Prime Minister Narendra Modi on Tuesday (September 26) wished his precursor Dr. Manmohan Singh, who spearheaded the Liberalisation, Privatisation and Globalisation (LPG) economic reforms in 1991. The former Prime Minister, who held the chair from 2004 to 2014 turned 91 years old on Tuesday. Currently, Singh, who has been ailing for some time, is a Rajya Sabha member of the Indian National Congress (INC).
"Birthday wishes to former PM Dr. Manmohan Singh Ji. I pray for his long life and good health,” said Modi, in a post on X.
Singh is credited for reforming the Indian economy in 1991 as he was the union finance minister under the government headed by PV Narasimha Rao. These economic reforms were termed as LPG reforms or Liberalisation, Privatisation and Globalisation reforms.
Singh introduced the reforms during the period when India was facing a balance of payments crisis, high inflation, public sector undertakings (PSUs) were underperforming and a high fiscal deficit. Prior to economic reforms, permissions and licenses were a hindrance to business growth.
The LPG reforms marked India’s entry into the global markets which uprooted economic growth and economic expansion. It also aimed at transforming the economy from a socialist model to a market economy.
It also paved the way for more opportunities for private companies in various sectors of the economy, boosted foreign exchange reserves and also helped India overcome a BOP crisis.
Additionally, he introduced the National Rural Employment Guarantee Act (NREGA) in 2005 which guaranteed employment to the rural population. The act promised to provide a minimum of 100 days of unskilled wage employment in a fiscal year to all the rural households.
In case of the government's inability to provide employment, the people shall be provided employment allowance. The act later came to be known as Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).
The government led by Manmohan Singh passed the Right to Information (RTI) Act granted Indian citizens the authority to seek information from the government. Its objective is to empower the citizens and promote transparency and accountability in government agencies and institutions.
Singh also signed the Indo-US Nuclear Agreement or the 123 Agreement with the then-US President George Bush in 2005. The agreement encouraged civil nuclear cooperation between the two nations, even though India is not a signatory to the Non-Proliferation Treaty (NPT). The agreement granted India access to nuclear technology and fuel for its civilian nuclear energy program.
First Published: Sept 26, 2023 11:16 PM IST
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