Published 15:48 IST, August 20th 2020
Rahul Gandhi predicts massive unemployment, blames PM Modi, says 'wait for 6-7 months'
On Thursday, August 20, former Congress president Rahul Gandhi accused Prime Minister Narendra Modi of destroying the unorganised sector of the Indian economy.
On Thursday, former Congress president Rahul Gandhi accused Prime Minister Narendra Modi of destroying the unorganised sector of the economy. Mentioning that this sector accounts for 90% of the total employment in the country, he predicted that India will be unable to provide jobs to the youth. He claimed that many companies will collapse one by one after the moratorium period ends. Gandhi recalled that his warning of heavy loss to the economy at the advent of COVID-19 crisis went unheeded. Elaborating on his point, the Wayanad MP contended that key employers such as small and medium businesses can't give jobs as they themselves have been "destroyed".
Rahul Gandhi remarked, "The unorganised sector contributes 90% of employment to Indians. They comprise small businessmen, middle-sized businessmen, farmers. Narendra Modi destroyed this system. Now see, when the moratorium ends, companies will collapse one by one. Small and medium businesses will be finished."
"This country will not be able to give jobs to the youth in the coming future. I had warned that after the advent of the COVID-19 crisis, there will be a heavy loss. Don't believe me now. Wait for 6-7 months. Employers like small and medium businesses can't give jobs because they have themselves been destroyed," he added.
Congress raises concerns over the economy
Currently, there are 6,86,395 active cases in India while 20,96,664 patients have been discharged and 53,866 fatalities have been reported. In the last few days, Congress has been at the forefront of questioning the state of the Indian economy. In a recent article, former Prime Minister Manmohan Singh and Congress office-bearer Praveen Chakravarthy noted that India has been impacted economically due to the COVID-19 crisis. They stressed that the foundation to revive the economy is by injecting confidence in the entire ecosystem. Backing the idea of direct cash assistance to the poor people, the Congress leaders reckoned that this move can help them weather the novel coronavirus crisis
Moreover, they called upon the Centre to allow institutions such as public sector banks, RBI, bankruptcy boards and securities and insurance regulators to function freely and professionally. The former PM and Chakravarthy observed that this was the foundational step to restore confidence in the financial system. Thereafter, they urged the Union government to borrow money via loan programmes of the International Monetary Fund and the World Bank.
(Image credits: PTI)
Updated 15:48 IST, August 20th 2020