Last updated:January 1, 2025, 16:36 IST
Manmohan Singh took over the responsibility and changed the whole situation with his leadership and intelligence. What was once seen as an economy that emphasized control has begun to show significant growth.
Former Prime Minister Manmohan Singh spearheaded important initiatives for India’s development. (Image: PTI/File)
Former Prime Minister Dr. Manmohan Singh passed away on December 26, 2024 at the age of 92. From studying at Panjab University to revolutionizing the country’s economic sector, his life story is truly inspiring. Manmohan Singh, a renowned academic, had little interest in politics when he returned from Oxford after completing his higher education. He held several respected positions in the Treasury Department.
In June 1991, when Manmohan Singh was chairman of the University Grants Commission, a surprising phone call changed his life.
Manmohan Singh had just returned to Delhi after attending a conference in the Netherlands. His son-in-law, Vijay Tanka, received a call from PC Alexander, a senior government official who had invited Manmohan Singh to meet the then Prime Minister PV Narasimha Rao.
On June 21, Manmohan Singh appeared at Rashtrapati Bhavan to take oath as India’s new finance minister.
“Everyone was surprised to see me part of the new team that lined up to take the oath of office. My portfolio was assigned later but I soon became finance minister from Narasimha Raoji. “I was told that he was going to do it,” Manmohan Singh recalled, as quoted in the book Strictly Personal: Manmohan and Gursharan, written by his daughter Daman. Shin.
At that time, the Indian economy was undergoing a period of turbulence. Foreign exchange reserves had dwindled to Rs 2.5 billion as the government struggled to meet even two weeks’ worth of imports. Banks around the world were also turning their backs on India.
A lack of foreign loans and foreign exchange outflows caused inflation. Manmohan Singh took over the responsibility and changed the whole situation with his leadership and intelligence. What was once seen as an economy that emphasized control has begun to show significant growth.
Along with PV Narasimha Rao, Manmohan revised the economic policy and the results were evident in the 1991 Budget. One of the key measures was to abolish industrial permits in all but 18 sectors.
Up to 34 industries were allowed foreign direct investment (FDI). The government’s investment in public enterprises was reduced, while some sectors were given up state monopolies. Under the leadership of Manmohan Singh, the Securities and Exchange Board of India (SEBI) was established to regulate the capital market.
