Congress Slams Modi Government Over Alarming GDP Dip and Wage Stagnation
The Congress party has strongly criticized the Modi government following the release of India’s GDP data for July to September, highlighting concerns over the nation’s economic slowdown. According to the opposition, the decline in gross domestic product, coupled with a drop in investment and stagnation in workers’ wages, is indicative of a troubling economic trajectory. Congress General Secretary Jairam Ramesh has emphasized that these trends are directly impacting the purchasing power of the average Indian, which has diminished significantly over the past decade.
Congress Highlights Economic Concerns
The recently released GDP figures reveal a lower-than-expected growth rate, with consumption rising by only 6%. The Congress party views this as a reflection of deeper systemic issues, such as weak wage growth and declining purchasing power. Jairam Ramesh noted, “The average Indian is now able to buy less than they could 10 years ago. Inflation has risen sharply, but wages have remained stagnant or, in some states, have even decreased. This is a serious issue that cannot be ignored.”
Wage Growth Stagnant Since 2014
Drawing a comparison with the UPA era, Ramesh stated that during the Congress-led government, workers’ wages grew by over 6% annually. However, since 2014, wage growth has stagnated, with a reported decline during the 2019-24 period. Citing a report by India Ratings, Ramesh argued that this stagnation is one of the key reasons behind slowing economic growth, as reduced wages lead to lower consumption levels. He added that even prominent industrialists have voiced concerns about falling consumer demand in recent times.
Impact on the Common Citizen
The Congress leader warned that the declining growth rate would have far-reaching consequences for the everyday lives of Indians. He attributed the weak GDP figures to insufficient growth in the core sectors, which are essential drivers of the economy. “The current economic situation demands immediate attention, as it is the common people who bear the brunt of this slowdown,” Ramesh said.
The Congress party has called for urgent measures to address the wage stagnation and stimulate growth, emphasizing the need for policies that prioritize the well-being of workers and boost consumption to revive the economy.
