India’s GDP growth a mirage; Poverty, unemployment driving people to suicide
Islamabad: Although India claims a 7.8% GDP growth from April to June this year, the Modi government cannot conceal the severe poverty, economic distress, and unemployment faced by its people.
According to Kashmir Media Service, India’s economy recorded an annual growth rate of 7.8% in the first quarter of fiscal year 2025-26, the highest in the past five quarters. However, these impressive figures mask the harsh social and economic realities confronting ordinary citizens. India is presented globally as the fifth-largest economy, yet wealth remains concentrated in a few hands while millions survive on meager government rations and low incomes.
Although extreme poverty has declined from 16.2% in 2011-12 to around 2.3% in 2022-23, lifting roughly 171 million people out of severe poverty, large portion of the population still live close to the poverty line. The richest 1% control nearly 73% of the nation’s wealth, highlighting stark economic inequality.
Youth unemployment has reached alarming levels, with the overall rate around 5.1%-5.6% in 2025, and 6.5%-7.1% in urban areas. Some reports indicate youth unemployment may range from 13.8% to 19%. Many educated youth cannot secure regular jobs and are forced into low-paying informal sectors such as taxi driving and food delivery. This imbalance reveals a “silent crisis” despite positive GDP figures.
A large portion of the rural population depends on agriculture, but rising costs, debt, and insufficient government support have left farmers struggling and protesting. In urban areas, informal employment dominates, lacking job security, social benefits, or pensions, leaving workers vulnerable to economic shocks. India is also experiencing a brain drain, as skilled professionals migrate abroad, benefiting foreign economies instead of their own country.
In the 2025 Corruption Perceptions Index, India ranks 96th out of 180 countries with a score of 38, reflecting widespread corruption that undermines governance and institutional performance. Delays in sensitive reporting and questionable statistical methods raise transparency and trust issues, creating a misleading impression of economic performance.
India’s press freedom in 2025 ranks 151st out of 180 countries, indicating severe restrictions and threats to independent journalism, which hinder critical scrutiny of economic data and governance.
The country faces major environmental crises, including Delhi being one of the world’s most polluted cities. Women’s safety remains a serious concern, with 40% feeling insecure in urban surveys. Child labor persists, with millions working in hazardous industries despite legal bans. Disparities in health and education further exacerbate social vulnerabilities.
In reality, the 7.8% GDP growth does not reflect India’s economic capacity—it is merely a manipulation of figures. Citizens are trapped in poverty, and unemployed youth are being driven to suicide. The BJP government’s claims of economic development are nothing more than deception.
