The late PM’s tenure, despite challenges, was marked by historic economic reforms, bold social welfare and an unwavering resolve on key policies like the Indo-US nuclear deal
Manmohan Singh, a towering economist and the architect of India’s economic liberalisation, passed away on December 26 at the age of 92. His journey from a modest upbringing in Gah, Punjab (now in Pakistan), to becoming India’s 14th prime minister is a testament to resilience, intellect and an unwavering commitment to public service. Revered for his quiet demeanour, Singh’s legacy is etched in India’s transformation from a struggling post-colonial economy to an emerging global powerhouse.
Born on September 26, 1932, Manmohan Singh grew up in a village with no electricity, yet his academic brilliance shone brightly. After losing his mother at a young age, Singh was raised by his paternal family. His early education took him to Hindu College in Amritsar and later to Panjab University, where he excelled in Economics. With scholarships, Singh pursued a first-class honours degree at the University of Cambridge in 1957 and went on to complete his D.Phil. in Economics at Oxford University.
At Cambridge, Singh’s intellectual rigour earned him respect. Reflecting on his time there, he once remarked that the institution inculcated virtues of open-mindedness and fearlessness in expressing opinions. His mentors included economists like Joan Robinson and Nicholas Kaldor, who shaped his views on development economics.
Singh began his career teaching at Panjab University and the Delhi School of Economics before transitioning to public service. His roles included those of chief economic advisor, secretary of the Union finance ministry, governor of the Reserve Bank of India and deputy chairman of the Planning Commission. Each position underscored his expertise in economic policy, culminating in his appointment as Union finance minister in 1991—a role that would redefine the country’s economic future.
When India faced a severe balance-of-payments crisis in 1991, with foreign reserves barely sufficient for three weeks of imports, then prime minister P.V. Narasimha Rao appointed Singh as finance minister. It was an unconventional but transformative choice. Singh introduced bold structural reforms, dismantling the Licence Raj, reducing import tariffs, devaluing the rupee and opening sectors to foreign investment. These measures ended decades of protectionism, igniting India’s economic growth.
The impact of these reforms was profound. The Indian economy, which had been shackled by restrictive regulations, experienced a paradigm shift. Industries gained the freedom to innovate and expand without bureaucratic constraints, foreign investors began to view India as an attractive destination and the middle class started to burgeon. The GDP growth rate, which had hovered around 3.5 per cent (mockingly referred to as the ‘Hindu rate of growth’), accelerated significantly in the years that followed. The reforms also sparked a stock-market boom, with the Sensex growing exponentially over the decades.
Regulatory institutions such as the Securities and Exchange Board of India (SEBI) were empowered to ensure transparency and accountability, further bolstering investor confidence. By opening up the economy to foreign direct investment (FDI) and streamlining industrial policies, Singh laid the foundation for India’s transformation into a global economic powerhouse. His foresight ensured that the reforms were not just about economic liberalisation but also about creating opportunities for millions of Indians.
Singh’s ascent to prime ministership in 2004 was as unexpected as it was historic. Following the Congress’ victory in the general elections, Sonia Gandhi, the party’s leader, declined the role amid controversy over her foreign origin and nominated Singh. His appointment marked a departure from traditional populist politics, also making him India’s first Sikh prime minister.
Though initially perceived as a consensus candidate, Singh quickly established his authority. His first term was marked by robust economic growth, averaging nearly 8 per cent annually. Landmark initiatives such as the Indo-US Civil Nuclear Agreement ended India’s nuclear isolation and strengthened its global partnerships. Social welfare schemes, including the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and the Right to Information Act, underscored his commitment to inclusive development.
Singh’s premiership was defined by significant strides in infrastructure development. Projects such as the Golden Quadrilateral highway network and rural electrification programmes transformed connectivity and enhanced economic activity. His government’s focus on financial inclusion saw the launch of the Aadhaar project, providing millions of Indians with a unique identification number and access to banking and welfare services.
The global financial crisis of 2008 tested Singh’s economic acumen. His policies shielded India from the worst effects, maintaining a steady growth rate while major economies faltered. The crisis underscored his ability to navigate complex economic challenges, ensuring that India remained a preferred destination for global investors.
Singh’s tenure was not without its challenges. His second term (2009-2014) witnessed slower economic growth, marred by allegations of corruption within his government, including the 2G spectrum and coal allocation scandals. Critics accused him of being a “silent prime minister” and a “puppet” of Sonia Gandhi—allegations Singh faced with characteristic restraint.
The second term also highlighted the limitations of coalition politics. The inability to address governance issues and growing public frustration over corruption scandals eroded the Congress’s support base. Singh’s reputation as a reformer was overshadowed by accusations of policy paralysis, and his government’s failure to effectively counter mass movements, such as Anna Hazare’s anti-corruption campaign, further weakened its standing.
Yet, his personal integrity remained untarnished. Even his detractors acknowledged his incorruptibility, though his inability to control coalition partners was detrimental to the government’s image.
Singh was known for standing his ground on issues he was deeply convinced about, even in the face of political and public opposition. This resolve was most evident during the Indo-US Civil Nuclear Agreement. Facing resistance from coalition partners and widespread criticism, Singh made it clear that the deal was essential for India’s energy security and its strategic positioning on the global stage.
When the Left Front threatened to withdraw support, he did not back down, stating firmly that the agreement was non-negotiable. In a masterstroke of political strategy, Singh secured the backing of the Samajwadi Party, ensuring the survival of his government and the passage of the deal. This episode showcased his ability to navigate treacherous political waters while staying true to his vision for India.
Singh’s economic policies extended beyond liberalisation. As prime minister, he prioritised infrastructure development, initiated the Aadhaar project for financial inclusion, and fostered India’s IT and manufacturing sectors.
On the global stage, Singh’s diplomacy strengthened India’s strategic partnerships. His rapport with leaders such as US president George W. Bush facilitated the landmark nuclear deal, while his outreach to Pakistan and China reflected a pragmatic approach to regional stability. Despite setbacks, such as the November 2008 Mumbai terror attacks, Singh’s emphasis on dialogue underscored his belief in peaceful coexistence.
His government’s initiatives in education, such as the Right to Education Act, significantly improved school enrolment and literacy rates. Efforts to enhance public healthcare and rural employment also left a lasting impact on India’s socio-economic fabric.
In his final press conference in 2014, Singh stated, “I honestly believe that history will be kinder to me than the contemporary media.” These words encapsulate his stoic approach to leadership and his faith in the long-term impact of his policies. Today, as India stands as a major global player, Singh contributions to its economic and democratic foundations are increasingly recognised.
Manmohan Singh’s life was defined by a rare blend of humility, intellect and resilience. From rescuing India during its darkest economic hour to shaping its rise on the global stage, his legacy transcends political and ideological boundaries. As the nation mourns his loss, his contributions—both as an economist and a statesman—remain a guiding light for future generations. His story is not just of a man who changed India’s trajectory but of a leader who exemplified the power of quiet determination in the face of immense challenges.
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Published By:
Arunima Jha
Published On:
Dec 28, 2024