Raghuram Rajan Says no to 2nd Term as RBI Governor

New Delhi: Putting an end to all speculation, RBI Governor Raghuram Rajan on Saturday said no to a second term as the head of the central bank.

Rajan told his colleagues at the Reserve Bank of India that he will be returning to academics after his term ends on September 4.

He said the work on containing inflation and cleaning bank books is not over but he has decided to move on after 'due reflection' and consultation with the government.

"While I was open to seeing these developments through, on due reflection, and after consultation with the government, I want to share with you that I will be returning to academia when my term as Governor ends on September 4, 2016. I will, of course, always be available to serve my country when needed," Rajan said in a statement.

Rajan said he will always be available to serve the country and is confident that his successor will take RBI to new heights.

Reacting to the news, Rajya Sabha MP Subramanian Swamy said, "I just don't want him. It's better for him to leave."

He has been under attack from some quarters in the BJP, including Swamy, for what they say is his failure to lower interest rates and boost economic growth.

Rajan has a formidable reputation as an internationally renowned economist and is still being hailed across the world for accurately predicting the 2008 global meltdown.

No RBI Governor before him has enjoyed a celebrity status like he does. His views on the economy are taken very seriously in the West.

Here is the full statement:

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