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Yet another economist quits govt: RBI Dy Governor Viral Acahrya resigns 6 months before term

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Yet another economist quits govt: RBI Dy Governor Viral Acahrya resigns 6 months before term

[vc_row][vc_column][vc_column_text]RBI Deputy Governor Viral V Acharya has resigned from his post, six months before the scheduled end of his term citing “unavoidable personal circumstances”, said media reports.

Confirming the resignation, the Reserve Bank of India in a statement said, “Due to unavoidable personal circumstances, Viral Acharya is unable to continue as deputy governor beyond July 23. Consequential action arising from his letter is under consideration of the competent authority.”

Acharya was not expecting his term to be renewed in any case, The Indian Express (IE) reported, citing source-based information.

Since Acharya was appointed by Appointments Committee of the Cabinet headed by Prime Minister Narendra Modi, the resignation would also be accepted by the panel.RBI Dy Governor Viral Acahrya resigns 6 months before term

Acharya, 45, joined the central bank in January 2017 and was RBI’s youngest deputy governor, post economic liberalisation. He took over at a time when the central bank was facing criticism for repeated changes in the rules related to deposit and withdrawal of money, post-demonetisation.

Also Read: AES deaths in Muzaffarpur: Supreme Court notice to Bihar govt to respond within a week

His term was scheduled to end in February next year, said media reports. Acharya will be returning to New York University as CV Starr Professor of Economics. Acharya was called as the poor man’s Rajan over the many similarities with the former Governor Raghuram Rajan, who also left RBI against his wishes to continue.[/vc_column_text][/vc_column][/vc_row][vc_row css=”.vc_custom_1561367870691{border-top-width: 10px !important;border-right-width: 10px !important;border-bottom-width: 10px !important;border-left-width: 10px !important;padding-top: 10px !important;padding-right: 10px !important;padding-bottom: 10px !important;padding-left: 10px !important;background-color: #dbdbdb !important;border-radius: 10px !important;}”][vc_column][vc_column_text]

Economists/Experts who quit:

June 2019 – RBI Dy Governor Viral Acharya resigns

Jan 2019 – The last two non-official members of National Statistical Commission resign over job data differences

Dec 2018 – RBI Governor Urjit Patel resigns amid tension with government

June 2018 – Chief Economic Advisor Arvind Subramanian resigns, recently claimed GDP growth rate was way below that claimed

Aug 2017 – NITI Aayog vice chairman Arvind Pangaraiya resigns

June 2016 – RBI Governor Raghuram Rajan resigns[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_column_text]This is the second high profile resignation in the past six months at the Reserve Bank of India (RBI) and the third under Modi government (including the previous term). The first to go was RBI governor Raghuram Rajan. In December 2018, governor Urjit Patel resigned nearly nine months before the end of his schedule term over differences with the government. The RBI is now left with three deputy governors NS Vishwanathan, BP Kanungo and MK Jain.

Acharya, in a speech just a couple of months before Patel’s resignation over differences with Modi government, had warned of “risks of undermining the central bank’s independence” as “potentially catastrophic”.

“Governments that do not respect central bank independence will sooner or later incur the wrath of financial markets, ignite economic fire, and come to rue the day they undermined an important regulatory institution,” Acharya had said.

Acharya had also warned of a talent crisis at a central bank if its independence is seen to be compromised. When the governance of the central bank is undermined, it is unlikely to attract or be able to retain the brightest minds that thrive on the ability to debate freely, think independently, and effect changes, attrition of central bank powers results in attrition of its human capital and deterioration of its efficiency and expertise over time, he had said.

An expert in credit risk, Acharya recently differed with Reserve Bank Governor Shaktikanta Das in the monetary policy announced on April 4, according to minutes released by the bank. Das favoured focussing on economic growth with a repo rate cut. Acharya cautioned on another rate cut in the wake of high inflation excluding food and fuel. The six-member Monetary Policy Committee (MPC) decided to reduce the policy repo rate by 25 basis points to 6 per cent in a 4-2 majority decision.

