit of apparently contradictory objectives that should be thought of “not just as arithmetic, but as calculus.” It’s an [attribute that will be on display]( this week when Prime Minister Narendra Modi hosts fellow Group of 20 leaders in New Delhi. With the summit taking place in the shadow of intractable US-China tensions and Russia’s war in Ukraine, Modi’s aim is to position India at the center of the emerging global order. As Sudhi Ranjan Sen reports, that means forging a path for India as beholden to neither Washington nor Beijing, free to pursue its own national interests to build its economy and claim a greater global role befitting the world’s most populous nation. It’s an opportunistic approach: India has refused to condemn the war or join international sanctions against Moscow, stocking up on Russian oil and weapons even as it looks to build military ties with the US. Yet it’s mostly working for Modi’s government, which is feted by the US and its allies as a counterweight to China. Officials acknowledge their path of “multi-alignment” is precarious. India may not be able to sit on the fence forever, and accusations of human-rights abuses at home are unlikely to be overlooked indefinitely. Chinese leader Xi Jinping’s decision to skip the G-20 shows that Beijing isn’t ready to play along with Indian pretensions to represent the new center of geopolitics. In outlining India’s global approach, Jaishankar likened it to having multiple balls in the air while “displaying the confidence and dexterity to drop none.” Modi’s ability to maintain the juggling act will determine whether this is India’s moment.— [Alan Crawford]( Modi’s image adorns billboards around the capital. Photographer: Prakash Singh/Bloomberg Global Must Reads Xi’s surprise snub of the G-20 summit has thrust China’s new premier, Li Qiang, into the global spotlight this week. Attending the Association of Southeast Asian Nations gathering in Jakarta, Indonesia, and the meeting in New Delhi will give the 64-year-old former Xi aide a rare opportunity [to rub elbows]( with some of the world’s most powerful leaders. Mexico’s ruling party will announce its presidential candidate today, a key step [toward electing the successor]( to Andres Manuel Lopez Obrador next year. The ruling coalition, led by the president’s Morena party, is choosing from a slate of six, with energy engineer and ex-Mexico City Mayor Claudia Sheinbaum, 61, seen as the frontrunner. US President Joe Biden will celebrate a labor deal for port workers at the White House today to [showcase his support for unions](, even as another contract dispute involving the auto industry threatens to rattle the US economy. It’s the latest effort to repair Biden’s ties with a bloc of voters who are crucial to his reelection hopes but have been hit by high inflation. Facing mounting protests over rising living costs, Pakistan’s interim government expects to hold federal and provincial elections within four months. The delay in the vote, initially set for November, is expected to help former Prime Minister Shehbaz Sharif and his allies gain ground among voters after rival Imran Khan [was sentenced to jail]( last month for hiding the proceeds from the sale of state gifts when he was in power. Traders protest in Karachi on Aug. 23. Photographer: Asif Hassan/AFP/Getty Images Chancellor Olaf Scholz launched a blistering attack on the far-right Alternative for Germany, calling the anti-immigrant party a “demolition squad” and [a threat to Europe’s biggest economy](. The criticism comes as backing for the ruling coalition crumbles and his administration’s decision to rule out an economic stimulus package gives it little leeway to rally support. Saudi Arabia and Iran exchanged ambassadors, formally [ending a seven-year diplomatic rupture]( between the two Persian Gulf powers that had roiled the oil-exporting region. Secretary of State Antony Blinken [arrived in Kyiv]( in a show of US support as Ukraine’s armed forces continue a grinding counteroffensive against entrenched Russian positions. A Chinese draft law proposing fines and even jail time for people who offend the government’s sensibilities by [wearing the wrong clothing]( highlights how Xi has clamped down on civil liberties over his decade in power. Washington Dispatch Saudi Arabia’s decision to extend oil production cuts reverberated in the White House. Gasoline prices in the US are edging up, and that’s a key metric for voters who will be deciding whether Biden deserves a second term a little more than a year from now. The president’s options to respond are limited. His administration is already trying to refill the Strategic Petroleum Reserve after dipping into it to moderate prices following Russia’s invasion of Ukraine. And diplomatic efforts to convince the Saudis to recognize Israel may restrict public condemnation of the kingdom by the US. One thing to watch today: The Institute for Supply Management’s August services gauge is released at 10 a.m. Washington time. [Sign up for the Washington Edition newsletter]( for more from the US capital and watch Balance of Power at 5pm ET weekdays on Bloomberg Television. Chart of the Day Henry “Enrique” Tarrio, the former chairman of the far-right Proud Boys, was ordered yesterday to serve 22 years in prison for his role in a seditious plot to halt the US government’s peaceful transfer of power. It was [the stiffest sentence]( among more than 1,100 prosecutions tied to the Jan. 6, 2021, Capitol riot. And Finally After a seven-year, £1.4 billion ($1.76 billion) renovation, the [Old War Office in London]( will reopen this month as the five-star Raffles London hotel. Featuring 120 rooms and suites, 85 private residences, nine restaurants and three bars, rates start at around £1,100 a night for a standard room. But for £25,000, guests can stay in one of the showpiece heritage suites, including one that used to be wartime Prime Minister Winston Churchill’s office. Early morning at the War Office in December 1940. Photographer: Bert Hardy/Picture Post More from Bloomberg - to our [X Space discussion]( at 8am ET today on the key issues at the G-20 summit in New Delhi - [Bloomberg Opinion]( for a roundup of our most vital opinions on business, politics, economics, tech and more - [Next Africa](, a twice-weekly newsletter on where the continent stands now — and where it’s headed - [Economics Daily]( for what the changing landscape means for policy makers, investors and you - [Green Daily]( for the latest in climate news, zero-emission tech and green finance Explore more newsletters at [Bloomberg.com](. Follow Us Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. Want to sponsor this newsletter? [Get in touch here](. You received this message because you are subscribed to Bloomberg's Balance of Power newsletter. 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