Data Story | Indians less optimistic about economic conditions, job prospects

Indians are becoming increasingly worried about the economy's condition, with fewer citizens believing that the local economy is getting better, a survey revealed.

A Gallup survey conducted in 2018 found 50 percent of rural Indians and 43 percent of urban Indians believed that their local economy was getting better.

This is a contrast from 2016, when 68 percent of participants from urban areas and 53 percent from rural areas said the economy was improving.

The findings were based on face-to-face interviews of 3,000 adults aged 15 and above.



Indians are also becoming increasingly pessimistic about job prospects, with less than half of the surveys participants saying it is a good time to find a job.

As opposed 40 percent of rural Indians, 43 percent of participants from urban areas are hopeful about finding a job.

Creation of jobs was one of the major poll promises of the ruling Bharatiya Janata Party (BJP) when it was voted to power in the 2014 Lok Sabha election.

India is currently the world's sixth largest economy by GDP. The International Monetary Fund (IMF) has forecast India's growth at 7.3 percent in 2019, lower than the previous prediction of 7.5 percent.

But, the waning optimism about economic conditions is unlikely to hamper the Narendra Modi-led government's prospects for a re-election in May.

"The findings from Gallup's survey in India in October-December 2018 suggest the recent decline in Indians' economic optimism has not hurt their evaluations of Modi's job performance ahead of India's current election." the report said.

Modi's approval rating has lowered from 79 percent in 2017 to 65 percent in 2018.

"Despite the BJP's lack of success in increasing employment and addressing the challenges faced by rural Indians, confidence in the national government and approval of Modi's job performance remain widespread and near record highs heading into the election," the survey concluded.

In February, a media report said unemployment was at a 45-year high at 6.1 percent in 2017-18, citing data from the National Sample Survey Office (NSSO).

The incumbent government has also been criticised for demonetisation, the surprise ban of Rs 500 and Rs 1,000 notes.

Elections are being held in seven staggered phases, with counting of votes scheduled for May 23.

Original Source: https://www.moneycontrol.com/news/business/economy/data-story-indians-less-optimistic-about-economic-conditions-job-prospects-3882641.html