The Congress on Tuesday criticised the central government for its inability to address the “ever-weakening” Rupee, which has recently dropped beyond 86.50 mark against the US Dollar. Congress chief Mallikarjun Kharge targeted Prime Minister Narendra Modi, arguing that the current economic situation is causing significant suffering for the people due to the PM’s “rank incompetence.”
“Our Forex Reserves have fallen to a 10-month low. Massive withdrawal of Foreign Capital from Indian equities has contributed to highly negative sentiments. Investors lost ₹24.69 lakh crore in wealth in 4 days of market slump due to unabated foreign fund outflow and steep fall in Rupee. Increased import costs, especially of crude oil, rising production costs is resulting in skyrocketing Price Rise impacting the poor and Middle Class,” Kharge wrote on X.
On Monday, the Rupee experienced a record single-day fall of 66 paise against the US Dollar, reaching a historic low of 86.70, marking the first significant decline since February 6, 2023, when it fell by 68 paise.
Kharge claimed that India’s balance of payments has been adversely affected by the trade deficit stemming from high import costs, further weakening the economy.
“No matter how much you try to whitewash, the reality is that high inflation is biting every single paisa out of the pockets of our people, and making their lives miserable!” he added.
{{/usCountry}}“No matter how much you try to whitewash, the reality is that high inflation is biting every single paisa out of the pockets of our people, and making their lives miserable!” he added.
{{/usCountry}}He further stated that people are suffering due to PM Modi’s “risk-taking capacity” and want to save the Indian economy from his “disastrous policies.”
No immediate reaction was available from the Bharatiya Janata Party (BJP) to Kharge’s charges.
Notably, government data released on Monday indicated that retail inflation declined to a four-month low of 5.22% in December. Meanwhile, the consumer price index (CPI) inflation sharply decreased after peaking at a 14-month high of 6.21% in October, standing at 5.48% in November.