India

RBI Governer Urjit Patel resigns from his post

RBI Governer Urjit Patel resigns from his post
Written by Abhishek Lohia

RBI Governor Urjit Patel has resigned. Patel has given a personal reason behind his resignation. However, it is being said that there were some serious conflicts between Governor Urjit Patel and the Narendra Modi led Central Government. Although, after the board meeting of the RBI last week, news came that things between the government and Urjit Patel were cured, but on Monday, suddenly Mr. Patel resigned. Urjit Patel said in his statement, “I am resigning from my post with immediate effect due to personal reasons. It was a matter of pride for me to work in the RBI in the past years. During this, there was a lot of support from officials, management, and staff of the RBI. I thank all the directors and colleagues of the RBI board.”

Urjit Patel and the central government have created a confrontation over the issue of central bank autonomy over the past few days. It was reported that the Finance Ministry has started discussions on implementing section seven of the Reserve Bank Act. This section gives the government the right to direct the Reserve Bank Governor on issues of public interest. On the other hand, it was also said that the government was demanding Rs 3.60 lakh crore from the Reserve Bank, which has been opposed by the RBI and also the Patel.

On all these issues, news of continuous sourness between government and Urjit Patel continued to come. During this tension, Governor Urjit Patel met Prime Minister Narendra Modi on November 9. A few days later, the board meeting of the RBI was held and it was said that the agitation between the Urjit Patel and the government has ended.

Patel (Urjit Patel) is a graduate of London School Economics and then he completed his Ph.D. from the reputed Yale University. Patel, considered to be a close associate of former Governor Raghuram Rajan, is known as Rajan’s strongest officer who took charge against inflation. He was also the chairman of the committee, which brought significant changes including retail prices to new standards of inflation, rather than wholesale prices.

After the resignation of Urjit Patel, PM Modi tweeted, “Dr. Urgit Patel is a very high-capacity economist with a deep understanding of macro-economic issues and understanding. He took the banking system out of chaos. He is leaving behind his great legacy. He will be very happy. ‘ On the other hand, Finance Minister Arun Jaitley said that the Government appreciates Urjit Patel’s services with full seriousness.

About the author

Abhishek Lohia

Abhishek Lohia was a Sports and Political Writer working for Newsfolo and is no longer associated with the organization.

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