HYDERABAD: BRS working president KT Rama Rao alleged that Telangana’s economy is on the verge of collapse as inflation in the state has been negative for two consecutive months.
In a press statement issued here on Thursday, Rama Rao claimed that the state, which became a role model for the entire nation under KCR’s nine-year rule, has been economically crippled by the Congress government.
The BRS leader squarely blamed the “chaotic economic policies” of the Congress government led by Chief Minister A Revanth Reddy for this “dismal state of affairs”. Rama Rao pointed out that, for the first time in Telangana’s history, inflation was recorded in the negative during the months of June and July.
In July, the state’s inflation stood at -0.44%, while the national average was +2.10%. In June, Telangana recorded -0.93% compared to the national average of +1.55%. He noted that deflation is even more severe in rural areas.
The BRS leader opined that a fall in inflation is not always a positive sign; in this case, it is a dangerous indicator for the state’s economy. People are spending only on essentials, while business, trade and industrial activities have come to a standstill, he said.
Quoting economic experts, Rama Rao said that lack of new job creation and slowdown in economic activity are the key reasons for this situation, and urged the government to take their warnings seriously.
He alleged that the Revanth Reddy government completely paralysed economic activity. “It is painful to see Telangana, once the fastest-growing state in the country, now moving in reverse. Under the clueless Congress regime, a robust economy is being destroyed,” he said and added that it was a “hopeless government with hopeless governance.”
Rama Rao alleged that the government has no clear plan for job creation. Recalling the BRS government’s achievements, he said that Telangana had seen tremendous growth in the IT, pharma and real estate sectors, but these sectors are now in ruins under Congress rule.
Rama Rao demanded that the government take immediate and effective measures to revive the economy. He urged the initiation of economic reforms and job creation programmes without delay, to prevent the state’s future from sinking further into darkness. He warned that unless the Congress government corrects its failures, Telangana’s economic prospects will deteriorate even more, and stressed that only by addressing these issues can the state get back on the path of progress.