We have had many RBI Governors before, who came and went as swiftly as our next academic year. They all have complied, or have striven to manage the inflation to the best they can, without stepping on the toes. Yearly budgets came and went like tornadoes, hitting the Indian working class below the belt. They all were there, those planners, players and Nay Sayers. But none like this one. Not one.
I doubt if the majority of current generation in India even knows the names of the past RBI heads, as much as it chants the name Raghuram Rajan. Really, who is this guy? Putting in plain terms, he is the first of the kind government Babu that kids understand in layman terms. The very first of thinkers who does not hesitate to put forth some of the blatant and ugly truths surrounding Indian economy, not to forget point out at the money spinners who do not repay their debts on time. Rajan does not think twice before calling India a ‘one eyed king’, operating with a perception that it has outgunned in the midst of global weaknesses.
So, for the very first time, we have this real, ‘outspoken’ guy sitting on the top and inflating many egos, along with the rates. Let us understand what this man has done for us so far – and what he is aspiring to do for the nation ahead – a HUGE favour.
A professor from Booth School of Business with roots into a Tam Bram family is all about accurate predictions and analysis. Rajan was appointed as the chief economist at the International Monetary Fund in 2003. After serving at the Washington-based fund, he returned to India to work as an economic adviser to the Government in Delhi.
The previous Congress-led government had appointed Raghuram Rajan as the head of the RBI in September 2013. This was the time when India was actually struggling with double-digit inflation and low growth. Rajan jumped on to the action and had adopted the benchmark consumer-price index as the key indicator for inflation, curbing the price growth below 5%.
After raising rates at the start of his term, Rajan had to cut them repeatedly. The rate now stands at 6.5%. There is more to this – post the revision after calculating the South Asian nation’s gross domestic product, and thanks to the slowdown in China, India has now become one of the fastest-growing economies in the world.
Keeping aside the numbers, Rajan is undoubtedly one of the most outstanding economists in the world today. He speaks up real facts, and points out the exact lacking in the prevailing scenario. The young startup generation along with the corporate rookies jumped with elation when Rajan spoke about the need for policy amendments looking at the growing revolution of entrepreneurship and self-employment in the country.
Rajan’s ‘deep surgery’ on the banks like SBI has uncovered more bad loans than any that was known in the past history. His candid remarks on how India should switch to sensible measures than adopt policies that are way over ambitious prove that he is still a middle class boy somewhere deep within, who knows what works exactly at the grass root level.
Now, India is faced with a critical situation, with one of the known leaders filing a six page charge sheet against the RBI Governor. It is being said time and again that Rajan’s practices are way ‘over himself’. We can understand where that’s coming from and how conveniently the rest in the cabinet are trying not to comment. Truth be told, Rajan is the first promising economist for the country, who can steer policy making in the right direction. I’m guessing, they know that too.
Young India wants Raghuram Rajan to stay in power. The business and working class in the country love his vision and strategy. So, why can’t we have a good looking economist and visionary continuing to call the shots, for once? We would love him as a politician too.
Let us also work from our end to make that happen. Let us try and make the government elect him as the Governor for the second term.
Sign the petition here.