Economic Management Is Not Same As Headline Management- Loan On India Increases 3 Times Under Modi Rule

Economic management is not same as headline management – Congress asserts “Modinomics” increased loans on India

The Congress said on Sunday that the Narendra Modi administration has driven up loans, unemployment, as well as inequalities in the nation as a whole, along with the fact that each Indian’s debt has multiplied 2.53 times in the previous nine years. The huge growth in the amount owed by the government owing to “Modinomics”, which is crushing the ordinary people, according to Congress spokesperson Gourav Vallabh, since the amount of debt per Indian has increased exponentially. 

Vallabh said that the country’s economy has seen a K-shaped rebound throughout the BJP-led rule and questioned why the level of debt per Indian has increased in the previous nine years.

From 1947 till March 31, 2014, the total debt of the Indian government increased to Rs. 55.87 lakh crore. Why, in the last nine years, it grew to Rs. 155.31 lakh crore, a jump of 2.77 times?

Further he questioned in a press conference that why is this money which has been borrowed assisting the economy growing in a K-shaped manner with 50 percent of the whole population of the nation just amounting to 3 percent of the total amount of wealth in the economy.

In addition to this, the cause of alarm is that why is this 50 percent population with such a minimal share of wealth paying almost 64 percent of the GST which is collected in the nation. He has alleged that Modi and the BJP led-government is treading fast on the path of burying our future generations in debt. In absolute terms when measured, Vallabh stated that the debt on every Indian has increased by INR 66,249 in just 9 years of their rule.

In accordance with the reports by International Monetary Fund (IMF), India’s debt to GDP for 2022 was 83%, significantly higher than the 64.5 percent that is the average for expanding economies as well as developing countries, the Congress leader stated. He provided data for the Indian government’s exceptional domestic and foreign debt as well as other obligations.

Pursuant to the Oxfam research, the richest 5% of Indians possess over sixty percent of the wealth of the nation, whereas the lowest fifty percent of the overall population possess only 3% of the wealth. On the other hand, just 3% of the INR 14.83 lakh crore in Goods and Services Tax (GST) revenue was collected from the richest 10% of the people, while 64% of it eventually came from the most impoverished fifty percent of the population as a whole.

The borrowing already indicated that it’s only aiding to create a K-shaped recovery, in which only certain sectors are performing well while others are failing. The (COVID-19) epidemic was more severe in small and medium-sized businesses and among middle-class and low-income demographics. Because of this, the rise in consumption (also known as Private Final Consumption Expenditure, or PFCE), which was 25.9% in the opening quarter of the fiscal year 2022–23, was reduced to 9.7% in the subsequent quarter.

In response to a query on the government’s decision to obstruct viewers from seeing the BBC’s documentary regarding the 2002 Godhra violence, Vallabh stated that the leadership of India had a program called “Block in India,” similar to “Make in India” and “Startup India.” The administration is reluctant to answer challenging inquiries. The ED (Enforcement Directorate) may already be at their door if the BBC’s corporate offices were in Delhi, he remarked. 

The “friends” of PM Modi, according to former Congress president Rahul Gandhi, continued “picking pockets” while the mainstream media distracted the general population.

Furthermore, he confronted how the epidemic caused the “favorite friend” of the prime minister to have his income grow nearly eight times. How did the “‘favourite friend” of PM Modi experience a 46% gain in wealth in just a single year?

Supriya Shrinate, a spokesman for the Congress, said during a news conference that “economic mismanagement” throughout the time from when the ruling Bharatiya Janata Party took office in 2014 is to blame for the startling growth in debt of INR 100 lakh crore.

Shrinate said cynically, “Economic management is not the same as headline management.” She continued by saying that it was impossible to do so using teleprompters and especially not WhatsApp forwards. She claimed that the fault lines are simply widening and that they require a white paper on the country’s economy.

According to Shrinate, India is paying an annual interest expense of INR 11 lakh crore to settle this growing debt. The CAG [Comptroller and Auditor General] study states that India’s debt-stability in 2020 had fallen to negative, and that at that point in time, the debt-to-GDP ratio had reached 52.5%; currently, it stands at 84%. The nation’s capacity to repay its borrowing is now going to be called into question.

Telangana Rashtra Samithi (TRS) blames BJP for pushing India into debt trap

The governing TRS in Telangana slammed the BJP for driving the entire nation into indebtedness, with central government borrowings supposedly reaching 61.6 percent of GDP by 2021.

TRS Working President as well as Minister KT Rama Rao, in addition to party officials, released his party’s political charge-sheet against the BJP, accusing the ruling saffron party of abandoning individuals facing growing constantly gas and diesel costs, amongst other things.

Throughout the 67 years following independence, the government received a loan of total INR 55.87 crore from successive Prime Ministers. Rama Rao alleged that since coming to office in 2014, PM Modi alone has borrowed INR 80 lakh crore over the past eight years.

The Centre paid 36.1 percent of its income in interest in 2014-15, and that figure is expected to rise to 43.7% in 2021. According to the charge sheet, in spite of NITI Aayog’s suggestion of INR 19,000 crore financing for Mission Bhagiratha, a clean water supply initiative for all the villages throughout the State, the Modi-led administration did not bother to grant even 19 paise.

