New Delhi: The government has extended the term of Reserve Bank of India (RBI) Governor Shaktikanta Das by three years — a tenure that will make him the second longest serving head of the central bank.
Das was appointed as RBI’s 25th governor on December 11, 2018, for a period of three years after the surprise resignation of his predecessor Urjit Patel.
An official order dated October 28 said the government has reappointed Das as the governor of the central bank for a period of three years beyond December 10, 2021, that is till December 2024.
The extension is longer than the norm of a two-year term in the last two decades.
Das’ re-appointment will ensure continuity at a critical juncture for the economy that is emerging out of the devastation caused by the COVID-19 pandemic.
He will be the fifth governor to get a tenure this long. Usually, RBI governors are given a five-year term.
If completed, he will be the longest-serving governor after Sir Benegal Rama Rau, who was in office for 7 years and 197 days between July 1, 1949, and January 14, 1957.
The other four governors who had a tenure of more than 5 years were Bimal Jalan (November 1997 to September 2003), James Taylor (July 1937 to February 1943), B P Bhattacharya (March 1962 to June 1967), and C D Deshmukh (August 1943-June 1949).
Raghuram Rajan — the first governor under the Modi government — demitted office after completing his first three-year tenure. His successor and Das’ predecessor Urjit Patel was in office for 2 years and 98 days.
Under Das, the central bank cut key interest rates to record lows, infused massive liquidity into the banking system to shore up the pandemic-hit economy, and oversaw the quick rescue of troubled lenders. —PTI

Press Trust of India