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Autonomy of Central Bank should not be undermined, says Raghuram Rajan

Autonomy of Central Bank should not be undermined, says Raghuram Rajan

New Delhi, Dec 10 (UNI) Reacting to resignation of RBI Governor Urjit Patel, his predecessor Raghuram Rajan said on Monday that autonomy of the central bank should not be undermined.

'Autonomy of the central bank should not be undermined, he said to a TV channel.

Dr Patel took over from Dr Rajan in 2016, just two months before Prime Minister Narendra Modi's demonetisation move.

He said he believed that resignation of RBI Governor Patel was a matter of great concern.

'Resignation by a government servant is a note of protest when faced with circumstances they cannot deal with,' he said.

"I think his statement should be respected. We should go into the details on why there was an impasse which forced him to take this ultimate decision," Dr Rajan said.

He also expressed that 'this is something all Indians should be concerned about because strength of our institution is really important both for growth and sustainable growth in equity and the economy".

Dr Patel tendered his resignation, attributing 'personal reasons'. He said it has been a matter of "privilege and honour" to serve the central bank in various capacities over the years.

UNI RSA SHK1914

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