Reserve Bank of India Governor Urjit Patel is all set to present his first monetary policy on Tuesday afternoon. The markets have shown great faith in his command and it is evident from the fact that both Sensex and Nifty have been witnessing a rally since markets opened on Monday.
“I am confident that Urjit Patel, who has worked closely with me on monetary policy for the last three years, will ably guide the Monetary Policy Committee going forward in achieving our inflation objectives,” Rajan had said after the announcement of Patel’s appointment as his successor.
Who is Urjit Patel?
Urjit Patel, a former deputy governor of RBI, is renowned as a distinguished scholar, consultant and banker. While working as Deputy Governor of RBI, Patel looked after Monetary Policy, Economic Policy Research, Statistics and Information Management, Deposit Insurance, Communication and Right to Information.
Moreover, he has also served on different government panels and as an advisor in the finance ministry.Patel brought important monetary policy reforms and introduced revolutionary changes constituting a switch to inflation-targeting and adopting consumer prices as the new benchmark instead of wholesale prices.
A committee headed by Urjit Patel had recommended retail inflation targeting and a monetary policy committee when he was deputy governor of RBI.Patel has also worked as advisor of the Boston Consulting Group.His early lifeA PhD from Yale University and an M. Phil from Oxford University, Patel has also worked with the International Monetary Fund. Further, he has adequate experience in energy and financial sectors too.
He has also fulfilled the role of a non-resident Senior Fellow at the Brookings Institution since 2009. Professional careerAfter obtaining his PhD, Dr. Patel joined the International Monetary Fund in 1990 and worked on the USA, India, Bahamas and Myanmar desks at IMF till 1995.
Later on, he went on deputation to IMF to the Reserve Bank of India and fulfilled the role of an advisory in the development of the debt market, banking sector reforms, pension fund reforms, targeting of real exchange rate.After the two-year deputation with RBI, Patel worked as a Consultant to the Government of India in the Ministry of Finance, Department of Economic Affairs - a position he held from 1998 to 2001.
Between the years 2000 and 2004, Patel worked with various High Level Committees at both Central and State Government levels, including Competition Commission, Task Force on Direct Taxes, Prime Minister’s Task Force on Infrastructure, Group of Ministers on Telecom Matters, Advisory Committee on Research Projects and Market Studies, Committee on Civil Aviation Reforms, Expert Group on State Electricity Boards and High Level Expert Group on Civil & Defence Services Pension System.