Also Read: Skeletal remains of 108 children found outside Muzaffarpur Hospital

Acharya’s resignation is the latest in the string of high-profile exits of economic policy makers — Raghuram Rajan, Urjit Patel, Arvind Subramanian and now Viral Acharya and, said Financial Times (FT), calls into question the government’s ability to stomach independent advice. “But that is unlikely to unfaze the government, which no doubt has its own agenda,” FT said.[/vc_column_text][/vc_column][/vc_row]

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Priyanka Gandhi and Prashant Kishor held talks in Delhi after Bihar election setback

Priyanka Gandhi Vadra and Prashant Kishor reportedly met in Delhi days after both Congress and Jan Suraaj suffered setbacks in the Bihar Assembly election.

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Priyanka Gandhi

Congress MP Priyanka Gandhi Vadra and Jan Suraaj chief Prashant Kishor met in Delhi last week, days after the Bihar Assembly election delivered a setback to both political outfits, sources said. The meeting reportedly took place at Sonia Gandhi’s 10, Janpath residence and lasted several hours.

While the interaction has triggered political speculation, both leaders have publicly played down any significance. When asked about the meeting, Priyanka Gandhi said there was little interest in who she meets or does not meet. Prashant Kishor, on the other hand, denied that any such meeting had taken place

Bihar rout brings renewed focus on opposition strategy

The reported interaction followed disappointing election outcomes in Bihar. Jan Suraaj contested 238 Assembly seats but failed to secure a single win, while the Congress managed only six victories out of the 61 seats it contested, a drop of 13 seats compared to the previous election

Sources familiar with the developments indicated that the poor showing by both sides has reopened conversations about future political strategy, especially with several major state elections scheduled over the next two years

A relationship marked by past cooperation and friction

Prashant Kishor has previously worked with the Congress, with mixed outcomes. In 2017, he played a key role in the Congress’s victory in Punjab, but the same year saw the party suffer defeat in Uttar Pradesh. The contrasting results led to internal disagreements, with some party leaders later questioning Kishor’s approach and influence

Talks of Kishor formally joining the Congress resurfaced ahead of the 2022 Uttar Pradesh election, with discussions involving senior party leaders. However, those negotiations collapsed amid differences over organisational reforms and decision-making authority. Kishor later described his experience with the party as unsatisfactory and ruled out joining it, citing resistance to structural change

Jan Suraaj’s debut and future calculations

After parting ways with the Congress, Kishor launched Jan Suraaj with the aim of reshaping Bihar’s political discourse. Despite claims that the party shifted focus from caste-based politics to employment issues, its electoral debut failed to translate into votes

Sources suggest that recent defeats across the opposition spectrum have prompted fresh assessments ahead of upcoming elections in Tamil Nadu, West Bengal and Assam in 2026, followed by Uttar Pradesh in 2027. The longer-term focus remains the 2029 Lok Sabha election, where the ruling party is expected to seek another term

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Omar Abdullah distances INDIA bloc from Congress’s vote chori campaign

Omar Abdullah has clarified that the INDIA opposition bloc is not linked to the Congress’s ‘vote chori’ campaign, saying each party is free to set its own agenda.

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Jammu and Kashmir Chief Minister and National Conference leader Omar Abdullah has drawn a clear line between the INDIA opposition bloc and the Congress’s ongoing ‘vote chori’ campaign, stating that the alliance has no role in the issue being raised by the grand old party.

Speaking to the media, Abdullah said every political party within the alliance is free to decide its own priorities. He underlined that the Congress has chosen to focus on alleged irregularities linked to voter lists and electoral processes, while other parties may pursue different agendas.

According to Abdullah, the INDIA bloc as a collective is not associated with the ‘vote chori’ narrative. He added that no party within the alliance should dictate what issues another constituent should raise in public discourse.

The remarks came days after the Congress organised a large rally in the national capital to intensify its campaign. The party has alleged that the Election Commission is working in favour of the BJP to influence electoral outcomes. Both the poll body and the ruling party have rejected these claims.

