GDP Shock, In Spite of Modi-2’s Sops and RBI’s Largesse No Let Up to Recession!

31 August 2019

Contrary to the tall claims made by the finance minister, first there was all round slow down; Modi-2 gave many sops to the corporate giants and to the foreign speculators investing in the stock exchange to get out of it, while abandoning the masses who are left to the mercy of these looters. The RBI also came out with a 1.76 trillion largesse, which also will finally go to the pockets of these looters. At the same time, in spite of the finance minister’s assurances and the untiring justifications by the cyber warriors of RSS, as the purchasing power of not only the 65% below poverty line sections, but also of the middle classes continued to go down, as our economy depends overwhelmingly on internal market, the slow down and recession are continuing. Thousand of middle and small industries are closing down, major industries started cutting down production and throwing out lakhs of workers and white collar employees. As recession is accelerating even in the second quarter of this financial year (2018-19), Modi-2 has come out with the economic report which says even in the first quarter (April-June) itself the GDP growth had come down to 5% from the previous quarter’s 5.8%! So, one can imagine what will be the GDP growth in this second Quarter!

Modi-2’s efforts are to cover up these steep falls in the fields of production and consumption by intensifying further the saffronisation and fascisation projects more feverishly as we are seeing in J&K and Northeast glaringly, and all over India. But it forgets that, as the unemployment and price rise continues to make life miserable for increasing number of people, even the poor among the majoritarian Hindutva bloc, it is creating, are also going to recognize that they cannot forget for long the hunger and miseries just by chanting Jai Shriram!

The Modi-2 is intensifying corporatization and devastating the masses and environment, destroying the purchasing power of the people very fast. It cannot come out of the cycle of crises in the economic field however hard it tries. In the current quarter the GDP growth is going to fall further.

KN Ra,achandran,
General Secretary
CPI(ML) Red Star.

The Communist movement in India has a history of almost a century after the salvos of October Revolution in Russia brought Marxism-Leninism to the people of India who were engaged in the national liberation struggle against the British colonialists. It is a complex and chequered history.