Shaktikanta Das to be new RBI Governor


New Delhi, Dec 11 (IANS): The government on Tuesday appointed Shaktikanta Das, who as Economic Affairs Secretary steered the monetary situation post-demonetisation, as the new RBI Governor, a day after Urjit Patel resigned amidst a tiff with the government on the RBI's autonomy.

"The Appointments Committee of the Cabinet has approved the appointment of Shaktikanta Das, former Secretary, Department of Economic Affairs, as Governor of the Reserve Bank of India (RBI) for a period of three years," an official order said.

Das' appointment comes at a time when the government and the RBI are engaged in a tussle over several issues including transfer of the central bank's reserves, over which Patel had reservations after the government hinted at forcing him using provisions of the RBI Act.

The order comes three days prior to the next RBI Board meeting on December 14, which is likely to take up all contentious issues on which truce seemed to have been reached in the last meeting in November before the unexpected exit of Patel. The meeting could also be postponed to give the new incumbent some time at Mint Street.

Das, a retired 1980-batch IAS officer from the Tamil Nadu cadre, was a member of the 15th Finance Commission of India and India's Sherpa to G20. Having a master's degree from St. Stephen's College, he earlier served as Joint Secretary in the Expenditure Department of the Finance Ministry.

In a development that came as an embarrassment for the government, Patel resigned on Monday citing "personal reasons" even as his various predecessors hinted that the decision was rooted in the recent controversy involving the government and the central bank.

His resignation came against the backdrop of the ongoing tiff between the government and the central bank over the liquidity and credit crunch in the economy that provoked an extraordinary meeting of the RBI board on November 19.

  

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Comment on this article

  • Rahul, Mangalore/Jubail

    Wed, Dec 12 2018

    He believed Demonetization would cripple black money and counterfeit notes, increase digital payments and bring domestic savings lying idle at home to banks, making it banks to make loans at lower rates.

    Everybody knows it is a big failure, and a huge scam.

    Now here he is, as the Governor of RBI.

    Only Modi could do this. Appoint people to positions, who are not eligible.

    Sc..w the economy.

    DisAgree Agree [5] Reply Report Abuse

  • Sandesh, Mangalore / Dubai

    Wed, Dec 12 2018

    I feel best option to become RBI Governor was Nalin Kumar who confidently said under Modi rule 1 Rupee will reach 15 Dollar. In fact Modi also admire such candidates which suits his style...

    DisAgree Agree [6] Reply Report Abuse

  • Eric Coelho, Mangalore

    Wed, Dec 12 2018

    Why was the Dy. Governor not made the RBI Governor, is it because he spoke against Govt's interference into RBI. They have now brought a person who is retired IAS officer and we all know that this man praised Demonetisation. Just like the bureaucracy is a disaster in govt's functioning now this man being a bureaucrat will be a disaster for RBI. We will have to wait and see how many heads will roll after SD occupies the seat.

    DisAgree Agree [11] Reply Report Abuse

  • Sanjay, Hebri

    Wed, Dec 12 2018

    I firmly believe that with the new govt all key posts in administration should also be changed, those officers who are puppets of previous govt, who take govt salary, but work for previous govt should be removed.
    These type of officials are dangerous to the running govt as they dont work for the nation, but work for their previous bosses.

    DisAgree [2] Agree [3] Reply Report Abuse

  • Clifford Fernandes, Toronto

    Wed, Dec 12 2018

    Modi is desperate and will appoint anyone just to get his hands on the RBI Reserves. An yes man with no educational background in finance and economics. Only a chaiwala can appoint a history graduate to RBI Governor post. I bow my head in shame for my country.

    DisAgree [1] Agree [16] Reply Report Abuse

  • SMR, Karkala

    Tue, Dec 11 2018

    Over the last month, multiple news reports indicated that the Modi government wanted the RBI to hand over Rs 3 lakh crore of the central bank’s reserves. The Centre presumably wanted this money, which it saw as ‘excess reserves’, to help fund its fiscal gaps.

    The central bank and the Modi government disagree vehemently over five major issues, some of which were resolved at the last board meeting and some of which remains an elephant in the room. These include:
    1) Transfer of RBI’s ‘excess reserves’ to the Centre.
    2) Removing lending restrictions on weak state-owned banks
    3) Capital norms for banks
    4) Helping SMBs and NBFCs
    5) Governance shake-up
    After outgoing governor Urjit Patel who doesn't want to bow to 'Munch' demand, he has been forced to resign. Both the CBI and the RBI are victims of an autocratic style of functioning wherein an individual’s word carries more weight than an institution’s wisdom. It is the violation of democratic principles.
    After CBI, it is RBI the serial killing of institutions.For ‘Achchhe Din’ in 2019, the govt is eyeing the RBI treasury
    Sources say that S Gurumurthy is behind this idea of using the RBI money. S Gurumurthy has been associated with the Swadeshi Jagran Manch and a few months ago, he had been appointed as the non-executive director of the RBI board by the government.