INDIA bloc cohesion under scrutiny

Abdullah’s comments have gained significance as they follow his recent observation that the INDIA bloc is currently on “life support”. That remark, made during an interaction at a leadership summit in Delhi, triggered mixed reactions from alliance partners.

At the event, Abdullah had said the opposition grouping revives intermittently but struggles to maintain momentum, especially after electoral setbacks. He also pointed to the Bihar political developments, suggesting that decisions taken by the alliance may have contributed to Nitish Kumar returning to the NDA fold. He further cited the inability to accommodate the Hemant Soren-led Jharkhand Mukti Morcha in Bihar seat-sharing talks as a missed opportunity.

Allies respond to Omar Abdullah’s remarks

Reactions from within the INDIA bloc reflected differing views on Abdullah’s assessment. RJD leader Manoj Jha termed the remarks “rushed” and said responsibility for strengthening the alliance lies with all constituents, including Abdullah himself.

CPI general secretary D Raja called for introspection among alliance partners, questioning the lack of coordination despite the stated objective of defeating the BJP and safeguarding democratic values.

Samajwadi Party MP Rajeev Rai disagreed with the “life support” analogy, saying electoral defeats are part of politics and should not demoralise opposition forces. He cautioned that internal pessimism only serves the BJP’s interests.

BJP targets opposition unity

The BJP seized on the comments to attack the opposition bloc’s unity. Senior leader Shahnawaz Hussain dismissed the INDIA alliance as defunct, claiming it lost relevance after the Lok Sabha elections and lacks leadership and a clear policy direction.

Abdullah’s latest clarification on the ‘vote chori’ campaign reinforces the visible differences within the opposition alliance, even as its constituents continue to debate strategy and coordination ahead of future political battles.

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Nitin Nabin terms BJP working president role a party blessing, thanks leadership

BJP national working president Nitin Nabin has termed his appointment a blessing of the party, thanking its leadership and pledging to work on the ideals of his late father.

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Nitin Nabin

Newly appointed BJP national working president Nitin Nabin on Monday described his elevation as a blessing bestowed by the party and expressed gratitude to its top leadership for placing faith in him.

Speaking to reporters in Patna after paying floral tributes to a statue of his late father, former BJP MLA Nabin Kishor Prasad Sinha, the Bihar minister said he would continue to work on the principles he inherited from his family and the organisation.

“I have always worked on the ideas of my father, who treated the party like his mother and put the nation above everything else. I believe that is why the party has given me this responsibility,” Nabin said. He later visited Mahavir Mandir in the city to offer prayers.

Gratitude to Prime Minister, focus on Antyodaya

Thanking Prime Minister Narendra Modi for his guidance, Nabin said development under the current leadership has reached towns and villages across the country. He added that the party has expanded its presence and emerged as a platform representing the poor.

According to Nabin, no section of society has remained untouched by the welfare initiatives of the NDA government. He said the idea of Antyodaya has now reached every corner of India, recalling the contributions of Deendayal Upadhyaya, Syama Prasad Mookerjee and Atal Bihari Vajpayee in shaping the philosophy.

On elections and party organisation

Responding to questions on upcoming elections, including in West Bengal, Nabin said BJP workers remain active at all times. He remarked that unlike other parties, BJP cadres work round the year and remain prepared in every state.

At 45, Nabin is a five-time MLA from the Bankipur assembly constituency and has served twice as a minister in the Bihar government. He comes from an RSS background and is currently part of the Nitish Kumar-led state cabinet.

A generational shift in the party

Nabin’s appointment as national working president on Sunday was seen as a significant organisational move. The position, though not mentioned in the party constitution, has earlier served as a transition role before elevation to the top post.

Prime Minister Modi publicly endorsed the decision, describing Nabin as a hardworking and grounded leader with strong organisational experience. Party leaders have projected the move as part of a generational shift, with Nabin expected to follow a trajectory similar to that of the current national president, who had earlier served as working president before taking charge of the organisation.

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