Swamy steps up attack on Rajan

Our Bureau New Delhi | Updated on January 20, 2018 Published on May 17, 2016

RBI Governor Raghuram Rajan is the on-leave Professor of Finance at the University of Chicago’s Booth School of Business. File Photo   -  PTI

BJP MP Subramanian Swamy

Writes to PM seeking his removal

Continuing his tirade against RBI Governor Raghuram Rajan, BJP MP Subramanian Swamy has written a letter to Prime Minister Narendra Modi and demanded immediate sacking of Rajan.

Swamy alleged in the letter that Rajan’s prescriptions are against the interests of the country’s economy and he is “mentally not fully Indian” to continue in the post.

“The reason why I recommend this is that I am shocked by the wilful and apparently deliberate attempt by Dr Rajan to wreck the Indian economy,” Swamy wrote in the letter. Rajan’s term as RBI Governor is coming to an end in September. Swamy said the policy of containing inflation by rising interest rates was disastrous.

“When the wholesale price index started to decline due to induced recession in the small and medium industry, he shifted the target from the WPI to the Consumer Price Index which has not however declined due to the retail prices. On the contrary it has risen,” Swamy said and added that had Rajan stuck to WPI, interest rates would have been much lower today. He argued that non performing assets with public sector banks has doubled to ₹3.5 lakh crore during Rajan’s tenure.

“These actions of Dr Rajan lead me to believe that he is acting more as a disrupter of the Indian economy than the person who wants the Indian economy to improve. Moreover he is in this country on a Green Card provided by the US government and therefore mentally not fully Indian. Otherwise why would he renew his Green Card as RBI Governor by making the mandatory annual visit to the US to keep the Green Card current?” he wrote in the letter.

He said he sees no reason why a person appointed by the UPA government is continuing in the post when Modi is in power.

Published on May 17, 2016
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