New Delhi, July 31: In what could trigger the much delayed reshuffle in the Dr Manmohan Singh cabinet and the AICC structure, Home Minister P Chidambaram has got back the Finance portfolio after over three years. Power Minister Sushil Kumar Shinde will be the new Home Minister.
This is the third time that Chidambaram will become the Finance Minister. He first held the position in 1996 in the United Front government and later became Finance Minister in the United Progressive Alliance (UPA) government in 2004, led by Manmohan Singh, who is credited with India’s first major round of economic reforms in 1991.
Getting into the coveted Home Minister’s slot is a promotion for Shinde, who is also slated to be appointed as the Leader of the House in Lok Sabah in place of Pranab Mukherjee. A government notification issued here on Tuesday evening stated that Corporate Affairs minister Veerrappa Moily will hold additional charge of the Power Ministry.
There has been a raging debate in the Congress and a demand to nominate Mr Rahul Gandhi as Leader of the House in Lok Sabha has been gaining currency. As the indications are Shinde’s appointed to this post will put to rest the demand for Mr Gandhi’s elevation in Lok Sabha.
The Congress will have to decide and announce the nominee for Leader of the House before Parliament meets next week, to replace Mukherjee who held this post before he became President of India. There has been a demand from some Congressmen that two-term MP Rahul Gandhi be elevated to that role. Congress president Sonia Gandhi is expected to take a decision soon as Shinde is among the probables.
From all available indications Chidambaram’s return to the Finance Ministry is unlikely to be accepted by the Opposition led by the BJP. They have already launched a tirade against him alleging his involvement in the 2G Spectrum allotment scam.
The BJP-led opposition has already targeted Chidambaram, even boycotting him in Parliament. That dates back to 2008, when Chidambaram was Finance Minister.
On the hindsight, his appointment as Finance Minister is clear indication that Chidambaram has the full backing of his Government and the party. It can also lead to a shift in policy in the Finance Ministry after a switch-over from the Mukherjee era. Where as Mr Mukherjee has been blamed for what is called as policy paralysis, Chidambaram’s appointment will be interpreted as a thumbs up to reforms, seen as critical by industry.

Lastupdate on : Tue, 31 Jul 2012 21:30:00 Makkah time
Lastupdate on : Tue, 31 Jul 2012 18:30:00 GMT
Lastupdate on : Wed, 1 Aug 2012 00:00:00 IST