Search Result for : Raghuram Rajan

The Dollar Business Bureau At an event in Chennai for launching his book, ‘I Do What I Do: On Reforms Rhetoric and Resolve’, an edited version of his speeches and articles, former RBI governor Raghuram Rajan, spoke candidly to the media and voiced his opinions on demonetisation and its impact. On demonetisation It is almost 9 months post-demonetisation and with the Reserve Bank of India releasing a press statement last week that almost 99% of the Rs 15.44 lakh crore worth of banned notes are back into the system, ground results show that there has been a slowdown in the economy. The recall of the Rs 500 and Rs 1000 notes decision taken by the Modi-government hasn’t fetched the expected results. And the ...

The Dollar Business Bureau Former Finance Minister P Chidambaram harshly criticised the demonetisation move, saying that the economy is stuck with a 6% to 6.5% growth rate in the next two years due to the 'ill-conceived' move. "You take it from me, the economy will not grow at more than 6 and 6.5 percent in 2017-18 and 2018-19. It will take two years for the economy to recover. People have lost confidence in currency. People are not spending," he said. Terming interference with the economy on such a large scale 'unnecessary', Chidambaram called the note-ban 'thoughtless' and 'ill-conceived', at the second anniversary celebration of Mana Telangana, a Telugu Daily. Citing increased corruption among banking officials post demonetisation, he pointed out that the government had shrewdly changed the motive of the move from initially 'eradicating corruption' to 'making ...

PTI Raghuram Rajan, whose tenure as the RBI Governor ended this week, hopes the process of cleaning up Indian banks will be finished and the government will continue to prioritise "low inflation".Rajan, 53, who stepped down on September 4 as the Governor of the Reserve Bank of India, said in an interview with the New York Times that he hoped the country would finish "the process of bank cleanup which is underway." He also noted that his tight monetary policy has helped in bringing India's rate of inflation -- currently about 6 per cent -- down to the upper end of the government's target range."I think we've done exactly what was needed," he said adding that the central bank should continue to ...

The Dollar Business Bureau Ending months of speculation over the next Reserve Bank of India (RBI) Governor, the government on Saturday appointed Urjit Patel as the next RBI chief as it looked to continue with the monetary-policy making and critical reforms which are currently at a progressive stage. Patel was among the four shortlisted candidates, which included Arvind Subramanian, Kaushik Basu and Subir Gokarn. He, a PhD in Economics from Yale University, was appointed as the RBI’s deputy governor in January 2013, and later given three-year extension in January this year. Patel is currently heading the monetary policy department, responsible for determining the interest rate policy. He, along with the current RBI Governor Raghuram Rajan, has been instrumental in formulating monetary policies in the last ...

PTI Governor Raghuram Rajan on Tuesday said the Reserve Bank has been operating with the objective of getting inflation down to 4 per cent by March 2018, but it would be on the new monetary policy setting panel and his successor to choose its own glide path to meet the target. "When the new Governor and the new monetary policy committee (MPC) come in, they will have to give you a sense of how they view the 4 per cent target for March 2018," Rajan told wire agency reporters at a post-policy interaction here this evening. But the outgoing Governor, who will be demitting office on September 4, a full one month before the next policy, was quick to add that "as far ...

The Dollar Business Bureau The Reserve Bank Governor Raghuram G Rajan has maintained status quo by holding the key rates in the third bi-monthly monetary policy statement for FY 2016-17. The RBI has retained repo rate under the liquidity adjustment facility (LAF) at 6.5%, cash reserve ratio (CRR) of scheduled banks at 4%, reverse repo rate under the LAF at 6%, marginal standing facility (MSF) rate and the Bank Rate at 7% each. The more-than-anticipated upsurge in food prices has increased the trajectory of retail inflation to 22-month high in June. Prices of pulses and cereals are increasing continuously. The inflation, excluding food and fuel, is likely to grow. Under these inflation risks, it is appropriate to keep the repo rate unchanged. Easy liquidity ...

The Dollar Business Bureau Urging India to remain on the reform path, Nobel laureate Lars Peter Hansen stated that the main focus of the Reserve Bank of India should be to manage inflation. Hansen, a renowned economist, further stated that the RBI should not be expected to fix macroeconomic matters. People expect too much from the RBI, he said while adding that the government should take steps to encourage Foreign Direct Investments in various sectors and amend the restrictive labour laws. The remarks came amidst RBI governor Raghuram Rajan’s decision to reject second term of his office. Reports claim that Rajan decided to give a thumbs down to the second term due to criticism from a group of the ruling party led by Subramanian Swamy, who sought removal of ...

The Dollar Business Bureau In line with the industry’s earlier prediction following RBI Governor Raghuram Rajan’s surprise announcement of resignation bringing an end to his three-year term on September 4, foreign investors on Monday took out over Rs.3,700 crore from the Indian market, the highest single-day outflow so far during this financial year.   On the first trading session on Monday, foreign portfolio investors (FPIs) remained the major net sellers as they sold to the tune of Rs 2,837 crore in Indian markets on Monday's trade.  Life Insurance Corp. pumped in Rs.99 crore to buy shares of 6-7 bluechip firms. Its mutual funds also attracted heavy buyers with a net purchase of Rs. 459 crore worth-shares and debt securities worth Rs.1,215 crore during ...