In a quiet New Delhi night in 1991, a single phone call forever altered India’s economic trajectory and the life of a man who would later be celebrated as the architect of India’s liberalization. Dr. Manmohan Singh, then serving as the University Grants Commission (UGC) chairman, had just returned from a conference in the Netherlands. Exhausted, he retired for the night, unaware that his destiny was about to take a dramatic turn.
The call came from PC Alexander, the principal secretary to Prime Minister PV Narasimha Rao. It was an “out of the blue” conversation, Alexander informed Dr. Singh that he had been chosen to become India’s Finance Minister. Dr. Singh, recalling the moment in his daughter Daman Singh’s book, Strictly Personal: Manmohan and Gursharan, noted Alexander’s lighthearted remark: “If things worked well, we would all claim credit; if they didn’t, you would be sacked.”
Table of Contents
Manmohan Singh Takes Oath
On June 21, 1991, Dr. Singh stood in Rashtrapati Bhavan, taking his oath as Finance Minister. It marked the beginning of a revolution that would liberalize India’s economy, steering it away from a balance of payments crisis and integrating it into the global market.
Prime Minister Rao, initially skeptical of the bold economic reforms, needed persuasion. Dr. Singh recalled in his daughter’s book, “I think he was a skeptic to begin with, but later on, he was convinced that there was no other way out. However, he wanted to ensure that liberalization also safeguarded the interests of the marginalized and poor.”
The Reforms That Changed India
Dr. Singh introduced sweeping reforms, including:
- Abolishing License Raj: Freeing most industries from stifling licensing controls.
- Taxation Overhaul: Implementing a modernized taxation system.
- Encouraging Private Sector Participation: Ending public sector monopolies in several industries.
- Legal Reforms: Amending the Monopolies and Restrictive Trade Practices Act to foster competition.
These measures opened India’s markets to foreign investments, set the stage for a burgeoning middle class, and laid the groundwork for India’s transformation into an economic powerhouse.
A Life Chronicled
Daman Singh’s book captures the life of Dr. Manmohan Singh and his wife, Gursharan Kaur, spanning decades of personal and political history. Based on hours of interviews and archival research, the book sheds light on the challenges and triumphs of one of India’s most influential leaders.
A Legend Remembered
Dr. Manmohan Singh passed away at AIIMS Delhi at the age of 92, leaving behind a legacy that reshaped India’s economic and political landscape. His story serves as a reminder of how determination, intellect, and a commitment to public service can change the course of a nation’s history.