Corporate or constitutional India

Despite frequent claims that India is on the verge of becoming the world’s leading economic superpower, a large portion of its population continues to struggle, particularly the 70% in the lower economic brackets. The wealth remains unevenly distributed, and infrastructure development often appears skewed by political populism, disproportionately benefiting regions governed by the NDA (National Democratic Alliance). This imbalance raises questions about equitable growth and the inclusiveness of India’s economic progress. India is often celebrated as an emerging economic superpower, with ambitions of becoming a $5 trillion economy. However, beneath this optimistic narrative lies a troubling and growing disparity between two vastly different Indias. While a small fraction of the population enjoys immense wealth and prosperity, the overwhelming majority continues to struggle with economic hardships that have persisted for decades. This stark contrast raises important questions about the nature of India’s economic growth and whether it is truly inclusive. A key aspect of India’s economic reality is the extreme concentration of wealth. The top 10% of the population controls nearly 80% of the nation’s wealth, while the remaining 90% must share just 20% of the resources. Even more striking, the wealthiest 1% alone holds over 40% of the country’s total wealth, a figure that has only grown since the early 2000s. A recent working paper published in March 2024 highlighted how wealth inequality in India has worsened dramatically over the past two decades, with the income share of the top 1% rising to 22.6%.This widening gap between rich and poor draws parallels with historical examples like the French Revolution, where a small aristocracy held the vast majority of assets, leaving little for the common people. In modern India, a wealthy elite exerts immense political and economic power, controlling significant portions of the country’s resources and leaving limited opportunities for upward mobility for the majority of the population. The numbers paint a grim picture. In 2017, 73% of the wealth generated in India went to the richest 1%, while the poorest 50% saw only a 1% increase in their wealth. Although India is home to 119 billionaires, millions still live below the poverty line, struggling to meet basic needs such as healthcare, education, and housing. Institutional investors, like LIC and NIC, control 82% of the major shareholdings, but employee stock ownership plans (ESOPs) that could help distribute wealth more equitably are virtually non-existent. This concentration of wealth is further exacerbated by systemic corruption and political influence. A powerful elite with deep political connections has entrenched itself in positions of economic dominance. Those who attempt to challenge this system often face defamation suits or even disappearances. Activists seeking to expose corruption and push for fairer policies are frequently silenced, perpetuating a culture of fear and resignation. India’s true challenge is not just achieving the $5 trillion economy milestone, but ensuring that this growth benefits all its citizens. Around 80% of youth are unemployed while cost of living is not becoming any cheaper. Only by addressing these deep-seated inequalities can India create a more inclusive future and secure prosperity for all.