Shri Pranab Mukherjee, the quintessential statesman, passed away on 31st August 2020, culminating an era of statesmanship marked with various roles and responsibilities. His aspirations as a politician with a background in teaching as well as journalism were formidable. Mukherjee’s rise to power was swift and incredible. He always felt it important to strengthen the manufacturing sector of India.
“The manufacturing sector needs to grow further to keep pace with the East Asian Countries which are growing rapidly,” he said as the then Finance Minister in 012. Even later as the President of India in 2013, his take on the need for manufacturing growth for economic growth is visionary. “The contribution of manufacturing to total employment in India is about 11 per cent which is much lower than that of the merging countries where the share of the manufacturing in total employment is between 15-30 per cent,” he said. He urged for enhancing capabilities on the major front, primary technology and base, human skills, and hardware knowledge. Realizing the need for innovation for growth, he suggested industries to work with research institutions to foster industry-academia collaboration.
Political Acumen
After joining the Indian National Congress, Mukherjee became a popular name. He rose to power with the role of Union Deputy Minister of Industrial Development in 1973 given to him by then Prime Minister Indira Gandhi. A man with many powerful political roles under his name, Mukherjee’s journey in the world of politics was tumultuous at worst and extraordinary at best.
We are all, across the divide of Party & Region, Partners at the alter of our Motherland
After becoming the leader of Lok Sabha in 2004, he went on to become one of the rare politicians to hold three of the most important offices in the government – Finance, Defence and External Affairs. His stint as thrice selected Minister of Commerce and Industry served him with a reputation that would forever be remembered. His invitation from the Rashtriya Swayamsevak Sangh to address the Tritiya Varsh Varg, being an opposition party member, speaks of the respect he commanded beyond the tag of party lines.
Economic Prudence
As the Finance Minister in 1982, he was applauded for his successful return of India’s last installment of the first IMF loan. His first tenure as the Finance Minister of India was met with praise for the improvement in government finances and the early reform of the Indian economy. His reformed tax rates benefitted many Indian companies, the prominent of being Reliance gave rise to a company that later diversified to construction, health care, manufacturing, defence, aviation, transportation, etc.
One of the most notable achievements relegated to his name is his incentives to non-resident Indians (NRIs) to invest in India. By allowing them to buy shares from the secondary market, he helped boost the economy as well as production. For his successful reforms in terms of tax, Euromoney had awarded him with the title of the ‘Best Finance Minister in the World’ in 1984 however he was removed from office in the same year by Rajiv Gandhi.
Never one to be deterred by his circumstances, Mukherjee made the most of every position he dealt with, except, perhaps, a Congressman. In 2009, he was again given the position of the Finance Minister of India for the second time under Manmohan Singh as Prime Minister. This tenure would mark him as the ‘Finance Minister of the Year for Asia’ by Emerging Markets, the daily newspaper of the World Bank, and the IMF, and once again by The Banker.
His second tenure from 2009-2012 was marked by remarkable policies and decisions. He presented the annual budget in 2009, 2010, and 2011. In his attempt to take away the burden of extra and unnecessary taxes from companies, he scrapped the Fringe Benefits Tax according to which employers were required to pay taxes for the benefits given to his/her employees in addition to income tax whether or not they were liable for it. The elimination of the Commodities Transaction Tax came next. With the implementation of the GST or the Goods and Services Tax, Mukherjee had garnered quite a lot of nods from various economists and major corporate executives.
The proponent of Manufacturing Growth
His last years in the Finance Ministry were not considered a success and it was almost a relief when he decided to resign. His term as the 13th President of India was wrought with huge respect for his political career and his understanding of the Indian mind. “I have seen vast, perhaps unbelievable changes during the journey that has brought with the flicker of a lamp in a small Bengal village to the chandeliers of Delhi”, he said once. The recipient of the highest honor for a citizen, the Bharat Ratna, a flame that burnt bright and bigger than his circumstances, Pranab Mukherjee was the embodiment of intelligence and empathy; the loss of another brilliant mind will be felt for generations to come
