India central bank chief
Rajan to stand down in September
Send a link to a friend
[June 18, 2016]
By Devidutta Tripathy and Suvashree Choudhury
MUMBAI (Reuters) - Reserve Bank of India
(RBI) Governor Raghuram Rajan said on Saturday he will leave the central
bank when his term ends on Sept. 4 and plans to return to academia.
Rajan, a former chief economist at the International Monetary Fund
(IMF), has been popular with foreign investors who cheered his
efforts to lower Indian inflation and clean up Indian state-run
banks' massive bad loans.
"I am an academic and I have always made it clear that my ultimate
home is in the realm of ideas," Rajan said in a message to central
bank staff, which the RBI posted on its website.
Rajan, who is on leave from the University of Chicago, has also
faced opposition from some politicians for not lowering interest
rates enough, raising concerns about his future.
"While all of what we laid out on that first day is done, two
subsequent developments are yet to be completed," Rajan, who took
office in September 2013, said in his message, referring to a
planned monetary policy committee and the bank clean up.
[to top of second column]
Reserve Bank of India (RBI) Governor Raghuram Rajan attends a news
conference after their bimonthly monetary policy review in Mumbai,
India, June 7, 2016. REUTERS/Danish Siddiqui/File Photo
"While I was open to seeing these developments through, on due reflection, and
after consultation with the government, I want to share with you that I will be
returning to academia when my term as Governor ends," he added.
(Editing by Alexander Smith)
[© 2016 Thomson Reuters. All rights
Copyright 2016 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.