Amidst escalating economic tensions between the United States and India, Congress leader Rahul Gandhi has ignited a political firestorm by echoing former US President Donald Trump's critical assessment of the Indian economy. Gandhi's remarks, declaring India a "dead economy", have drawn sharp reactions from the ruling Bharatiya Janata Party (BJP), which accuses him of undermining the nation's progress and insulting its citizens.
Gandhi's comments came shortly after Trump levied a 25% tariff on Indian imports and criticized India's relationship with Russia, stating that he doesn't care what India does with Russia and that they "can take their dead economies down together". Gandhi seized on Trump's "dead economy" remark, asserting that "everybody knows this except the Prime Minister and the Finance Minister". He further accused Prime Minister Narendra Modi of "killing" the economy through policies like demonetization and a "flawed" Goods and Services Tax (GST). Gandhi also claimed that the "Assemble in India" initiative, a play on the "Make in India" campaign, had failed, leading to the destruction of MSMEs (Micro, Small and Medium Enterprises) and the oppression of farmers. He also alleged that Modi works only for one person, Adani.
The BJP has vehemently countered Gandhi's claims, branding them as an insult to the aspirations and achievements of 1.4 billion Indians. Amit Malviya, head of the BJP's IT cell, stated that the only thing truly "dead" is Rahul Gandhi's political credibility. The BJP has presented data highlighting India's economic growth in various sectors, asserting that India remains the world's fastest-growing major economy, even amidst a global slowdown. They accuse Gandhi of echoing foreign propaganda and undermining the country's image.
Shashi Tharoor and Rajiv Shukla, senior Congress leaders, pointed to the strength of the Indian economy.
The controversy has erupted at a time when trade relations between the US and India are strained. Trump's recent imposition of tariffs and his criticism of India's economic policies have raised concerns about the future of bilateral trade. Gandhi questioned Modi's silence on the 25 percent US tariff. Gandhi also suggested that India's "genius foreign policy" can be gauged from the fact that "while the US is abusing India, China is after you".
The political clash has reignited debates about the health of the Indian economy, the credibility of political leaders, and the impact of global opinions on domestic policy. The incident also brings into focus the role of international perceptions in shaping domestic political narratives, especially in the context of economic performance and policy effectiveness.