The Congress party has raised concerns over India’s low consumption expenditure and rising inequality, calling for a shift in economic policymaking towards bottom-up empowerment. Congress General Secretary Jairam Ramesh, citing the Indus Valley Annual Report 2025, highlighted that India’s per capita consumption expenditure is just USD 1,493—less than a third of China’s.
India’s consumption of key lifestyle goods remains significantly low. For example, India accounted for only 7% of global air conditioner sales, compared to China’s 55%. Ramesh noted that India’s “consuming class” comprises only 30 million households, about 10% of the population, while nearly 1 billion people lack the income to afford discretionary goods.
Addressing Economic Disparities
Congress leader Priyanka Gandhi Vadra echoed similar concerns, stating that 100 crore out of India’s 140 crore population struggle to afford anything beyond essential expenses. “The economic injustice during BJP rule has become a curse for the poor and middle class,” she remarked.
Ramesh criticized the government’s failure to address wage stagnation and rising household indebtedness. He called for an increase in MGNREGA wages to counter inflation and stimulate rural incomes. “The way out of this quagmire is to shift the focus of policymaking from cronyism to bottom-up empowerment,” he stated.
As economic disparities widen, Congress continues to press for policy reforms that prioritize income growth and financial security for India’s lower and middle-income groups.
