(ET)
Citing personal reasons, Urjit Patel has resigned as the Reserve Bank of India. His resignation comes against the backdrop of increasing tensions between the Finance ministry and the Reserve Bank of India. Urjit Patel, 55, who took over as the 24th Governor of the central bank on September 5, 2016, had the shortest tenure since the year 1992. He was hand-picked by the BJP-led government after his predecessor Raghuram Rajan was denied a second-term.
In recent months, the government and the RBI have been at loggerheads over whether the RBI has been too hawkish in its stance towards lenders and the economy given a drop in the inflation rate and signs of slower growth, as well as in the face of defaults by a major lender.