    Now Modi govt appoints 'Demonetisation' supporter Shaktikanta Das as new RBI Governor to mess it created.
    Shaktimaan is the "Indian Super Hero" who has been an icon for kids in India. The new RBI governor Shaktikanta Das who is an icon of BJP-RSS. Is he going to rescue the RBI or share the remaining treasury?
    Jai Hind

    DisAgree Agree [9] Reply Report Abuse

  • Narendra Kumar, Mangalore

    Tue, Dec 11 2018

    By next June there will be a sea of change in central leadership with a new government.

    Abki baar anthim sanskaar.

    Enough is enough!!!.

    Educated India suffered because of one egocentric man who thinks he is another Sardar Patel himself.

    Merely copying 'Sardar Vallabhbhai Patel's style the character of this Jumlebaaz FEKHU doesn't change and he enjoyed and roaming abroad enough and made enough crores for his party at sincere 'Tax Payers money'

    Today David has defeated Goliath!

    Bhakts wake from your deep slumber.
    Your chaddi is half down rest half will be pulled down in coming general elections in May 2019.

    DisAgree Agree [11] Reply Report Abuse

  • J N Lobo, Mumbai

    Tue, Dec 11 2018

    Jootlley's man who monitored demonetization.

    DisAgree [2] Agree [11] Reply Report Abuse

  • Jossey Saldanha, Mumbai

    Tue, Dec 11 2018

    We will bring back Raguram Rajan in 2019 ...

    DisAgree [4] Agree [32] Reply Report Abuse

  • Langoolacharya, Belman / Washington,DC

    Tue, Dec 11 2018

    RR is presently working in Chicago as Professor of Economics...here Professors are paid well....he will not go back to work in Reserve Bank Of India again...he had enough...

    I believe he will be President of World Bank...sooner or later...

    Find somebody there from IIM ....

    ...Tak...Takk...

    DisAgree [1] Agree [4] Reply Report Abuse

  • Swamy, Mangalore

    Tue, Dec 11 2018

    All govt institution head's post will be only for 6 months after that a sea of change will sweep across the whole country. There will be lot of reforms, modernization and only the competent and public service in mind will survive with change of govt.

    DisAgree Agree [12] Reply Report Abuse

  • Praveen, Mangalore

    Tue, Dec 11 2018

    The next Bakra

    DisAgree [3] Agree [28] Reply Report Abuse

  • Jossey Saldanha, Mumbai

    Tue, Dec 11 2018

    Feku, Daku & Chaku are still eyeing Rs. 8 Lack Crore Reserves of RBI ...

    DisAgree [2] Agree [40] Reply Report Abuse

  • Santan Mascarenhas, Kinnigoli/Mumbai

    Tue, Dec 11 2018

    A governor of RBI should have education and experience in the field of economic policy & planning, Finance, monetary policy and international economics. This man is an MA in History, It is very clear that Modi does not want a person who will not listen to him, even though the decision can be against national interest. I really salute Raghuram Rahan and Urjit Patel, who left holding their heads high.

    DisAgree [1] Agree [35] Reply Report Abuse

  • shams, Dubai/Mangalore

    Tue, Dec 11 2018

    Lets hope from Shakti Man (Shaktikanta Das)

    DisAgree [10] Agree [5] Reply Report Abuse

  • sri_elder, Karkala

    Tue, Dec 11 2018

    Congratulations!

    DisAgree [38] Agree [4] Reply Report Abuse

  • Sunil, Mangalore

    Tue, Dec 11 2018

    LOL! Rubber Stamp

    DisAgree [1] Agree [20] Reply Report Abuse

  • Langoolacharya, Belman / Washington,DC

    Tue, Dec 11 2018

    People,

    Almost all IAS officers are good for nothing....just because they pass one exam at the age of 23( by mugging?)....they think they are 'Brahaspati's' of the world...

    We need an Economist like Manmohan Sing, Rajan or Patel for this post ....not useless IAS....

    Perhaps only reason IAS are appointed everywhere...because they listen to Politicians unlike economists...

    ...Tak...Takk...

    DisAgree [7] Agree [59] Reply Report Abuse

  • K V Kamath, Mangalore

    Wed, Dec 12 2018

    Langoo,Will you conclude, that a person without masters in Zoology is unfit to become parent? Can IIM, CA predict the future of Money of every nation correctly? Is an economist fixing prices of all commodities? Is a robber an IPS officer? Any person who can read the markets sense can adore any high position.

    DisAgree Agree Reply Report Abuse


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Title: Shaktikanta Das to be new RBI Governor



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