Urjit Patel Succeeds Raghuram Rajan as New RBI Governor

The Narendra Modi government has appointed Urjit Patel as the new governor of the Reserve Bank of India to replace Raghuram Rajan, once Rajan’s term ends on September 4.

Patel has served as the deputy governor of RBI since January 2013 when he took over from Subir Gokarn. He handles the monetary policy department.

Patel is the author of the report that laid the groundwork for the current inflation-targeting method of monetary policy formulation.

Brokerage firm Nomura Global Markets Research describes him as hawkish, on account of his tough stance on inflation. Like Rajan, he has a conservative view on fiscal policy. According to Patel, fiscal discipline would support the shift to inflation target that his committee recommended.

Patel is seen as someone who will give continuity to Rajan’s policies.

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