India has crossed the $4 trillion GDP mark. We have surpassed Japan to become the 4th largest economy! Good
However here are some truths that belie the euphoria
1) 𝐏𝐞𝐫 𝐜𝐚𝐩𝐢𝐭𝐚 𝐆𝐃𝐏
• India per capita GDP : $2878
• Japan per capita GDP : $33,138
• UK per capita GDP : $55,000
2) 𝐄𝐜𝐨𝐧𝐨𝐦𝐢𝐜 𝐬𝐥𝐨𝐰𝐝𝐨𝐰𝐧 𝐢𝐬 𝐫𝐞𝐚𝐥
• Household savings halved: from ₹11.61 lk cr in FY20 to ₹6.52 lk cr in FY25
• Loan against gold up 71% in FY25
• Slowdown in auto sales, just 6% growth in FY25
• Slowdown in 2-wheeler sales
• Slowdown in sale of FMCG products
3) 𝐒𝐢𝐠𝐧𝐬 𝐨𝐟 𝐞𝐜𝐨𝐧𝐨𝐦𝐢𝐜 𝐝𝐢𝐬𝐭𝐫𝐞𝐬𝐬
• 19 suicides daily due to economic distress
• 2 farmers are committing suicide every hour
4) 𝐌𝐢𝐝𝐝𝐥𝐞 𝐂𝐥𝐚𝐬𝐬 𝐌𝐢𝐬𝐞𝐫𝐚𝐛𝐥𝐞
• Average middle class income as a base is ₹2.6 lakh per year or ₹22,000 per month, which as a part of national income is at levels of 1820, even before the colonial rule began
5) 𝐋𝐨𝐰 𝐈𝐧𝐜𝐨𝐦𝐞 𝐓𝐫𝐚𝐩
• India has one of the lowest wages in the world - skilled & unskilled. Average hourly wage of an Indian worker 5th lowest in the world
👉 If all is well why do PhDs, MBA, engineers queue up for class 4 cleaner jobs?
👉 If all is well, why is there a consistent rise in those seeking jobs under MGNREGA?
👉 And if all is well, why is the govt having to distribute free ration to over 80 crore Indians?
The proof of the pudding lies in eating. India can be 4th largest or even a larger economy but if crores of Indians struggle to put together two square meals - hollow celebrations of a large economy mean nothing at all.