When we talk about Dr Manmohan Singh, his tenure as finance minister in the Narasimha Rao Cabinet spring to mind in our shared recollection. The Oxford scholar contributed to the liberalization of India’s economy and initiated unprecedented economic growth. What seldom gets attention is how Singh, in his role as Prime Minister, influenced India’s foreign policy and navigated discussions for a civilian nuclear agreement with the US despite strong resistance from political factions.
The serene and composed politician, frequently labeled as “maunmohan” for his limited speech, was truly a man of action. India lost one of its economists and leaders on Thursday. Singh was 92 years old.
“No power on earth can stop an idea whose time has come,” is how Manmohan Singh, then the finance minister, ended his Budget speech in 1991. “I suggest to this august House that the emergence of India as a major economic power in the world happens to be one such idea.”
When Singh assumed the role of finance minister in 1991, India was facing a serious balance-of-payments crisis. Foreign exchange reserves were alarmingly low, just enough to finance two weeks of imports.
The nation required significant reforms, and Narasimha Rao along with Manmohan Singh were assigned to implement them.
They led a set of innovative economic changes, shifting from a state-dominated, protectionist approach to a more market-driven, liberalised system.
Singh eliminated the notorious Licence Raj that stifled industries and allowed for foreign direct investment (FDI) to enter the economy.
These assisted in stabilizing the economy and unlocking India’s economic potential. The GDP growth rate, which had been stagnant between 3-4% each year, averaged 7.7% while Singh served as Prime Minister.
Manmohan Singh assumed the role of PM in 2004 and held office for two terms until 2014.
The composed facade concealed a resolute core that placed the country before party politics.
Singh, leading a coalition UPA government and encountering strong resistance from political parties, chose to proceed with the India–United States Civil Nuclear Agreement.
The agreement would enable India to collaborate with the US on a civilian nuclear initiative.
With assistance from then-President APJ Abdul Kalam, Singh managed to persuade several parties to withdraw their opposition to the nuclear agreement. Nonetheless, the Left parties continued to vehemently oppose the deal and retracted their support from the government. The Samajwadi Party had previously backed the Left Front in opposing it, but later altered its position.
Singh’s administration faced a confidence test and prevailed by a vote count of 275 to 256.
On July 18, 2005, Singh and then-US President George W. Bush jointly announced the deal’s framework, which officially took effect in October 2008.
This represented a significant triumph for India, which was regarded as a nuclear outcast by the US. The agreement not only established India as a responsible nuclear nation, but it also enabled the US to support India with technology for civilian initiatives.
Singh’s firm position on the nuclear deal, which contributed to a closer relationship between India and the US, along with his guidance of the country during the 2008 economic downturn, was appreciated, particularly by the middle class, in the 2009 election.
The Congress, under the leadership of Manmohan Singh, secured 206 seats in the 2009 Lok Sabha election, raising its 2004 count by 61 seats.
Nonetheless, the UPA II period faced challenges due to policy inaction. While the government fought against the stains of corruption, officials were too frightened to process documents.
Manmohan Singh, who had managed India’s economic revival, was left to oversee years of stagnation concerning government policies. The government ceased all communication, and the shine of the earlier Manmohan era dimmed under a dense layer of moss.
Manmohan Singh was the one who solidified the foundation of India’s economy, which would assist future governments in advancing India progressively. India’s initial turbaned Prime Minister also took a strong stance on the nuclear agreement with the US, securing a place for India at the nuclear high table.
