The Reserve Bank of India [RBI] Governor Raghuram Rajan has made indirect attack on the NDA government for appointing the high profile, Financial Sector Legislative Reforms Commission [FSLRC] panel that takes charge of all financial sector laws including RBI. This proposal was in pending since very long time as there is a strong opposition from various entities including the RBI but the Modi government went ahead with its implementation which is aimed at providing checks and balances for decisions made by the regulators.
Rajan cited the example of Hilter who took Germnay in wrong direction with strong government in hands and warned that powerful governments might not always move in the right direction. “Hitler provided Germany with an extremely effective administration; the trains ran on time, as did the trains during our own Emergency in 1975-77. But Hitler took Germany efficiently and determinedly on a path to ruin. It is not sufficient that the trains run on time, they have to go in the right direction at the desired time,” said Rajan while lecturing on ‘Democracy, Inclusion and Prosperity’ at the D. D. Kosambi ideas festival in Goa.
The statements are made in the interest of banking system.
- TVR