Raghav Chadha slams central government for Supplementary Demands and Loans on India

Raghav Chadha, a senior Aam Aadmi Party (AAP) politician as well as Rajya Sabha member representing Punjab, criticizes the federal government for asking the Parliament to approve supplemental requests for funds for 2022–2023.

Chadha expressed his hope that this resource was also accessible to the nation’s common man, who is struggling with the country’s unceasingly growing inflation, particularly towards the final days of the month. Chadha stated in the opening of his speech before the House that there could only be two justifications for wanting more money than provided by the recommended budget.

First, in an effort to deceive the general population by beautification the fiscal deficit, the administration published its budget at the start of the first fiscal year by projecting lower than what it hoped to accomplish. The government’s abject failure to effectively oversee its budget, could be the second possibility, he added.

He focused his wrath towards the BJP, who has frequently criticized the AAP’s pre-election promises of free services and free resources, as being given away at great expense to the state’s finances.

In this context, Chadha noted that along with free accommodation, gasoline, and 3,000 to 4,000 free electrical units, each MP is also entitled to complimentary air travel. According to him, when the BJP offers all of its members such amenities for free, it is not “free revdi” as Modi likes to term it; but, whenever Arvind Kejriwal provides it for the benefit of the public, it is called revdi.

He also attacked the PM by challenging the BJP to declare that they will cease giving MPs any special favors. He accused the PM of picking and choosing which things qualify as freebies by asking, “Is that not free revdi?”

He defended the AAP‘s pledges of free power, education, as well as healthcare, amongst other things, and asserted that India is fundamentally a welfare nation. Money for governments is generated by taxpayers via direct taxes as well as indirect taxes, therefore government entities is obligated to spend upon the welfare of the people, he said.

Chadha clarified that his party operates under the premise that everyone has access to necessities like free power, healthcare, and education. People will become empowered in that way. According to him, empowered individuals eventually result in an empowered society, region, state, and ultimately an entire nation.

Raghav Chadha then asserted that in spite of all of the afore-mentioned charity programs that the BJP scorns, the AAP administration has doubled its state budget without levying any additional taxes. He argued, pestering the BJP about the debt India has accumulated from the rest of the world in the previous eight years, citing figures indicating their budget has expanded from approximately INR 27,000 crore to more than INR 70,000 crore without even a single additional tax.

The entire amount owed by the Indian government in loans went from 55 lakh crore in 1947 to 135 lakh crore at the moment. More loans have been taken by the federal government under PM Modi in the past eight years alone than by all of the other parties in power together since independence. How did they wind up Indians in such debt when they don’t even supply free revdi? He inquired with mocking wit.

Raghav Chadha highlights diseases of Indian Economy

The Punjabi MP added that the administration has appeared before the House to make a INR 3,25,757 crore claim. Prior to that, however, the House as well as the finance minister were made aware of the eight significant economic issues, which he referred to as the eight illnesses that currently afflict India’s economy.

Chadha emphasized that the unemployment rate, which is at its highest level in 45 years, is the country’s largest economic issue. He claimed that despite promises to create two crore employment annually made by the BJP administration, no jobs were really created. He claimed that the unemployment rate set by the federal government had unquestionably been surpassed.

Striking another jab on the government of India concerning inflation, he stated that the entire nation now requires a ‘Udhaar card’ rather than an ‘Aadhaar card’. He stated that the nation is grappling with the nation’s ever-growing inflation, which the governing body imposed on its citizens without enacting legislation.

Addressing the subject of farmers, the AAP MP stated, it appears to be an illness for the country’s economy that capitalist debts are constantly being waived off, while the strain of debt on farmers has gone up by 53% in the past 8 years. The corporation tax has been decreased from 30% to 22%, resulting in an estimated loss of 1.5 lakh crore for the nation’s government on an annual basis.

In addition, in the span of just five years, the federal government has discharged a debt of ten lakh crore to capitalists. The administration maintained that such an action would lead to greater employment and lower inflation, but every evidence shows that the exact reverse occurred, according to Chadha.

Concerned about the currency’s continual depreciation, Chadha stated that earlier BJP leaders used to argue that the rupee’s depreciation harmed the country’s credibility, but today the reputation, status, and rupee collectively have fallen to the identical minimal point.

What is unexpected, he added, is that exports are also declining despite the rupee’s decline, which is unusual. The national government has requested INR 30 crore in land seeking the new ED office, among other things, as part of its request for an additional funding to finish the grants. Why must the government maintain a budget of just thirty crores even though it ought to spend INR 30 lakh crores given this serves as the BJP’s most used department as they have lodged numerous opposition politicians and ministers? Chadha said sarcastically that ED police stations had to be established in every neighborhood mohalla.

We ought to realize that there is definitely something fishy when all opposition parties have a similar stance with regards to something, as it is a rare citing. There can be no rational justification for dragging the country into insurmountable debt traps and ruining economic circumstances for future generations who would be engaged in just recovering from such debts at the hands of capitalists.