Shaktikanta Das assumes charge as new RBI Governor

RBI Governor Shaktikanta Das

Shaktikanta Das, the new Reserve Bank of India (RBI) Governor, attends a news conference in Mumbai, India, December 12, 2018. He added in a bid to solve the issues with central banks, he has convened a meeting with CEOs and MDs of public sector banks on Thursday, adding that the banking is an important segment of India's economy.

Uttarakhand's controller of communication accounts, Ashish Joshi, who like Das is a St. Stephen's College alumnus, tweeted: "My College senior has become RBI Governor".

Mumbai: Saying the Centre has not destroyed "the Reserve Bank of India (RBI) as an institution", Union minister Nitin Gadkari asserted that the apex bank is part and parcel of the government.

The former bureaucrat has replaced Urjit Patel, who abruptly resigned on Monday after a long-drawn feud with the government over issues related to governance and the autonomy of the central bank.

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He added that he would meet private sector banks as well. So, there are several areas which central bank has to be dealing with and so we will focus on those areas.

"Even if we accept RBI's autonomy, it is the responsibility of the central bank to support the vision of the government". "All issues can be resolved through discussions", NDTV quoted him as saying.

"The other important decision for Das and the board is to fix the specific terms of reference for the committee that would look into RBI's economic capital - whether the committee would be required to look into the scope of transferring RBI's existing reserves to the government, or simply be confined to the issue of transferring the quantum of surplus to contingency reserves before declaring dividend to the government".

About accountability of the RBI to its board, Das said every institution has to have its professional integrity and maintain its professional autonomy. He also claimed that it is only the banking segment that is facing several challenges now that need to be solved as soon as possible.

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After obtaining his Ph.D., Patel joined the International Monetary Fund in 1990 and later moved to India playing an advisory role at the Reserve Bank of India. "It has been my privilege and honour to serve in the Reserve Bank of India in various capacities over the years", read his statement on the Reserve Bank of India (RBI).

Talking on policy priorities, he said, "There are number of issues ahead".

"The issue of liquidity has also come into the focus, especially in public space, from time to time".

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