As Narendra Modi’s National Democratic Alliance (NDA) approaches ten years in power, a crucial question emerges: Has the NDA outperformed the previous United Progressive Alliance (UPA) led by Dr. Manmohan Singh? Economic indicators provide a comprehensive narrative of these two distinct decades in India—periods marked by growth and decline, challenges and achievements, and the myriad influences that have shaped the country’s current landscape.
Progress and Prosperity
Progress and prosperity refer to the increase in a country’s production of goods and services, measured by the growth in real Gross Domestic Product (GDP) over time. Under the UPA Government, GDP growth stood at 5.5 per cent, whereas under the NDA Government, it was 7.2per cent.
Social and Economic Development
Social and economic development is measured by the Human Development Index (HDI), which assesses a country’s standard of living based on health, education, and income levels, ranging from 0 (worst) to 1 (best). Under the UPA Government, HDI growth stood at 0.59, whereas under the NDA Government, it was 0.63.
Retail Inflation
Retail inflation is the speed at which prices for goods and services in stores go up. Under the UPA government, annual growth in retail inflation stood at 9.5 per cent, whereas under the NDA Government, it was 6.1 per cent.
Tax Collection Efficiency
Tax collection efficiency shows how well the Government can pay for its spending by comparing the amount of tax money collected to the size of the country’s economy. Under the UPA Government, the tax-to-GDP ratio stood at 10.4, whereas under the NDA Government, it was 11.2.
Foreign Currency with the RBI
Foreign currency with the RBI is money held by the Reserve Bank of India that’s used for paying other countries, protecting against changes in exchange rates, and keeping India’s currency and economy steady. Under the UPA Government, foreign currency reserves stood at USD 292,647 million, whereas under the NDA Government, they reached USD 578,449 million.
Fuelling the Economy
Fuelling the economy means putting a portion of a country’s money back into its economy to help it grow in the future. Under the UPA Government, investment as a percentage of GDP stood at 29.2 per cent, whereas under the NDA Government, it reached 33.4 per cent.
Global Inflow
Global inflow means money coming into Indian businesses from foreign investors. Under the UPA Government, global inflows stood at 1.3 per cent of GDP, whereas under the NDA Government, they reached 1.5 per cent.
Pulse of the Economy
The pulse of the economy measures how much money people make from investing in the stock market, including profits and dividends. Under the UPA Government, this indicator was at 7.3 per cent, whereas under the NDA Government, it reached -0.6 per cent.
Imports versus exports
Imports versus exports compare the value of goods a country brings in versus what it sends out. When imports exceed exports, it creates a trade deficit, and when exports are higher, it results in a trade surplus. Under the UPA Government, the trade deficit stood at USD 190.1 billion, whereas under the NDA Government, it reached USD 263.5 billion.
What does the government owe?
The Government has borrowed the total amount to fund public services and projects. Under the UPA Government, debt stood at 39.64 per cent of GDP, whereas under the NDA Government, it reached 49.77 per cent.
Who are out of jobs?
This indicator shows the percentage of people without jobs compared to the total number of people who could be working. Under the UPA Government, the percentage of the total labour force without jobs stood at 8.1 per cent, whereas under the NDA Government, it reached 7.3 per cent.
Expanding knowledge
The amount of money the Government spends to improve education in the country, it is expressed as a percentage of GDP. Under the UPA Government, this expenditure was 0.7 per cent of GDP, whereas under the NDA Government, it reached 0.6 per cent.
Boosting health
The total money the Government uses to better healthcare facilities, including hospitals, emergency services, and nutrition programs.Under the UPA Government, this expenditure was 0.28 per cent of GDP, whereas under the NDA Government, it reached 0.49 per cent.
The comparison between PM Modi’s and Dr Manmohan Singh’s leadership reveals contrasting styles in governance over the past decade.
