A View from the Outside
P Chidambaram
Portfolio/Penguin, 2007, pp 372, Rs 495.

I am one of P Chidambaram’s fans but not for all the usual reasons. I like him for his loftiness bordering on arrogance, for the total cool he displays when he addresses Parliament even when the Opposition is at its heckling worst, and for the confidence, clarity and self-belief in what he says. He is to be admired for the resolve with which he prods reforms ahead despite the Leftists who indulge in what has now become a perfunctory resistance to just about any change.
At the time of writing these columns, Chidambaram had already served in the Council of Ministers from 1985 till 1989 in the Rajiv Gandhi government, 1991 to 1992, 1995 to 1996 and 1996 to 1998. He managed the commerce ministry as minister of state with independent charge and was finance minister with the coalition government from ’96 to ’98. As commerce minister he introduced revolutionary changes in the tariff regime and downsized the Red Book. He made his mark as finance minister in the coalition government and his professional credentials have only been enhanced in the following years.
The columns P Chidambaram wrote while he was out of power cover the entire range of areas that make up our economy. His experience in the economic ministries gave him the width of vision which one sees in the coverage of these columns.
Chidambaram has stressed the importance of growth and the correlation between growth and investment. This, according to him, is the only route to national prosperity. He recalls the failure of the old concepts of government’s monopoly in setting up large industries, then referred to as occupying the ‘commanding heights’ of the economy.
With growth and investment as fixed objectives his columns on all the themes have focused on the importance of inducing, retaining and welcoming investment by formulating policies that attract private investment, domestic and foreign.
He sees growth and investment as the main means of financing better education, health care and such other necessities of civic well-being. He has warned against the temptation of Union and state governments to indulge in knee-jerk reactions and make sudden changes in policies to accommodate political interests. He has given examples of erratic and inconsistent policies of governments keeping crucial projects in limbo or even scaring away potential private investors.
The author has, through his columns, warned the then finance minister against policies that encourage inflation. It is ironic that he is now fighting the same problem and struggling to explain its reasons. We shall have to see how far he succeeds in implementing his own prescription of keeping fiscal deficit to below three per cent to halt inflation at about four per cent— a tough task by present indications.
‘Catch-22’ situation
Chidambaram recognises the importance of sound policies and more so the crucial need for good systems to deliver their fruits to the people.
He has written passionately quoting the degradation of bureaucratic and political systems as reasons for the failure in this endeavour. Lack of accountability, corruption among politicians and bureaucrats, criminalisation of politics and many other pollutants have entered our system of governance.
Attempts to cleanse this environment have been mostly in word only as vested interests and the bane of coalition politics have impeded this venture. He asks “Can we call upon upright, honest citizens to come forward to shoulder the responsibility of governance?”
It is a ‘Catch-22’ situation. The upright and the good would certainly be ready to fight elections but such candidates are hardly likely to do this in a situation in which muscle, goondaism, dishonesty and even killings prevail, a determined Election Commission notwithstanding...
The book contains history at this point in time when the results of the policies and actions referred to have been seen and judged. It contains criticism, hopes and aspirations which emanate from us Indians all the time.
One may question the relevance of the timing of this book. I would respond by saying that what he feared, hoped for and demanded shows that in Chidambaram we have a man of vision, confidence in the future, the courage to lay bare the ills that haunt governance and who is resolute enough to push ahead with reforms despite obstruction.
The book is eminently readable and re-readable and the cosmetics of the book also help in this regard.