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New government's economic drive moves, but in fits and starts (100 days of UPA government - III)

Category :India Sub Category :National,Business
2009-08-28 00:00:00
   Views : 538

New Delhi, Aug 28 - The first 100 days of the second edition of United Progressive Alliance (UPA) government have had their share of hits and misses in steering the Indian economy, with some ministries able to drive their agenda forward and others yet to draw clear roadmaps, analysts maintain.

If the presentation of the national budget within 45 days of assuming charge and a new draft direct tax code to recast the Income Tax Act were the high points of these 100 days, the misses included the lack of clear direction on how to reform the energy sector or how the ambitious skills development programme would evolve.

'The concept behind the 100-day agenda was to set the momentum and targets for ministries,' said Planning Commission Deputy Chairman Montek Singh Ahluwalia, among the key members of Prime Minister Manmohan Singh's policy-making team.

'I feel this has been done very well,' Ahluwalia told IANS.

The experience of ministers clearly mattered in pushing forward the government's agenda that was clearly defined in the election manifesto of the Congress party and also spelt out in President Pratibha Patil's address to a joint session of parliament after the new government was inaugurated May 22.

Interviews with industrialists, corporate analysts and think tanks reveal that Finance Minister Pranab Mukherjee was the clear winner among all his colleagues who handle economic portfolios, even as those in charge of ministries like roads and highways, or commerce, also played their roles better than others.

'If you ask me ministry-wise, I feel home and finance ministries have been the best performers in terms of quick action and implementation,' said industrialist Rajeev Chandrasekhar, who is also a member of the upper house of parliament.

'The road and transport ministry has also shown focus,' Chandrasekhar added.

Amit Mitra, secretary general of the Federation of Indian Chambers of Commerce and Industry (FICCI), specifically mentioned the direct tax code, the budget, the Right to Education Act and the railway budget as areas where the government has shown it means serious business.

'But more than that there is an atmosphere of change in the ministries. They are setting definite targets and most of them are sticking to time lines - this is very positive,' Mitra said.

K.V. Kamath, chairman of ICICI Bank, the largest in the private sector, said 100 days were too short a time to assess the performance of a government but added that there were some noteworthy developments as well.

'I feel the initiative on unique identity was one very good move. The finance ministry also took many measures to keep the economy on the track,' Kamath said. 'Health and education are areas that need more attention and focus.'

On the flip side, experts found little movement in areas like telecom where the policy on spectrum for third generation telephone services was decided only Friday.




Author :Anuradha Shukla and Sanjay Singh



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