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Raghuram Rajan's past conduct as RBI Governor is questionable

Former RBI Governor, Raghuram Rajan inflicted serious damage to Indian economy due to his flawed monetary policies. Rajan's prescriptions to contain inflation hampered growth in the MSME sector. 

For example, raising repo rates, to counter inflation, subjugated demand for business loans, which deteriorated the investment climate. Simultaneously, Rajan had reduced the interest rates on domestic saving schemes (such as FD, NSC etc) that led to erosion of incomes of retired personnel and low-income households.

Lower interest on savings dis-incentivised households to invest in saving schemes, which dried up availability of funds for businesses, as savings are a major source of domestic loans. 

Few business enterprises used interest arbitrage to earn profits. For example, they availed loans from foreign banks at lower rates and then lent money to domestic players at prevailing interest rates in the market. Therefore Rajan's monetary policy benefited foreign lenders and diminished the financial flexibility of local businesses. 

Despite Rajan's global exposure and previous work experience, his knowledge and application as an economist is below average. He has been propped by a cartel which plans to control the flow of finances across the world. 

Dr Swamy had already warned about Rajan as a servant of foreign masters who want to wreck Indian economy. His recent tweet also corroborates that Raghuram Rajan is just a poster boy who lacks originality and his statements will fail to garner any traction in US. The tweet is given below:

Assessing Rajan's past conduct is essential to make a judgement about his seriousness to deliver for the country.  So let's delve deeper and under the facts behind Dr Swamy's remarks on Rajan: 

Rajan is a green card holder
Nothing wrong if someone holds a green card, however, continuing to renew American citizenship while holding a high post in government of India is unacceptable. Renewing American citizenship means that Rajan's heart still lies America and as a result, he will not be able to do justice to India.

Rajan wanted to introduce Islamic banking
As an RBI Governor, Rajan was fanatically in favour of Islamic banking and was keen to set up dedicated Islamic banks across India. However, his proposal was scuttled due to Dr Swamy's timely intervention. 

Hushed up ED's probe into Aircel-Maxis Scam
As an RBI Governor, Rajan tried his best to hush up ED's investigations in the Aircel-Maxis scam. The agencies were trying to establish money trail of Karti Chidambaram's firms in Singapore. Rather than cooperating with ED, Rajan alerted Chidambaram about ED's movements. This single act of Rajan motivated Chidambaram to attempt tampering of evidence. 

Leaked sensitive information to private individuals via personal e-mail address
During his tenure, Raghuram Rajan has also shared some sensitive information on Indian economy through his personal e-mail address. This is totally unbecoming of the post of RBI Governor, rather it is treachery against a country that gave respect and  honor to Rajan. 

Rajan is a member of Group of 30
Raghuram Rajan is a member of a US based group known as "Group of 30" (www. group30.org) whose main objective is to maintain US dominance over world economy. Therefore, Rajan's concern over Indian economic matters is a farce.

Despite the above evidences, Rajan continues to enjoy goodwill among media friendly channels and leaders of the past regime. His recent rants are meant to gain attention in order to fulfill a pre-defined agenda. 



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