What 2020 did to India’s inequality
- The bottom 10% of Indians lost a fourth of their income last year. Can the Budget put a lid on widening inequality?
- In the shadow of an upcoming Union Budget, these facts acquire more resonance. The govt should consider a covid cess on the rich in order to partly fund direct support to the poor.
BENGALURU : Even before covid-19, India was already a highly unequal country. As per the World Inequality Database, the share of the top 10% in India’s national income was about 56%, much higher than comparable countries like Indonesia (41%), Vietnam (42%), and even China (41%). India’s pandemic-induced economic hit is expected to be much worse than any of these comparable Asian nations.