New Delhi: Indian Prime Minister Narendra Modi is set to meet with his allies on Wednesday to discuss the formation of a new government, following an unexpected election outcome where his Hindu nationalist Bharatiya Janata Party (BJP) lost its outright majority in parliament.

Official results announced late on Tuesday showed that Modi’s BJP won 240 seats in the general election, falling short by 32 seats to reach the halfway mark of 272 in the 543-member lower house.

The election verdict rattled investors, resulting in steep declines in stocks on Tuesday, as Modi now needs to rely on various regional parties whose political allegiances have varied over the years.

The National Democratic Alliance (NDA), led by the BJP, secured 293 seats, which is more than 20 seats ahead of the required 272 to form a government.

On the other hand, the opposition INDIA alliance, led by Rahul Gandhi’s Congress party, performed better than expected by winning 230 seats, with Congress alone securing 99 seats, nearly double the 52 seats it won in 2019.

The INDIA alliance is also scheduled to meet on Wednesday in New Delhi to discuss their future plans.

However, the BJP’s efforts to form a government may be bolstered by the endorsement of two key allies who affirmed their pre-poll alliance with the party remains intact.

Addressing jubilant party workers at the BJP headquarters late on Tuesday, Modi promised to redouble efforts in his third term, saying, “The blessings of the people for the third time after 10 years boost our morale and give us new strength.”

Modi, who sought one of India’s largest mandates in the six-week-long election, faced a lower voter turnout in the initial stages of the seven-phase election, causing concern within the BJP ranks. A pollster, speaking anonymously, revealed receiving calls from “panicked” BJP officials, questioning the low turnout and its implications.

Some analysts attributed the opposition’s strategy of promising affirmative action, increased subsidies, and more jobs as gaining traction among voters.

In response, Modi shifted his campaign focus from economic development and infrastructure to accusing the opposition of favoring minority Muslims over Hindus.

With the BJP falling short of a majority on its own, promises like a uniform civil code and simultaneous state and national elections, which were opposed by some Muslims, are expected to be sidelined.

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