Unfortunately, Rajan had not fared well in his relations with the Union government when he discussed ‘intolerance’ in the country and disagreed on the economic policy on various fronts. Congress questioned the timings of the government, which unveiled the ‘second generation reforms’ and further liberalised the economy within days of Rajan’s letter.
He had asked the Prime Minister to dismiss the RBI Governor as he is “mentally not fully Indian.” He accused Rajan of starving Small and Medium enterprises (SMEs) by keeping the interest rates high.
Whether Rexit is desirable or not is not the question. There is no use fussing over the spilled milk. The volatile global economic scenario where the threat of ‘Brexit’ looms, the rise of Non-Performance Assets (NPAs) in the banking industry, fears over monsoon and inflation and expected outflow of $20 billion after FCNR exemption in September-November are the issues to watch out for. Rajan’s supporters and oppositions who do the country good by stop bickering over the issue and accept the outcome gracefully as the RBI chief himself has done.
Written by Rishya Dharmani
"Life is not a mystery, as they say, rather it is simplicity itself. Unlearn, fail and realize the true joy."