Indian PM Modi’s Bharatiya Janata Party trounced in Delhi election

Prime Minister Narendra Modi has conceded an overwhelming defeat in a local election in India's capital, his first setback at the polls since taking charge of Asia's third-biggest economy last year.

Aam Aadmi Party, a two-year-old party led by anti-graft activist Arvind Kejriwal, was ahead in 66 seats in the 70-member assembly, Election Commission results showed. Modi's Bharatiya Janata Party led in three seats, with Sonia Gandhi's Congress party left with zero.

Modi said on Twitter yesterday that he spoke to Kejriwal, congratulated him on the win and assured him of the federal government's "complete support in the development of Delhi".

"This is the people's victory, and it's a victory for honesty," Kejriwal told thousands of cheering supporters yesterday, adding that the huge mandate surprised him. "With people's support, we will develop a city that both the poor and rich will be proud of."

The results indicate a major swing against Modi since the last Delhi election 14 months ago, when his BJP topped Aam Aadmi by three seats and no party won a majority. Kejriwal, who ran Delhi for 49 days before abruptly resigning last year, promised voters cheap water, electricity, food and medicine.

While Delhi only accounts for about one per cent of all parliamentary seats, a defeat on this scale may embolden opposition parties who have seen Modi's party dominate national and state elections over the past year. He needs opposition lawmakers to support his moves to increase foreign investment and to help spur land purchases.