Modi & Trump Giving Their Economies Self-Inflicted Wounds: Jairam
The recent global market crash, triggered by the White House’s announcement of tariffs, has sent shockwaves across the globe. India, in particular, has been severely impacted, with the Sensex opening over 3,900 points lower and the Nifty opening over 1,000 points below. Amidst the chaos, Congress leader Jairam Ramesh has lashed out at Prime Minister Narendra Modi and US President Donald Trump, suggesting that both leaders are experts in giving their economies self-inflicted wounds.
Ramesh’s scathing critique comes as no surprise, given the tumultuous relations between the two leaders and their respective countries. Trump’s decision to impose tariffs on Indian goods, including steel and aluminum, has sparked widespread outrage in India, with many calling it a direct attack on the country’s economy.
In a series of tweets, Ramesh criticized the two leaders, saying, “It’s no wonder that Mr. Modi and Mr. Trump describe themselves as good friends. Both are experts in giving their economies self-inflicted wounds.” He went on to add, “Mr. Trump’s tariffs on Indian goods and Mr. Modi’s demonetization and GST are two examples of economic policies that have been devastating for the Indian economy.”
Ramesh’s comments are a stark reminder of the economic woes that India has faced under Modi’s leadership. The country’s GDP growth rate has been slowing down in recent years, and the recent market crash has only added to the uncertainty. The demonetization move, which was announced in 2016, is widely regarded as a major blunder, as it led to a significant contraction in economic activity and a decline in consumer spending.
The GST, or Goods and Services Tax, which was implemented in 2017, has also been criticized for its complexity and the negative impact it has had on small businesses and the informal economy. The tax, which was introduced as a way to simplify the tax regime and increase revenue, has led to a proliferation of tax compliance and has put a significant burden on small businesses and entrepreneurs.
Trump’s tariffs, on the other hand, are a direct attack on India’s economy, and have sparked widespread outrage in the country. India’s trade relationship with the US is already strained, and the tariffs are seen as a major escalation of the trade tensions between the two countries.
The Indian government has responded to the tariffs by imposing retaliatory duties on 28 US goods, including almonds, apples, and walnuts. However, the move has been criticized by many, who say that it will only lead to a trade war and harm the Indian economy further.
In a statement, the Indian government said that the tariffs were a “direct attack” on India’s economy and that they would take all necessary steps to protect the country’s interests. However, the move has been seen as a weak response, and many are calling for the government to take stronger action to protect the country’s economy.
Ramesh’s comments also highlight the deep-seated crisis that India’s economy is facing. The country’s GDP growth rate has been slowing down in recent years, and the recent market crash has only added to the uncertainty. The economy is facing a perfect storm of challenges, including a slowing down of global trade, a decline in consumer spending, and a lack of investment in key sectors such as infrastructure and manufacturing.
The Modi government has been criticized for its handling of the economy, and many are calling for a more nuanced and pragmatic approach to economic policy. The government’s focus on fiscal prudence has led to a decline in government spending, and the lack of investment in key sectors has led to a decline in economic activity.
In conclusion, Jairam Ramesh’s comments are a stark reminder of the economic woes that India is facing. The country’s economy is facing a deep-seated crisis, and the recent market crash has only added to the uncertainty. The Modi government needs to take a more nuanced and pragmatic approach to economic policy, and the Indian people need to hold their leaders accountable for their actions.
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