‘Make in India achieved little, Fake in India continues’ : Cong on GDP data

The Congress on Tuesday stepped up its criticism of the government's latest GDP figures, questioning the methodology used to calculate economic growth and arguing that the headline 7.8 per cent growth rate does not reflect the challenges faced by households, workers and businesses.

Congress general secretary in-charge communications Jairam Ramesh described the latest GDP numbers as "statistical gymnastics" and alleged that repeated changes in the methodology had made it difficult to assess the underlying state of the economy.

"Yesterday's GDP numbers are simply statistical gymnastics. By changing the methodology repeatedly, the Modi government is fixing GDP data while hiding India's bleak economic reality," Ramesh said in a post on X.

He questioned the gap between nominal and real GDP, saying it was expected to broadly reflect inflation. According to Ramesh, the government had put the difference at 2.3 per cent, while wholesale price inflation had been above 9 per cent during the quarter.

Ramesh also alleged that the government had changed the methodology used for calculating GDP twice this year and, in June, moved away from using the Wholesale Price Index for the calculation.

"If the Modi government gave us honest numbers, real growth number would be much lower," he said, citing similar concerns raised in the past by economists, including a former chief economic adviser to the government.

Ramesh also attacked the government's Make in India programme, saying it had delivered little while accusing the BJP-led government of promoting what he called "Fake in India".

India's economy grew 7.8 per cent in the April-June quarter of the 2026-27 financial year, according to government data. Growth was lower than the 8.6 per cent recorded in the preceding quarter but remained stronger than many expectations.

Prime Minister Narendra Modi welcomed the figure and described the growth as a "herculean feat", pointing to the performance as evidence of the resilience of the Indian economy amid global uncertainty.

The Congress, however, argued that the growth figure needed to be viewed alongside inflation, employment, household finances, investment and India's external trade position.

Addressing a press conference, Congress leader Salman Soz said the government's presentation of the economic data was far removed from conditions faced by people.

Soz referred to the gap between retail and wholesale inflation and questioned the share of manufacturing in India's GDP after a decade of the Make in India initiative.

"It's been 10 years of 'Make in India', but the share of manufacturing in GDP is below 13%," Soz said.

He also questioned the government's emphasis on "Vocal for Local", pointing to India's trade deficit with China, which he put at USD 112 billion.

On the government's Atmanirbhar Bharat push, Soz alleged that there had been no increase in the country's strategic petroleum reserve capacity since 2018.

He further questioned whether strong GDP growth was translating into improved economic conditions for households. Soz raised concerns over household borrowing, rural wages, private investment, foreign direct investment and youth unemployment.

"The public wants to know that if the economy is so strong, then why is its impact not visible on the ground?" he said.

Soz also referred to movements in the rupee and foreign investment, arguing that the government's growth narrative needed to be assessed against wider economic indicators.

The Congress had on Monday also criticised the 7.8 per cent growth figure, calling it a "Greatly Distorted Picture" of the economy and arguing that it did not capture what it described as weak investment sentiment.

Ramesh had separately accused the prime minister of "premature celebration", citing what he said were sluggish consumer confidence, falling household savings and high household debt.

The government's latest GDP data and the Congress criticism have opened a fresh political debate over how India's economic performance should be assessed, with the ruling party highlighting the growth rate and the opposition focusing on inflation, jobs, investment and household finances.