PM Modi Ups the Ante On Growth And Employment, Constitutes Two New Cabinet Committees

On June 5, Prime Minister Modi constituted two new Cabinet committees. One committee will be dealing with the issues pertaining to investment and growth, while the other will be dealing with employment and skill development. This could be the first time that dedicated Cabinet Committees have been constituted to deal with the aforementioned issues.

These are part of the eight Cabinet committees reconstituted by the Centre. PM Modi is heading six of the total committees, barring Cabinet Committee on Accommodation and Cabinet Committee on Parliamentary Affairs. Home Minister Amit Shah remains a common factor in all the eight committees.

Eight Cabinet Committees Formed

The formation of the five-member Cabinet Committee on Investment and Growth comes at a time when the Modi government’s previous term is being criticised for plummeting economic growth.

In the fourth quarter of FY19, the economic expansion dropped to a five-year low of 5.8%. Additionally, at 6.8%, the full year GDP growth in FY19 was the lowest since the FY14.

Joblessness is also one of the key issues which constantly plagued the Modi government. In a recently released report, the Labour Ministry acknowledged that the unemployment in the country was at a 45-year high in 2017-18. The newly formed 10-member Cabinet Committee on employment and skill development is expected to work on the issue.

Cabinet Committees On Various Issues

The other six Cabinet Committees, so reconstituted, are Cabinet Committee on Accommodation, Cabinet Committee on Parliamentary Affairs, Cabinet Committee on Political Affairs, Cabinet Committee on Security, Appointments Committee of Cabinet and Cabinet Committee on Economic Affairs.

Shah’s inclusion in all of the eight committees so formed can be seen as an affirmation of the fact that he is the effective No.2 in the new government. Defence Minister Rajnath Singh is part of six out of the eight committees.

Transaction of Business Rules allows for Cabinet Committees on various issues. However, in the last term, PM Modi did not set up any new committee. Notably, the last new cabinet committee was created on skill development by the UPA government on June 10, 2013.

In his first term, the Modi government had scrapped four cabinet panels on June 26, 2014. These panels were on management of natural calamities, prices, WTO matters and Unique Identification Authority of India. Their functions were absorbed in existing committees.

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