The Hindu Business Line : Montek to take charge in Plan panel on July 1 — Says aim is to translate CMP into operational programmes

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Montek to take charge in Plan panel on July 1 — Says aim is to translate CMP into operational programmes

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The Planning Commission Deputy Chairman-designate, Dr Montek Singh Ahluwalia, with his wife, Ms Isher Judge Ahluwalia, calling on the outgoing Deputy Chairman, Mr K.C. Pant, at his residence in the Capital on Saturday. — Ramesh Sharma

New Delhi , June 19

THE Planning Commission Deputy Chairman-designate, Dr Montek Singh Ahulwalia, today said that he would formally take charge of office on July 1 after which only he would be able to reveal his priorities and plan of action to implement the development programmes of the United Progressive Alliance (UPA) Government.

Dr Ahulwalia came to Yojana Bhawan to oversee the "logistics" of his office here this forenoon also had an informal meeting with Secretary, Planning Commission, Mr Rajeev Ratna Shah, to acquaint himself about the Plan panel's broad strategy and programmes as this is the crucial mid-point of the Tenth Plan (2002-07).

Incidentally, the Plan panel is the midst of completing dialogue with various Central Ministries and departments about their expenditure needs for the current fiscal which need to be dovetailed into the Budget 2004-05. Dr Ahulwalia said that specifics like gross budgetary support (GBS) to the Central Plan were not discussed, as he is yet to take the oath of office as the Deputy Chairman.

Sources in the Plan panel said that the Planning Commission has already been flooded with pleas from various Ministries and departments demanding hike in budgetary support to bolster the development programmes they would have to undertake in consonance with the priorities laid out in the UPA Common Minimum Programme. Although in the interim budget for 2004-05 presented by the National Democratic Alliance (NDA) Government in February 2004 provided for a GBS of Rs 1,35,000 crore for the current fiscal, the new Government with its priorities on agriculture, employment generation, irrigation and education and primary health would have to make do with a higher GBS to satisfy the diverse constituents of the UPA.

Hence it is most likely that as the 2004-05 Union Budget is being unveiled on July 8, there would be a meeting between the Union Finance Minister, Mr P. Chidamabaram, and Dr Ahulwalia after he formally assumes office in the event of any difficulty by the Finance Ministry to accommodate a higher GBS, sources said.

When asked about his remit in Yojana Bhawan, Dr Ahulwalia told Business Line that "this is very clear and which is to translate the CMP into operational programmes to benefit a larger section of the country." He said that `hard decisions' would be necessary to achieve prosperity, adding that "experience in any number of countries show that hard decisions have to be taken to achieve economic prosperity." He said that he has put in his paper as Director of the Independent Evaluation Office of the International Monetary Fund (IMF).

In reply to another question, he said that the high growth in the economy was on the basis of a low base in 2002-03 when GDP growth was 4 per cent and the average growth during the past few years was 5.7 to 6 per cent. He, however, said the growth this fiscal would be 7 to 7.5 per cent growth. He said that the CMP provides "enough flexibility to meet the expectations of all and take forward reform process and implement the reforms with a human face."

When his attention was drawn to the reaction of Left parties for his appointment straight from IMF to Planning Commission, he just smiled it away but stating that he has friends across the spectrum.

Later Dr Ahuwalia met the former Deputy Chairman, Planning Commission, Mr K.C. Pant, in the latter's residence.

Talking to reporters, Mr Pant said that he "felt sorry" when Dr Ahulwalia resigned as a Member from the Plan panel when he was Deputy Chairman to join the IMF but now that he has come to don the mantle from him, he feels happy that his vast experience in varied branches of knowledge would be an "asset" for the Plan panel to benefit.

Mr Pant also underlined the need for "improved governance and delivery system of public services. The key to success lies in better implementation of programmes which should not be mere flash in the pan."