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Home Economy

The Visionary Economic Council Of M.K. Stalin

Economic experts like former RBI Governor Raghuram Rajan and Nobel awardee Esther Duflo amongst others are set to bring reforms in Tamil Nadu with a new Economic Advisory Council.

TSA Desk by TSA Desk
April 22, 2022
in Economy
Reading Time: 3 mins read
The Visionary Economic Council Of M.K. Stalin
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Tamil Nadu constituted a panel of Economic experts which included Nobel laureate Esther Duflo, former RBI Governor Raghuram Rajan, former Chief Economic Advisor to the Centre Aravind Subramanian, Development Economist Jean Dreze, and former Union Finance Secretary S. Narayan. 

Tamil Nadu governor Banwarilal Purohit said this Economic Advisory Council is aimed at preparing a roadmap for rapid and inclusive economic growth of the state.

Purohit addressed the House in its first session after the formation of the Dravida Munnetra Kazhagam (DMK) government last month. 

“In recent years, we have seen a slowdown in Tamil Nadu’s economic growth rate. This government will make all-out efforts to reverse this trend and usher in a period of rapid economic growth,” he said.

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The Visionary Economic Council Of M.K. Stalin
image source: businesstoday

Tamil Nadu Congress Committee president K.S. Alagiri welcomed the announcement of the panel and said that the advice of these eminent persons would go a long way in helping the growth of the State in all sectors.

He added that the onus of recovering the State finances from the massive debt of Rs 5 lakh crore left by the AIADMK government has fallen on the DMK government

“The Governor’s address has laid out very clearly the vision of how Tamil Nadu is going to go on the path of growth. The DMK government has the responsibility of ensuring social justice.

The Governor’s address has made it clear that revenue growth will be ensured and several development schemes will be fulfilled,” he said.

The Visionary Economic Council Of M.K. Stalin
image source: theweek

Governor Purohit said that no social justice could prevail when there is such a gap in economic inequality and stratification. This Council will aid in the government’s efforts of inclusive growth and will help reach out to all sections of the society.

The council has been given the freedom to pick up economic issues and submit their suggestions to chief minister M.K. Stalin.

The state Finance Minister Palanivel Thiaga Rajan told the Telegraph that the advisory council will work in an unconventional way to put forward their suggestions.

“It is different from many such panels in several ways. It is not a paid position, but an honorary one. Unlike such panels which are mandated for a specific issue and tasked to give a report, the EAC would identify issues and submit its suggestions.

The state can also refer issues and seek suggestions,” state finance minister Palanivel Thiaga Rajan told The Telegraph. 

To maintain a balance in the expertise, the council has two macroeconomists (Rajan and Subramanian) and two social economists (Dreze and Duflo) to cover all bases.

“Essentially, the goal is not to make reports but to keep the system working efficiently with the best resources and inputs we can avail with their help whenever required,” Rajan said.

Also Read: Conflict in statements regarding the impact of the second wave on the financial system of India MK Jain, Deputy Governor RBI, observed that the banking system is resilient but the former Deputy Governor disagrees

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