Urjit Patel Appointed IMF Executive Director
Urjit Patel, the former governor of the Reserve Bank of India (RBI), has been appointed as India’s executive director at the International Monetary Fund (IMF) for a term of three years. This significant appointment was approved by the Appointments Committee of the Cabinet, led by Prime Minister Narendra Modi. This move marks Patel’s return to a vital role in the Indian government, seven years after he resigned from the RBI.
His new position at the IMF comes after the previous executive director, Krishnamurthy Subramanian, was removed amid controversies regarding his book and alleged violations of IMF protocols. Patel's experience and reputation for integrity make him a strong candidate for this important role, which is crucial for India’s representation on the global financial platform.
Patel previously served as the RBI governor from September 4, 2016, until his resignation on December 10, 2018. His tenure at the RBI was marked by challenges, including disagreements with the government over monetary policy and banking regulations. Despite these challenges, Patel was praised by Prime Minister Modi, who recognized his professionalism and the legacy he left behind at the RBI.
In a notable interview, Modi dismissed rumors regarding Patel’s resignation, attributing it to personal reasons while acknowledging their longstanding ties. This positive relationship seems to play a role in Patel's current appointment, suggesting that while there were tensions during his RBI tenure, they did not sever their connection.
Patel’s new role at the IMF is expected to enhance India’s influence in international economic discussions. The IMF’s executive board, which includes 25 directors elected by member countries, is responsible for the day-to-day operations of the fund. With Patel’s expertise, India is likely to have a stronger voice in shaping global financial policies.
Moreover, Patel has been vocal about the need for reforms in the banking sector. He previously sought more powers to regulate public sector banks in light of a major fraud case. His insights and experience will be crucial as he navigates the complexities of international finance at the IMF, representing India’s interests on a global scale.
