Who is Known as the Father of Indian Budget? Know the Name and Contributions

The history of India’s budget system is rooted in efforts to organize and manage the country’s finances efficiently. A key figure played a vital role in introducing the first formal budget during British rule, setting the foundation for India’s financial structure. This article explores his contributors and why he is remembered in history.

Father of Indian Budget

Prasanta Chandra Mahalanobis, born on June 29 1893, is widely regarded as the “Father of Indian Budget.” He made immense contributions to the field of statistics and played a crucial role in the development of India’s statistical infrastructure. Mahalanobis’ work in statistics, economics and anthropology has had a lasting impact on India’s growth. Let’s explore his life and work.

Early Life and Education of Mahalanobis

Mahalanobis was born in Calcutta (now Kolkata), in a well-known family from Bengal. He was educated in schools and colleges in Calcutta, where he excelled in his studies. He later went to the University of Cambridge in England, where he worked under the guidance of leading scientists, including Srinivasa Ramanujan. He earned a degree in physics and showed a strong interest in mathematics and statistics.

Founding of Indian Statistical Institute (ISI)

Mahalanobis played a key role in establishing the Indian Statistical Institute (ISI) in 1932. The ISI became an important institution for research and training in statistics. It was here that Mahalanobis and his colleagues made pioneering contributions to various areas of statistics, including the design of large-scale sample surveys and the development of new statistical methods.

The Mahalanobis Distance

One of Mahalanobis’ most famous contributions is the Mahalanobis Distance, a statistical method used to measure the distance between a point and a distribution. This technique is widely used in data analysis, cluster analysis and classification. His work on the Mahalanobis Distance has had a major influence on various fields like anthropology, economics and environmental science.

Contributions to Indian Economic Planning

Mahalanobis also contributed significantly to India’s Five-Year Plans. He was a member of the Planning Commission of India and worked on the Second Five-Year Plan, which emphasized industrialization and economic growth. His model of economic planning, known as the Mahalanobis Model, was used to guide India’s path to industrialization.

Support for Large-Scale Surveys and Agriculture

In addition to his work on economic planning, Mahalanobis introduced innovative methods for large-scale sample surveys, which were crucial for collecting data on various aspects of life in India. He was instrumental in creating surveys on topics such as consumer spending, crop yields, and public opinion. His methods became widely recognized as one of the most accurate ways of collecting data.

Honors and Recognition to Prasanta Chandra Mahalanobis

Mahalanobis received several prestigious awards and honors during his lifetime for his contributions to science. These included:

• Padma Vibhushan (1968), one of India’s highest civilian awards.
• Fellow of the Royal Science (1945).
• Honorary Fellow of King’s College, Cambridge (1959)
• Srinivas Ramanujan Gold Medal (1968)

In 2006, the Government of India declared his birthday, 29 June, as National Statistics Day in his honor.

Legacy

Mahalanobis’ contributions have had a lasting impact on India’s development. The Indian Statistical Institute (ISI) continues to be a global leader in the field of statistics. His work has also influenced institutions like the World Bank and the United Nations. Even today, his methods and models are still in use around the world.

Mahalanobis died on 28 June 1972, but his legacy lives on, especially in the field of statistics and economic planning in India.