In the last 42 years, the economy of India is now facing the worst. Indian people say our is lagging behind 70 years under Modi’s leadership. The rate of daily financial growth is worse, and the weaknesses in the areas where there are more employment traditions are starting to catch up. Currently, the unemployment rate is also the highest in decades.
Economic reports show that the number of people earning in India between 2012 to 2019 is declining – something that has never happened in the history of India. But Narendra Modi’s government came to power with the promise of good days with huge employment.
|Oxfam economy report|
Another major problem is the growing economic inequality in India. An economic study by Oxfam yesterday revealed that the billionaire’s total wealth of billionaire billionaires in India amounted to 24,822 billion-plus the central budget allocation for the 2018-19 fiscal year. The results of the study, published just before the five-day meeting of the World Economic Forum, show that the wealth of 1 percent of India’s wealthy people is four times the total wealth of 70 percent of the country’s population.
On February 1, India presented another budget. But will the Modi government be able to overcome the country’s financial crisis through this budget? With only one budget, it is unlikely that the country’s economy will be cut. But there is no doubt that different types of budgets in India have set the financial direction of the country at different times.
A few days ago, a UN report said that compared to the developed world, India is lagging behind in creating jobs in South Asia. In countries like Sri Lanka, Bangladesh, and even Afghanistan, Pakistan, one-third (about 33 percent) of the population is not involved in education, work or any training. But in India that rate is more than 40 percent. That is, two out of every five are unemployed. Recently, such an alarming picture of the job market has emerged in the figures of the Government of India. The NSSO reports that unemployment is the highest in 45 years.
|Indian PM Narendra Modi at an informal meeting BRICS|
Without employment, there is no money in the hands of people. This naturally reduces people’s purchasing power. The ability to buy them decreases. For this reason, Nobel laureate economist Abhijit Banerjee advised the Indian government to give more money to the poor. Like him, when the money comes into the hands of the poor, they will first spend on improving the standard of living. This will greatly accelerate the economy.
Referring to the problems raised in the report, the head of the United Nations Financial and Social Commission, Nagesh Kumar, said that 64 top banks have reduced Interest in 2019 in order to exclude their country from the shadow of the sluggish world economy. But it did not gain much. India is no exception. The demand was not raised even after the Reserve Bank pulled interest. The economy has not returned. This requires huge government investment in areas such as infrastructure and education. The goal of the deficit is to relax slowly but there is no objection. But recently the Indian government decided to cut the cost of education and health from social projects to reduce the revenue deficit.
|Top Countries GDP rate published by IMF WEO|