Esteemed Economists Honor Shankar Acharya with Festschrift

A newly released collection of essays pays tribute to renowned economist Shankar Acharya, who has made significant contributions to India’s economic landscape. The book serves as a festschrift, celebrating Acharya’s impactful career, which includes roles in the Finance Ministry from 1985 to 2003, culminating in his position as Chief Economic Advisor. Following this, he became the non-executive chairman of Kotak Mahindra Bank, a role he held for thirteen years.

Acharya’s influence is widely recognized, with Uday Kotak contributing a foreword that highlights his reputation as “a great risk manager for the country’s economic thinking.” This collection features essays from prominent figures in the field, including Montek Singh Ahluwalia, Shyam Saran, Rakesh Mohan, and Michael Patra, among others. Each contributor addresses pressing economic issues, contributing to the overall theme of global economic uncertainty and advocating for enhanced international cooperation.

Insights on Global Economic Challenges

The overarching message of the book emphasizes the necessity for unity in addressing global challenges, particularly climate change. Ahluwalia, a former Deputy Chairman of the Planning Commission, argues for a multi-level approach to cooperation, as priorities diverge between international, national, and state agendas. He underscores the importance of incentivizing all stakeholders to ensure collective action.

In a notable chapter, Shyam Saran, former Foreign Secretary, delves into the complexities of the Chinese financial system and its ambitions to replace the US dollar as the global reserve currency. His analysis raises critical questions for Indian policymakers regarding engagement with Chinese financial platforms and the potential need for alternative mechanisms.

Rakesh Mohan, former Deputy Governor of the Reserve Bank of India, critiques urbanization in India, identifying political rent-seeking as a key factor in the mismanagement of urban areas. He suggests that the failures in governance stem from politicians prioritizing personal gain over effective urban planning.

Michael Patra, who recently served as Deputy Governor of the RBI, presents a compelling analysis of the challenges surrounding monetary policy. His clear definitions of risk versus uncertainty are particularly relevant for current financial policymakers.

Calls for Human Development Focus

Emmanuel Jimenez, leading the Independent Evaluation division of the Asian Development Bank, stresses the need for India to prioritize human development. While acknowledging the varying levels of development across the 29 states, he calls for a more nuanced approach to policy that recognizes regional disparities.

The book also includes discussions on state finances, macroeconomic balances, and the informal sector, although many of these essays reiterate established ideas rather than presenting new insights. It would have been advantageous to include a chapter addressing the role of non-economic institutions, like the Constitution, in shaping economic policies.

A notable concern is the gender imbalance among contributors; of the seventeen authors, only three are women. This lack of representation may draw criticism from initiatives like Women in Economics, which advocates for greater inclusion in the field.

Published on September 7, 2025, this collection of essays not only honors Shankar Acharya but also serves as a critical resource for understanding the pressing economic challenges facing India and the globe. The book is available for readers interested in diving deeper into these vital issues.