New Delhi, Aug 20: Hailing Urjit Patel’s appointment as RBI Governor as “vote for continuity”, India Inc and experts are unanimous that he is an excellent choice for the top job at the central bank when the economy is passing through a crucial phase. “We all are very happy. Being a colleague, he brings great continuity and familiarity. He has a clear understanding of what is going on,” said RBI Deputy Governor S S Mundra. Patel’s colleague further said every new leader will bring his or her own thinking.
“There could be some addition, (in) some processes little bit changes. It’s normal in transition. We are looking for great continuity and that provides great comfort,” Mundra said, adding that the appointment means that it is business as usual from the day one and “ensures smooth transition”. Patel was today appointed the next Governor after Raghuram Rajan demits office on September 4. He was first appointed Deputy Governor for three years in January 2013 and was given extension this January.
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Welcoming the appointment, SBI Chairman Arundhati Bhattacharya said: “Patel has been at the helm of institutionalising the inflation targeting regime in the monetary policy framework. His appointment signals continuity of policy intent, both on part of RBI and the government.” Bhattacharya was one among the seven names speculated to succeed Rajan as the 24th Governor. Infosys founder and IT doyen N R Narayana Murthy, who had earlier pitched for a second term for Rajan, said Patel is the “right man” to succeed the incumbent Governor.
“He is the right man to succeed Raghuram Rajan. Who better than him to see what needs to be done to stimulate growth and contain inflation?” Murthy asked. Industry chamber Ficci hoped that Patel will also ensure continuity of ongoing initiatives at RBI. “We are confident that RBI and the economy will gain tremendously from Dr Patel’s experience in both private and public sectors,” said Ficci’s President Harshavardhan Neotia.
Director General of industry body CII Chandrajit Banerjee said: “CII is confident that the new Governor will lead the central bank and take its developmental and regulatory agenda to new heights.” Mahindra and Mahindra Group Chairman Anand Mahindra tweeted: “A very astute move. He’s young, qualified and experienced. Above all, signals policy continuity. Markets should exhale.”