It will after all be curtains down for RBI Governor Raghuram Rajan just as Subramanian Swamy speculated.
Today the RBI chief announced that he will not be there for an extended tenure with the Reserve Bank. This he made clear through a letter to RBI staff on Saturday. “…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 on September 4, 2016. I will, of course, always be available to serve my country when needed,” Rajan said in the letter. “I am confident my successor will take us to new heights with your help. I will still be working with you for the next couple of months.”
Even though Indian economy and the public sector banks reeling under crisis due to bad loans need Raguram Rajan more than ever before, and one thought the government would regain its senses and re-invite the man into his office for an extended term, nothing of the sort seem to have happened since Rajan expressed his wish to leave office and pursue his academia. That would leave Indian government the challenge to find an able and intelligent successor who would take up the half finished revolutionary reforms that Rajan had initiated and will remain incomplete if he leaves in September.