NEW DELHI: Congress leader Rahul Gandhi on Friday alleged that Prime Minister Narendra Modi has no understanding of the economy and the world is mocking India due to his government's divisive politics that pitted people against each other.

Addressing an election rally here, Gandhi said Modi keeps diverting the attention of the people from real issues facing the country.

Demonetisation and 'Gabbar Singh Tax' (GST) have destroyed small and medium enterprises, he said.

"The world is mocking India. The country which used to show the way to the world, used to live with love, used to progress fast...Today one caste is fighting the other, one religion is fighting the other and the country's pride, its economy, Narendra Modi has destroyed it," Gandhi said.

He also slammed the media, saying it was scared and not showing the truth.

"Media persons say 'we know the truth but we can't show it because we will lose our jobs'," he said.

Modi had criticised MNREGA and he has "no understanding" of the economy, he alleged.

"Wherever they (BJP) go, they make people fight, be it Hindu-Muslims, Jat-non Jat. A country cannot develop through division," he said.

