Manmohan Singh

Manmohan Singh (born 26 September 1932) is an Indian economist and politician who served as the Prime Minister of India from 2004 to 2014. The first Sikh in office, Singh was also the first prime minister since Jawaharlal Nehru to be re-elected after completing a full five-year term.

Born in Gah (now in Punjab, Pakistan), Singh's family migrated to India during its partition in 1947. After obtaining his doctorate in economics from Oxford, Singh worked for the United Nations during 1966–69. He subsequently began his bureaucratic career when Lalit Narayan Mishra hired him as an advisor in the Ministry of Commerce and Industry. Over the 70s and 80s, Singh held several key posts in the Government of India, such as Chief Economic Advisor (1972–76), Reserve Bank governor (1982–85) and Planning Commission head (1985–87).

In 1991, as India faced a severe economic crisis, newly elected Prime Minister P. V. Narasimha Rao surprisingly inducted the apolitical Singh into his cabinet as Finance Minister. Over the next few years, despite strong opposition, he as a Finance Minister carried out several structural reforms that liberalised India's economy. Although these measures proved successful in averting the crisis, and enhanced Singh's reputation globally as a leading reform-minded economist, the incumbent Congress party fared poorly in the 1996 general election. Subsequently, Singh served as Leader of the Opposition in the Rajya Sabha (the upper house of India's Parliament) during the Atal Bihari Vajpayee government of 1998–2004.

In 2004, when the Congress-led United Progressive Alliance (UPA) came to power, its chairperson Sonia Gandhi unexpectedly relinquished the premiership to Manmohan Singh. Singh's first ministry executed several key legislations and projects, including the Rural Health Mission, Unique Identification Authority, Rural Employment Guarantee scheme and Right to Information Act. In 2008, opposition to a historic civil nuclear agreement with the United States nearly caused Singh's government to fall after Left Front parties withdrew their support. Although India's economy grew rapidly under UPA I, its security was threatened by several terrorist incidents (including the 2008 Mumbai attacks) and the continuing Maoist insurgency.

The 2009 general election saw the UPA return with an increased mandate, with Singh retaining the office of Prime Minister. Over the next few years, Singh's second ministry government faced a number of corruption charges—over the organisation of the Commonwealth Games, the 2G-spectrum allocation and the allocation of coal blocks. After his term ended in 2014 he opted out from the race to the office of the Prime Minister of India during 2014 Indian general election. Singh was never a member of the Lok Sabhabut continues to serve as a member of the Indian Parliament, representing the state of Assam in the Rajya Sabha for the fifth consecutive term since 1991.

Early career

After completing his D.Phil, Singh returned to India until 1966 when he went to work for the United Nations Conference on Trade and Development (UNCTAD) from 1966–1969. Later, he was appointed as an advisor to the Ministry of Foreign Trade by Lalit Narayan Mishra, in recognition of Singh's talent as an economist.

From 1969 to 1971, Singh was a Professor of International Trade at the Delhi School of Economics, University of Delhi.

In 1972, Singh was Chief Economic Adviser in the Ministry of Finance and in 1976 he was Secretary in the Finance Ministry. In 1980–1982 he was at the Planning Commission, and in 1982, he was appointed Governor of the Reserve Bank of India under then Finance Minister Pranab Mukherjee and held the post until 1985. He went on to become the deputy chairman of the Planning Commission of India from 1985 to 1987. Following his tenure at the Planning Commission, he was Secretary General of the South Commission, an independent economic policy think tank headquartered in Geneva, Switzerland from 1987 to November 1990.

Singh returned to India from Geneva in November 1990 and held the post as the Advisor to Prime Minister of India on Economic Affairs during the tenure of V. P. Singh. In March 1991, he became Chairman of the University Grants Commission.

Political career

In June 1991, India's Prime Minister at the time, P.V. Narasimha Rao, chose Singh to be his Finance Minister. Singh told Mark Tully the British journalist in 2005 ""On the day (Rao) was formulating his cabinet, he sent his Principal Secretary to me saying, 'The PM would like you to become the Minister of Finance'. I didn't take it seriously. He eventually tracked me down the next morning, rather angry, and demanded that I get dressed up and come to Rashtrapati Bhavan for the swearing in. So that's how I started in politics".^[9]

Minister of Finance

In 1991, India's fiscal deficit was close to 8.5 per cent of the gross domestic product, the balance of payments deficit was huge and the current account deficit was close to 3.5 percent of India's GDP. India's foreign reserves barely amounted to US$1 billion, enough to pay for 2 weeks of imports, in comparison to US$283 billion today.

Evidently, India was facing an economic crisis. At this point, the government of India sought funds from the supranational International Monetary Fund, which, while assisting India financially, imposed several conditions regarding India's economic policy. In effect, IMF-dictated policy meant that the ubiquitous Licence Raj had to be dismantled, and India's attempt at a state-controlled economy had to end.

Manmohan explained to the PM and the party that India is facing an unprecedented crisis. However the rank and file of the party resisted deregulation. So Chidambaram and Manmohan explained to the party that the economy would collapse if it was not deregulated. To the dismay of the party, Rao allowed Manmohan to deregulate the Indian economy.

Subsequently, Singh, who had thus far been one of the most influential architects of India's socialist economy, eliminated the permit raj, reduced state control of the economy, and reduced import taxes

Rao and Singh thus implemented policies to open up the economy and change India's socialist economy to a more capitalistic one, in the process dismantling the Licence Raj, a system that inhibited the prosperity of private businesses. They removed many obstacles standing in the way of Foreign Direct Investment (FDI), and initiated the process of the privatisation of public sector companies. However, in spite of these reforms, Rao's government was voted out in 1996 due to non-performance of government in other areas. In praise of Singh's work that pushed India towards a market economy, long-time Cabinet minister P. Chidambaram has referred to Singh as the Deng Xiaoping of India.

In 1993, Singh offered his resignation from the post of Finance Minister after a parliamentary investigation report criticised his ministry for not being able to anticipate a US$1.8 billion securities scandal. Prime Minister Rao refused Singh's resignation, instead promising to punish the individuals directly accused in the report.

Leader of Opposition in Rajya Sabha

Singh was first elected to the upper house of Parliament, the Rajya Sabha, in 1991 by the legislature of the state of Assam, and was re-elected in 1995, 2001, 2007 and 2013. From 1998 to 2004, while the Bharatiya Janata Party was in power, Singh was the Leader of the Opposition in the Rajya Sabha. In 1999, he contested for the Lok Sabhafrom South Delhi but was unable to win the seat.

Prime Minister of India

14th Lok Sabha

After the 2004 general elections, the Indian National Congress ended the incumbent National Democratic Alliance (NDA) tenure by becoming the political party with the single largest number of seats in the Lok Sabha. It formed United Progressive Alliance (UPA) with allies and staked claim to form government. In a surprise move, Chairperson Sonia Gandhi declared Manmohan Singh, a technocrat, as the UPA candidate for the Prime Ministership. Despite the fact that Singh had never won a Lok Sabha seat, according to the BBC, he "has enjoyed massive popular support, not least because he was seen by many as a clean politician untouched by the taint of corruption that has run through many Indian administrations." He took the oath as the Prime Minister of India on 22 May 2004.