Differences with BJP a media speculation: Rajan

Tags: BJP, Rajan, News
Brushing aside as "speculation" that he has differences with the leaders of BJP, widely

RELATED ARTICLES

expected to form the next government, Reserve Bank of India Governor Raghuram Rajan said they are "media invention".

"On differences with the new government, I haven't had any discussion with the new government. I think its all press invented difference. I think it should be seen as speculation rather than any actual differences," he said while commenting on reported differences with the BJP leaders.

Rajan's comment comes against the backdrop of certain BJP leaders questioning his policies to deal with the current economic woes.

BJP leader Subramanian Swamy is reported to have said: "We can make it worthwhile for him (Raghuram Rajan) to leave."

Expressing similar opinion BJP Treasurer Piyush Goyal attacked Rajan over a series of interest rate hikes intended to curb inflation, now at double the RBI's longer-term 4 per cent target, at a time when economic growth has fallen to its slowest in a decade.

During the 7-month stint, he has raised key policy rate thrice by 0.25 per cent each.

Rajan was appointed RBI Governor in September 2013 by Congress led UPA which is expected to perform poorly in the ongoing general election. The new government is expected to be in place after May 16 results.

On improvement in parameters like current account deficit (CAD), moderation in inflation, the Governor said: "the success belongs entirely to the Finance Ministry and not to the Reserve Bank of India. We work together and I think one of the benefits is that there is a greater sense of comfort on fiscal consolidation.

"I think signal biggest factor in the stabilisation of the external market was the current account deficit came down significantly from north of 5 per cent now the run rate of 1 per cent," he said an event organised by Brookings Institute here yesterday.

CAD is expected to come down about $35 billion in 2013-14 from a record high of $88.2 billion or 4.8 per cent of GDP.

At the same time, Wholesale Price Index based inflation eased to 9-month low of 4.68 per cent in February, while retail inflation slowed to 25-month low of 8.1 per cent.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.
Image CAPTCHA
Copy the characters (respecting upper/lower case) from the image.

EDITORIAL OF THE DAY

  • Government must give up majority ownership in loss making PSU banks

    After four years of braving economic slowdown and provisioning for rising non performing assets (NPAs), public sector banks are in urgent of capital.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

BK Chaturvedi

Cooperative federalism and governance

Improving relations between the states and the Centre to improve ...

Kuruvilla Pandikattu SJ

Reason drives religion, science

Both religion and science are driven by reason, claims Rama ...

Gautam Gupta

Retailers have it tough, thanks to e-commerce

For the past few months our focus has been on ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture