Growing debt, deepening poverty and widening inequality in India under Modi – OpEd – Eurasia Review

No amount of propaganda can hide the fact that Mr. Narendra Modi is riding a rising tide of debt and poverty. India’s Hindutva government under Modi is pushing the country into a billionaire-breeding economic landscape while increasing central government debt to 58% of GDP in FY 2024. Additionally, general government debt has increased to 82% of GDP. There is also a dramatic decline in real wages, incomes and savings. Rising household debt, unemployment, inflation, rural hardship and increased inequality highlight the failures of the Modi government. Modi and Hindutva define deceptive politics for the masses.

Despite promises of economic growth and development, actual economic indicators paint a bleak picture. The wealth gap is widening, with a few people accumulating significant wealth while a large portion of the population struggles with financial instability. Real wages remain stable or fall, limiting the purchasing power of ordinary citizens. Savings rates are falling, leading to greater household debt as families struggle to make ends meet. Unemployment remains a serious problem as many young people cannot find a job that matches their skills and qualifications.

Rising inflation reduces the value of money, making basic necessities more expensive and unaffordable for many. Another pressing problem is hardship in rural areas as farmers face challenges such as low crop prices, inadequate infrastructure and insufficient government support. The cumulative effect of these problems is increased inequality, where the benefits of economic growth are not equally shared across the population. The Modi government’s economic policies have led to serious financial challenges for many Indians, contributing to a more divided and unequal society.

Modi and his Hindutva policies do not solve the economic problems of the working masses. The Modi government is a complete failure on all fronts. Hindutva politics and its master manipulators like Modi are at the forefront of diverting public attention from the everyday material problems that people face in favor of reactionary propaganda based on lies. The economic struggles of ordinary citizens, including rising unemployment, inflation and household debt, are overshadowed by divisive rhetoric and identity politics. Instead of focusing on creating sustainable economic policies that benefit the majority, the government’s strategy often involves stirring up social tensions and promoting a nationalist agenda.

This approach by the Modi-led Hindutva government serves to divert attention from its failure to address key economic challenges. For example, while the wealth gap widens and many people struggle with financial instability, the government often emphasizes cultural and religious issues rather than substantive economic reforms. Moreover, these diversionary tactics undermine democratic discourse and prevent the development of policies that could actually improve the standard of living for all citizens. By shifting the emphasis to reactionary propaganda, the government avoids responsibility for economic mismanagement and social inequality. Modi-led Hindutva politics prioritizes ideological agendas over the economic well-being of the people, using manipulation and distraction to bypass pressing economic, social and political issues.

The World Inequality Database (2024) published by the World Inequality Lab shows that income inequality in India is the highest in the world. The Modi government is very generous to the rich while enforcing austerity and minimal government support for the masses. “The Income and Wealth Inequality in India from 1922 to 2023: The Rise of Billionaire Raj” (2024), also published by the World Inequality Lab, further reveals that the Modi government has accelerated the concentration of wealth in the hands of a small class of citizens, crony capitalists. Meanwhile, the working masses suffer from hunger, homelessness, illiteracy and disease.

Data shows that the Modi government’s economic policies disproportionately benefit the wealthy elite, exacerbating existing inequalities. While billionaires see their fortunes rising, the majority of the population faces severe economic hardship. Austerity measures have led to cuts in social services and welfare programs, leaving disadvantaged people with little support. The report drew attention to the deepening divide between the rich and the poor. As the government continues to favor business magnates and powerful capitalists who finance the electoral campaign of Hindutva politics, basic services such as education, health care and housing remain underfunded and inaccessible to many. This led to widespread illiteracy, deteriorating health conditions and an increase in homelessness among the working class. Without significant change, economic disparities in India will continue to grow, further widening the gap between the affluent and the impoverished. The World Inequality Lab’s reports provide a stark illustration of how current government policies have led to extreme income inequality in India, prioritizing the interests of the wealthy at the expense of the well-being of the broader population.

Hindutva politics are designed and conducted for the benefit of crony capitalists. Hindutva mobilizes the masses for its electoral benefits only by destroying the social, cultural, religious and secular fabric of India as a republic. For Indians, Modi’s rule represents lost decades of development. The political strategy behind Hindutva serves to consolidate the power of a select few and create an environment in which crony capitalism can thrive. By putting the interests of the wealthy elite first, the government provides significant support and financial support from influential individuals and groups. This relationship between the government and crony capitalists results in policies that further widen economic inequality and undermine democratic principles.

In the pursuit of electoral victories, Hindutva politics exploits social divisions and fosters an atmosphere of intolerance and communalism. This divisive approach diverts attention from pressing economic and social issues, redirecting public discourse towards polarizing topics. As a result, India’s social, cultural, religious and secular integrity suffers, weakening the unity of the nation and the foundations of democracy.

Modi’s tenure has been characterized by a significant neglect of development goals that could benefit the broader population. Investments in education, health care, infrastructure and social welfare have become secondary to the interests of the rich and powerful. The Hindutva government led by Modi represents lost decades of development and progress for the average Indian citizen who bears the brunt of Hindutva policies that increase debt and poverty. Modi and Hindutva are committed to crony capitalism and its development. The only alternative is to defeat Modi, defeat Hindutva and save India and Indians