PM talking up transformative GDP but what matters is annual growth rates over longer period: Congress

The Congress’ attack comes after Mr. Modi said last week that the GDP growth figure for the second quarter of this fiscal year displayed the resilience and strength of the Indian economy

The Congress on December 10 said that Prime Minister Narendra Modi and Finance Minister Nirmala Sitharaman are “repeatedly talking up” transformative GDP growth based on the recent July-September numbers but what matters more is annual growth rates over a longer period.

Annual average GDP growth rate during the UPA government was 8.1% against 5.4% under the current dispensation, it added.

The Congress’ attack comes after Mr. Modi said last week that the GDP growth figure for the second quarter of this fiscal year displayed the resilience and strength of the Indian economy amid testing times globally.

In a post on social media platform X (formerly Twitter), Jairam Ramesh, Congress General Secretary in charge of communications, said, “The Prime Minister and the Finance Minister are repeatedly talking up the ‘transformative GDP growth in India’ based on the recent numbers for July-September 2023”. But if you leave aside quarterly growth numbers, which could be high or low for a number of reasons, What matters a lot more – to understand how well the economy is doing – is annual growth rates over a longer period of time,” he said.

“Annual average GDP growth rate when Dr. Manmohan Singh was Prime Minister: 8.1%. Annual average GDP growth rate so far under Prime Minister Narendra Modi: 5.4%,” Mr. Ramesh said.

Which is truly transformative, he asked.

The Congress has been attacking the government over its handling of the economy and raising concerns over “increasing” unemployment and price rise.