‘Half-Baked Gyaan’: BJP Hits Back At Congress For Alleging Spike In ‘Income Inequality’

The BJP's statements came after Congress leader Jairam Ramesh said that the administration was growing the gap between the ultra-rich and the middle class in the country.

BJP's IT Chief Amit Malviya.

The BJP attacked the Congress on Monday for "peddling misinformation" over alleged increasing economic disparity, claiming that average income has grown and the nation is on a "upward trajectory" under the Modi administration, news agency PTI reported. The BJP's statements came after Congress national secretary for communications Jairam Ramesh said that the administration was growing the gap between the ultra-rich and the middle class in the country. In response to the Congress leader's accusation, Amit Malviya, the BJP's IT department chief, said on X, "Your selective outrage and misrepresentation laced with lies are glaring, Mr Jairam."

“The nation, under the current government, is on an upward trajectory, irrespective of how you choose to twist the bare facts. Rather than attempting to smear with half-truths, maybe it's time for some introspection at your end. Because while figures don't lie, it appears you are clearly attempting to,” he added.

Jairam, allow me to set the record straight with cold, unadulterated facts – not the cherry-picked statistics you are using to peddle misinformation with your half-baked gyaan, just like your boss.

Firstly, SBI research has shown that the 'Weighted Mean Income' of ₹4.4 lakh in… https://t.co/guLCdRL6fJ

— Amit Malviya (@amitmalviya) October 23, 2023

Ramesh said in a post on X that a review of publicly accessible data on income tax returns from 2013-14 to 2021-22 validates one of the central themes of the 'Bharat Jodo Yatra' — rising income disparity.

Under the Modi regime, the gap between the ultra-rich and the middle class is expanding, he continued.

Trashing Ramesh's charges, Malviya said: “Jairam, allow me to set the record straight with cold, unadulterated facts – not the cherry-picked statistics you are using to peddle misinformation with your half-baked gyaan (knowledge), just like your boss.” In response to Ramesh's allegation, the BJP leader stated that SBI data shows that the 'Weighted Mean Income' of Rs 4.4 lakh in AY 2013-2014 has nearly tripled to Rs 13 lakh in AY 2022-23.

“Do you even grasp the magnitude of this growth? The average income of all our citizens has increased,” he added.

According to Ramesh's post  on X, the wealthiest 1% of income tax payers earned 17% of total income in 2013-14. He predicted that by 2021-22, the wealthiest 1% will own 23% of total income.

From 2013-14 to 2021-22, the top 1% of income tax payers saw their income increase at a rate of 13% year on year — "a massive 60% faster than the income of the bottom 25% of taxpayers," the Congress leader alleged.

After correcting for inflation, the bottom 25% of taxpayers received less real income in 2022 than they did in 2019.

Refuting Ramesh’s allegations, Malviya stated: “While you are busy pointing fingers at the top 1 per cent, you seem to have conveniently omitted that over a span of 8 years there is an addition of a monumental 4.81 crore more ITRs (income tax returns), filed across the board due to increased incomes”.

“13.6% of our population has left the lower income bracket and migrated upwards in AY 2023 compared to AY 2012. That is not the 'ultra-rich', who flourished in the crony capitalist and license raj regime of the Congress, since Independence, but common people,” he added.

Contrary to popular belief being propelled, the BJP leader stated that "democratisation of wealth creation" is taking place in the country.

The geographical distribution of wealth production is not limited to a specific economic class or a specific collection of locations. Many startup/unicorn founders are middle-class and hail from various tier-2/3/4 cities. Hurun's list of wealthy entrepreneurs consisted of only ten cities in 2012; by 2022, this number would have grown to 76.

“It is not just about the rich getting richer,” he added.

According to Malviya, the top 30 cities in India are "usually" predicted to lead in formal savings.

However, the share of cities outside the top-30 in total mutual fund assets has increased from 15% to 26% in the last four years, indicating that the lower middle-class and middle-class from tier-3 and tier-4 cities are increasing their investments in mutual funds due to higher incomes, he claimed.

“According to a paper by the International Monetary Fund, through various Modi government schemes and initiatives, India has practically eradicated extreme poverty and (it) is down to less than 1%, bringing down consumption inequality to its most negligible in 40 years,” Malviya said.

In accordance with a Niti Aayog report, the BJP leader said that between 2015–16 and 2019–21, 13.6 crore individuals were able to leave the grip of poverty.

“We have actually worked for the poor and middle class and delivered, rather than the Congress's empty slogans like 'Garibi Hatao',” he added.