Patel will bring great continuity in RBI, says Mundra

Urjit Patel as next RBI Governor will bring “great continuity” at the central bank, his fellow Deputy Governor S S Mundra said, describing him as “a man of clear opinion who may bring some changes”.

Mundra said his colleague Patel has been continuously involved with RBI and has a clear opinion on all issues.

“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,” he said.

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.”

Ajay Bodke, CEO and Chief Portfolio Manager - PMS, Prabhudas Lilladher said, “Institutional investors both domestic and foreign would welcome the Indian government’s appointment of RBI Deputy Governor Urjit Patel as successor to Raghuram Rajan. It signals a seamless continuity in the policies pursued by the RBI to conduct its monetary policy in an independent manner.”

He added that Patel’s path-breaking report has helped India join the league of developed nations where adoption of flexible inflation targeting has helped anchor inflationary expectations and brought about a structural control over inflation.