Rahul Gandhi's Economy Claims Slammed by BJP

New Delhi, Jan 21 (PTI) The BJP on Tuesday slammed Congress leader Rahul Gandhi for painting a "bleak picture" of India's economy and said he should look at the facts instead of making baseless claims.

Earlier in the day, the Lok Sabha's opposition leader had hit out at the Narendra Modi government over its economic policies.

Real development is when everyone progresses, there is a fair environment for business, a fair tax system and the income of workers increases, he had asserted.

Hitting back at the Congress leader, the BJP's IT department head Amit Malviya said in a post on X, "It is quite ironic that Rahul Gandhi has once again chosen to paint a bleak picture of India's economy, conveniently overlooking his own party's troubled history."

In contrast, the Modi government's strategic initiatives such as the production linked incentive (PLI) scheme have attracted investments exceeding Rs 1.03 lakh crore, leading to production and sales worth Rs 8.61 lakh crore, and generating more than 6.78 lakh jobs as on November 2023, he said.

Malviya also rejected as "unfounded" Gandhi's remarks that the share of the manufacturing sector in the economy had gone down to the lowest level in 60 years, causing people to struggle for employment.

"Assertions that India's manufacturing sector is collapsing are unfounded," he said.

India has emerged as a "global mobile manufacturing hub", with annual production reaching approximately 325 to 330 million units, the BJP leader said.

In the 2023-24 fiscal alone, the value of mobile devices produced for both export and domestic markets soared to Rs 4.1 lakh crore, marking a "significant" year-on-year increase, he said.

Additionally, the telecom equipment manufacturing sector has seen substantial growth, with sales surpassing Rs 50,000 crore under the PLI scheme, he claimed.

"The Manufacturing Purchasing Managers' Index (PMI) stood at 56.4 in December 2024, indicating steady expansion, a notable improvement from the frequent contractions experienced during the UPA (United Progressive Alliance) era," Malviya said.

The BJP leader also rejected Gandhi's claim that the government's "wrong policies" in the agriculture sector had worsened the condition of farmers and farm labourers, saying NABARD data indicated rural household incomes were "outpacing inflation" and growing at a nominal compound annual growth rate (CAGR) of 9.5 per cent.

"This growth contrasts sharply with the UPA period, where average inflation of 8.19 per cent (2004-2014) eroded farmers' earnings," he said.

A NABARD survey from September revealed that 80.1 per cent of rural households reported increased consumption in the past year, demonstrating that real incomes are on the rise, he added.

Malviya said the implementation of GST "effectively" reduced the tax burden on the common man, averaging around 12.2 per cent compared to the previous approximate of 15 per cent under the old indirect tax system.

"Essential items such as unbranded food, key medicines, and education services are either minimally taxed or exempt," he said.

Real wages have grown over three times faster under the National Democratic Alliance (NDA) than during the UPA tenure, with inflation dropping to 5.56 per cent in 2014-2024 from 8.19 per cent in 2004-2014, resulting in significant savings for households, he added.

Private investments are also experiencing a "surge" and foreign direct investment (FDI) inflows have "nearly" doubled, rising from USD 304 billion during 2004-2014 to USD 622 billion in 2014-2024, the BJP leader claimed.

"If Rahul Gandhi genuinely cares about 'real development where everyone prospers', he should consider these facts instead of making baseless accusations," he said.

Moreover, he should address concerns in Congress-ruled Karnataka, where reports suggest that non-Kannada speakers face challenges in receiving police assistance, raising questions about inclusivity under his party's governance, Malviya added.