Brief by Shorts91 Newsdesk / 01:27pm on 19 Oct 2025,Sunday India
Former Finance Minister P Chidambaram criticized India's 6.5% growth rate as "dismal," warning the country is trapped in lower-middle income status without "ideas or intrepidity" to break free. He called for "Manmohan Singh-like courage" to address the situation. Chidambaram highlighted that India's Gross National Income per capita of $2,650 needs to double to exit lower-middle income classification, which would take nine years at current growth rates. He flagged declining capital formation as critical, noting Gross Fixed Capital Formation dropped from 35.8% of GDP in 2007-08 to 30.1% in 2024-25. The Congress leader emphasized this growth rate isn't celebratory but indicates economic stagnation requiring bold reforms.
