- The interim budget of 1991 and the full budget of the same year had many similar paragraphs
- Yashwant Sinha claims to have drawn the framework for liberalization of the economy
- Sinha was the Finance Minister of the Chandreshekhar Singh government from 10 November 1990 to 21 June 1991.
- ‘The budget for liberalization was prepared, but did not get a chance to present it and the government fell’
Days change, dates change, times change… But a particular day, a certain date, a certain time is recorded in history. If a date recorded on the psyche has given happiness, then the mind rejoices as soon as it remembers it. July 24 is also such a date, when we remember it, we get to know the taste of freedom, we get a feeling of modernity. The day of July 24, 1991, when the then Finance Minister and later became the Prime Minister of the country, Dr. Manmohan Singh Presented that revolutionary budget which freed the Indian economy from the clutches of socialism. But, did Manmohan Singh draw the blueprint for the foresight shown in the budget to get the country out of the economic crisis?
Know what Yashwant says
Just before him was the Finance Minister of the country Yashwant Sinha Believe it or not. Why are you surprised? Yashwant Sinha, who was the finance minister of Chandrashekhar Singh’s government, which lasted only seven months, has said in many conversations from his book that the structure of Manmohan Singh’s budget was very similar to his interim budget which he presented in March 1991. Sinha is a bit humble while claiming this, but does not fail to mention how he had prepared to revolutionize the Indian economy before Manmohan Singh. The compulsions of coalition politics did not give him a chance and the situation of the government became turbulent due to which he had to present an interim budget. In this way, his vision of getting the country free from the license raj was put on hold, which benefited Manmohan Singh and he became a well-known figure in history.
Is Yashwant speaking the truth?
Yashwant Sinha points out that Manmohan Singh had copied the outline of his full budget from his own interim budget. He puts forward some facts to substantiate his point. “Many paragraphs of my interim budget and Manmohan Singh’s full budget speech were similar,” says Sinha. Then he explains that this is because the budget preparation team that was working with him prepared Manmohan Singh’s budget. Sinha counts names like Deepak Nayyar, SP Shukla, Geeta Krishnan, Lahiri in that team.
Sinha further says that when he presented the budget for the year 1998 as finance minister in Atal Bihar Vajpayee’s government, what Congress MP Arjun Sengupta said in the Rajya Sabha, it is also clear from the fact that before Manmohan, he did the market. The blueprint of liberation was drawn. He says, ‘Arjun Sengupta said during the discussion on the budget that the outline of the budget drawn by Yashwant Sinha in 1991 was very reformist, if that budget had come, Sinha would have been known today as a big reformist, But Yashwant could not show such courage in this budget. I am sorry for this.’
Yashwant Sinha also refers to the statement of IG Patel, the 14th Governor of the Reserve Bank (RBI). He said, ‘IG Patel also said somewhere that everything was going well, the budget was also being prepared keeping in mind the reforms. But the government itself was in trouble and Sinha could not present the full budget. He also cites the example of veteran Congress leader and former President Pranab Mukherjee to make his point. He said, ‘When I got my book launched by Pranab Mukherjee, he said in his speech that I know that the budget of 1991 was prepared by Yashwant Sinha, which we did not get a chance to present because of us. Their budget was presented by Manmohan Singh.
Yashwant Sinha was the finance minister then for seven months.
Keep in mind that in 1989, the Janata Dal government was formed and Vishwanath Singh became the Prime Minister. But, when BJP withdrew support in 1990, Chandrashekhar Singh broke the Janata Dal and formed the Samajwadi Janata Party (SJP). He formed the new government with the support of 64 MPs. Then the Congress party led by Rajiv Gandhi also supported him. Then Yashwant Sinha also joined the Chandreshkher faction and was the Finance Minister of the country from the formation of the government on 10 November 1990 to 21 June 1991, that is, till the fall of the government. However, when Chandrashekhar refused to take decisions at the behest of Rajiv Gandhi, the Congress party withdrew its support and the government fell.
Manmohan Singh’s historic budget
By the time the government was formed under the leadership of PV Narasimha Rao, the country’s economic crisis had deepened. The country’s gold had been mortgaged with the International Monetary Fund (IMF) and there was a big challenge in front of the country. In such a time, there was a need to take revolutionary decisions. When the Finance Minister of the new government Manmohan Singh presented the budget, this hope was also fulfilled. He paved the way for the liberalization of the Indian economy, freedom from the license raj and the concept of competition among industries in his budget. By pulling out of more and more industries, the government has come to the role of limiting itself to market regulation and free market has shown the path of prosperity, following which India is dreaming of becoming a $5 trillion economy soon. .