Rising middle-class aspirations drive demand, create jobs and fuel economic growth: PM Modi

Bengaluru: Prime Minister Narendra Modi on Friday said rising aspirations among India's expanding middle class are generating fresh demand, creating jobs and emerging as a key driver of economic growth.

Speaking after launching development projects worth ₹15,000 crore, including a new stretch of Namma Metro in Bengaluru, Modi said a new aspirational class has emerged since 2014, driven by the Centre's 'Sabka Saath, Sabka Vikas' approach. This surge in aspirations, he said, was fuelling demand across sectors from automobiles and electronics to tourism and services, spurring the establishment of new factories and creating employment opportunities. Protecting the interests of this neo-middle class remained a priority for the Centre, Modi said. The government has boosted household savings and disposable income by exempting annual incomes of up to Rs 12 lakh from income tax, easing tax deducted at source (TDS) rules for senior citizens and those earning rental income, lowering the prices of everyday goods through goods and services tax (GST) reforms, and abolishing GST on personal health and life insurance. Highlighting energy security as critical to building a developed India, Modi said the ongoing conflict around Iran and the Gulf region underscored the importance of energy resilience. India had withstood global energy challenges because of measures taken over the past decade, including expanding petrol, diesel and LPG production capacity, developing crude oil storage, achieving near-total electrification, and scaling up solar, hydro and wind power alongside public transport, he said.

India's renewable energy capacity has crossed 300 GW, while nuclear power capacity is also being expanded to meet rising electricity demand from emerging sectors such as semiconductors, artificial intelligence, data centres and quantum computing, Modi said.