Advisors spotted: Lahiri for finmin, Kelkar for FM

NEW DELHI: Dr Ashok Lahiri, director of the National Institute of Public Finance and Policy, is set to become the chief economic advisor in the finance ministry. His name has already been approved by Union Public Service Commission and the formal appointment is expected soon, according to official sources.
Simultaneously, Dr Vijay Kelkar is set to join the ministry as advisor to finance minister Jaswant Singh.
The former finance secretary has been granted the rank of minister of state, sources said. Dr Kelkar was India’s Executive Director at the International Monetary Fund till July 31. After Dr Raja Chelliah, Dr Kelkar will be the next advisor to the finance minister in the rank of a minister of state.
With Mr Lahiri’s appointment, the ministry is also set to have a full-fledged chief economic advisor. Though Dr Rakesh Mohan had been with the ministry performing the role of the chief economic advisor, he could not be formally designated thus as the previous incumbent, Dr Shankar Acharya, had not quit the government then, but had been on a two-year sabbatical.
This made it impossible for the government to formally designate Dr Mohan as Dr Acharya’s successor, although Dr Mohan functioned in that capacity for nearly one and a half years from January 2001, overseeing the presentation of two Union budgets.
The government considered a large number of applications before short-listing Dr Lahiri. He had been considered even earlier, but he had been particular that he would not join the ministry unless he was designated as the chief economic advisor in the rank of a secretary to the government of India. As chief economic advisor, Dr Lahiri is expected to function under the guidance of Mr Kelkar.