Montek retained as Plan panel deputy chief

The government on Friday reconstituted the Planning Commission that will have Montek Singh Ahluwalia continue as deputy chairman and three new members, including former member of the PM's economic panel Saumitra Chaudhuri.

Ahluwalia is the first plan panel deputy chief to get second term.

A close confidant of Singh, Ahluwalia played a key role in formulation of policies of the previous United Progressive Alliance government and his retention would ensure continuity in the policies of the government.

He was also instrumental in framing India's response to the global financial crisis and represented the country at important meetings such as G-20.

The newly-constituted Planning Commission will also be providing inputs to the budget for 2009-10 which is likely to be tabled in Parliament during the first week of July.

The other important task before the new panel would be to undertake a mid-term review of the ambitious Eleventh Plan that aimed at raising the economic growth to 9 per cent during the plan period (2007-12).

However, the global financial crisis pulled down India's growth rate to 6.7 per cent during the 2008-09 derailing the growth targets.

Even during the current fiscal, the Reserve Bank has projected a growth rate of 6 per cent.

Also, President Pratibha Patil during her address to the joint session of Parliament said on Thursday, "The current financial year is expected to see a slowing down of growth on account of global recession."

As part of the mid-term review exercise, the commission will be required to have a relook at the growth targets and rework the strategy to put India on a high growth trajectory.