The government has decided to dispense with a high profile meeting of industrialists that had been announced by former finance minister Pranab Mukherjee and instead hold separate meetings with as many of them,as possible.
Deputy chairman of Planning Commission,Montek Singh Ahluwalia has been tasked with holding most of these meetings while some are slated for C Rangarajan,chief of the Prime Ministers Economic Advisory Council.
Simultaneously the Planning Commission is also preparing a detailed advisory to encourage investors to put their money into India. The document will be released soon,possibly by the Prime Minister.
Along with these the Commission has also taken over some of the key role that the finance ministry plays including how to reduce the subsidy overhang on the economy. Reduction of the explicit subsidies pegged at Rs 1,90,015 crore will be quite significant for the government to keep its fiscal deficit in order in this fiscal.
Ahluwalia has accordingly slotted a meeting with the state-level planning boards on Friday to discuss how well they can generate funds to reduce the pressure on the central fiscal position.
The Commission has also begun identifying bottlenecks for the infrastructure projects an official connected with the exercise said.
Minister for planning Ashwani Kumar said on Wednesday,The perception that we sacrificed good economics to political populism has to be dispelled. To (even) execute the governments flagship schemes,we will need to rationalise other expenditure which the Prime Minister is extensively engaged in.
The investment advisory the deputy chairmans team is preparing will also include a report on the comparative performance of the Indian economy vis-a-vis the rest of the world.
The document is considered significant to push against the negative perception surrounding the Indian economy.
The government usually presents its version of the economy in the Mid-Year Review that is placed in the winter session of Parliament but this document will be tabled earlier to give a sense of what Singh wants to achieve in the rest of the year.
Montek Singh Ahluwalia has already met Reliance Industries chairman Mukesh Ambani,Vodafone India non-executive chairman Analjit Singh,Reliance ADAG chief Anil Ambani and GP Goenka of Duncan Group this week. He is slated to meet several more industrialists this week.