India
‘Consider providing some relief to the middle class’: Nirmala Sitharaman replies to X user – Times of India
Union Finance Minister Nirmala Sitharaman
“We deeply appreciate your efforts and contributions to the country, and you have our utmost admiration. I humbly request you to consider providing some relief to the middle class. I understand the enormous challenges involved, but it is only a sincere request,” the post said. read.
The Finance Minister, in his response, acknowledged the concerns and said Prime Minister Narendra Modi’s government is “listening to the voices of the people”.
“Thank you for your kind words and your understanding. I recognize and appreciate your concern. Prime Minister Narendra Modi’s government is a responsive government. Listens and listens to people’s voices. Thank you again for your understanding. Your input is valuable,” she says.
India’s middle class continues to grapple with economic challenges amid rising inflation. Retail inflation rose to 6.21% in October, breaching the Reserve Bank of India’s (RBI) upper limit of tolerance. Food inflation rose to 10.87%, driven by sharp increases in the prices of vegetables, potatoes and onions. Wholesale price inflation also rose to a four-month high of 2.36%, with food items posting a dramatic increase of 13.54%.
The government is under pressure to tackle these problems as inflation impacts household budgets, especially for middle-class families.
Criticism from the opposition
Sitharaman has faced criticism from opposition parties, especially regarding her handling of middle class concerns in the Union Budget. Critics alleged that the budget prioritized the rich over wage earners and middle-class citizens despite the introduction of tax breaks by the Modi government over the years to ease the burden on the middle class.
Sitharaman has defended the government’s approach, citing measures such as increasing the standard deduction for salaried workers, liberalizing income tax and introducing exemptions such as tax relief on family pensions.
Taxpayers earning up to Rs 7 lakh annually now benefit from exemptions, compared to Rs 2 lakh in 2014. Moreover, income tax reforms have reduced liabilities, and the tax burden on individuals earning between Rs 10 lakh and Rs 20 lakh has fallen. fallen by almost 60% over the past ten years, after adjusting for inflation.