NEJV DELHI. -Mar 2: US ambassador to India Frank Wisner predicted today that' Prime Minister P V Narasimha Rao's Congress Party would lose its majority in coming general elections and fresh bolls would have to be held before long, reports Reuter.

•_ "No party is going to have an overall majority. You're going to be looking at a coalition government." Wisner told a business conference in the Indian capital.

"You're looking, at the next elections before you know about it."

- Wisner said India., which must .hold elections by. midyear; was expected to go to the polls in May. Rao's government was. expected to decide on the dates soon.

“Coalitions are eautious. particularly Jn India's case. They, have short lives." Wisner said. *1 think we may be looking at another general election before loo many years down' the road.".

Congress has ruled India lor all but about three years since independence In 1947. . The party of former : prime minister Jawaharlal Nehru, his daughter' Indira Gandhi and her son Rajiv Gandhi, was last out of. power between 1989 anil 1991.

■ Rao's Congress returned to ■ pow^rJit 1991 after India was

governed by two unstable coalitions that quickly fell apart. The.current government has l*en rocked by a corruption st .tndal and defeats in a series ol state assembly elections.

• Wisner said the next gov eminent would not reverse the economic reforms that Rao initiated in 19Q1. dismantling trade and tariff barriers and inviting private investment.

"India 4s going to grow and India is not going to turn back.” he told the gathering ol US investors. You are here aj an enormously exciting time. This is- an economy that is awake, moving forward and an attractive place for you to be.'

The envoy said India would need to continue liberalising Its economy for a fdw years before it, could join regional group? — ASEAN and APEC.

"India's connections to economic Asia are just beginning. I think it, will end up being part of ASEAN and APEC but it will fake a few years to get there." he said.

'To be a real player in'Ihe Asian mainstream, you ve' got to have a much more open economy ihan is the case at present in India.' Wisner said.

"But I don't believe that... the peace and stability of Asia, or indeed the rest of the world, can be maintained over, time unless India is a factor and brings her presence to bear." he said.