Former Reserve Bank of India governor, Urjit Patel has revealed that when he was the governor of the central bank, there was a rift within for insolvency matters. In this context, Patel wrote in his book ‘Overdraft: Saving the Indian Saver’ that the government had at that time ordered the loosening of the rules of bankruptcy law, which he was not agreeing to.
Patel took office as the 24th Governor of RBI on 5 September 2016. Patel resigned from the post of RBI Governor on 10 December 2018, citing personal reasons. During that time he had 10 months left. During his tenure, the RBI and the government were conflicting on many policy-related matters.
Patel explained the reason for leaving the post of governor
Patel blamed the previous United Progressive Alliance (UPA) government for the NPA. He said at the inauguration of his book that before 2014 the UPA government and RBI’s surveillance was very sluggish. This led to a sharp increase in NPAs, which is now suffering from the banking sector of the country. He cited the notice issued on the insolvency case in February 2018 as the reason for quitting the post of governor.
Patel returned again, got this new responsibility
It is known that Urjit Patel has returned to government once again. Patel was appointed as the chairman of India’s premier economic ‘National Institute of Public Finance and Policy’ (NIPFP). Patel replaced Vijay Kelkar, a former bureaucrat who held the NIPFP for nearly six years. He took office on 22 June and his term will be four years.