Raghuram Rajan conferred central banker of the year award

RBI chief Raghuram Rajan has been named as the “governor of the year” in the Central Banking Awards for 2015 by a British magazine for “his deep understanding of the root causes of economic problems of the country combined with an impressive leadership style.”

The British magazine Central Banking, announcing the name of Mr. Rajan as the ‘Governor Of The Year’ said, “Mr. Rajan’s disciplined and focussed approach in leading the Reserve Bank during his first year as Governor was remarkably impressive.

This is the second award by the London-based magazine and will be presented in the British capital on March 12.

“Although there is still much to do, his decisive policy actions based on robust analysis and deep understanding of the underlying causes has contributed significantly to changing perceptions about the strength of the Indian economy,” Central Banking Editor Christopher Jeffery said in a statement issued from London.

It further noted Mr. Rajan, who was the chief economist of IMF and a well-known economist and author’s forthright observations about some of the less welcome developments in the global economic, financial and monetary system also represent an important voice for change.

“His insights combined with his strong leadership skills make Mr. Rajan an inspirational figure in the central banking community,” Mr. Jeffery said, adding Mr. Rajan has enjoyed a trail-blazing first year as RBI governor.

In accepting the award, Mr. Rajan said, “I am honoured to be named governor of the year by the magazine. This is a recognition of the part the Reserve Bank and its staff have been playing in bringing macroeconomic stability to our economy, in creating more competition and new growth opportunities in the banking and financial markets, as well as in expanding financial inclusion.

“Of course, no central bank works alone. The important role played by the government in maintaining fiscal discipline, in initiating growth-friendly structural reforms and in launching ambitious new financial sector programmes such as rolling out bank accounts for all, has been critical to any success the economy has had, and is likely to have.

“Moreover, all our collective efforts should be seen as work in progress — inflation has to be fully tamed, growth has to be brought back to potential and the banking system cleaned of distressed assets, even while we build the platform for the financial sector to support strong and sustainable growth.

“But I am convinced we are moving in the right direction and believe developments will affirm this,” Mr. Rajan said.