PM’s Appeal to Nation

May 14, 2026

-Abhishek Vij

On the one hand, the war between the United States, Israel, and Iran shows no signs of ending. Iran and the United States continue to block the Strait of Hormuz. According to Donald Trump, the ceasefire agreement has been put on hold. However, countries like India, which, despite not being directly involved in the war, are facing the threat of rising inflation due to disruptions in the supply of crude oil, fertilizers, gasoline, and natural gas. It is true that the Indian government has not yet increased petrol and diesel prices, while petroleum companies are suffering losses of thousands of crores per day. The opposition had claimed that the Modi government would increase petrol and diesel prices as soon as the results of the assembly elections were announced on May 4th, but petroleum prices have not been increased. Nevertheless, prices of everything from commercial gas cylinders to high-quality petrol have risen. Furthermore, the continued devaluation of the Indian rupee against the dollar is making every import more expensive, a result that is already being felt in Indian markets. In light of these circumstances, Prime Minister Narendra Modi has appealed to the nation to change its consumer behavior. He advocates for moderate consumption of oil and gas. He is also urging the common man to postpone gold purchases for a year and avoid unnecessary foreign travel. After making this appeal once, the Prime Minister repeated the appeal a day later. It is estimated that if this frugality is implemented, the country will save $59.3 billion, or Rs 5.6 lakh crore, in foreign exchange in a single year. Modi’s message of frugality has had a direct impact, resulting in a cloud of indifference in the bullion markets, where millions of people—including shopkeepers and artisans—earn their livelihoods. They say that if people don’t buy gold for a year, the markets will be forced to shut down. Many people will lose their jobs or businesses. On the other hand, despite the unprecedented rise in gold and silver prices last year, the demand for gold hasn’t decreased. It’s said that the amount of gold stored in average households in India is equivalent to the GDP of any small country. Unfortunately, gold is a lifeless investment because people buy gold for their financial security and store it in safes and lockers. There were calls to invest in gold bonds, but this plan failed due to the sharp rise in the price of gold. Remember, only 1 percent of India’s gold consumption comes from domestic mines; 99 percent is imported from abroad, at a significant dollar cost. This increases the budget deficit so much that the value of the rupee falls sharply against the dollar. Consequently, every product coming from the dollar zone enters the market at a higher price. Gold imports into India have also increased to alarming levels in the last few years. Currently, they amount to $72 billion, compared to only $35 billion in 2022-23. Therefore, to stem the rupee’s decline and ensure uninterrupted imports of other essential goods, gold demand must be halted for a year, as Prime Minister Modi has repeatedly urged