Congress leader Ripun Bora questions benefits of 7.8 per cent Q1 GDP growth, says economy not reflecting ground reality

Congress leader Ripun Bora has questioned the impact of India’s reported 7.8 per cent GDP growth in the first quarter of the 2026-27 financial year, arguing that the headline growth figure does not reflect the economic difficulties faced by ordinary people.

Bora, reacting to the latest GDP figures, said the government and Prime Minister Narendra Modi were highlighting the 7.8 per cent growth rate as a major achievement. Prime Minister Modi on Tuesday described the figure as a sign of strong economic confidence.

“The government announced, and the Prime Minister is very proud and boasting about this projected GDP growth of 7.8% in the first quarter of this financial year. We have seen this on earlier occasions as well. This GDP is managed; it is not actual,” Bora said.

He questioned why poverty and economic distress continued to persist if the reported growth was translating into broad-based improvement in living standards.

“If it were real, why are people still living in poverty? This GDP is only for rich people, big businessmen, and big capitalists, not for the common people,” Bora said.

The Congress leader also raised concerns over the impact of rising prices on household consumption. He claimed that price pressures had forced people to reduce their spending on essential commodities and questioned how such conditions could be reconciled with the reported pace of economic growth.

Bora’s remarks come amid a political debate over the significance of the latest GDP figures. India’s economy grew 7.8 per cent year-on-year in the April-June quarter, exceeding the Reserve Bank of India’s 7 per cent projection and economists’ expectations. The growth was supported by domestic consumption, government capital expenditure, investment and exports, according to reports citing official data.

The 7.8 per cent expansion was higher than the revised 6.9 per cent growth recorded in the corresponding quarter of the previous financial year. Manufacturing and services were among the key contributors to the expansion.

While the government has presented the figures as evidence of economic resilience, opposition leaders have questioned whether headline GDP growth is translating into higher incomes, employment opportunities and improved living standards for the wider population.

Bora said the government should assess economic performance not only through GDP figures but also through indicators such as household consumption, prices, employment and poverty.