Any policy formulation must factor in uncertainty, says P K Mishra

The 1972-batch IAS officer spoke highly of the government's production-linked incentive (PLI) scheme but stressed the importance of its long-term evaluation

India’s policy formulation must factor in uncertainty, with a focus on a comprehensive framework and an outcome-oriented constructive mindset, said PK Mishra, principal secretary to the Prime Minister.

 

Speaking at the Business Standard Manthan summit on Thursday, he said the government’s policies are framed with an analytical perspective and a focus on sustainability. The 1972-batch IAS officer spoke on a range of topics, including the Indian economy, geopolitical tensions, economic reforms, and the government’s stimulus packages.

 

Lauding Prime Minister Narendra Modi for managing major global crises such as the Covid-19 pandemic, the Ukraine-Russia conflict, and unrest in West Asia, he said these challenges were handled with a focus on being Atmanirbhar (self-reliant). The government implemented several economic reforms and provided stimulus packages, restoring the growth momentum, he said.

 

He described the government’s production-linked incentive (PLI) scheme as a significant initiative with a positive impact and emphasised the need for its long-term evaluation.

 

India’s policy stance on economic engagement with the world has been consistent, and the country engages with other nations on a mutually beneficial basis, Mishra said, citing examples of the recent free trade agreements (FTAs) with Australia, the UAE, and the European Free Trade Association (EFTA).

 

He noted that uncertainty must be tackled with a new approach where, beyond risk assessment, the objective should also be to build an “anti-fragile system”.

 

Terming Prime Minister Modi's recent visit to the US "very positive" in enhancing trade relations, he said the bilateral, regional, and multilateral relationships in the evolving global trade environment were changing the economic landscape.

 

Expressing optimism about India’s vast consumption base, demographic advantage, digital public infrastructure, and technological capabilities, he asserted that they would help the country negotiate from a position of strength.

 

Despite the agriculture’s share in GDP declining rapidly, Mishra said the sector still accounted for about 46 per cent of the country’s workforce and underlined the need for its diversification.

 

On reforms in the civil services, he said the government was making continuous efforts to modernise and strengthen the civil services to keep pace with the changing needs of governance.

 

He highlighted new initiatives, such as Mission Karmayogi and the Integrated Government Online Training (iGoT) platform, that have introduced a “competency-based and holistic approach” to personnel management.