Leader of the Opposition Rahul Gandhi on Monday launched a fierce attack on the Modi government during the ongoing discussion on the Union Budget 2026–27, accusing it of “selling India’s strategic and economic interests” through what he described as a hurried and opaque trade framework with the United States.
Speaking on the eleventh day of the Budget Session in the Lok Sabha, Gandhi alleged that the interim U.S.–India trade understanding compromises India’s long-term sovereignty in key areas such as digital trade, data localisation, and digital taxation.
Allegations on Trade and Digital Sovereignty
Rahul Gandhi claimed that the proposed framework weakens India’s ability to regulate its own digital economy, arguing that control over data and taxation of global tech giants is central to national security and economic independence.
“You cannot call yourself a strong nation if you hand over digital rules, data sovereignty, and taxation powers under external pressure,” Gandhi said, adding that such decisions will impact Indian startups, MSMEs, and future innovation.
References to External Pressure and Corporate Interests
The Congress leader further alleged that the government’s trade stance is influenced by international pressure and corporate interests. He referred to the defence and infrastructure role of the Adani Group while noting that the conglomerate is facing a fraud-related case in the United States.
Gandhi also made passing references to recently unsealed Jeffrey Epstein-related documents, claiming that India’s leadership was being unfairly dragged into global controversies. These remarks immediately drew sharp objections from treasury bench members.
Government’s Strong Rebuttal
Union Parliamentary Affairs Minister Kiren Rijiju strongly countered Rahul Gandhi’s remarks, calling them irresponsible and misleading. Rijiju warned that the government would move a privilege motion if Gandhi failed to apologise by 5 p.m. for what he termed “unsubstantiated and defamatory references.”
The Ministry of External Affairs has already dismissed any linkage between India’s leadership and the Epstein documents as “baseless and factually incorrect.”
Disruptions in Parliament
The heated exchange led to repeated disruptions in the Lok Sabha, with members from both sides raising slogans and demanding clarifications. The Speaker urged members to maintain decorum, cautioning that parliamentary debates must remain focused on policy and facts.
With several days of the Budget Session still remaining, political observers expect further confrontations over foreign policy, trade negotiations, and economic strategy.
Political Stakes Ahead
The episode highlights the growing political battle over India’s global economic alignment ahead of upcoming elections. While the government has defended the trade framework as “strategic and mutually beneficial,” the Opposition continues to frame it as a surrender of national interests.
As Parliament resumes debate, the controversy is likely to shape public discourse on India’s economic sovereignty, foreign policy priorities, and the balance between global cooperation and domestic control.
