Published On : Fri, May 27th, 2016

Politicians must avoid comments on second term for Rajan: Assocham

Mumbai: As RBI Governor Raghuram Rajan faces heat from some sections of BJP, industry body Assocham on Friday said he has an “impeccable track record” and politicians should restrain from commenting on a second term for him and leave it for Prime Minister Narendra Modi to decide.

The post of the RBI Governor should not be dragged into avoidable controversies unless any serious offence has been committed by an incumbent, Assocham said in a statement.

The central bank, it said, has played a pivotal role in bringing about a macro-economic stability for India, making it the best among the emerging markets.

Surely, it is the prerogative of the government to appoint and re-appoint a person to the coveted position of the RBI Governor, but the kind of media statements being issued about Rajan by senior politicians do not augur well for the countrys financial system, which is passing through a challenging time because of unprecedented levels of stressed assets in the banks, the chamber said.