PMO expedites work on deregulation commission; likely to be launched by mid-April

The Prime Minister’s Office (PMO) has initiated discussions on establishing a Deregulation Commission, following PM Narendra Modi’s announcement at an event last week.

Sources tell Business Today TV that multiple meetings have taken place to shape the commission’s strategy. “A significant amount of work has already been done on reducing compliance. The commission will build on past successes. Discussions have begun, and it should take a month or two—around mid-April—for the commission to be formally launched,” a senior official said.

PM Modi recently emphasised the government’s ongoing efforts to reduce regulatory burdens. “We have ended hundreds of compliances, and now with Jan Vishwas 2.0, we are further reducing compliances. To reduce government interference in society, a Deregulation Commission is also being established,” he stated at the event, organised by ET Now.

While the Prime Minister stressed that there should be reduced participation from the government side, sources indicate that the commission is likely to be composed of professionals from the policy sector, who would act as mediators between the government and industry. 

However, senior bureaucrats, including the Cabinet Secretary and Finance Secretary, could also play a key role in overseeing the process, an official added.

Chief Economic Adviser (CEA) V. Anantha Nageswaran has also underscored the need for deregulation at the state and local levels. Speaking at an Assocham event on December 5, 2024, he highlighted that reducing bureaucratic hurdles is crucial for fostering economic growth and achieving India’s employment and manufacturing goals.

Additionally, the Economic Survey 2024-25 reinforced the importance of deregulation, particularly for MSMEs, to enhance ease of doing business. It outlines a three-step framework for states to review regulations: identifying redundant rules, conducting comparative analysis, and assessing financial impacts on enterprises. 

“The overhaul of the income tax law was a step towards deregulation, and more such reforms can be expected in the coming months,” another government official added.