Manmohan Singh Death News: The country’s former PM Dr. Manmohan Singh, who gave a new direction to India’s economy, died on Thursday night at the age of 92. Due to deteriorating health, he was admitted to AIIMS on 26 December. Let us know in this news how he strengthened India’s economy while being the Finance Minister.
Foreign exchange reserves were exhausted
It is about the year 1991. In the month of June, the country faced a crisis of foreign exchange reserves. The situation had become such that the country could only procure oil and food items for 20 days. Only one billion dollars was left in the country’s foreign exchange reserves. Apart from this, huge foreign debt was incurred separately. Let us tell you, Chandrashekhar’s government was in power in the country for seven months from November 1990 to June 1991.
Manmohan Singh comes forward
21 June 1991. The country had got a new Prime Minister, PV Narasimha Rao. However, when PV Narasimha Rao became the Prime Minister, it seemed that India would not be able to repay the foreign debt on time and would be declared in default. To get the PV Narasimha Rao government and the country out of this crisis, the then Finance Minister Dr. Manmohan Singh took many major decisions and carried out economic reforms. After this, not only the foreign exchange reserves were replenished, but the mortgaged gold was also redeemed.
licensee raj ended
In 1991, when Manmohan Singh presented the budget as the Finance Minister, it was called an epoch-making budget. This budget not only accelerated the pace of economic development of the country, but also started the era of economic liberalization by ending the License Raj. The biggest thing is that this budget was presented at a time when the country was heading towards economic decline. Many steps were also taken in this budget regarding exports. The biggest step was to reduce the customs duty from 220 percent to 150 percent. This increased the interest of foreign investors in India.
Also read: Manmohan Singh Death News: Manmohan Singh or PM Modi, understand what the figures are from GDP, foreign debt and inflation.
