Raghuram Rajan dismisses possibility of entering politics

RSTV Bureau


Former Reserve Bank Governor Raghuram Rajan has dismissed any possibility of entering politics. There were reports of Rajan being offered Rajya Sabha seat by the Aam Aadmi Party (AAP), which by next year will be in a capacity to send three MPs from Delhi, given their massive majority in the assembly.

The former RBI governor and renowned macroeconomist instead said he is happy being a professor and it’s the job he likes. He had returned to University of Chicago after the completion of his tenure at the Reserve Bank last year.

“No comments on whether I was offered anything. When I was in RBI, people were desperate to get me off to IMF, when I am back as professor, people are desperate to see me elsewhere. I am very happy being a professor. I have my brain working many hours of day. It is a job I like,” he said when sought if he had an offer from the Aam Aadmi Party (AAP) to join the Rajya Sabha.

On possibility to join politics, Rajan said, “The answer is no… on issue of politics my wife says very clearly no.”

In a recorded interview played at the Times Litfest in New Delhi, Rajan, without disclosing much details, said he is working on another book.

This book will be “an attempt to understand better the world we live in. The issue of identity, issue of community and how it impinges on the broader process of economic integration and growth”, he said.

His last book, titled ‘I do what I do’ was released in September, touched various aspects of the Indian economy.

File photo of Raghuram Rajan with Prime Minister Narendra Modi. PTI

File photo of Raghuram Rajan with Prime Minister Narendra Modi.

He also talked about issues like tolerance and connection between political freedom and prosperity in the book, which was a collection of essays and speeches during his stint as the Reserve Bank of India (RBI) governor.

Talking about the Goods and Services Tax (GST), Rajan said it is good in the long run even though there are some issues. “There is need to remove the glitches,” he observed.

On the relationship between the RBI and the government, the former central bank governor said that it has been developed over the years and it is largely of mutual respect.

“Yes, there are frictions which are always there in any relationship,” he said.

To a question if autonomy of the RBI as an institution compromised, he said, he is not alarmed. The RBI functions under the government and complete independence is not possible, he said.

(With inputs from PTI)