Raghuram Rajan, former governor of the Reserve Bank of India. (Photographer: Tomohiro Ohsumi/Bloomberg)
India can’t risk the greater concentration of economic and political power that may come along with the entry of large corporate houses into banking, said former Reserve Bank of India Governor Raghuram Rajan.Rajan’s comments come in response to a recommendation from an RBI internal working group to permit corporate houses to vie for banking licences, provided The Banking Regulation Act, 1949, is amended to deal with the risk of inter...