Prime Minister Modi lauds booming Neo Middle Class as Engine of India’s Economic Growth

New Delhi, August 27, 2023: Prime Minister Narendra Modi emphasized the transformative impact of the government’s pro-poor policies, predicting the emergence of a robust middle class that will drive India’s economic growth.

Speaking at the B20 Summit in Delhi, PM Modi highlighted the transition of individuals from poverty to what he termed the “neo middle class,” indicating the efficacy of poverty-alleviation strategies.

PM Modi noted, “The neo middle class, those emerging from poverty, are potent consumers. Their aspirations fuel India’s growth. The government’s efforts to uplift the poor will subsequently benefit the middle class and MSMEs. Over the next five to seven years, a substantial middle-class population will emerge.”

He underscored the importance of balanced economic dynamics between businesses and consumers, emphasizing that a profitable market hinges on this equilibrium. The Prime Minister also stressed the need for a global perspective, cautioning against self-centered approaches. “Treating other nations merely as markets could harm producing countries. Fostering equal partnership in progress is the way forward,” PM Modi stated.

In line with this, PM Modi advocated for a focus on “consumer care” and suggested the observance of an “International Consumer Care Day” annually.

India’s G20 Presidency, occurring amidst significant economic transformations and geopolitical uncertainties, has prompted discussions on multiple fronts. The Business 20 (B20) group, integral to the G20 process, facilitates interaction between global business communities, G20 decision-makers, and governments.

The B20 has already put forth 54 recommendations and 172 policy actions for consideration by the G20.