Manmohan Singh's reforms transformed India, unshackled economy: Economists

By :  PTI
Update: 2024-12-27 11:55 GMT
In this May 24, 2010 photo, Prime Minister Manmohan Singh interacts with journalists during his national press conference on the completion of one year by his government, at Vigyan Bhavan in New Delhi on Monday. (PTI Photo/Subhav Shukla)

New Delhi: Former Prime Minister Manmohan Singh's 1991 budget unshackled India's economy, significantly enhancing the economic prospects for hundreds of millions of Indians, first deputy managing director of the International Monetary Fund (IMF) Gita Gopinath said on Friday. In a social media post on X, Gopinath further said Singh's visionary reforms inspired countless young economists like her.

"Dr Manmohan Singh's 1991 budget unshackled India's economy, significantly enhancing the economic prospects for hundreds of millions of Indians. His visionary reforms inspired countless young economists like me. Rest in peace, Dr Manmohan Singh," she said.
Singh, the architect of India's economic reforms, died here at the age of 92 late on Thursday. He served as the prime minister for two terms -- from 2004 to 2014.
Former RBI Governor Raghuram Rajan said Singh was a brilliant economist with a visionary outlook on India's potential, combined with a fine sense of political feasibility.
Rajan described Singh as understated and soft-spoken, qualities that enabled him to attract some of the brightest minds to his team, including Montek Singh Ahluwalia, C Rangarajan, and Rakesh Mohan.
"He was a brilliant economist with a great vision of what India could be, combined with a fine sense of what was possible politically... the liberalisation and reforms he undertook with the support of Prime Minister Narasimha Rao laid the foundations of the modern Indian economy," he told PTI.
Rajan, the 23rd Governor of the Reserve Bank of India between September 2013 and September 2016, recalled that Singh was always curious.
"Most persons with his experience and achievements would hold forth their views. Instead, Dr Singh heard others out and then tried to make use of what they conveyed, including criticism.
"And he was a man of great integrity, never using any of his offices for personal gain," Rajan noted.
Former World Bank chief economist Kaushik Basu said Singh, admired for his sharp intellect, innate modesty, and personal integrity - qualities rarely found in politics, will be remembered as one of the greatest political leaders not only in India but also globally.
Basu, who was Chief Economic Adviser (CEA) to the government in 2009-12, further said Manmohan Singh's modesty came from a deep sense of courage and self-confidence.
"I have no doubt that he will go down in history as one of the great political leaders not just of India but of the world.
"He was a combination of sharp intellect, innate modesty, and personal integrity, which is rare in politics," the former CEA told PTI.
Basu said reforms that Singh initiated in the early 1990s transformed India from a struggling developing nation to one of the world's fastest-growing economies.
"The talent and creativity that we see today spilling out from India to the United States and Europe, in the fields of corporate leadership, science, research, and policymaking owe a lot to this transformation of the 90s," he noted.
Working closely with Singh from 2009 to 2012, Basu said he saw an intellectual capaciousness that enabled him to grasp the big picture and simultaneously the minute details of policymaking.
"He (Singh) had little time for political intrigue. And that made all the difference for India," the former CEA said.
EAC-PM member Rakesh Mohan recalled how former prime minister Manmohan Singh used to encourage young technocratic talent to join the government and play a role in policymaking.
Mohan, who was also deputy governor of the Reserve Bank of India, further said Singh was receptive to ideas given by young people.
"One of his contributions to Indian policymaking was to induct a number of economic advisers at a young age, starting with Montek Singh Ahluwalia, myself, Shankar Acharya, and Arvind Virmani.
"...he was very encouraging of technocratic talent and induced them to come to the government and join," Mohan said.
Singh was a great listener and spoke very little but whenever he did, he spoke only substance, former RBI governor D Subbarao recalled his association with Singh, who died on Thursday.
"I had experience with him as prime minister and as finance secretary and late as governor. What I would say about Dr Manmohan...that he was a great listener.
"He did not speak very much. But whenever he spoke, it has lots of substance," Subbarao, who was RBI governor from 2008 to 2013, said.
Rajiv Kumar, former Niti Aayog Vice Chairman, recalled that Singh during his stint as finance minister was always open to meeting economists even at short notice.
Kumar stated that he encouraged him to join ADB in Manila. Kumar was an economic advisor in the Department of Economic Affairs.
"He gave me clear advice that I should accept the offer (from ADB) -- I followed his advice and returned to India much ahead of my superannuation from ADB...as a result hugely benefitted in my career progression. He was so approachable and kind towards younger economists and I benefited a great deal from following his example and advice," Kumar said.
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