The Indian government has appointed Sanjay Malhotra, a 1990-batch Indian Administrative Service (IAS) officer from the Rajasthan cadre, as the new Governor of the Reserve Bank of India (RBI) for a three-year term. He will assume office on December 11, succeeding Shaktikanta Das, whose term concludes on December 10.
Professional Background
Malhotra brings over three decades of experience across various sectors:
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Revenue Secretary: Currently serving in the Ministry of Finance, he oversees tax policies related to both direct and indirect taxes.
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Department of Financial Services: As Secretary, he managed India’s financial and banking sectors.
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REC Limited: Served as Chairman and Managing Director, leading the company through significant growth phases.
Educational Qualifications
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Engineering: Graduated in Computer Science from the Indian Institute of Technology (IIT) Kanpur.
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Public Policy: Holds a master’s degree from Princeton University, USA.
Tenure of Shaktikanta Das
Appointed as the 25th RBI Governor in December 2018, Shaktikanta Das, a 1980-batch IAS officer from the Tamil Nadu cadre, served for six years.
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Financial Stability: Stabilized relations between the RBI and the government, ensuring financial sector recovery.
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Market Interventions: Adopted an interventionist approach to control exchange rate volatility.
Challenges Ahead for Sanjay Malhotra
As the new RBI Governor, Malhotra faces several challenges:
- Inflation Control: Managing inflationary pressures amid global economic uncertainties.
- Economic Growth: Ensuring stable economic growth while navigating external shocks.
- Financial Sector Oversight: Maintaining the health of the financial sector, especially concerning non-banking financial companies.
Notable Appointment
Malhotra’s appointment marks the second consecutive time an IAS officer has been appointed as RBI Governor, following Shaktikanta Das. This trend underscores the government’s confidence in bureaucrats to lead the central bank.