Raghuram Rajan to be next RBI Governor
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| Raghuram Rajan
After advising the finance ministry on macro economic issues for less than a year in North Block, Raghuram Govind Rajan will now move to Mint Road as the Reserve Bank of India Governor from September 5.
His appointment, announced today by Finance Minister P Chidambaram, came at a time when the RBI faces "impossible trinity " trilemma, in the words of incumbent D Subbrao. The trinity is caused by global factors that have unleashed the rupee woes. The former IMF chief economist, has a three-year time to convert these challenges into opportunities as the rupee is making new records in terms of its fall against the dollar. On the other hand, liquidity choking measures of RBI has not arrested the fall, but these may come in the way of boosting sagging economic growth that touched a decade low of five% in 2012-13. Rajan, will be the second youngest RBI governor after Manmohan Singh, said. The renowned economist would be 50 years and seven months when he becomes RBI governor, while Singh was eleven days short of 50 years when he got the coveted job in 1982. |
