NEW DELHI — Indian Prime Minister Narendra Modi’s appeal to people to cut consumption to help ease pressure on foreign exchange reserves sparked uproar on Monday, with the opposition accusing his government of making common people pay for its policy failures. Modi appealed to Indians to revive working from home, buy less gold and limit foreign travel to deal with a surge in global energy prices because of the continuing crisis in the Middle East. Opposition leaders said the Bharatiya Janata Party (BJP)-led government was asking the public to cut spending and consumption instead of taking responsibility for rising prices, fuel costs and economic stress. Modi said the austerity measures, reminiscent of the Covid era, would reduce India’s fuel use and help save foreign exchange. India imports 90% of its oil and its crude bill has seen a multi-billion dollar spike since the US-Israel war on Iran, with the Strait of Hormuz, a narrow Gulf chokepoint, shut for more than two-and-a-half months now. Analysts described Modi’s appeal, made at a public event in the southern city of Hyderabad on Sunday, as the “most drastic” so far. “Patriotism is not only about the willingness to sacrifice one’s life on the border. In these times, it is about living responsibly and fulfilling our duties to the nation in our daily lives,” Modi said. “In the current situation, we must place great emphasis on saving foreign exchange,” he added. Urging people to use public transport such as the metro, Modi suggested people carpool to conserve fuel. He also asked farmers to reduce use of fertiliser by half. Rahul Gandhi, leader of the main opposition Congress party, said the government was shifting “responsibility onto the people” and escaping accountability themselves. “[Modi’s suggestions] aren’t sermons — these are proofs of failure,” he said in a post on X. Harshvardhan Sapkal, Congress president in the Maharashtra state which is home to India’s industrial capital Mumbai, hit out at Modi in a post on X, saying the country was already struggling with inflation, rising fuel prices, and economic slowdown while the prime minister remained busy with “events, photoshoots and election campaigns”. Sapkal said the government had weakened the economy for electoral gains and was now advising people to avoid buying fuel, gold, fertilizers, and cooking oil. “Will only ordinary people make sacrifices while Modi continues giving speeches before cameras?” he asked. Sapkal also said that while other countries were preparing for a possible global crisis, the BJP government remained focused on elections and publicity. Analysts say Modi’s comments was one of the reasons the benchmark Sensex index fell more than 1,000 points in early trade amid fears of prolonged economic disruption. India has so far avoided raising petrol and diesel prices at the pump despite mounting pressure on state-run fuel retailers. But the prolonged conflict and disruption to oil supplies have begun to strain the broader economy. The impact has been visible in a number of industries, with hundreds of thousands of jobs at risk in factories that make glass and plastic products and tiles. Dwindling fertilizer supplies have raised concerns about lower farm produce and higher food prices. But the effect has been most stark on the Indian rupee, which has hit record lows in recent weeks, increasing the cost of imports and adding pressure on inflation. Analysts say Modi’s remarks indicate the government may soon issue some directives to curb energy use. A price revision of petroleum products could also be on the horizon.
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