Industry chamber Assocham on Friday said RBI Governor Raghuram Rajan has an “impeccable track record” and politicians should restrain from commenting on a second term for him and leave it for Prime Minister Narendra Modi to decide.
The post of the RBI Governor should not be dragged into avoidable controversies unless any serious offence has been committed by an incumbent, Assocham said in a statement.
The central bank, it said, has played a pivotal role in bringing about a macro-economic stability for India, making it the best among the emerging markets.
“Surely, it is the prerogative of the Government to appoint and re-appoint a person to the coveted position of the RBI Governor, but the kind of media statements being issued about Rajan by senior politicians do not augur well for the country’s financial system, which is passing through a challenging time because of unprecedented levels of stressed assets in the banks,” the chamber said.
It said Rajan enjoys “an impeccable track record” as a top-order world economist while he has brought in loads of respect and goodwill to the Indian financial system as the head of the Reserve Bank.
Assocham, the statement further said, “would only urge restraint on the part of senior politicians and others and leave it to the good wisdom and judgement of Prime Minister Narendra Modi so far as the re-appointment of the RBI Governor is concerned”.