The post-election buzz has faded, making way for immediate fuel price hikes. While external conflicts are blamed, India’s pre-existing economic fractures tell a deeper story.
Ahead of the crisis, April’s Wholesale Price Inflation (WPI) peaked at 8.3%, and the nation’s Strategic Petroleum Reserves hold only 9.5 days of usage.
Despite a massive ₹11.11 lakh crore infrastructure push, private investments and job creation remain stagnant. Manufacturing contributes a low 16% to the GDP, and with diminishing IT jobs, youth are retreating to agriculture.
FIIs have pulled out ₹1.8 lakh crore due to a depreciating Rupee, keeping Nifty’s dollar returns at zero over 4.5 years. Consequently, household savings have hit a 50-year low (5.3% of GDP), while credit card debt has doubled to ₹3 lakh crore.
