COMMUNISTS labelled the outcome of the Indian election a setback for Prime Minister Narendra Modi’s coalition today.

Mr Modi’s far right Bharatiya Janata Party (BJP) led in a majority of seats as counting continued, but failed to win the super majority that it had predicted.

The BJP looks set to win a third five-year term as the largest party but the strong performance of the opposition suggests he will have to rely on coalition partners to govern.